Understanding AIT Applications
An Approval of International Transfers (AIT) application is crucial for South Africans looking to manage finances across borders, particularly when it involves large sums or retirement funds.
AIT applications allow tax residents to legally move funds beyond the discretionary allowance of R1 million and aids non-tax residents in remitting funds right from the first Rand without a discretionary threshold.
At FMJ Tax Consulting, we also assist in provisional taxes and specialize in assisting clients with any tax-related queries.
Eligibility Criteria
Tax Residents:
- May use a discretionary allowance of up to R1 million annually without special approval.
- Applications are required for amounts exceeding this threshold to ensure compliance with foreign exchange regulations.
Non-Tax Residents:
- Must apply for any amount of funds they wish to remit abroad.
- Often face challenges such as proving non-residency status to South African Revenue Service (SARS) and financial institutions, especially when attempting to withdraw retirement funds after the three-year waiting period.
Common Challenges
Applicants might encounter several hurdles during the AIT application process:
Documentation:
SARS may request extensive paperwork, including historical asset records and proof of funds.
Residency Proofs:
Non-residents need to substantiate their claims of residency abroad, which can complicate access to their funds in South Africa.
How We Can Help
At FMJ Tax Consultants, we specialize in facilitating smooth AIT applications by:
Shared E-Filing Access:
Allowing clients to grant us access to their e-filing system to manage applications seamlessly.
Document Navigation:
Assisting in gathering and submitting the required documentation to SARS, including asset and liability histories.
Why Choose FMJ Tax Consultants?
With years of expertise in international tax advice, FMJ has a proven track record of simplifying complex tax requirements for cross-border finances. Our tailored services ensure that your AIT applications are handled professionally and efficiently, providing peace of mind and compliance with South African tax laws.
Get Started Today
Ready to navigate the complexities of international tax? Contact FMJ Tax Consultants for a personalized consultation. We’re here to help you maximize your financial strategy across borders
