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Budget Speech 2018-2019 and new Tax Tables

The 2018/2019 South African Budget Speech was presented by the Minister of Finance, Malusi Gigaba on Wednesday 21 February 2018.
 
 
 

Individuals and trusts

Income tax rates for natural persons and special trusts

Year of assessment ending 28 February 2019

Taxable income (R)

Taxable rates

0 – 195850

18% of each R1

195 851 – 305 850

35 253 + 26% of the amount above 195 850

305 851 – 423 300

63 853 + 31% of the amount above 305 850

423 301 – 555 600

100 263 + 36% of the amount above 423 300

555 601 – 708 310

147 891 + 39% of the amount above 555 600

708 311  1 500 000

207 448 + 41% of the amount above 708 310

1 500 001 and above

532 041 + 45% of the amount above 1 500 000

 

Natural persons

Tax thresholds

 

2017/18

2018/19

 

R

R

Below 65 years of age

75 750

78 150

Aged 65 and below 75

117 300

121 000

Aged  75 and over

131 150

135 300

 

Tax rebates

 

2017/18

2018/19

 

R

R

Primary – all natural persons

13 635

14 067

Secondary – persons aged 65 and below 75

7 479

7 713

Secondary – persons aged 75 above

2 493

2 574

       

 

Trusts

The tax rate on trusts (other than special trusts which are taxed at rates applicable to individuals) will remain at 45%.

 

CORPORATE TAX RATES

YEARS OF ASSESSMENT ENDING BETWEEN

1 APRIL 2018 AND 31 MARCH 2019

Normal tax

 

 

Companies and close corporations

Basic rate

28%

Personal service provider companies

Basic rate

28%

Foreign resident companies which earn income from a SA source

Basic rate

28%

 

SMALL BUSINESS CORPORATIONS

Financial years ending on any date between 1 April 2018 and 31 March 2019

Taxable income

Rate of tax

                                 R

R

0 – 78 150

0% of taxable income

78 151 – 365 000

7% of taxable income above 78 150

365 001 – 550 000

20 080 + 21% of taxable income above 365 000

550 001 and above

58 930 + 28% of the amount above 550 000

 

MICRO BUSINESSES

Financial years ending on any date between 1 March 2018 and 28 February 2019

Taxable turnover

Rate of tax

R

R

0 – 335 000

0% of taxable turnover

335 001 – 500 000

1% of taxable turnover above  335 000

500 001 – 750 000

1 650 + 2% of taxable turnover above  500 000

750 001 and above

6 650 + 3% of taxable turnover above  750 000