Foreign pensions in tax crosshairs

CAPE TOWN - National Treasury is moving ahead with plans to tax foreign pensions.

The proposal is part of broader changes to South Africa’s tax regime, first outlined in this year’s budget.

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Treasury says it wants to remove the current tax exemption on foreign retirement benefits.

But some experts warn the move could deter wealthy foreign nationals from retiring in South Africa.

David Warneke, a partner at BDO South Africa, discussed this with eNCA.