Part 1: Are You Still a South African Tax Resident?

You’ve swapped braais for barbecues, rands for euros, and maybe your morning rush-hour for a seaside stroll. Life abroad is everything you hoped for, until someone mentions South African tax and suddenly you realise you haven’t quite escaped the SARS grasp just yet.

Here’s the thing. Moving countries doesn’t automatically end your tax obligations to SARS. If you don’t officially cut the cord, they can still claim a slice of your worldwide income.

That’s why we’ve created this little expat tax guide in a 3-part series. Think of it as your clear-eyed, plain-talking guide to what “ceasing tax residency” really means, how to do it right, and how to side-step some costly errors.

The Common Expat Misconception

It’s the classic expat blind spot. You’ve been gone for years, barely follow the news from back home, and only pop back for weddings or the occasional Kruger safari. Surely SARS has moved on without you?

Not exactly. Until you formally change your status, SARS may still see you as a South African tax resident. That means your global earnings,  whether from a law firm in London, a tech gig in Dubai, or your beachside coffee shop in Sydney, could still be on their radar.

Formalising your non-resident status isn’t just a box-ticking exercise. It’s how you avoid double taxation, stay compliant, and protect your hard-earned money from future admin ambushes.

What is Tax Residency? (And How SARS Sees It)

Here’s the short version. SARS taxes residents on every cent they earn anywhere in the world. Non-residents only get taxed on income from South African sources.

To decide which group you’re in, SARS uses two main tests.

The Ordinarily Resident Test

This one’s about where your life is anchored, not how many days you’ve been in the country. SARS looks at your centre of vital interests. Is your family still in South Africa? Do you own property there? Where are your assets, memberships, and ties? If too much of your life still points back to South Africa, you might still be “ordinarily resident.”

The Physical Presence Test

If you’re not ordinarily resident, SARS checks your time on the ground. Spend enough days in South Africa over a set number of years and you could still be classed as a resident,  even if your heart and home are somewhere else.

The Risks of “Informal” Emigration

Skipping the formal process can land you with:

• Ongoing worldwide income declarations to SARS
• Surprise tax bills and late-payment penalties
• Double Taxation Agreement disputes if your non-resident status isn’t on record
• Delays or restrictions when moving retirement savings or other capital out of South Africa

Nolands' Role: Gaining Clarity and Peace of Mind

At Nolands, we don’t just tick boxes and send you on your way. We listen to your story, look at your entire picture, and map it against SARS’ criteria. Our goal is to give you a clear, confident answer about your residency status and the smartest path forward.

Here’s the takeaway. Being physically absent from South Africa doesn’t automatically make you a non-resident in SARS’ eyes. The paperwork matters. The process matters.

In Part 2 of the Nolands expat tax series, we’ll show you exactly how to change your status, step by step, and unpack the much-discussed exit tax calculation.

Not sure about your tax residency status? Contact Nolands Tax today for a consultation.