Tax Clearance Certificate
Reviewed by An official tax-authority document confirming the applicant has no outstanding tax liabilities — evidence of tax compliance.
A tax clearance certificate is an official document issued by a tax authority confirming that the applicant has no outstanding tax liabilities. It serves as evidence of tax compliance.
In investment migration such a document helps evidence the legitimacy of funds and the applicant's good standing, and in a number of programs it forms part of the mandatory package. It is also often needed when changing tax residency, when it is important to show that obligations in the former country are settled.
The certificate usually has a limited validity, and for use abroad it is apostilled or legalized and translated. The issuance procedure and exact content depend on the tax authority's jurisdiction.
FAQ
Who issues the certificate and what is needed to obtain it?
It is issued by the tax authority of the country where the applicant is registered as a taxpayer, on application by the person or their representative. The format, the filing channel and the time it takes depend on the jurisdiction.
What if there are outstanding liabilities or an open dispute?
As a rule the certificate will not be issued until the debt is settled or an instalment arrangement is in place; where a dispute is unresolved, the position is evidenced by separate documents. What is acceptable is determined by the law of the country concerned.
Is a certificate needed from every country where I had tax obligations?
A certificate from the current country of tax residence is commonly required, and sometimes also from countries where business was carried on or assets were held. The exact list is set by the program and the reviewing authority.
Does it need translation and legalization?
Usually yes: for use abroad the certificate is apostilled or consularly legalized and translated by an authorized translator. Requirements differ by country and are best confirmed before the document is ordered.
Does this certificate prove the source of funds?
No. It speaks only to the absence of outstanding tax liabilities; the origin and legitimacy of capital are evidenced separately through contracts, bank statements, financial statements and similar records.