Immigrating to the UK

Chris_the_Brit said:
Cool going to apply to open a Global Account now on the FNB app. Yeah I've heard of Monzo and I'd open with them as well but just be careful, they do lack some features you'd probably expect from a traditional bank. Hell, I think they only recently (as in a few months ago) allowed salaries to be paid into an account, but digital only banks are definitely the future. I adore the concept!
Click to expand...
Don't forget that you need to request the card for the global account and activate it. You can then register the global card with loungekey and get 10 lounge visits at airports outside of South Africa.
 
signates said:
From my understanding as a tax practitioner myself is that the south African tax system is residency based so if you fulfil the residency requirements and not in the country for a specified time then you pay no tax in South Africa. You will however still need to submit income tax returns every year. The new legislation will not affect people who are no longer resident in South Africa.

When you do financial immigration you do not need to submit tax returns as your tax number will no longer be valid.
Click to expand...

Just reading from online - not entirely sure whether it would be exempt:

Current laws
Currently, South Africans who are earning income abroad are assessed in terms of residency.
In terms of section 10(1)(o)(ii) of the Income Tax Act, if you are working overseas and do not meet the physical presence requirements to be an ordinary resident in South Africa, you are exempt from tax on any foreign income.
To qualify for this exemption, an employee needs to have spent more than 183 full days (including a continuous period of more than 60 full days) outside of the country working, in any 12-month period.
If this requirement isn’t met, then the employee is taxed on worldwide income.

Proposed changes
Originally, the draft regulations proposed the complete repeal of section 10(1)(o)(ii) of the Income Tax Act – the section that deals directly with taxation on foreign remuneration.
Under these conditions, all foreign income would have been taxed by SARS, and citizens would have to claim a credit against South African tax payable for any foreign taxes paid on that foreign income.

The draft regulations were later softened to not be a complete repeal, but that section 10(1)(0)(ii) be changed so that only the first R1 million of foreign remuneration will remain exempt from tax in SA – even if an individual meets the requirements of exemption.

One of the main reasons given for the changes is to curb situations of double non-taxation – being situations in which an individual’s employment income is not subject to tax in either South Africa or in the foreign country where the services are rendered.
 
signates said:
Don't forget that you need to request the card for the global account and activate it. You can then register the global card with loungekey and get 10 lounge visits at airports outside of South Africa.
Click to expand...

Cool I missed that (ordering the card - wasn't explicitly stated when I opened a Global account). I guess the use of the card is that it will have pounds in it and I can use it as I land in the UK while waiting for my Barclays card? But once I get the Barclays card, I can log-on to my FNB Global account and simply transfer to the Barclays account, which would make the FNB Global account card effectively redundant?
 
The new legislation will not remove the physical presence requirements from my understanding.

I'm keen to see the final legislation and will make changes accordingly. For now there is nothing that needs to be done.
 
mertin_zn said:
Just reading from online - not entirely sure whether it would be exempt:

Current laws
Currently, South Africans who are earning income abroad are assessed in terms of residency.
In terms of section 10(1)(o)(ii) of the Income Tax Act, if you are working overseas and do not meet the physical presence requirements to be an ordinary resident in South Africa, you are exempt from tax on any foreign income.
To qualify for this exemption, an employee needs to have spent more than 183 full days (including a continuous period of more than 60 full days) outside of the country working, in any 12-month period.
If this requirement isn’t met, then the employee is taxed on worldwide income.

Proposed changes
Originally, the draft regulations proposed the complete repeal of section 10(1)(o)(ii) of the Income Tax Act – the section that deals directly with taxation on foreign remuneration.
Under these conditions, all foreign income would have been taxed by SARS, and citizens would have to claim a credit against South African tax payable for any foreign taxes paid on that foreign income.

The draft regulations were later softened to not be a complete repeal, but that section 10(1)(0)(ii) be changed so that only the first R1 million of foreign remuneration will remain exempt from tax in SA – even if an individual meets the requirements of exemption.

One of the main reasons given for the changes is to curb situations of double non-taxation – being situations in which an individual’s employment income is not subject to tax in either South Africa or in the foreign country where the services are rendered.
Click to expand...

The UK has a double-taxation agreement with SA though. I think you are safe - they are more looking at places like the UAE and Qatar with very minimal tax rates.
 
