It has been four years since you started your own tax consulting business called TaxHelp (Pty) Ltd. One of your loyal clients, Makhaya Mkize ('Makhaya'), one of your loyal clients, approached you for tax advice.

Makhaya is a 59-year-old non-resident who is considering moving to South Africa within the next year. It is important for him to know what the tax implications will be before he decides whether to move.

As of 28 February 2023, Makhaya received the following incomes during his year of assessment 2023::

• Makhaya earned R28 800 in foreign interest from funds invested with a foreign bank..
• An annuity of R30 000 per month from his foreign employer from 1 March 2022. Makhaya was employed for 25 years with his foreign employer. Nine of these years related to services rendered in South Africa by Makhaya, and the other 16 years related to services rendered in a foreign country.

REQUIRED:

1.Calculate Makhaya Mkize’s normal tax liability in the case where he is a resident and, in the case, where he is a non-resident for the 2023 year of assessment.

2.Based on your calculations, advise Makhaya on whether he should move to South Africa permanently or not.

Show all your calculations clearly.