SARS - how to deregister

[Caz]

Hi,

 

I am hopeful that someone can help me with this.  We currently have no assets, bank accounts, RA's or anything in South Africa.  However, our SARS profiles are still active and every year I receive a reminder to complete my return (which I dutifully do).  Every year I also end up having to send a letter, etc stating that we are permanent residents (hopefully citizens soon) and that we are filing zero returns.

 

I am getting a bit tired of this run around and would prefer to deregister from SARS (or whatever the appropriate term is).

 

Can someone please advise?

 

[AFreshStart]

You MIGHT need to go through the process of financial immigration to deregister, we did ours with Tanya from FXCapital and used her tax consultant.

 

Cheers

 

Matt

 

 

Edited May 11, 2016 by AFreshStart

[Hugo2]

4 hours ago, AFreshStart said:

You need to then go through the process of financial immigration to deregister, we did ours with Tanya from FXCapital.

 

Cheers

 

Matt

 

 

 

 

This is not true at all!!

[Hugo2]

4 hours ago, cmh said:

Hi,

 

I am hopeful that someone can help me with this.  We currently have no assets, bank accounts, RA's or anything in South Africa.  However, our SARS profiles are still active and every year I receive a reminder to complete my return (which I dutifully do).  

 

I am getting a bit tired of this runaround and would prefer to deregister from SARS (or whatever the appropriate term is).

 

Can someone please advise?

 

 

 

Good morning

 

You are filing a one-page nil return, and this is the problem! You have to file showing you that you resident in another country, you must list the country, show the dates in and outside SA for the last three years. This can only be achieved if you answer you first page questions correctly. After answering the questions listed SARS will issue nil return and issue audit letter. You then have to upload your tax residency certificate and proof of Australian address and PR or passport. If you on a 457 they will not release you. This is a compliance issue and not a formal emigration issue as listed above. Some taxpayer formally emigrate and remain a tax resident in SA so please please please stop believing formal emigration is the end of a tax profile. It simply is not, it is a marketing tool for some industry players. It may ease the exit and finalise the tax payment but it does not end your tax profile

 

Speak to a tax accountant in SA to help you or inbox me or send an email to info@bcbadvisory.com

 

 

[blung]

So what happens if you simply ignore sars and don't submit anything?

[AFreshStart]

3 hours ago, Hugo2 said:

 

This is not true at all!!

 

Really? It's not true for whom?

 

If you've already closed all your accounts in South Africa, have no RA's or pensions due and have no ties to the country and haven't for years why would you NOT want to financially emigrate and proceed with deregistering with SARS?

 

I'm not suggesting the poster deregister himself and shared we used/consulted with Tanya from FX Capital who not only moved our capital, but also aided us in wrapping up our accounts and getting clearance from the reserve bank to proceed with deregistration with SARS. I admit "MIGHT" should have been added in my original post (which I've done).

 

While you can financially emigrate and have your SARS profile remain open as you pointed out, to the best of my (limited) knowledge (which is why I hired someone to do it!) you can't close your SARS profile without going through emigration, which needs to be acknowledged by the Reserve Bank?

 

If you've closed your accounts and have no funds there in an RA or pension, but possibly an inheritance down the line, how would that be paid out and where if you had no account in SA?

 

Cheers

 

Matt

Edited May 11, 2016 by AFreshStart

[Caz]

18 hours ago, AFreshStart said:

 

If you've closed your accounts and have no funds there in an RA or pension, but possibly an inheritance down the line, how would that be paid out and where if you had no account in SA?

 

Unless there's some as yet nameless benefactor out there, I don't expect to be considered in anyone's last wishes.  Sad, but true.

[Caz]

18 hours ago, blung said:

So what happens if you simply ignore sars and don't submit anything?

 

I don't know and I really don't want to find out.  I'm the kind of person who prefers "to do the right thing".

 

I know that a lot of people like to disregard things such as traffic fines, account reminders, etc.  Claiming instead that they did not receive any fine or notice. As far as I'm aware the onus is on you to update your contact details and that for example the delivery of a legal notice to the address of a party to a contract can be considered legally sufficient for that notice to be considered received by that party, without the need for the person giving notice actually to find the person.

 

I'm not planning on returning to South Africa any time soon and would therefore prefer to sever all ties formally and keep my name in good repute.

