Agreements between the two tax administrations of two countries should enable administrations to eliminate double taxation. The navigation area above allows you to access the texts of the corresponding agreements. The amended South African Tax Act is now fully applicable from 1 March 2020. If you have international economic interests, your income may be taxable both in South Africa and abroad, resulting in double taxation. A widespread misunderstanding we see among South African expats is that they think they are “automatically exempt” simply because there is a double taxation treaty between the two countries. This is completely false and there are several factors that must be considered and demonstrated objectively, and you are still legally required to file a tax return and “claim” an exemption as part of the contract relief. Double taxation treaties (“DBA”) are internationally agreed laws between South Africa and another country. South Africa has dozens of such agreements with different countries and the main purpose of a DBA is to ensure that each country subject to the agreement knows what its tax rights are vis-à-vis taxpayers. A DBA ensures that a taxable person is not unfairly taxed, both in South Africa and in the country concerned treated in a particular DBA. It therefore offers protection against double taxation and lays down various requirements that a taxable person must meet in order to understand where that taxable person is established as a tax resident. The double taxation conventions (DTAs) and protocols already in force have been divided into two groups to facilitate navigation, i.e. Jonty Leon Legal Manager für Expatriate Tax Compliance FIVE MALENTENDUS on DOUBLE TAXATION AGREEMENTS Relief For a full status of all DTAs and protocols, whether they are still under negotiation, have already been signed, but are not ratified in one of the Member States or if they are in force, attach a status document below. ON THE KNIFE`S EDGE: IN THIS REGISTRATION SEASON, SARS FOCUSES ON EXPATRIATES Tax Consulting South Africa has been around for 17 years and is widely recognized as the leader in the field of expatriate tax.
The group was commissioned by Barry Pretorius and South African expatriates worldwide to represent the Expatriate Group (“EPG”) in Parliament to fight the change in law that led to the release of R1.25mil, and also wrote the first expatriate manual of its kind published at the end of the year by LexisNexis. Please note that not all countries have a DBA with South Africa. Click here for the full list of countries….