The following requirements must be met before income will be subjected to normal tax for a DTA (Double taxation agreement) for a non-resident:

Before income will be subjected to normal tax for a non-resident under a Double Taxation Agreement (DTA), the following requirements must generally be met:
1. Tax residency: The non-resident must be a tax resident of a country that has a DTA in place with South Africa. The DTA determines the taxing rights between the two countries.
2. Permanent establishment: If the non-resident carries on business in South Africa through a permanent establishment, the income derived from that permanent establishment may be subject to normal tax in South Africa. The DTA will provide specific criteria for determining the existence of a permanent establishment.
3. Specific income types: The DTA may specify certain types of income that are subject to taxation in the country where the income is sourced. For example, income from immovable property, dividends, interest, royalties, and capital gains may be subject to taxation in the source country.
4. Limitation of benefits: Some DTAs include provisions to prevent abuse of the agreement. These provisions may require the non-resident to meet certain conditions, such as having substantial business activities in their country of residence or demonstrating that the main purpose of their activities is not to obtain the benefits of the DTA.
It’s important to note that the specific requirements may vary depending on the DTA in question. It is recommended to consult the relevant DTA and seek professional advice to determine the specific requirements and implications for a non-resident’s income.
If a DTA is in existence and all three of the following requirements are met the income will not be subject to normal tax in South Africa:
• He/she is present in SA for a period or periods in aggregate not exceeding 183 days in any 12 month period (not necessarily a year of assessment),
• The services are performed for or on behalf of a person who is not a resident of SA,
• The remuneration is subject to tax in the other country with whom the DTA exists,
• His/her remuneration is not borne by a “permanent establishment” that the foreign employer has in SA.