In brief (TL;DR): Receiving a South African inheritance from the UK involves three stages: the estate must be wound up through the Master of the High Court, SARS must issue tax clearance, and the funds must be cleared for international transfer. WBForex handles the transfer and compliance side once the estate is ready.
Getting an inheritance from South Africa while you are living in the UK is more involved than most people expect. The estate has to be wound up through the Master of the High Court, SARS needs to issue tax clearance, and the funds need to be cleared for international transfer. It all takes time, and it helps to know what is coming.
Step 1: The estate administration process
When a South African resident dies, the estate must be reported to the Master of the High Court within 14 days. An executor is appointed — usually an attorney or a trusted person named in the will — to take stock of all the assets, settle outstanding debts and taxes, and distribute what is left to the beneficiaries.
This process runs entirely on the SA side and is outside WBForex's scope. We get involved once the estate is wound up and the inheritance is ready to transfer.
Step 2: SARS tax clearance on the estate
No assets can be distributed until the executor has obtained tax clearance from SARS. The deceased's final tax affairs must be filed and assessed, and any estate duty must be paid. Estate duty in South Africa is charged at 20% on the value of the estate above R3.5 million (or R7 million if the deceased was married and the spousal rollover applies).
There is no additional inheritance tax for beneficiaries — once estate duty is settled, the inheritance itself is received tax-free from the SA side. However, check with a UK tax adviser whether any UK tax obligations apply.
Step 3: Clearing the funds for international transfer
Once the estate is settled and tax clearance is in hand, the transfer of inheritance proceeds to a UK bank account requires a Manual Letter of Compliance from SARS — a document confirming that all tax obligations on the funds have been met. WBForex coordinates this process, working alongside the estate executor in South Africa.
Realistic timelines
Simple estates: 1-3 months from estate wind-up to funds in your UK account
Moderate complexity: 3-6 months
Complex estates (multiple properties, business interests, disputed wills): 6 months or more
No WBForex fee on inheritance transfers
We charge no WBForex fee on inheritance transfers. You pay only the standard R250 SWIFT bank charge. The currency conversion is at a competitive commercial rate.
We have done this many times before
WBForex has helped hundreds of SA expats receive their inheritance from the UK. Contact WBForex for a free, no-obligation consultation.
