Tax Residence Certificates For SA Expats: SARS’ Way Or The Highway

Many South African (SA) expats already recognise that the Notice of Non-Resident Tax Status Letter (the letter) is their golden ticket to confirming their cessation of tax residency. A Tax Residence Certificate (TRC) from one’s new country of residence provides substantial evidence that one is now resident for tax purposes in their new country, aiding in allowing them to then cease tax residency in South Africa.

While it is not a legal requirement to obtain a TRC from your new country of residence when ceasing tax residency in SA, SARS has made it clear that this is now a listed requirement in order to obtain the letter.

UNDERSTANDING ONE’S TAX RESIDENCY STATUS

Determining one’s tax residency status holds paramount importance for South Africans ceasing their tax residency. South Africans are categorized into two tax groups: residents and non-residents. Residents are taxed on their worldwide income, while non-residents are... read more