Good Morning Haryanton

I hope you are well.

Congratulations on your new contract!
PLEASE READ THIS CAREFULLY AS IT CONTAINS IMPORTANT INFORMATION AND
REQUIREMENTS.
Mauve Corporate Systems ( Cyprus ) provides compliant tax & immigration solutions to
agencies and clients worldwide. In order to do this, you will be employed by South Africa to
provide services to our client. The details of your solution are outlined here below.
Payroll and Management of Fees
Your solution is based on you receiving a daily rate of 360 euros giving you an estimated
monthly income of 7920 euros. From the estimated monthly contract income we will pay
you a gross salary of 15000 ZAR per month (approx 1575 euros). Whilst in South Africa on
a Business Visa, 22% of this salary is withheld to cover your tax liabilities, which will give
you an estimated net salary of 11700 ZAR(approx 1228 euros) which you will receive into
your nominated personal bank account.
Should your contract be extended beyond three months we will have to consider your visa
options. Should you be required to obtain a work permit you will be placed on the local
payroll and income tax will be payable in South Africa once the work permit is approved.
Please find below sample payroll calculation:
Total Salary Cost
ZAR 15150.00 (Contract currency equivalent)
Skills & Development Levy
ZAR 150(Contract currency equivalent)
Gross Salary
ZAR 15000.00
(Contract currency equivalent)
Income Tax
ZAR 2650.00
(Contract currency equivalent)
Net Salary
ZAR 12650.00
(Contract currency equivalent)
As part of the local employment laws in South Africa it is required that we pay your local
salary/taxes by 7th day of the the month following the month worked. In order to enable us
to do this it is necessary for us to take the equivalent of one months full total salary (15150
ZAR) as a deposit. This will be returned to you in full at the end of your assignment pending
all fiscal liabilities that are related to your local salary are covered and finalized.
(APPLICABLE ONLY IF YOU OBTAIN A WORK PERMIT)
The remainder of your monies will be transferred into a second nominated personal bank
account (to be in your own name) each month, less our monthly management fee of
395euros. Once or if you are placed on the local payroll there is also a payroll fee of 1000
ZAR applicable to this solution (APPLICABLE ONLY IF YOU OBTAIN A WORK PERMIT)
Regardless of your total monthly income your management fee will remain as set at the
start of your contract. Your local salary must also remain as set above. These will only
change in your first and last month on contract, when Mauve CY will pro rata your local
salary and management fees as follows: 1-2 working weeks (50%); 3 working weeks
(75%); Over 3 working weeks (100%)
It is also recommended that you retain adequate documentation (such as receipts/rental
agreements etc) to support the balance of your funds to enable you to offset as much as
possible as expenses.
I have attached a sample calculation confirming the above and your retention percentage,
along with a country report which also outlines the services that we offer.
Your Tax liabilities during your contract:
The monies we withhold whilst you hold a 11-2 visit visa are for your personal tax liabilities,
whether that is in your home country of tax residency or in South Africa .

In most cases your tax liability will depend on your final immigration status in South Africa .
If you obtain a work permit, you must submit a tax return in South Africa and include the
income you received for the period that you held a 11-2 visit visa. This tax assessment
should be presented to your home authorities on your return home so that they may
determine whether you have any additional tax liabilities there. This will be determined
under the terms of the Double Taxation Agreement between your home country and South
Africa , (if one exists). Please note that if there is no Double Taxation Agreement, then by
law you should pay taxes in both countries.
If you leave South Africa without obtaining a work permit, your taxes must be declared and
paid in your home country and the following must be provided in order for us to release the
withheld funds. We must receive a receipt of an official tax registration document from the
country where you are deemed tax resident.
This may be one or both of the following:
(a)
Proof of registration from the tax office of your country of tax residency. They should
issue you with a letter confirming how much tax you will be required to pay.
(b)
A copy of your latest tax return from the year preceding.
I would like to emphasise that this solution is a requirement from both the Agency and the
end client, and by withholding a percentage of your funds and placing you on a local payroll,
it will ensure that you are compliant for the duration of your contract in South Africa as per
contractual requirements of your Agency contract.
Immigration Requirements
Regarding your immigration requirements, as far as we are aware they will be as follows:
Mauve will assist you to obtain your 11-2 visit visa. I am awaiting confirmation from the
embassy in Jakarta that they can issue this type of visa there.
As your contract is longer than 3 months we will also have to submit a work permit
application. In order to ensure that there are no delays to your Work Permit application,
please ensure that you collate the following documents and take them with you to South
Africa . If there are any documents you are having difficulty obtaining you must make us
aware of this prior to your departure to South Africa . Difficulty in obtaining documents is
not an acceptable reason to delay the application. It is not possible for you to work in South
Africa without the correct visa and in the case you do not obtain the required documents, or
cause a delay to the agreed timescale for application, Comms will be informed of this
immediately so appropriate action can be taken.
The documents to be provided for the intra company work permit are:

