Nobody likes paying taxes. We know why we do it, and we’re prepared to pay our fair share – but what if you found yourself in a situation where you become liable for double taxation? If you’ve have moved to foreign shores, but still have assets or interests in South Africa you could be exposed. If you need help with your tax, make use of our South African tax services.
Did you know that there are certain things you can do in order to avoid falling into the double-taxation trap.
Tip one: look for DTA’s
There are certain countries where the South African government has arrangements with the local government – known as Double Taxation Agreements (DTAs). These agreements ensure that you don’t pay tax twice, so it’s important to know what applies where you live!
Note however that DTA’s can vary from country to country so it’s advisable to consult a professional to find out exactly what you can do, can’t and should do.
Tip two: emigrate financially
You may have moved to another country but if there’s any income that you’re still earning – investments, annuities or anything else – you may be liable to pay taxes in South Africa. It can be possible to completely overcome your South African tax-problem by transferring your wealth to your new country of residence, but again you’ll need professional help.
Tip three: hire a capable consultant
One of the biggest reasons people fall foul of double taxation is because they don’t understand what needs to be done. If you’re struggling with the concept and wondering how you can protect your finances from being drained in two different countries, you need a professional on your team. Unless you are a financial expert, and if you’re reading this you’re probably struggling with double taxation, you’ll need professional help and advice.
If you’re trying to solve the double-taxation puzzle, let the experts at cashkows.com give you a call.