Exchange Control Update - New Income Transfer Rules For Non-Residents
The South African Reserve Bank (SARB) has recently updated the rules for moving money out of the country by recently issuing the Exchange Control Circular No. 15/2025 (‘the Circular’). These changes specifically affect non-residents and people who have officially moved their tax residency to another country.
The main takeaway? SARS (the tax office) is now at the center of almost every transaction. If you want to move money, you need your tax paperwork in order.
1. Pensions and Annuities (The Good News)
If you are a non-resident receiving a South African pension or annuity, the process has actually become simpler:
- You no longer need to get a new "Tax Compliance Status" (TCS) every single year.
- Instead, authorized dealers can simply use your tax certificates (like an IRP5) to prove you've paid your dues.
- You generally only need to provide this confirmation once—either when the payments start or the first time you use these new rules.
2. Transfers of other income by residents temporarily abroad
Any income not specifically provided for must now fall under the single discretionary allowance (‘SDA’) and/or foreign capital allowance (‘FCA’). This shifts many miscellaneous income transfers into the standard individual allowances framework.
Residents temporarily abroad may receive pensions, compulsory annuities, gifts, and loans as permitted, but any other foreign currency transfers require prior written approval from the Financial Surveillance Department.
If you own property in South Africa but live abroad, moving your rental profit offshore now requires three specific things:
- A copy of your rental agreement.
- A statement from you confirming the rent is "reasonable" (basically, that you aren't charging R1 million a month just to sneak money out of the country).
- SARS Approval: You must have a formal "Letter of Compliance" or a "TCS Pin" from the tax office.
4. Dividends and Trust Payments
Whether you are getting paid out from a family trust or receiving dividends from a South African company, the bank can only send that money abroad if:
- You have a TCS Pin: If you are registered with SARS.
- You have a Manual Letter of Compliance: If you aren't registered with SARS.
5. Salaries and Professional Fees
If you are a "true" non-resident (you don't live or work in SA) and you earn a salary or a fee from a South African source, banks are still allowed to transfer those funds to you relatively easily.
Summary Table: What Paperwork Do I Need?
| Type of Income | Requirement |
| Pensions | IRP5 / Tax Certificate (Usually once-off) |
| Rent | Lease Agreement + SARS Compliance Pin |
| Trusts / Dividends | SARS Compliance Pin or Manual Letter |
| Misc. Income | Falls under your "Discretionary Allowance" |