I used to live and work in SA but then moved to the UK 8 years ago. Since then I have and still am working full time in the UK for a UK employer paying UK PAYE and now have UK citizenship.
For the last 4 years I have been sending money back to my SA bank account and used that money to purchase a rental property in SA.
As an example using dummy numbers for simplicity: Purchase price: R100k Deposit: R50k Bond: R50k
Rental Income: R20k p.a. Less bond: R10k p.a. Less levy: R2k p.a. Less agent fee: R2k p.a. Less rates: R2k p.a. Net Income: R4k p.a.
Question 1: Are there any tax implications of me sending money from the UK to my SA bank account? Question 2: Are all of the expenses I listed above deductible and if so, do I need to complete a tax return as the R4k is less than the R64k that is non taxable per year?
If your net income is less than the threshold then no you will not need to complete a return as there is no tax to pay. However for completeness it is often best to submit a return, even if it results in no tax.
All those deductions are allowed except for the full bond, only the interest is allowable as a deduction, not the mortgage part of the bond.
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