Offshore Investment Account Funding and Evidence Checklist

Funding an offshore investment involves more than choosing a global fund. The household must document the account, authorised transfer route, source of money, currency conversion, underlying investment and the records needed for tax and Shariah review.

Educational information only: This is not exchange-control, tax, investment, legal or Shariah advice. Verify current requirements with authorised providers and qualified professionals.

1. Define the investment purpose

Record the objective, time horizon, currency need and acceptable loss. Separate retirement, education, migration, legacy and diversification goals.

2. Identify the account and owner

Capture the legal owner, platform, custodian, account number and jurisdiction. Distinguish personal, trust, company and retirement assets.

3. Verify every provider

Check the South African adviser or intermediary and the offshore platform or custodian through applicable official sources. Record the legal entities, not only their brands.

4. Select an authorised transfer route

Document the bank or authorised dealer handling the transaction. Keep the application, approval and transaction reference.

5. Prove source of funds

Retain bank statements, sale agreements, income records or distribution documents that explain where the money came from. Reconcile the source amount to the transfer.

6. Record regulatory declarations

Save forms, tax numbers, residency declarations and supporting documents supplied to the bank or platform. Log any expiry or renewal date.

7. Capture the currency conversion

Record trade date, currencies, amount, exchange rate, spread and fees. Compare the instructed amount with the foreign-currency amount received.

8. Reconcile the transfer chain

Trace money from the originating account through the authorised dealer to the investment account. Investigate differences caused by correspondent or platform charges.

9. Review the underlying investment

List the fund, security, mandate or asset actually purchased. An offshore wrapper or platform does not determine Shariah compliance.

10. Collect Shariah evidence

Retain the current screening methodology, certificate, holdings report and purification process. Record the review date and responsible scholar or governance body.

11. Check cash treatment

Identify where money waits before investment, what return may arise and how impermissible income is handled. Apply the approved method consistently.

12. Document fees

Separate advice, platform, custody, fund, dealing, foreign-exchange and transfer charges. Reconcile gross funding to the amount invested.

13. Prepare tax records

Keep acquisition costs, distributions, disposals, exchange rates and annual statements for a registered tax practitioner. Do not infer South African treatment from a foreign label.

14. Coordinate succession and access

Record provider death or incapacity procedures, authorised contacts and document locations. Obtain cross-border estate advice where ownership or probate may be affected.

15. Maintain the evidence register

• Owner, account and provider

• Source of funds and transfer route

• Currency conversion and reconciliation

• Underlying asset and Shariah evidence

• Fees, tax records and succession contacts

Useful South African starting points include the SARB Financial Surveillance Department, SARS individual guidance and FSCA regulated-entity information.

The completed file should let another reviewer trace the money, authority, investment and evidence from the South African source account to the offshore holding.