How We Helped
Our specialist cross-border tax team conducted a detailed tax residency review and analysed the client’s personal, economic and professional connections to both South Africa and the Democratic Republic of Congo. This included consideration of his immigration status, family circumstances, employment history, source of income and the application of the treaty tie-breaker provisions contained in the South Africa–DRC Double Tax Agreement.
Outcome
Following a comprehensive legal analysis for the period reviewed, we concluded that the client was exclusively resident in the Democratic Republic of Congo for purposes of the applicable Double Tax Agreement and therefore the foreign employment income considered in the analysis was not subject to South African tax for the relevant period. The opinion provided the client with certainty regarding his South African tax position, supported his treaty residency status in the Democratic Republic of Congo, and established a defensible framework from which to engage with SARS.
Client Feedback
“When SARS questioned my tax position, I did not know how to prove that their claims did not apply to my circumstances. Tax Consulting South Africa took the time to understand my situation, explain every possible scenario and guide me through the process with professionalism, expertise and genuine care. Their support gave me confidence during a very difficult time and ultimately helped me achieve a positive outcome with SARS.” – Congolese National & South African Permanent Resident
