What-South-Africans-Lose-When-Adopting-Foreign

What South Africans Lose When Adopting Foreign Citizenship

This condition is stipulated in Chapter 3: Loss of South African Citizenship, Section 6(1) of the South African Citizenship Act of 1995. It does not include someone who gains foreign citizenship through marriage, and the section also does not apply to children minors.

Relinquishing your status as a citizen does not have any tax benefits for those seeking to cease their tax residency. Also, you will be alienated from certain rights you may consider your heritage and not worth sacrificing.

So, when developing your roadmap towards full financial emigration, whether this is just financially moving your money or also the physical move of a family, it is critical that you consider deeply what South African citizenship means to you. You must also be well informed of the options available to you, as these decisions impact the rest of your life as well as generations to come.

Residence vs citizenship

Foreign citizenship must not be confused with permanent residence abroad.

Many South Africans emigrate under a host country’s permanent residence programme, requiring them to hold an appropriate visa throughout. They cannot apply for that jurisdiction’s passport, and may typically be excluded from rights reserved for full citizens, like voting. Just moving to another country does not result in the loss of your South African citizenship. A good example is Mauritius, where a retirement visa can be relatively easily obtained and with no property investment. However, this does not qualify you to eventually take up Mauritius citizenship.

Where you formally accept citizenship in another country, you can be issued with its passport and enjoy all the benefits of being a citizen. But you will relinquish your South African citizenship by that act alone. Although the Act provides for the resumption of your citizenship, this is not possible as long as you remain a foreign national.

Yet, there is a way to avoid this situation, but you must act quickly.

Dual citizenship

Section 6(2) of the Citizenship Act allows you to apply to the Minister of Home Affairs to retain your South African citizenship. This is provided you do so prior to losing it for accepting foreign citizenship. Because once it is lost, it is lost for good or a process which no-one will voluntarily undertake.

If the Minister deems it fit, they will order the retention of your citizenship, as shown in the example certificate of exemption below.

What-South-Africans-Lose-When-Adopting-Foreign-Citizenship

Making this application a priority will allow you to enjoy the best of both nationalities.

Tax residency

It may be tempting to suppose that relinquishing your citizenship is sufficient grounds to cease tax residency in South Africa. Or that becoming a foreign national absolves one of any outstanding tax or legal obligations.

This is not true and not worth sacrificing your citizenship for.

Section 12 of the Act provides that a person is not freed “from any obligation, duty or liability in respect of any act done or committed before he or she ceased to be a South African citizen”.

This includes your tax obligations to SARS, which remain even after you become a foreign citizen, until they are settled.

Planning ahead

There are significant benefits to having a second passport, often referred to as a “Plan B”, for those not physically leaving South Africa; but just keeping their wealth outside South Africa or being on a roadmap to migrate their family internationally. The costs involved depends very much on your goals with another passport and which country’s status you want to access.

As a practice which specialises in international employees, business owners with international interests and high net worth families, we see a second passport strategy as an important part of the roadmap. Also, we often assist South African’s who emigrate to keep their South African passport, as one never knows what the future holds and there is no tax benefit in giving up your South African citizenship.

Bitter Sweet Update Directive allowing Expatriates with Pending Visas to remain in country gets extended to 31 March 2023

While this provides relief for many, that come end of September, employees still awaiting their outcome will be allowed to remain in country and legally continue to work per their previous valid work visa status, although expired, for others it comes with dismay.

At its core, it predicts that the processing of visas will continue to move slow for the next 7 months.

The news comes on the heels of the announcement on the weekend to reverse the central adjudication system, and subsequent announcement that all applications submitted prior to 31 August will continue to be adjudicated by Head Office.

The Directive as such may elude to the fact that applications submitted abroad, will receive preference in adjudication as relief has been provided to those who have submitted locally through the Directive and automatic extension.

This would negatively impact on any applicants who had submitted a visa to change employer, as the Directive will not allow them to legally commence new employment; or where an employee has applied to change roles within the organisation.

It further impacts those seeking to travel and who need to submit an application for a visa, some countries are not regarding the Directive as legal status and applicants are experiencing difficulties to apply for travel visas.

The Directive also does not allow for those with pending waiver applications to travel out of the country as they will then be deemed to have “abandoned” their waiver applications and as such will need to travel abroad to apply for their visa status once the waiver has been ultimately issued.

Zimbabwe Visa Update The Minister And Xpatweb Speaks On 702

Zimbabwe Visa Update – The Minister And Xpatweb Speaks On 702

The session was dedicated to unpacking the difficult and divisive topic of the Zimbabwean ZEP special dispensation.

The latest hereon is the announced extension period to allow ZEP holders to make new applications for a further 6 months until 30 June 2023.

Dr Motsoaledi provided excellent and well-articulated insight into government’s strategy hereon, showing a deeper appreciation for the history and law on the subject matter.

The original purpose of the ZEP was to provide a humanitarian solution to the increasing number of migrants from Zimbabwe at the time seeking refuge and opportunity in South Africa. The Minister dealt clearly with the incorrect expectation that it would continue to be extended and he reiterated that it was always a temporary fix. He added that the ZEP permits were very limiting in that they did not allow holders to progress to other visa categories, which is now being addressed by his invitation for Zimbabweans to follow due process and make correct applications during the grace period.

The grace period granted allows ZEP holders exactly this opportunity, but concern was expressed that not enough are taking the opportunity to take this step. Which begged the question, what is the resistance?

