🇿🇦 COUNTRY A South Africa VS 🇦🇪 COUNTRY B UAE

South Africa imposes a ‘deemed disposal’ tax when a tax resident ceases to be a South African resident. On the date of emigration, SARS treats all your assets (excluding SA property and retirement annuities) as if they were sold at market value, triggering a capital gains tax event. The first R2M (2026) in capital gains is excluded, but gains above that are taxed at your marginal rate multiplied by the CGT inclusion rate. Retirement annuities remain locked in until retirement regardless of where you live. Professionals moving to the UAE should obtain a formal tax residency certificate from SARS and seek specialist advice before transferring significant assets offshore.

South African residents have a R1,000,000 per-year offshore investment allowance that requires no tax clearance. An additional R10,000,000 per year can be transferred with a valid SARS tax clearance certificate. There is no limit once you formally emigrate and cease to be a South African tax resident, subject to completing the formal emigration process with SARB and SARS. Professionals relocating to the UAE typically complete formal financial emigration to remove exchange control restrictions on future earnings in the UAE.

South Africa charges a 20% dividend withholding tax (DWT) on dividends from South African companies. Non-residents may benefit from the SA–UAE double taxation agreement (DTA), which can reduce the DWT rate on certain dividends. Once you are formally a non-resident for South African tax purposes and a UAE tax resident, your UAE salary and locally-sourced income are not subject to South African tax. However, income sourced in South Africa (rental income, SA dividends) may still attract SA withholding taxes. Always consult a cross-border tax specialist before making the move.