WHY DO YOU NEED
A NON-RESIDENT TAX
STATUS LETTER?
Non-resident tax letter
The Non-Resident Tax Status Confirmation Letter is official recognition from SARS that one has ceased to be a tax resident of South Africa. Before applying for this letter, one must ensure full compliance, as this is a strict requirement by SARS. Virtual Emigration is your pathway to complete this process with ease.
A change in tax residency will impact the basis on which South African expatriates will be subject to tax in South Africa and how their returns will be assessed going forward.
The Non-Resident Tax Status Confirmation Letter, with an indication of the effective date tax residency was ceased, is key in avoiding unexpected tax liabilities in South Africa and yields several positive financial outcomes:
- Fully Tax Compliant while Abroad: Ensure you are officially recognized as a non-resident to stop SARS from taxing your foreign income, avoiding unexpected audits, penalties, and future tax claims.
- Avoid Double Taxation: Without formal recognition of your non-resident status, you could be taxed on the same income both in South Africa and in your new country of residence—a costly mistake that can be avoided.
- Prevent SARS Disputes and Future Tax Claims: Without a formal declaration, SARS can retroactively demand unpaid taxes on foreign earnings, leading to hefty penalties and compliance issues.
Start assessment
Find out today if you qualify for your SARS Non-Residency confirmation letter.