South Africa still has Exchange Controls in place and this results in an increased degree of management and time that can add to the cost and frustration of completing a transaction.
These issues are more prevalent for individuals than for international trading entities.
Currency providers have to complete additional forms for submission to the South African Reserve Bank declaring the nature of the funds leaving or entering the country. Under a number of circumstances specific approvals are required.
Contact us on email@example.com for further help on specific Exchange Control queries.
SARS – Tax Clearance Certificates (TCC)
As part of the Exchange control system, individuals are entitled to transfer offshore for onward investment an amount of R4 million per SA tax resident per calendar year. This can only be achieved if all tax affairs are in order and SARS have issued the TCC.
Achieving the TCC is straight forward if affairs are in order, but easily made frustrating and time consuming due to lack of knowledge, infrequency of activity, inability of bank to provide support, time wasted in SARS queues, sourcing documents, completing forms etc.
Valufin works with this process daily and can support the individual the whole way through the process of the SARB documentation, SARS application, bank documentation, transfer of funds to the final currency provider, negotiation of the rate, handling of queries and production of confirmations.
Documents are remitted through our secure online framework.
The rate improvement results in a net benefit to the client after payment of Valufin fees and the rest of the service is a bonus.
In many cases individuals are offshore. This does not preclude Valufin from offering the service provided the client is entitled to remit the funds.