Always remember that the burden of proof is on the taxpayer. When declaring information to SARS, evidence is paramount. Start with dessert and get your documents together first. This will be the most important aspect of any engagement with SARS, whether you are simply filing a tax return, submitting a non-resident declaration to SARS, or any other tax-related matters.
If you consider yourself to be a non-resident for South African tax purposes, or if you want to become a non-resident, examine your intention. Furthermore, do not be confused by any special terms used by different advisors – “tax emigration,” “financial emigration,” and “ceasing tax residency,” are irrelevant. Either one remains a South African tax resident (declaring worldwide amounts to SARS), or they cease to be a resident under the Income Tax Act, alternatively, in terms of a DTA.
For those who believe that SARS already considers them to be a non-resident, do you have a “Notice of Non-Resident Tax Status” from SARS? You would obtain this document from SARS when you cease to be a tax resident by way of the DTA or domestic process. This document serves as proof of one having ceased tax residency in SA, therefore protecting their foreign-sourced income, in accordance with the process qualified for.
This has now become a critical SARS requirement.
