A non SA resident not registered for Tax in SA has donated funds from an overseas bank account to a resident in South Africa in excess of R100 000. Is there donations tax payable as it is from a non-resident. The non resident do not have and id number or
Important:
This answer is based on tax law for the tax year ending 28 February 2017.
Answer:
In terms of section 60(4) the IT144 is only required when the tax is paid. In terms of section 54, the donations tax is only to be paid on the value of any property disposed of under any donation by any resident (the donor). If the donor is not a resident, no donations tax would arise and consequently no IT144 is required.