Are you a foreign company currently operating in South Africa with no registration locally? The regulatory landscape in South Africa is evolving, and compliance with the South African Revenue Service (SARS) has become more critical than ever.  The current Income Tax Act 58 of 1962 (“ITA”) is aiming to amend the laws to bring non-resident companies employing South Africans into the South African employees’ tax net. 

What does this mean? If you are paying a South African working for you in South Africa and not paying Pay As You Earn (PAYE/employee contribution), Skills Development Levy (SDL/Employer contribution), and Unemployment Insurance Fund (UiF/Employer and Employee contributions)?  It means that the South African Revenue Services (SARS) will hold you, the non-resident company liable for all monies due with penalties and interest for non-compliance.  Don’t be caught out by SARS and allow Africa Deployments to assist you in becoming compliant before SARS does!

In this blog post, we’ll explore how Africa Deployments can be your trusted partner for navigating South African compliance requirements and ensuring a seamless employer of record (EOR) process.

South Africa’s Compliance Requirement:

Recent changes in South African regulations mandate that foreign companies not registered in the country must get registered to be fully compliant with SARS. This requirement is aimed at ensuring that all businesses operating in South Africa are tax-compliant and adhere to local employment laws. Navigating this complex process can be daunting, time-consuming, and costly for foreign companies.

How Africa Deployments Can Assist:

Africa Deployments offers a comprehensive solution to help foreign companies streamline their compliance efforts and EOR needs in South Africa. Here’s how we can be your trusted partner:

 

1. 1. Local Company Expertise: An established presence in South Africa, making us well-versed in local laws, regulations, and compliance requirements. Our experienced team understands the intricacies of the South African business landscape, ensuring your operations are always on the right side of the law.

1. 1. Employer of Record Services: Instead of going through the complex process of registering your foreign company in South Africa, Africa Deployments can serve as your EOR. We will employ your staff locally, taking care of all the legal and tax obligations. This means you can focus on your core business operations while we handle the administrative burdens.

1. 1. Seamless Integration: Our goal is to make the transition to South Africa as smooth as possible for your company. We second your employees back to your operations, ensuring they seamlessly integrate into your South African workforce while maintaining tax compliance.

1. 1. Risk Mitigation: Compliance risks can be a major concern for foreign companies expanding into South Africa. With Africa Deployments as your partner, you can significantly reduce these risks. Our local expertise and commitment to adherence to local laws and regulations safeguard your business from legal and financial complications.

1. 1. Cost-Efficiency: Instead of allocating resources and capital to register your company in South Africa, you can save time and money by partnering with Africa Deployments. Our cost-effective EOR services provide a hassle-free way to enter the South African market.

In conclusion, navigating South African compliance requirements and EOR needs can be a daunting task for foreign companies. Africa Deployments offers a turnkey solution to simplify the process, reduce risks, and ensure your business is tax-compliant in South Africa. By partnering with us, you can focus on what you do best while we take care of the rest. Contact Africa Deployments today to explore how we can assist you in your South African operations and become compliant today.