Due to the appealing employment opportunities in countries outside of South Africa, many individuals are opting to rather work abroad than in the Republic. In order to accommodate individuals working abroad, there is an exemption available for those who are carrying out their employment in a foreign country.
Confusion arises as to all the requirements that have to be met, as well as all the exclusions to the rule regarding this exemption. For this reason, ProBeta Training offers a concise session for discussing these matters, with practical application examples.
This session is set up to cover the working of the foreign employment income exemption, and includes:
• Practical application examples with various scenarios and circumstances
• Tax treatment for employee:
o Calculation of days to qualify for the exemption
o Amounts included in remuneration to be exempt
o Persons and amounts excluded from the exemption
o Relief from double taxation
o Conversion of amounts in foreign currency
o Apportionment of taxable allowances for the purposes of deductions on assessment
o Residency tests regarding ordinarily resident, physical presence and DTA’s
o Financial immigration and changes in residency
• Tax treatment for employer:
o Considerations for withholding of PAYE
o Impact on SDL and UIF
o Local vs foreign employers