Chris_the_Brit said:
Cool I missed that (ordering the card - wasn't explicitly stated when I opened a Global account). I guess the use of the card is that it will have pounds in it and I can use it as I land in the UK while waiting for my Barclays card? But once I get the Barclays card, I can log-on to my FNB Global account and simply transfer to the Barclays account, which would make the FNB Global account card effectively redundant?
Click to expand...
Yes. You also can't use the card in SA. My wife used the card to swipe and withdraw cash at the airport and there was no charges for these transactions.

Is pretty much redubtent now but she will use it to receive money into SA if she needs to send money back. From her monzo account to her global account and then to me. No need for Bob declarations with the global account
 
signates said:
She bought the local newspaper and was surprised to see the court proceedings published including the names of the accused and where they live.

Looking through that list of traffic offences and value of fines I don't think we'll be getting a car there anytime soon. On top of the fine amount, you also have to pay a victim surcharge and court costs. Not sure if the screenshot is big enough.
75357d575a17916012a314531802be16.jpg
Click to expand...
Possibly worse than the fines is the points deduction that sometimes comes with it. Get enough of those, and you lose your license.
 
Chris_the_Brit said:
Yeah I've heard of Monzo and I'd open with them as well but just be careful, they do lack some features you'd probably expect from a traditional bank. Hell, I think they only recently (as in a few months ago) allowed salaries to be paid into an account, but digital only banks are definitely the future. I adore the concept!
Click to expand...

Monzo have always allowed salaries and direct debits (at least since they got their banking licence around 2 years ago), a better digital bank is Starling Bank as Monzo still has a weakness which is cash deposits, they only allow up to £300 a month (£1k per year total iirc) and charge £1 to deposit using the Paypoint network (which is mostly in less salubrious shops) while Starling allow virtually unlimited (£20k per transaction) free deposits via the Post Office network.

Only problem is Starling have stricter requirements on application so you might need to be in the UK to apply, worth a try though.
 
On a side note re banking.

Is there any UK based account I can open online (from SA)?

I'm a UK citizen - just not resident in the UK and thus I can't go in to branch / provide proof of residence.
 
jsheed_sa said:
On a side note re banking.

Is there any UK based account I can open online (from SA)?

I'm a UK citizen - just not resident in the UK and thus I can't go in to branch / provide proof of residence.
Click to expand...

Monzo is likely the easiest, Starling is a better account but a bit stricter on applications (I’d definitely recommend Starling over Monzo though), both are digital banks so have no branches, everything is done in app. Only problem is you need a UK postal address for the application and for the card to be posted to.

I opened both accounts just with my passport (you take a photo of it in app to verify).
 
jsheed_sa said:
On a side note re banking.

Is there any UK based account I can open online (from SA)?

I'm a UK citizen - just not resident in the UK and thus I can't go in to branch / provide proof of residence.
Click to expand...

Barclays has this: https://www.barclays.co.uk/moments/new-to-the-uk/

Not sure of the other big banks.

Edit: But you have to be in the UK to finish off the application, so possibly plan a trip there.

If you bank with Investec in SA, you might be able to open an Investec account in the UK.
 
jsheed_sa said:
On a side note re banking.

Is there any UK based account I can open online (from SA)?

I'm a UK citizen - just not resident in the UK and thus I can't go in to branch / provide proof of residence.
Click to expand...
As mentioned, monzo is the easiest. The account was active even before my wife was in the UK but the app won't let you proceed until you activate the card that gets sent to your UK address. We tried an AGS uk address but this failed. There's no check when they deliver the card so you can get it delivered to a relative and then activate the card using the card number.

My wife's card was dropped through the letterbox in their door and she found it there when she got home that day.
 
Another advantage of going with the UK digital banks is they are right at the forefront for things like ApplePay/GooglePay and make it really simple to activate in app (I usually have to phone Barclays and Halifax when I change phones to reactivate).

Starling Bank also has SamsungPay and even has the more niche payments like GarminPay and FitbitPay.
 
Standard class train trip into London today.

I really cannot wait to join her.

