Quick Answer: What Taxes Exist in South Africa?

The easiest way to understand the system is to group taxes by the event that triggers them. Earning salary or profit triggers income tax. Paying employees triggers PAYE, UIF and sometimes SDL. Selling taxable goods or services triggers VAT. Selling an asset can trigger CGT. Buying immovable property can trigger transfer duty or VAT. Receiving a dividend can trigger dividends tax. Making a donation can trigger donations tax. Dying with a dutiable estate can trigger estate duty. Importing goods can trigger customs duty and import VAT. Owning property can trigger municipal rates.

If you are comparing tax systems across countries, this page is the South Africa guide. RevisionTown also has country-specific guides for taxes in the US, taxes in the UK, taxes in Canada, taxes in Australia, taxes in the UAE, taxes in India and taxes in Singapore. Those links are useful when you need to compare VAT, GST, payroll tax, company tax and income tax across different jurisdictions without mixing the rules.

What 2026/27 Means for South African Tax Dates

South African tax dates can look confusing because the words "2026", "2027" and "2026/27" are used for different purposes. For individuals, the 2027 year of assessment runs from 1 March 2026 to 28 February 2027. The individual tax rates in this guide therefore apply to taxable income earned during that period. For companies, the standard company rate of 27% applies to years of assessment ending on any date from 1 April 2026 to 31 March 2027. For filing season, however, SARS Filing Season 2026 is the filing period in July 2026 through January 2027 when taxpayers submit returns for the 2026 year of assessment, generally the year ending 28 February 2026 for individuals.

This distinction matters. A salary earner looking at the July 2026 filing season is usually filing income that belonged to the previous tax year. A payroll department running March 2026 payroll is already applying 2027 year-of-assessment tables. A company with a 30 June 2026 financial year-end is inside the company rate window ending between 1 April 2026 and 31 March 2027. A provisional taxpayer must watch both the return filing deadline and the IRP6 payment dates. When you build a calendar, label each item as a tax year, a filing season, a VAT period, a payroll month, a company year-end, a property transaction or a customs event.

South Africa Tax Map: Who Pays What?

A single person or business can appear in several tax roles during one year. A salaried employee may have PAYE withheld monthly, file an ITR12 during filing season, pay transfer duty when buying a home, pay VAT indirectly as a consumer, and account for CGT when selling investments. A small company may register for income tax, pay provisional tax, withhold PAYE, submit EMP201 returns, register for VAT when taxable supplies exceed the threshold, pay SDL if payroll is above the exemption limit, contribute UIF, and file ITR14 after year-end.

For broader finance study, see Business Studies Finance Notes, the Accounting Calculator Online and the Finance Calculators collection. These are not substitutes for SARS filing tools, but they help students and business owners understand profit, taxable income, payroll, cash flow and calculation logic before using official tax systems.

Complete List of Major Taxes, Duties and Levies in South Africa

The list below covers the main current taxes, duties and levies a taxpayer is most likely to meet. Some items are SARS-administered taxes. Others are customs and excise charges, employment-related contributions, municipal charges or sector-specific levies. The table is deliberately practical: it tells you the trigger, who deals with the tax and what to watch.

South Africa 2026/27 Tax Rates and Thresholds

The rate tables below focus on the rates most readers need for planning. They do not replace a SARS assessment. They also do not include every deduction, exemption, industry rule, assessed loss rule, anti-avoidance provision, treaty rule, rebate or special case. Use them as a map of the system, then check the exact SARS tax type that applies to your facts.

Individual and special trust income tax rates: 1 March 2026 to 28 February 2027

Company, trust, SBC and turnover tax rates

Other common tax rates

Transfer duty table

South Africa Tax Due Dates Calendar 2026/27

The calendar below combines fixed SARS filing season dates with recurring monthly and transaction-based due dates. It is not enough to know the tax name. You also need to know your tax period, VAT category, payroll month, company year-end, date of acquisition, date of donation, date of death, customs clearance date or securities transfer date.