Passport
Two passport size photographs
Medical certificate
Radiological report (not required if the application is for a pregnant woman or
child under 15)
Copy of birth certificate (certified)
Marriage certificate (where applicable/certified)
Police clearance certificates in respect of applicants 21 years and older, and in
respect of all countries where person resided one year or longer.
A vaccination certificate, if required (this is generally requested if the person has
travelled to or comes from a country with yellow fever)
Proof of accommodation whilst staying in South Africa
Documentation to be provided by Mauve SA:
o Letter from the international concern confirming transfer/secondment to SA
(provided by Mauve immigration)

Letter from the SA company confirming the transfer/secondment from abroad

as well as specifying the occupation and capacity in which the applicant shall
be employed (Mauve immigration will provide).
Mauve employment contract (must be pre dated 3-4 months before starting
the contract in South Africa ). This is a dummy contract provided by Vanessa.
Note this can not be provided until a signed agency contract is received.

English translation of certificates and other documents is necessary, if submitted

in a foreign language. Documents must also be certified.
Please also find attached consultant confirmation letter which outlines our charges for the
11-2 visa and work permit (also shown below). Please sign and return this to us as soon as
possible.
The CCL also confirms the above listed documentation you are required to provide in order
for us to obtain your Visa and/or Work Permit.
The visa costs are:
Legal fees for the 11-2 business permit with authorization to work (if applied for at South African
embassy in the consultants home country): 500 USD + out-of-pocket expenses
Legal fees for the 11-2 permit (bridging permit between working permits): 4000 rand + 425
rand government fees + out-of-pocket expenses + 14% VAT
Legal fees for the intra company work permit application: 9000 rand + approx 1520
rand government fees + out-of-pocket expenses + 14% VAT
Legal fees for the general work permit: 9000 rand + 1520 rand government fees + 1720 rand SAQA
(South Africa Qualification Authority) fee + 2500 4000 rand advertising fees + 750 randsalary bench
marking / labour report + out-of-pocket expenses + 14% VAT
Legal fees for the general work permit including document waiver (only for those consultants that
have held an intra company work permit with Mauve before): 9000 rand + 1520 rand government
fees + 4000 rand waiver fee + out-of-pocket expenses + 14% VAT
Legal fees for the general work permit extension: 5800 rand + 1520 rand government fees + out-ofpocket expenses + 14% VAT
Legal fees for a quota work permit: 9000 rand + 1520 rand government fees + 1720 rand SAQA
(South African Qualification Authority) fee + out-of-pocket expenses + 14% VAT.
Legal fees for a dependants visa: 9000 rand + 1520 rand government fees + out-of-pocket expenses
+ 14% VAT.
Please note that the above charges could be subject to change without notice.
The CCL must be signed and returned to your Immigration Specialist in order for them to
initiate the processes as required.
Contract
Please note that as soon as you receive your Agency contract, you must sign and return it to
Mauve CY. If it is not signed within 7 days, and you have raised no issues/reason with us
why you will not sign it, we will not be able to pay you. Mauve CY ask you to sign your
Agency contract purely as an internal request, for their files only, to confirm that you agree

and accept the Schedule and Terms and Conditions of your Agency contract, as those details
will be mirrored in your Mauve CY contract. Your failure to sign the Agency contract could
indicate that you are not accepting these Terms and Conditions and in this case your
contract will be passed to our compliancy department who will contact you for further
action.
Once the status of the Agency contract is final, Mauve CY will issue you with your Mauve CY
contract*
Once you receive this contract, again you will be given 7 days to sign and return it. If it is
not signed within 7 days, and you have raised no issues/reason with us why you will not
sign it, again we will not be able to pay you and your contract will be passed to our
compliancy department who will contact you for further action.
*During the phase between signed agency contract and the Mauve CY contract being issued,
if your payment is due in this period and you have not received this contract, we will not
make any delay in your payments because of this. This action will only be applicable once
you have received this contract and we are awaiting your signature.
Please note that we will require the following documentation for due diligence and release of
funds processes, and I will send more information on this once we have agreed the details
above.

Tax documents

A copy of your Private Medical Insurance

Proof Of Residence

A copy of your Passport

Confirmed Next Of Kin Details

Your signed Agency and Mauve CY contract, and

Copies of visas/Work Permits (where applicable)

I will also send more details on your timesheet and payment procedures.
I will call you shortly to go over the above information. If you have any immediate queries
regarding this please feel free to email me or contact me on the below. Once we have
spoken, I will require you to send a brief email to confirm understanding and acceptance of
the above and then I can follow up with another email to confirm documentation
requirements.
Should you have any queries in relation to the above information, please do not hesitate to
contact me, as I am always here to help.
Best regards,

Louise Sim
Sales Consultant
Mauve Corporate Systems
DD: +357 26 818213
Office: +357 26818210
Mobile: +357 99465905
skype: louisemauvecy
http://cy.linkedin.com/in/louisesimmauvecy
FaTel: +357 26 818210x: +357 26 910427
Email: louise.sim@mauvecorporatesystems.com
www.mauvecorporatesystems.com