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Old 6th Sep 2018, 20:17
  #110 (permalink)  
Está servira para distraerle.
Join Date: Jan 2002
Location: In a perambulator.
Posts: 7,046
It is ominous that South Africa is introducing tax legislation designed to force émigrés to return and to prevent those, particularly the wealthy, who would wish to leave form doing so.
Legislation soon to become law in South Africa will require all SA citizens working abroad, in no matter what tax jurisdiction, to pay South African income tax on their earnings even if they are not resident in SA during an entire tax year. This legislation is primarily aimed at Saffers working in low tax jurisdictions. There is a one million rand per annum exemption but this figure includes all benefits, accommodation, health insurances and even air tickets, as provided by the employer.
In certain cases of course, there will be tax treaty benefit but nonetheless, the effect of the legislation, as intended by the government, will be to force many South Africans to return home. It is a punitive tax edict enforced on the grounds of citizenship alone.
One might have thought to avoid this situation by emigrating from SA but this has already been anticipated and dealt with by SARS. Should you wish to financially emigrate from SA, the value of all your assets, investments, possessions etc, excluding only immovable property in South Africa, will be assessed as having been liquidated on the date that the applicant intends to leave South Africa. A very real CGT will then be applied, at prevailing and relevant rates, to any gains and that CGT will have to be paid. It's obvious that, as the gain is an assumed one while the tax is not, a serious cash flow problem could arise for many, ironically becoming worse the richer one is.
Thus the government have legislated to force skilled labour to return while making it almost impossibly expensive to leave.
The British Labour Party, now composed at its viperous head almost entirely of dedicated Communists, anticipates a capital exit flow from Britain should it attain power, accompanied by a flood of wealthy people leaving, taking their usual revenue contributions with them. One must be in no doubt that what has happened in South Africa will not have escaped the green eyed monsters at Momentum. Britain may look to a mirror image of the South African legislation in the first budget that any incoming Labour government will introduce.
From all of this, one must deduce that South Africa is indeed on the brink and that Britain might very well be there soon too.
Those with long memories will remember the exchange control legislation practised in Britain and axed by Mrs Thatcher, when Brits were only allowed to take £50 a year out of the country. John McDonnell will not wait long before reintroducing capital controls and these days, what with body scanners, you won't be able to take out a roll of £50s in the codpiece of your Y fronts.
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