Marisa Jacobs, explained the various visa options available in terms of the Immigration Act that ZEP holders could explore, this included Spousal Visa, Relative Visa, Study Visa, Critical Skills Work Visa, General Work Visa, Business Visa, Retired Person Visa and after applying for a main stream category, eventually a Permanent Residence Permit can be secured. She added that it is essential for ZEP holders to apply for their application as soon as possible heading the call by the Minister. They offer a dedicated portal and team to deal with the ZEP holders who seek a compliant and long-term solution through ZEP@Xpatweb.com.

The Minister also provided some insights into the number of Zimbabwe nationals living in South Africa. For the 2021 year confirming that Zimbabweans were issued with 38% of all Critical Skills Work Visas, 25% of all Study Visas 15% of General Work Visas and 14% of all Relative Visas. This confirms that many foreign nationals in South Africa are from Zimbabwe and continue to contribute meaningfully to the South African economy. ZEP holders are being afforded the same opportunity to apply for one of these visa categories.

The Minister and Marisa Jacobs both encourage ZEP holders to confirm the category best suited for their personal circumstances and urgently progress to apply for a visa.

Marisa Jacobs and minister of DHA
ft Withdrawal of Centralised Adjudication

Withdrawal of Centralised Adjudication

They found that the same type of application may be approved at one Embassy but then rejected at another and certain Embassies would process the application in just a few weeks whereas other Embassies might take months to process the same type of application.

In an attempt to eliminate these inconsistencies, earlier this year the Minister of Home Affairs announced that long term visa applications submitted worldwide would be sent to Head Office in Pretoria to be adjudicated.

This change meant that almost 200 consulates were sending all their long-term visa application to one centralised point to be adjudicated by only a handful of adjudicators. The new process created a bottleneck since its inception and caused unprecedented delays, with applications taking in some cases 7 to 8 months to be finalised.

After facing strong criticism on the changes made to the adjudication process from businesses wanting to invest in the Republic, on 31 August 2022 the Department of Home Affairs prepared a directive, released earlier today that effective immediately withdraws the instruction to South African Missions abroad to send their long-term applications to the centralised hub for adjudication.

This decision should lead to much faster processing times for long-term visa application and lesson the strain on investors. The Department is expected to make further announcements on the transitional logistics with regards to applications that have already been sent to the Department of Home Affairs in South Africa for processing.

AN UPDATE | 06/09/2022

REVERSAL OF THE CENTRAL ADJUDICATION PROCESS

Reversal of the central adjudication process was announced on the weekend and the Department of Home Affairs will make further announcements on the transitional logistics with regards to applications that have already been sent to the Head Office for processing.

APPLICATION PRIOR TO THE REVERSAL

We understand that a decision has been made that all applications submitted prior to 31 August 2022 at an Embassy abroad will continue to be adjudicated and processed at the Head Office.

NEW SUBMISSIONS

All applications submitted from 1 September 2022 onwards, will be adjudicated at the Embassy of submission.

Where you have any new applications due for submission, please feel free to reach out to us to ensure you are following the new process and have correct guidance for first time correct submission.

Where you have any pending applications submitted prior to 31 August and this has not been placed on our list of urgency, please do let us know.

Where your visa applications are already with us and you are a client we will send you a separate note on your matters and the process going forward.

ZEP Last Chance Extensions FT

Last Chance Extensions For Zimbabwean Exemption Permit (ZEP) Holders

On 2 September the Minister of the Department of Home Affairs Dr Aaron Motsoaledi, announced a last change further 6 month grace period to allow ZEP holders to regularise their status by applying for a main stream visa category.

ZEP Permit Background

The Zimbabwean special dispensation started in 2009 and was called the Dispensation for Zimbabwe Permit. It provided for the documentation of qualifying Zimbabweans for a five-year period.

The permits were extended in 2014 for a further three-year period until 2017 and called the Zimbabwean Special Permit. The current Zimbabwean Exemption Permits were issued in 2017 and expire on 31 December 2021

Next Step For ZEP Holders

ZEP holders have been granted a grace period to 30 June 2023 to apply for a visa in terms of the Immigration Act of 2002, as amended, subject to qualifying for an alternative visa category based on the requirements and minimum qualifying criteria.

ZEP holders may qualify for the following types of visas:

  • Spousal / Life Partner Visa with Work Authorisation (if married or in a permanent relationship with a South African Citizen / Permanent Resident, subject to conditions).
  • Relative’s Visa (if related to a South African Citizen / Permanent Resident who is either spouse, parent or child).
  • Critical Skills Work Visa (if holder of critical skills as set out in the Gazetted Critical Skills List issued by DHA).
  • General Work Visa (if offered South African employment and approved by Department of Labour, subject to assessment).
  • Study Visa (if enrolled /accepted to take up studies at a registered educational institute in South Africa).
  • Business Visa (where you have your own business and meet the investment and labour requirements)
  • Retired Person Visa (where the applicant has income exceeding R37,500 per month from a pension, irrevocable annuity or other income source)

Requirements To Proceed With Waiver Submission

Where you wish to proceed with the Ministerial announced submission category, the following next steps is required –

  1. Formal engagement letter, non-disclosure agreement and invoicing
  2. Full details on the law, category of application and technical aspects
  3. Checklist and description of the documentation required
  4. Cover letter template and example
  5. Motivation letter templates and examples
  6. Compilation of the application in the proper form ready for submission to DHA
  7. Addition to our tracking schedule with the DHA, including being kept up to date on formal legal developments

To proceed, please complete your details below and we will share with you the costs and our engagement letter for signature.