Moving or living abroad? What you need to know about your South African bank accounts.

Withdrawing funds from South Africa as a registered non-tax resident depends on the nature of the funds (liquid/banked capital vs. locked retirement assets).

The old South African Reserve Bank (SARB) formal "financial emigration" was replaced by the SARS tax non-residency framework.

Step 1: Ensure Your Non-Resident Status is Formally Documented

Having ceased tax residency, you must have official proof on record:

• SARS Notice of Non-Resident Tax Status Letter (often referred to as the "Golden Letter").
• Ensure your final "deemed disposal" return (exit tax / Capital Gains Tax) has been assessed and fully settled with SARS.
• Your SA bank account must be designated as a non-resident bank account.

Step 2: Determine Which Withdrawal Rules Apply

A. Discretionary Cash, Property Proceeds, Investments, or Inheritances

If the money is sitting in a bank account, an active investment portfolio, or proceeds from an asset sale:

Apply for an Approval for International Transfer (AIT) TCS PIN:

• Non-residents transferring capital out of South Africa must apply for an AIT PIN via SARS eFiling.   
• SARS requires clear source-of-funds proof (e.g., deed of sale for property, bank statements, or liquidation notes) and proof of tax non-residency.
  
  

Execute via an Authorised Dealer (Bank / Forex Broker):

• Submit the approved AIT PIN and compliance documents to your South African authorised dealer/forex specialist.   
• The dealer verifies SARB exchange control compliance and transfers the funds to your offshore bank account.
  
  

B. Locked Retirement Funds (Retirement Annuities, Preservation Funds)

If your funds are tied up in a Retirement Annuity (RA) or preservation policy:

Meet the 3-Year Lock-In Rule:

Under the Income Tax Act, you must remain a non-tax resident for an uninterrupted period of at least 3 consecutive years before you can withdraw the full value of an RA or preservation fund before age 55.

Submit Claim to Fund Administrator:

You cannot apply directly to SARS for this directive; your fund administrator (e.g., Old Mutual, Sanlam, Allan Gray, Discovery) must apply on your behalf.   

Provide the administrator with:

• Your SARS Notice of Non-Resident Tax Status.
• Foreign tax residency certificate or foreign tax returns covering the 3-year period.
• Proof of identity and overseas residence.

SARS Tax Directive & Payout:

• The fund requests a formal tax directive from SARS.
• Tax is deducted according to the Retirement Lump Sum Withdrawal Benefit tax table (ranging from 0% to 36% depending on lifetime withdrawal totals).
• The net amount is paid into your South African non-resident bank account.

Remit Offshore (AIT Application):

Once received in your local account, apply for your AIT TCS PIN from SARS (if not pre-cleared) to remit the funds to your overseas account.

Step 3: Required Documentation Checklist

Keep the following documents prepared for SARS and your forex provider:

• Proof of Identity: Certified copy of South African ID/passport.
• Status Proof: SARS Notice of Non-Resident Tax Status confirmation letter.
• Foreign Residency: Current foreign tax residency certificate, foreign utility bill, and proof of address.
• Source of Funds: Statements demonstrating exactly where the money originated (sale agreements, policy statements, inheritance letters).
• Destination Account Details: Bank statement of your overseas bank account showing matching account holder names.

Allowed Inflows

Foreign Transfers: Send foreign currency from your offshore account freely. The bank converts it to ZAR upon submission of an inward Balance of Payments (BoP) declaration.

Traceable SA-Sourced Income: Permitted with supporting documents:

• Rental income: Signed lease agreement and title deed.
• Asset sales (property/vehicles): Deed of sale and attorney/conveyancer statement.
• Inheritance: Final Liquidation & Distribution account stamped by the Master of the High Court.
• Director's fees / Local salary: Payslips and contracts (subject to local PAYE).
• Dividends / Interest: Dividend resolutions and IT3(b) tax certificates.
  
  

Blocked or Restricted Inflows

• Cash Deposits: Over-the-counter ZAR cash deposits are blocked.
• Unverified Resident Transfers: Domestic EFTs from friends, family, or third-party SA residents are rejected without prior SARB justification.
• Local Resident Loans: South African residents cannot lend money to a non-resident account without SARB approval.

Key Rules

Local Tax Applies: Any income originating in South Africa (rent, interest, fees) remains taxable by SARS, even with non-tax resident status.

Re-Exporting Capital: Retain records of all offshore capital brought into SA; verified introduced funds can later be remitted back abroad without issue.

All the major banks in South Africa offer some sort of non-resident solution.
FNB: Non-Resident Banking
Standard Bank: Non-Resident Banking
Nedbank: Non-Resident Banking
ABSA: Non-Resident Banking
Investec: Non-Residents Banking



("E & OE" - The information provided is for educational and guiding purposes and cannot be taken as official advice.)