Immigration(physical relocation) – to another country from South Africa. Emigration (financial emigration) – from an exchange control perspective, is the financial exit from South Africa.
On completion of this process your financial status in South Africa changes from resident to non-resident.
If you emigrate without properly notifying the South African Reserve Bank (SARB), you are classified as a South African resident living temporarily abroad. You will then be subject to the same tax laws and financial regulations as people living in South Africa.
If you wish to leave the country permanently and avoid this tax scenario, financial emigration is, in most cases, recommended. To do this, you must register your intentions with the South African Reserve Bank (SARB).
You will need to ensure that your tax affairs are up-to-date and in order before you submit your application and supporting documents. You may also have to submit a tax clearance certificate from the South African Revenue Service (SARS), depending on how long you have lived abroad.
If the application is successful, the SARB will issue you with a proof of emigration certificate. Once you have financially emigrated you will then be able to use a non-resident bank account to freely transfer your funds abroad.
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