As Business Tech reports, the beginning of March marked the start of new rules around financial emigration for South African nationals. Financial emigration is the process used by many South Africans abroad to formalise their non-resident status for both tax and exchange control purposes.
Jonty Leon, legal manager at Tax Consulting South Africa, says that the changes are both positive and negative. On the positive side, he says that the antiquated legislation around exchange control for the process is completely falling away.
On the other hand, the tax treatment will be more stringent, with a focus on tax residency only. Leon says that this potentially makes it more onerous to overcome the burden of proving non-resident status.