Important South African Tax Formulas

These formulas show the structure behind the calculations. They are simplified for learning and planning. SARS calculations may include special deductions, assessed losses, ring-fencing, apportionment, exemptions, anti-avoidance rules, tax credits, foreign tax credits, medical credits, employment tax incentive amounts, VAT zero-rating rules, customs valuation rules and taxpayer-specific assessments.

Mini South Africa Tax Calculators

These calculators are designed for quick educational estimates inside this guide. They are not filing tools. For broad income and payroll scenarios outside South Africa, you can compare calculation logic with RevisionTown's Income Tax Calculator, Salary Calculator and Take Home Paycheck Calculator. For South African filing, use SARS tax tables, SARS eFiling and professional advice where needed.

South Africa VAT calculator

2027 individual income tax estimate

Transfer duty calculator

Company tax and deadline helper

How Each Major South African Tax Works

Personal Income Tax

Personal Income Tax applies to taxable income earned by individuals. For many employees, PAYE is withheld by the employer each month, but the final liability is still determined through the income tax system. Taxable income can include salary, bonuses, taxable allowances, fringe benefits, business income, rental income, taxable local and foreign investment income, and taxable capital gains. Tax is calculated by applying progressive tax brackets, then reducing the result by rebates, medical credits and prepaid amounts such as PAYE and provisional tax.

The South African table is progressive. A taxpayer in the 41% marginal bracket is not taxed at 41% on every rand of income. Lower slices of income are taxed at lower rates, and only the rand amount inside the high bracket is taxed at the high marginal rate. This is why the formula in the table uses a base amount plus a percentage of the amount above a threshold. When teaching or estimating income tax, always separate taxable income, tax before rebates, rebates, credits, PAYE and final balance due.

PAYE, SDL and UIF

PAYE is the monthly employees' tax withheld from remuneration. It is not a separate final tax for the employee; it is a prepayment against the employee's annual personal income tax. Employers report PAYE on EMP201, together with SDL, UIF and any Employment Tax Incentive amount where applicable. The monthly due date is usually the 7th after month-end, or the last business day before the 7th if the 7th is not a business day. Employers must also complete employer reconciliations and issue employee tax certificates.

SDL is a separate levy payable by employers at 1% of total remuneration where the employer is not exempt. Employers with annual remuneration below R500,000 are generally exempt from SDL. UIF contributions are payable monthly by employers and employees, generally at 1% each, subject to the remuneration cap and UIF rules. Payroll compliance should not be treated as a once-a-year task because the monthly EMP201 payment and the reconciliation process are both important.

Provisional Tax

Provisional tax is an advance-payment system for taxpayers whose tax is not fully collected through PAYE. It commonly applies to companies, trusts, sole proprietors, freelancers, landlords and individuals with meaningful non-salary income. The first provisional payment is based on half of the estimated total tax for the year, reduced by employees' tax, foreign tax credits, rebates and medical credits for the first period. The second payment looks at the estimated total tax for the full year and deducts PAYE, credits and the first provisional payment. A voluntary third payment can reduce interest risk if the first two estimates were too low.

For a February year-end taxpayer, the first payment is due within six months after the start of the year of assessment, usually 31 August or the previous business day. The second is due by the last business day of February. The voluntary third payment for many February year-end taxpayers is due by the last business day of September after the year-end. The key risk is underestimating taxable income. SARS can impose penalties and interest where estimates or payments are insufficient.

Corporate Income Tax, SBC Tax and Turnover Tax

Corporate Income Tax applies to companies on taxable income. The standard rate is 27% for years of assessment ending from 1 April 2026 to 31 March 2027. A company must also consider provisional tax, ITR14 filing, possible dividends tax, VAT, payroll taxes, assessed losses, capital allowances, interest limitations, transfer pricing, withholding taxes and industry-specific taxes. The headline rate is only one part of the company tax system.

