Everything you need to know about South African taxes – and how FINEXA keeps you compliant.
Every business operating in South Africa must comply with tax laws administered by the South African Revenue Service (SARS). Non‑compliance can lead to penalties, interest, audits, and even criminal prosecution. FINEXA helps you stay on top of all tax obligations – from VAT to PAYE to Corporate Income Tax – with automated calculations, timely filings, and audit‑ready records.
Standard rate: 15%. Zero‑rated (0%) and exempt supplies also apply. Registered vendors must submit VAT201 returns monthly, bi‑monthly, or every 6 months.
Employers must deduct PAYE from employee salaries based on progressive tax tables (18% – 45%). Monthly submissions via EMP201 and annual EMP501 reconciliation.
Employers contribute 1% of gross pay, employees contribute 1% (total 2%). Submitted monthly via EMP201. Provides short‑term relief to unemployed workers.
1% of gross pay (for companies with annual payroll over R500,000). Funds training and skills development through SETAs.
Rate: 27% for companies (27% for years ending after 31 March 2023). Provisional tax payments (twice a year) plus final return.
Progressive rates from 18% to 45%. Employees pay through PAYE; sole proprietors and investors file annual returns (ITR12).
Included in taxable income. Inclusion rates: 40% for individuals (effective max 18%), 80% for companies (effective max 21.6%).
Payable on acquisition of property (not VAT). Rates from 0% to 13% depending on property value.
20% withheld by companies when paying dividends to shareholders (unless exemption applies).
Levied on alcohol, tobacco, and certain luxury goods. Handled by manufacturers and importers.
R146 – R192 per tonne of CO₂ equivalent (phased increase). Applies to fuel combustion and industrial processes.
Levied on imported goods. Rates vary by product category (0% – 30%+).
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