For South African tax payers who have not previously formalized their foreign assets, it is necessary to formalize their foreign funds with the South African Revenue Bank.
The Reserve Bank regulation program works as follows:
Depending on various factors those are “forfeit to the state” i.e. fee is changed to regulate the Unreported / unauthorized foreign funds.
It is possible for certain situations to be legalized without any “fee” i.e.
In terms of this program a taxpayer would need to disclose and thus regulate their tax situation. If taxes were not paid since 2001 on foreign taxes, the income would be taxed without penalties but interest would be charged on late payment of taxes.
All South Africans can transfer funds offshore by using their personal allowances.
R10 Million per adult per annum- a tax clearance certificate required. Available to all residents and non-residents 18 or plus year of age. Green bar-coded South African ID and subject to an active SARS tax record.
R1 million per adult, per annum-no tax clearance required. Available to all residents, South African non-residents may use the allowance only in the calendar year when leaving the country- 18 plus years of age. Green bar-coded South African ID and subject to an active SARS tax record.