Small Business Corporation tax is a concessionary progressive table for qualifying small business corporations. It is not available merely because a company is small. The company must meet detailed requirements, including rules about shareholders or members, gross income, personal-service companies and investment income. Turnover tax is a separate simplified system for qualifying micro businesses with turnover of R2.3 million or less. It applies to taxable turnover rather than taxable profit, so a business with low margins must compare the simplified regime against normal tax before deciding.

Value-Added Tax

VAT is a consumption tax charged on taxable supplies by registered vendors. The standard rate is 15%. A vendor charges output VAT on taxable supplies and may deduct input VAT where the VAT Act allows a deduction and the vendor has valid tax invoices or import documents. If output VAT exceeds input VAT, the vendor pays the difference. If input VAT exceeds output VAT, the vendor may have a refund position, subject to SARS checks and compliance.

From 1 April 2026, a business that makes taxable supplies of more than R2.3 million per annum must register for VAT, and a business with taxable supplies above R120,000 but not more than R2.3 million may apply for voluntary registration, subject to exceptions. Registration is not just a rate question. A VAT vendor must issue compliant tax invoices, keep records for at least five years, submit VAT201 returns for the correct period, distinguish taxable, zero-rated and exempt supplies, and handle import VAT and export proof correctly.

Capital Gains Tax

Capital Gains Tax is part of the income tax system. It is triggered when an asset is disposed of through sale, donation, exchange, death, loss, emigration or another deemed-disposal event. The capital gain is generally the proceeds less base cost, after applying exclusions where available. The taxable capital gain is included in taxable income using the relevant inclusion rate. For 2026/27 planning, the maximum effective CGT rates are 18% for individuals and special trusts, 21.6% for companies, and 36% for trusts other than special trusts.

Important exclusions include personal-use assets, retirement benefits, qualifying long-term insurance policy proceeds, the annual exclusion for individuals and special trusts, and the primary residence exclusion where conditions are met. CGT records often matter years after an asset is bought. Keep acquisition agreements, improvement invoices, selling costs, valuations, estate documents and SARS correspondence so that base cost is not lost when the asset is eventually sold.

Dividends Tax, Interest Withholding and Royalty Withholding

Dividends tax is a final withholding tax generally imposed at 20% on taxable dividends paid by resident companies and certain non-resident companies listed in South Africa. The tax is usually withheld by the company or regulated intermediary, so shareholders often receive the net dividend. South African companies, retirement funds and other exempt persons may be exempt, and non-residents may qualify for treaty-reduced rates if documentation and beneficial ownership requirements are satisfied.

Withholding tax on interest and withholding tax on royalties are generally 15% final taxes on South African-source amounts paid to non-residents, subject to exemptions and treaty relief. These taxes matter for cross-border financing, licensing, intellectual property, franchise arrangements and group-company payments. Businesses should collect declarations, check treaty residence, identify beneficial ownership and document why a reduced or exempt rate was used.

Donations Tax and Estate Duty

Donations tax applies when a person disposes of property by donation. For 2026/27, donations tax is 20% on the cumulative value of property donated since 1 March 2018 up to R30 million, and 25% above that cumulative amount. The first R150,000 donated by a natural person in a tax year is exempt. Certain donations are exempt, including donations between spouses where the recipient is a resident, qualifying group-company donations and donations to certain public benefit organisations.

Estate duty applies to the property of South African residents and South African property of non-residents, after allowable deductions. The rate is 20% on the first R30 million of dutiable value and 25% above R30 million. A basic deduction of R3.5 million is allowed, and deductions may also apply for liabilities, property passing to a surviving spouse and bequests to qualifying public benefit organisations. Estate planning should be coordinated with CGT, donations tax, retirement funds, wills, trusts and liquidity needs.

