SARS has its eyes on remote workers and foreign employers in South Africa

[BusinessTech]

SARS has its eyes on remote workers and foreign employers in South Africa

Proposals in the 2023 budget show that Treasury and SARS are looking to bring foreign employers and remote workers in line with local requirements - which poses some practical issues.

 

[epah]

I also have my eyes on some Hot twink.

 

[eepr0m]

Good luck Sars.

What if said person is being paid in Crypto, Converts the crypto to Fiat and withdraws money to a bank account in Georgia?
How will you know?

Asking for a friend

 

[Slowestclock]

Good luck Sars.

What if said person is being paid in Crypto, Converts the crypto to Fiat and withdraws money to a bank account in Georgia?
How will you know?

Asking for a friend

Can't they just look at your expenditures?
If your paying for internet, rent, groceries, it had to come from somewhere.

 

[RedViking]

'tsek

 

[Snyper564]

Good luck Sars.

What if said person is being paid in Crypto, Converts the crypto to Fiat and withdraws money to a bank account in Georgia?
How will you know?

Asking for a friend

Q lifestyle audit - obviously all of this can be done, but its tax evasion not avoidance and not declaring it is subject to MASSIVE penalties.

You do what you want but ill sleep peacefully at night.

 

[eepr0m]

Can't they just look at your expenditures?
If your paying for internet, rent, groceries, it had to come from somewhere.

Yes they can audit your lifestyle.

But for that they would need proof of your expenses first. Remember crypto can also be withdrawn from crypto ATM's

 

[Snyper564]

Yes they can audit your lifestyle.

But for that they would need proof of your expenses first. Remember crypto can also be withdrawn from crypto ATM's

All non-declaration is just tax evasion. Caught on the wrong side of SARS/SARB is not somewhere you wanna be...

its the equivalent of a mechanic taking cash and not declaring it...

 

[eepr0m]

All non-declaration is just tax evasion. Caught on the wrong side of SARS/SARB is not somewhere you wanna be...

What if my friend never brings the money to SA and only spends it when he/she is abroad? how will they know?

 

[Snyper564]

What if my friend never brings the money to SA and only spends it when he/she is abroad? how will they know?

Still evasion.

Do what you want still illegal...

 

[eepr0m]

Still evasion.

Do what you want still illegal...

Asking for a friend

 

[DrJohnZoidberg]

My company has a third party that facilitates this (Remote.com) but I chose not to do this as I'll end up paying significantly more tax as I can write a lot of things off being a provisional tax payer which I cannot do as an employee paying PAYE.

It will end up being a lot bigger CTC for me to move over and still get the same amount out every month.

 

[gregmcc]

The trough is drying up. Have to get money from somewhere.

 

[Spizz]

What if my friend never brings the money to SA and only spends it when he/she is abroad? how will they know?

I'd imagine the country where the cash is being deposited will have the same dim view as SARS would if you avoid taxes there as well.

 

[Slowestclock]

All non-declaration is just tax evasion. Caught on the wrong side of SARS/SARB is not somewhere you wanna be...

its the equivalent of a mechanic taking cash and not declaring it...

Nothing wrong with that, if the mechanic did work, got paid in cash, both parties win. The 3rd party on the other hand...

 

[hj007]

This is going to be a headache. I reckon most remote employers wont bother with a local entity for this.

What are the rules for US based entities that hire in the Philippines or outsource to similar low cost areas? Are the IRS/US rules just much simpler and this is SARS being draconian, or this common globally?

 

[charlieharper]

They gonna tell remote employers to comply with BEE at this rate.