The Best Way to Send and Receive Money from South Africa
Are you looking for the best way to send and receive money from South Africa? Sikhona Money Transfers is a foreign exchange provider that acts as an authorized dealer with limited authority (ADLA) and also holds a license with the South African Reserve Bank in South Africa.
Since its inception in April 2010, the company has been assisting its customers to send money online from South Africa. Sikhona Money Transfers has years of experience when it comes to working with fluctuating exchange rates to get you the best deal to send money home.
We can assist you with money transfers to over four hundred and forty thousand destinations and more than one hundred and sixty-two countries worldwide.
Understanding How Tax Works with Large Money Remittances in South Africa
Sharing your money with friends and family back home can also mean taking on extra financial costs, and sometimes these costs can even be reflected onto the person receiving the gifted money. In South Africa, all non-residents who choose to send money into the country are not charged with tax but there are a few procedures that one needs to follow.
One of the most important facts to remember when it comes to gifting money to a South African resident is that it is only taxable when the person who gifts the money is also a resident of the country. The South African Revenue Services (SARS) requires that all South Africans who gift money to friends or family members need to inform them about these activities.
SARS regulates a Donations Tax which is a type of tax paid by the South African resident who gifts your money. The Donations Tax is paid by filling out an IT144 form and then sending it to the South African Revenue Services. It is required that the Donations Tax be paid in full by the end of the month that follows the month the donation or “gift” was made. People who transfer money into South Africa from other countries would not be required to pay tax.
How Much Can I Receive as a Gift Tax-Free in South Africa?
Excited about receiving money as a gift from a loved one but not sure about the tax implications? In South Africa, the Donations Tax only becomes applicable once you have given more than R100 000 in one single tax year. Yes, this means that you can receive money as a gift tax-free as long as the total does not exceed R100 000.
If the amount gifted is more than R100 000, the donor is required to pay a 20% tax on the value of the money gifted. Money can also be received as a gift tax-free to a South African resident from a donor in another country.
Sending Money from South Africa to Another Country
For anyone interested in sending money out of South Africa and into another country, it is important to note that this is not as simple as you would think. There are different requirements which one needs to comply with to successfully send the money to a recipient in a foreign country. These requirements all depend on your reason for sending the cash out of South Africa.
Approval to send money out of South Africa and into another country needs to be cleared by the South African Reserve Bank (SARS). It is in your best interest to go through this process with either a South African bank or currency company based in the country.
There could be so many different reasons why you would want to send money from South Africa to another country. But, before sending the cash, you need to look at different method options to find the best one for you. As an example, we discuss some methods on how to send money to Senegal from South Africa:
- One of the most popular options to send money to Senegal would include a bank transfer. In most cases, bank transfers are the most affordable option but, the process can also be much slower in comparison to other methods such as using a debit or credit card. Before making a transaction to Senegal you may want to consider how fast you need the money to reach its destination.
- Another great method to use to send money from South Africa to Senegal would be through a wire transfer. This method is completely safe and secure to send money to Senegal
Take time to consider factors such as how much money you want to send and the exchange rate to get the best service for you.
Using Sikhona Services to Send Money Online to Over One Hundred and Sixty-Two Countries Worldwide
Nowadays, it is quite common to find that some of our friends and family members migrate to other countries in the world, hoping to find better employment opportunities to support their community back home. With this in mind, it gives you more reason to learn how to send money overseas from South Africa with the Sikhona Money Transfers app.
This mobile application software can be downloaded on either Android or iOS devices. Before you can start sending money to your family back home, first you will be required to register as a user on the app by filling in all of your details and providing an image of your South African Identity Document.
After you have successfully registered as a user on our app, you will be able to take full advantage of all of the great features available to you. One of these great features includes adding a beneficiary. The beneficiary is the person to who you wish to gift the money.
Once you’ve got your beneficiary list complete, the user can then easily start a new transaction online by following the prompted steps provided on the app. Remember to provide your beneficiary with the collection pin after completing the transaction. This pin will allow them to collect the money sent to them.
Some key points to keep in mind when sending money using the Sikhona Money Transfer app is as follows:
- All of our clients using the app to transfer money online need to be at least eighteen years old and able to provide the necessary documents for registration.
- If you are using your South African ID Document to send money, there is a daily limit of R49 999.99 and a monthly limit of R75 000.00 which cannot be exceeded.
- If you are not using your South African ID Document to transfer money online, there is a daily limit of R5000 and a monthly limit of R24 999.00 which needs to be adhered to.
Contact Sikhona Money Transfer for the Best Way to Send and Receive Money Online
If you would like to find out more information on the best way to send and receive money online, get in touch with our team of professionals today. We look forward to assisting you.
WhatsApp Line – 087 550 6660
Call Centre – 0861 660 660