Transfer Duty, VAT on Property and Municipal Rates

Transfer duty is a tax on the acquisition of property where the transaction is not subject to VAT. The current table starts with a 0% bracket up to R1,210,000 and then applies progressive marginal rates. The buyer typically funds the duty through the conveyancing process, and the duty must be paid within six months from the date of acquisition to avoid interest. In commercial or developer transactions, VAT may apply instead of transfer duty, so the contract and seller's VAT status matter.

Municipal property rates are different from transfer duty and income tax. They are imposed by municipalities on rateable property, based on municipal valuation, category and local tariffs. Property owners should budget for rates, service charges, valuation objections, clearance certificates, arrears and changes in property use. A real estate transaction can therefore involve transfer duty or VAT, municipal clearance, CGT for the seller, estate duty if inherited, and ongoing municipal rates for the new owner.

Customs, Excise, Fuel and Environmental Taxes

Customs duties apply to imported goods and depend on tariff classification, customs value, origin and the applicable duty rate. Import VAT is also collected on imported goods cleared for home consumption. Anti-dumping and countervailing duties may apply where goods are dumped or subsidised. Importers should classify goods before shipment, confirm Incoterms, keep origin documentation and understand that the VAT base may include customs value, a 10% uplift where relevant and non-rebated duties.

Excise duties and levies apply to specified goods and sectors, including alcohol, tobacco, fuel, certain environmental items, air passenger departures, carbon-related charges, tyres, plastic bags and health promotion levy products. Budget 2026 included increases to the general fuel levy, Road Accident Fund levy and carbon tax on fuel. These charges are often embedded in consumer prices, but manufacturers, importers, warehouses and distributors face the direct registration, return and payment obligations.

How to Build a South Africa Tax Compliance Plan

A good compliance plan starts with the taxpayer profile, not with a tax table. Ask whether the taxpayer is an employee, sole proprietor, company, trust, employer, VAT vendor, importer, property buyer, investor, donor, executor, mining company, professional practice or municipal property owner. Each profile creates a different mix of income tax, payroll tax, VAT, transaction tax, customs, excise and local-government duties.

1. List registered tax types. Confirm income tax, PAYE, VAT, SDL, UIF, customs, excise, dividends tax, turnover tax and other registrations on SARS profiles and internal records.
2. Separate tax years from filing dates. The individual tax year, company year-end, VAT period and filing season can all be different. Put the label next to each deadline.
3. Build monthly payroll controls. Reconcile PAYE, SDL, UIF and ETI before the EMP201 deadline. Do not wait for EMP501 season to fix monthly payroll problems.
4. Track VAT cycles by category. VAT due dates depend on the VAT period and payment route. Keep tax invoices, credit notes, import documents and export proof in one audit trail.
5. Forecast provisional tax early. Use updated management accounts, rental statements, investment income, capital gains and payroll information before each IRP6 estimate.
6. Document property transactions. Save the sale agreement, purchase price allocation, VAT status, conveyancer statements, transfer duty receipt, base cost proof and municipal clearance details.
7. Prepare for filing season before July. Check banking details, IRP5 certificates, medical certificates, retirement certificates, investment certificates, rental records and travel logbooks before SARS opens the return.
8. Keep evidence for five years or longer where needed. VAT and income tax records are often needed years later. Asset base-cost records may be needed until disposal and beyond assessment.

For small businesses, tax planning should sit beside cash flow planning. A business that collects VAT is holding tax money that may need to be paid to SARS after the VAT period. A company that makes profits may need provisional tax cash before the final ITR14 is submitted. An employer that withholds PAYE must pay SARS monthly even if customers pay late. A property buyer must budget for transfer duty, conveyancing costs and municipal clearance. These cash timings can matter as much as the rate itself.

If you are starting or restructuring a business, combine tax planning with commercial planning. RevisionTown's How to Start a Business guide can help with the broader setup questions, while this page focuses on South African tax types, rates and due dates. Entity choice, VAT registration, payroll setup, recordkeeping software and shareholder remuneration should be considered together rather than as separate decisions.

Common South Africa Tax Mistakes to Avoid