Real Estate Investor Magazine South Africa August 2015 | Page 59

At this point, there are two options to successfully
unlock capital:
1. To retain their SA tax residency, submit all
outstanding South African tax returns and
payments to date, and then only apply for annual
FIA clearance through SARS and the Reserve
Bank.
2. To formally emigrate.
Emigration
Unlocking SA capital though formal emigration (also
referred to as financial emigration) effectively allows
South Africans unlimited access to their SA capital,
with certain conditions and consequences.
As the SA tax system is based on worldwide income
and assets, those seeking to emigrate after having left
the country will need to consider the potential Capital
Gains Tax (CGT) implications on all global assets, as
they become a non-tax resident in SA.
On settling SA taxes and receiving tax clearance and
emigration approval through the SARB, applicants are
able to transfer assets to the same value as through the
regular allowance channels (R11 million per individual)
but are able to make a further special application to the
SARB for greater amounts.
What about Pension Assets?
Prior to 2008, South African’s abroad could not access
capital tied up in many South Africa retirement funds.
Retirement Annuities and pensions have long been
viewed by expats as ‘dead capital’. However, subsequent
www.reimag.co.za

changes to legislation have resulted in these assets
being recoverable through application to the SARB
and financial emigration.
Although the doors to access capital in SA have largely
been opened, it is by no means a simple process.
At Money Migrate we offer the ability for South African expats
to access a dedicated South African-based service designed to
assist individuals in transferring capital from South Africa to any
destination worldwide including:
• South African Tax administration service to deal with all
SARS requirements
• Application for a Emigration/Foreign Investment Allowance
• Recovery of South African pensions and Retirement
Annuities
• Opening a non-resident bank account
• Forex transfers
• Holistic global structuring advice.
Money Migrate is a division of Sable Forex (South Africa). For
more in