Receiving an inheritance from South Africa can stir up a mix of emotions. On one hand, it’s a meaningful financial boost that can help you achieve goals or provide security. On the other, it often comes at a time of loss, which can make the process feel overwhelming and emotionally charged. For South African expats living abroad, these feelings are compounded by the practical challenges of transferring money out of South Africa safely and legally.
It’s not just about moving funds, it’s about finding your way through the tangle of legal requirements, understanding your tax obligations, and ensuring the inheritance reaches you without unnecessary delays or complications. Trying to figure out everything on your own can feel stressful, especially when you’re dealing with overseas banks, tax regulations, and unfamiliar paperwork.
That’s why we’re stepping in with this guide, to walk you through accessing your South African inheritance overseas in a way that’s clear and manageable. Whether you’ve already completed tax emigration from South Africa, are still a tax resident, or don’t have a valid South African ID, we’ll break down exactly what you need to know so you can focus on what really matters – honouring your loved one’s legacy and making the most of your inheritance.
Understanding cross-border inheritance rules in South Africa
South Africa has rules (called Exchange Control Regulations) that govern how money can move in and out of the country. Knowing how these rules affect you is the only way to ensure a smooth transfer of inheritance from South Africa. The South African Reserve Bank (SARB) oversees compliance with these regulations and following them carefully helps prevent delays or potential penalties.
Depending on whether you’ve completed tax emigration from South Africa or are still considered a tax resident, the steps for transferring your inheritance can differ. Let’s break it down.
1. What to do if you’ve already completed tax emigration
For expats who have formally exited the South African tax system, transferring your inheritance abroad is usually much simpler.
Read more: How to get your inheritance money out of South Africa.
What you should know
- Tax emigration vs. financial emigration: Financial emigration is no longer required. Today, what matters is confirming your cessation of tax residency, which establishes you as a non-resident for tax purposes.
- Proof of non-residency: You’ll need a SARS Non-Resident Confirmation Letter to show you’re no longer a tax resident.
This means that even if you left South Africa several years ago, and completed financial emigration at the time, you will still need to complete tax emigration now to provide confirmation of your non-resident status.
Read more: Should you undergo tax emigration if you live abroad but still have assets in South Africa?
Documents typically required for a South African inheritance
To facilitate your inheritance transfer, make sure you have:
- Certified copy of the death certificate
- Certified copy of the will
- Liquidation and distribution account (if estate assets exceed R250 000)
- Letter of executorship
- Confirmation from the executor about your inheritance
- SARS Non-Resident Confirmation Letter
- Your non-resident bank account details
- Approval for International Transfer (AIT) TCS PIN from SARS
With these documents in hand, moving your inheritance abroad can be done quickly and without unnecessary red tape.
Read more: Document checklist for transferring an inheritance from South Africa.
2. What to do if you haven’t completed tax emigration
If you’re still considered a tax resident of South Africa, the process is a little more complex.
- Inheritance under R1 million: You can use your single discretionary allowance to transfer the funds overseas.
- Inheritance over R1 million: You’ll need to go through the SARS Approved International Transfer (AIT) process and use your foreign capital allowance.
The most important thing is keeping your tax affairs up to date, as any outstanding obligations could delay or block your inheritance transfer.
3. What to do if you don’t have a valid South African ID
Some expats may no longer have a barcoded ID book or Smart ID card, which can complicate things. In this case, you’ll need to complete tax emigration from South Africa to confirm your non-resident status before transferring your inheritance abroad.
Read more: Tax emigration – how to become a non tax resident of South Africa.
Why tax compliance matters to your cross-border inheritance
Whether you’ve already ceased tax residency, or you’re still considered a South African tax resident, staying compliant with SARS is essential for accessing your inheritance abroad.
- If you are still a tax resident, compliance ensures you can make use of allowances such as the single discretionary allowance (up to R1 million) or, for larger amounts, apply for Approval for International Transfers (AIT) to utilise your foreign investment allowance.
- If you’ve already completed tax emigration from South Africa, your compliance will be reflected in your SARS Non-Resident Confirmation Letter, which makes transferring your inheritance funds offshore more straightforward. In both cases, being up to date with your tax status is what keeps the transfer process moving smoothly.
Read more: Claiming your South African inheritance from abroad.
Inheritance claims South Africa – how FinGlobal can help
Getting your inheritance from South Africa doesn’t have to be stressful. We provide a full suite of cross-border financial services to assist South African expats:
- Successfully complete the AIT process and obtain SARS tax clearance
- Set up and manage non-resident bank accounts
- Make sure your funds arrive safely and compliantly.
To find out how FinGlobal can streamline access to your South African inheritance, leave your contact details below and we’ll be in touch to discuss your needs.
