The rules of South African trust law are a mixture of English, Roman-Dutch and South African law. It is not a juristic (legal) person but there are times when, in terms of certain statutes, a trust is regarded as having a separate legal identity (for example for tax purposes in terms of the Income Tax Act).

How much does it cost to set up a family trust in South Africa?

Setting up a trust can cost between R4,000 and R12,000. Careful consideration must be given to the wording of the trust deed because you want to ensure that the trust is both tax effective, and also that your family will continue to benefit when you die.

Can a non resident be a trustee of a South African trust?

Trustees must be trustworthy and honest individuals with high integrity and must always act with care, diligence and skill. Furthermore, non-residents may not be trustees of South African registered trusts. This is important to note where trustees decide to emigrate.

What is the legal term for a person who sets up a trust?

In a trust, assets are held and managed by one person or people (the trustee) to benefit another person or people (the beneficiary). The person providing the assets is called the settlor.

How many trustees must a trust have South Africa?

It is practical and advisable to appoint at least two trustees to a trust to ensure continuity and to prevent decisions from being made by only one person. The minimum required number of trustees should be defined in the trust instrument to avoid the abuse of trust assets.

How a trust works in South Africa?

There are two types of living trusts in South Africa, namely vested trusts and discretionary trusts. In vested trusts, the benefits of the beneficiaries are set out in the trust deed, whereas in discretionary trusts the trustees have full discretion at all times about how much each beneficiary is to benefit.

How does a family trust work in South Africa?

How is a trust taxed in South Africa?

Where the trust itself is taxed, it is taxed at a flat rate of 45%. Special trusts are taxed on a sliding scale from 18% to 45% (same as natural persons). Top Tip: Trusts do not qualify for any of the rebates provided for in Section 6 of the Income Tax Act.

How does a trust work South Africa?

What are the laws for inheritance in South Africa?

The three main statutes governing inheritance in South Africa are: The Administration of Estates Act, which regulates the disposal of the deceased’s estates in South Africa; The Wills Act, which affects all testators with property in South Africa;

How to become a citizen of South Africa by descent?

If you were born outside of South Africa to a parent who was a South African citizen at the time of your birth or you were adopted by a South African citizen, and your birth was also registered, you can apply for citizenship by descent. You will need to submit the following documents to the Department of Home Affairs:

Can a child born in South Africa become a permanent resident?

Any child born after October last year will not be granted automatic citizenship, nor will they be granted permanent residency status automatically. In short, they need a visa to be legal in South Africa. What visa must they apply for?

What kind of family law does South Africa have?

As far as family law is concerned, we in South Africa have it all. We have every kind of family; extended families, nuclear families, one-parent families, same-sex families, and in relation to each one of these there are controversy, difficulties and cases coming before the courts or due to come before the courts.