[Hugo2]

On 5/11/2016 at 9:35 AM, AFreshStart said:

While you can financially emigrate and have your SARS profile remain open as you pointed out, to the best of my (limited) knowledge (which is why I hired someone to do it!) you can't close your SARS profile without going through emigration, which needs to be acknowledged by the Reserve Bank?

 

Incorrect, you can close your tax profile WITHOUT formal emigration.

On 5/11/2016 at 9:35 AM, AFreshStart said:

 

If you've closed your accounts and have no funds there in an RA or pension, but possibly an inheritance down the line, how would that be paid out and where if you had no account in SA?

 

 

 A new bank account can be opened with ease. If you have been out +10 years and there is an inheritance the formal emigration at that stage is easy 9wihtout tax clearance) and you can also use R10m FIA to exit funds. More recently R10m FIA is but a glass ceiling, we are bale to exit in excess of R200million without formal emigration

 

[RichardH]

On 5/11/2016 at 2:42 PM, Hugo2 said:

 

Good morning

 

You are filing a one-page nil return, and this is the problem! You have to file showing you that you resident in another country, you must list the country, show the dates in and outside SA for the last three years. This can only be achieved if you answer you first page questions correctly. After answering the questions listed SARS will issue nil return and issue audit letter. You then have to upload your tax residency certificate and proof of Australian address and PR or passport. If you on a 457 they will not release you. This is a compliance issue and not a formal emigration issue as listed above. Some taxpayer formally emigrate and remain a tax resident in SA so please please please stop believing formal emigration is the end of a tax profile. It simply is not, it is a marketing tool for some industry players. It may ease the exit and finalise the tax payment but it does not end your tax profile

 

Speak to a tax accountant in SA to help you or inbox me or send an email to info@bcbadvisory.com

 

 

Hi Hugo

Now that SARS Efiling 2016 is open, can you please explain what choices on the first page of an SA tax return need to be selected to allow these options to be shown in a tax return?

I have logged in to e-filing and selected the choices that apply to me, including my address showing I live in Australia but there is no option other than that or anything that shows me being resident in another country.

If you could detail what choices need to be selected on page 1 of a tax return then this would be great?

 

I don't mind filing a nill return year after year, but would prefer to de-register from these clowns once and for all....

Thanks

Regards

Richard

 

 

 

[Caz]

Yes please @Hugo2, I am now at the same place as @RichardH - I have logged onto Efiling after receiving notification to do so.

 

@RichardH - I have been filing a nill return since 2011 and every year I get audited.  Every year I send them a letter including all my details (passport, ATO details, etc).  It's not difficult to do, just annoying.

[RichardH]

5 hours ago, cmh said:

 

@RichardH - I have been filing a nill return since 2011 and every year I get audited.  Every year I send them a letter including all my details (passport, ATO details, etc).  It's not difficult to do, just annoying.

 

Hmm, that's interesting. I have not been audited. If I was I'm not sure if I would send them anything...

Let's see what  @Hugo2 comes back with. This is the final frontier...

Edited July 6, 2016 by Mara

[Hugo2]

On 7/6/2016 at 1:42 AM, RichardH said:

Hi Hugo

Now that SARS Efiling 2016 is open, can you please explain what choices on the first page of an SA tax return need to be selected to allow these options to be shown in a tax return?

I have logged in to e-filing and selected the choices that apply to me, including my address showing I live in Australia but there is no option other than that or anything that shows me being resident in another country.

If you could detail what choices need to be selected on page 1 of a tax return then this would be great?

 

I don't mind filing a nill return year after year, but would prefer to de-register from these clowns once and for all....

Thanks

Regards

Richard

 

 

 

3

Hi there is no one reply to all! Nil return is a confusing term! I see the comments on the nil return but I have too little info to comment. A non-resident with SA property, or a non-resident with a gain of R30 000, albeit tax exempt, must still file. Living in Australia is no ticket out of tax filing in SA. I wish I can do a general answer but there is is just no general answer. 

[Hugo2]

Good morning from Cape Town

 

To deregister is not a simple decision and may not apply to you. Please note that exempt income does not equate to a nil return. The audits following a nil return are because you file a nil return. If you have a bank account, and you earn R1, and you file, you have to declare the R1 and claim the exemption. Is this then a nil return? No. If you filed a nil return you underdeclared 

If your income is below a certain level and it interests you need not file unless sars issued a tax return. If you own property in SA, you may NOT deregister. 

