Ceasing to be a tax resident of South Africa

A change in tax residency must be declared to SARS as there may be consequential tax implications.  A deemed disposal for capital gains tax purposes takes place at the time when an individual cease to be tax resident on his or her world-wide assets, excluding immoveable property situated in South Africa.

One of the following two channels must be used to inform SARS of the change in tax residency:

• Submission of the Registration, Amendments and Verification form (RAV01) on e-filing or by appointment at a SARS branch, or
• Capturing the date on the ITR12 income tax return.

SARS will issue a letter to request supporting documents:

• RAV01:  Declaration form to be completed and submitted with supporting documents through e-Filing or SOQS (an online portal of SARS where supporting documents can be uploaded)
• ITR12 return:  Supporting documents required will depend on the basis on which the taxpayer ceased to resident.

For more information, the SARS webpage on ”ceasing to be a resident” can be accessed here. 

04/03/2022