Residents who wish to transfer funds of in excess of their 1 million annual discretionary allowance can make use of the annual investment allowance of 10 million rand per adult.
Why is there a 10 million rand investment allowance?
In this case the regulations stipulate a Ten Million Rand Investment Allowance per calender year for adults.
Requirements for using your Ten Million Rand Investment Allowance
- The individual must be over the age of 18.
- A tax clearance certificate must be obtained.
- A BOP (balance of payments) form must be completed.
What is a tax clearance certificate?
A tax clearance certificate is issued by SARS (South African Revenue Service). It confirms that your tax affairs are in good order. Without this the Ten Million Rand Investment Allowance can be utilised.
What is a Balance of Payments Form (BOP)?
All cross-border transactions must be reported to the South African Reserve Bank in accordance with the South African Reserve Bank Regulations. Balance of Payments Reporting (BoP Reporting for short) is an electronic message system used by Authorised Dealers (i.e. Banks) to report cross-border transactions to the South African Reserve Bank (SARB).
What if you wish to transfer more than the 10 million rand investment allowance?
Firstly it is worth noting that a family unit of 2 adults can transfer up to 22 million rand annually. If this is still less than you wish to transfer then Incompass assists you in submitting an application to the Financial Surveillance Department of the South African Reserve Bank for approval of a greater amount.
How Incompass Helps?
As one of South Africa’s premier currency companies we are ideally placed to assist you with the transfer abroad of your R10 million rand investment allowance. We offer:
- Market leading rates.
- No service fees for transfers over ZAR50,000.
- Free tax clearance and BOP completion.
- Reserve Bank and FSCA approved.
- ISO 9001 and ISO 27001.
- Market leading service standards.
To find out more about how we can help you with the transfer of your ten million rand investment allowance call us on any of the numbers below or send us an e-mail.
Ph: Cape Town +27 (0) 21 424 2936
Ph: Johannesburg +27 (0) 11 234 4275