If you have not formally emigrated, and you own more than R225 000 in foreign assets or had a +R30 000 capital gain on SA assets, you need to tax file 

The example in the case is the SARB Excon circ 6 of 2016, published this week. Even if you live in Australia and hold assets in contravention of FinSurv regulations, you need to file an SARB update

 

See www.sars.gov.za for list of people obliged to tax file - right click save PDF

 

See exchange control announcement speaking to expats (right-hand column is the links) http://www.resbank.co.za/RegulationAndSupervision/FinancialSurveillanceAndExchangeControl/Pages/Special-Voluntary-Disclosure-Programme.aspx

 

[Caz]

Thanks, I filed a nil return again early last week and have not received any further communication from SARS apart from the IT34.

 

In my case, I have no funds, bank accounts, properties, interests, assets or other gains in South Africa nor have I had for a few years.  While we initially came across on a 457 for which my husband was the main applicant, we have had PR since 2014.  I have not been employed in either country since last being employed in South Africa early 2010.

Edited July 14, 2016 by Caz

[SurferMan]

Hi @Caz,

 

Let me help you milady. I too came here on a 457, got PR and am now a proud citizen. Please dont believe any of the SARS poppycock about formal emigration. Yours truly has JUST pulled off the impossible, formal SARS deregistration. I got the email last night. Here is the edited extract.

 

"

Good day

 I referred your request for de-registration to the responsible division.  Will inform you once it has been finalised.

 Regards

Cora

 

Cora XXX

Senior Specialist

SARS Head Office

BAIT: Tax Ops Centre

Tel no: 012 422 xxxx

 

Once your affairs are in order you do not need to keep sending crap to them. I have not filled in a single SARS return since 2011. I have email from SARS to prove this is NOT needed. I too have no money there, assets, policies etc. It is the final link I need to sever from that place.

 

[SurferMan]

Oh, and I never sent them my Passport, proof of residence or PR etc. I plain refused. And I refused to deal with SARS using any method other than email. Dont back down, not now, not ever. I hate bullies with a passion and SARS are just Zuma's bully boys.

[SurferMan]

@RichardH,

 

I have not filed a return in years and I have proof from SARS own mouth that I do not need to do them. Use my process to back them into a corner. It took me years but yesterday I won. I would be the happiest man alive if others could beat those thugs off too!

[SurferMan]

@Matt,

 

Hey mate, been a while! I am happy to report that you do not need to formally emigrate to beat these people down. You can follow my process.

 

1: Make sure your tax is up to date.

2: Make sure you dont own any assets, earn any form of income, ergo to Hugo2's points above.

3: Request a TCC - tax clearance certiicate that shows you are in good standing with SARS.

4: Request that they deregister you as a taxpayer and DO NOT fall for the BS that follows! There is NO law that precludes you from being deregistered if your affairs are in order and you are no longer a resident or in my case not even a citizen or PR of SA.

 

Cheers

Paul

[SurferMan]

Ohhh, just before I go....

 

"SARS can kiss my ass..!" LOL Hvae a great weekend people, I am going fishing.

[Caz]

Thanks @SurferMan, would you be willing to share this all powerful contact person's e-mail address?  Or perhaps just an e-mail address for that specific business unit?

[RichardH]

3 hours ago, SurferMan said:

@RichardH,

 

I have not filed a return in years and I have proof from SARS own mouth that I do not need to do them. Use my process to back them into a corner. It took me years but yesterday I won. I would be the happiest man alive if others could beat those thugs off too!

 

@SurferMan As promised, for this victory I hereby award you the Victoria Cross of Persistence for defeating SARS!  

[SurferMan]

The lady's name is Cora Van Zyl. Her email is cvanzyl@sars.gov.za

 

And no, you did not get it from me. Snigger!

 

@RichardH, I accept the medal with humility good sir!

[SurferMan]

And the TRUE prize... Pravin Gorhan's email. USE SPARINGLY. pgordhan@sars.gov.za

 

 

[SurferMan]

And now you know I am not a fraud but the real deal. Waaaahaaa!