Guide5 min read

Tax Clearance for Emigration: Step by Step

Before you can formally emigrate from South Africa and transfer your assets abroad, you need tax clearance from SARS. Here is the step-by-step process.

Key Takeaways

Tax clearance is required before you can transfer assets out of SA
You must be fully tax compliant before applying
The process involves SARS and the South African Reserve Bank
Allow 3-6 months for the full process
A tax advisor experienced in emigration is strongly recommended

Step 1: Get your SARS affairs in order

Before applying for tax clearance, ensure all your tax returns are filed and all taxes are paid. SARS will not issue clearance if you have outstanding returns or debt.

File all outstanding tax returns
Pay all outstanding taxes and penalties
Ensure your eFiling profile is up to date
Resolve any SARS disputes or audits

Step 2: Apply for a Tax Compliance Status (TCS) pin

Apply on SARS eFiling for a Tax Compliance Status pin for emigration purposes. This confirms you are tax compliant and allows SARS to assess your exit tax liability.

Apply on SARS eFiling
Select 'Emigration' as the reason
SARS will assess your exit tax
TCS pin is valid for 12 months

Step 3: Complete the SARB process

Once you have SARS clearance, you need to complete the South African Reserve Bank emigration process to formally record your emigration and allow asset transfers.

Submit MP336(b) form to your bank
Bank forwards to SARB for approval
Once approved, you can transfer assets abroad
Annual transfer allowance: R10m per person

Ready to see your own numbers?

Use the Emigration Tax Estimator