Webinars On-Demand

2019 Webinar: Tax2020: The Tax Migration vs Financial Emigration

Overview

#Tax2020 is effective as of 1 March 2020. As of South African tax year 2021, expats will be facing an additional tax on their now tax-exempt foreign earned income.

Is this taxing of expats such a simple matter? And will affected parties merely roll over and accept the fact that SARS will now tax expat South Africans, despite them having no ties to South Africa?

Not only does the topic appear to be complex, it is also emotive. Financial emigration wars have broken out. Most wealth advisers, payroll administrators, and financial and investment advisors are now told their clients will have to formally or financially emigrate from South Africa.

This two-hour webinar will attempt to unpack the Act, as it was promulgated in December 2017 (effective as of 1 March 2020), and share some thoughts on the relevant 2019 foreign payroll and foreign remuneration tax policy changes (if any) to be announced by the new Minister of Finance.

Despite the new uncertainties, the webinar, hosted by Hugo van Zyl MTP(SA), will not only clarify the known issues, but will also ensure you know the difference between #Taxmigration and #financialemigration. You should also be able to guide your clients on the pros and cons of financial emigration.

Hugo will address the true, relevant issues of being tax resident or tax non-resident in terms of a tax treaty’s tie-breaker rules. What is the impact on tax emigration and the risk of availing to the UAE (Dubai) tax treaty benefit in the 2019 or 2020 tax year when the treaty has been in place for nearly three years? How will SARS deal with the overdue exit tax?

Hugo will also attempt to address some, if not all, of your questions on the ITA section 9HA exit (CGT) tax facing expats or who claim they should not be suffering the new capped R1 million foreign income exemption.

Make sure you are up to date. Although the implementation date is a year away, your clients expect you to have all the answers and provide possible solutions. Ensure the financial emigration service providers are not harvesting your clients because you ignored the latest hot topic being #Tax2020.

Course Content

• The difference between the various exempt foreign remuneration sources
• Foreign tax credits
• Tax residents
• Tax emigration – A consequence not an election?
• Financial emigration
  • The process
  • The pros from a tax and exchange control perspective
  • The cons – Why financial emigration should not be considered
• The alternative options
• The valuation of fringe benefits
• The SARS payroll deduction and credits
  • Foreign medical aid
  • Foreign retirement fund contributions
  • Foreign taxes paid at source
• Treasury and SARS interaction with the profession and payroll administrators
• Payroll administrators
  • Their challenges
  • Their questions
  • Your suggestions