We have a complication in that we have two children placed in foster care with us. The eldest was abandoned at birth and was placed with us when he was 3. He's turning 9 on Saturday and we need to renew his Foster care order in August this year. We will request for it to be granted until his 18 if the adoption is not finalised by then. It's normally only granted for a two year period. There's no option of reuniting with his biological parents as the south African mother is AWOL and the Tanzanian father is no longer in the country.

2 years ago we found out about his biological sister who was in a children's home at the time but only managed to get her placed with us in November last year. They did not know of one another until we introduced them. Fortunately the magistrate that granted her Foster care order made it until she turns 18 on our request so we don't have to renew it every two years. The biggest issue is that her birth was never registered and she therefor does not have a birth certificate. We have applied for late registration of birth but home affairs is backlogged by more than 9 months.

Our plan is to adopt them both and take them with us. They will then become adopted children of a British citizen(my wife) and will be able to get British passports. I will go on a spousal visa.

So our problem currently is that while they are adoptable children and officially declared as wards of the state, ACVV does not seem interested to expedite their adoption and comes across as if our emigration is a problem for them as we want to remove the children from South Africa. We are at the point where we need a good private social worker or lawyer willing to assist us in finalising their adoption.

Wife and I cannot have kids and decided at the time to either adopt or Foster a child.
3699c064c4c91ed6a383a5a238f4b321.jpg
 
If you leave any RA's behind in SA or expect to inherit then you need to Financially Emigrate via SARS and SARB to be able to receive the money overseas.

Also all movable property you leave behind will be deemed as sold on the day before departure and re purchased at the same price the day after. Capital Gains Tax must be paid as an Exit Tax on this. Property is regarded as Mutual Funds, Shares etc. Tax on gains from them are only payable to the country of residence regardless of them being in SA.
 
Last edited:
mertin_zn said:
Just reading from online - not entirely sure whether it would be exempt:

Current laws
Currently, South Africans who are earning income abroad are assessed in terms of residency.
In terms of section 10(1)(o)(ii) of the Income Tax Act, if you are working overseas and do not meet the physical presence requirements to be an ordinary resident in South Africa, you are exempt from tax on any foreign income.
To qualify for this exemption, an employee needs to have spent more than 183 full days (including a continuous period of more than 60 full days) outside of the country working, in any 12-month period.
If this requirement isn’t met, then the employee is taxed on worldwide income.

Proposed changes
Originally, the draft regulations proposed the complete repeal of section 10(1)(o)(ii) of the Income Tax Act – the section that deals directly with taxation on foreign remuneration.
Under these conditions, all foreign income would have been taxed by SARS, and citizens would have to claim a credit against South African tax payable for any foreign taxes paid on that foreign income.

The draft regulations were later softened to not be a complete repeal, but that section 10(1)(0)(ii) be changed so that only the first R1 million of foreign remuneration will remain exempt from tax in SA – even if an individual meets the requirements of exemption.

One of the main reasons given for the changes is to curb situations of double non-taxation – being situations in which an individual’s employment income is not subject to tax in either South Africa or in the foreign country where the services are rendered.
Click to expand...

The changes are still only relevant to tax residents. If you sell everything, and move permanently with your family, you won’t be a tax resident (at least, not for very long).

Also, in the UK, with the high marginal tax, double taxation agreement and R1m credit, you probably wouldn’t pay very much at all, if anything should it apply.
 
signates said:
She also cannot do loads of shopping as she walks to the grocer and needs to make sure she can carry everything she buys. You also have to pay to use the shopping cart so she just grabs a basket.
Click to expand...

e-Bike + pannier bags is something to consider, depending on your future living situation. Works a treat.

signates said:
She does miss the driving experience but public transport is very good with a bus stop right outside her flat and a 10 minute walk to the closest train station to get into London.
Click to expand...

Won't take long to start dreading driving to work. Felt odd for a bit but now I love the extra time for reading, etc. Proper public transport is so much better, and you should be able to get away with having only 1 car.
 
Living where everything works is great.

My wife went to register at the nearest GP on the the 24th. Saturday morning, 3 days later, she received a letter delivered to the flat from NHS informing her that she can come in for a free health assessment and just needs to call to make an appointment. This morning she's at the GP having her free medical assessment done.

Hoping the national insurance appointment will also go as quickly.

She'll also apply for her British passport next week.
 
You must log in or register to reply here.
Back
Top
Sign up to the MyBroadband newsletter
X