South Africa Retired Persons Visa

The retired person's visa, under section 20 of the Immigration Act, is for foreigners who want to retire in South Africa for longer than three months, either for part of each year or full time (Immigration Act).

• Status: active
• Income: at least ZAR 37,000 a month from a pension, retirement annuity or assets
• Length: up to 4 years per grant, renewable
• DHA fee: ZAR 425
• Family: Yes

The South Africa guide compares it with the other long-stay routes.

Applicants meet one of two financial tests (South African High Commission, Canberra):

• Pension route: a pension, irrevocable retirement annuity or retirement account paying at least ZAR 37,000 a month for life.
• Net worth route: a net worth or combination of assets realizing an income of at least ZAR 37,000 a month.

Family: the spouse and dependent children of the holder may be issued an appropriate visa (Immigration Act).

Work: No by default. The Act lets the Director-General authorize work on conditions set case by case.

Police clearances and a medical certificate are part of every application.

The High Commission in Canberra lists these documents; other missions publish their own versions:

1. Form DHA-1738, completed in black ink.
2. A machine-readable passport with three blank pages, valid for at least 30 days after the stay.
3. Two photos.
4. A yellow fever vaccination certificate for anyone who traveled through the yellow fever belt.
5. Police clearance certificates from each country where the applicant lived for 12 months or more during the past five years, since age 18.
6. A medical certificate.
7. Financial documents proving the pension or net worth route.
8. The fee.

• DHA fee: ZAR 425 for applications through VFS in South Africa (VFS).
• VFS service fee: a private charge on top.
• Missions abroad: the fee is charged in local currency and differs by mission.

Other costs: the medical certificate, police certificates and certified copies of pension or asset documents.

1. Choose the financial route and collect the proof for it.
2. Apply at the South African mission for the applicant's area, or through a VFS Global center when applying inside South Africa.
3. Pay the fee the mission or VFS charges.
4. Wait for the decision. DHA publishes no processing time for this visa, and missions give their own estimates.

• Length: up to 4 years per grant.
• Renewal: Renewable one or more times, each for up to four years, while the income or net worth test is still met; stays may be seasonal or continuous.
• Permanent residence: Retirees can apply for permanent residence under section 27(e) on the same pension or net worth test; the Act sets no minimum time on the temporary visa first.

Retirees with the means for the ZAR 12,000,000 net worth test can also look at the financially independent permit.

The retired person's visa has no tax regime of its own, and immigration material says nothing about how pensions are taxed.

Tax residence follows the Income Tax Act, not the visa. People ordinarily resident in South Africa are tax resident whatever their day count. Everyone else becomes resident under the physical presence test: more than 91 days in the current tax year and in each of the five previous tax years, plus more than 915 days in total over those five years (SARS Interpretation Note 4).

Residents are taxed on worldwide income, subject to certain exclusions; non-residents are taxed only on income from a South African source. The tax year starts March 1.

Retirees who stay for long periods should check the tax treaty, if any, between South Africa and the country that pays the pension.