Expert tools, compliance calendars, and decision guides built by Chartered Accountants to help you navigate South African business.
Frequently Asked Questions
Quick answers to the most common questions we receive
Company tax returns (ITR14) are due 12 months after your financial year-end. For example, if your year-end is February 2026, the return is due by February 2027. Provisional tax payments (IRP6) are due 6 months into your financial year (1st provisional) and at year-end (2nd provisional). A voluntary 3rd provisional ("top-up") can be made within 6 months after year-end to avoid interest.
You must register for VAT if your taxable supplies exceed or are expected to exceed R2.3 million in any 12-month period (increased from R1M in the 2026 Budget). You may voluntarily register if turnover exceeds R50,000. VAT registration brings both obligations (bi-monthly returns, record-keeping) and benefits (claiming input VAT on business expenses). B&F can assess whether registration is beneficial for your business.
The standard corporate income tax rate is 27% (reduced from 28% for years of assessment ending on or after 31 March 2023). Small Business Corporations (SBC) enjoy reduced rates: 0% on the first R99,000 of taxable income, 7% on R99,001–R365,000, 21% on R365,001–R550,000, and 27% above R550,000. Use our SBC Eligibility Checker to see if you qualify.
Yes, if you have a dedicated room used regularly and exclusively for work, and you earn commission or other income not from a single employer. Salaried employees can only claim if more than 50% of their duties are performed from home. Deductible costs include a proportional share of rent/bond interest, rates, electricity, cleaning, and internet. The room must be clearly identifiable and not used for personal purposes.
Provisional tax is an advance payment system — you pay tax during the year rather than in one lump sum. There are two compulsory payments: the 1st provisional (due 6 months into your financial year, based on estimated taxable income) and the 2nd provisional (due at year-end, based on a more accurate estimate). Underestimation penalties apply if your estimate is less than 80% of actual taxable income. B&F prepares all provisional tax calculations and letters for our clients.
We work primarily with Xero and Sage Business Cloud Accounting. Both platforms offer real-time bank feeds, automated reconciliation, invoicing, and mobile access. We recommend the best platform based on your industry, complexity, and integration needs. All accounting packages include a cloud subscription, real-time dashboards, and access to your dedicated B&F bookkeeper.
With bank feeds connected, we receive most transaction data automatically. You'll typically need to provide: supplier invoices (email or upload via the portal), petty cash slips, payroll inputs (new starters, leavers, salary changes), and any unusual transactions. We send a monthly document request checklist via the client portal with specific items needed for that period.
Every company and close corporation must file an annual return with CIPC within 30 business days after the anniversary of its registration date. The filing fee is between R100–R450 depending on turnover. Failure to file results in penalties, and persistent non-filing leads to automatic deregistration. B&F files annual returns for all secretarial clients as part of our governance package.
Director changes require a board resolution and filing a CoR39 with CIPC within 10 business days. Share transfers require a share transfer form, updated securities register, and new share certificates. If shareholders change, the beneficial ownership (BO) declaration must also be updated within 10 business days. B&F handles all statutory filings, resolutions, and register updates.
Since April 2023, all companies must file a beneficial ownership (BO) declaration with CIPC identifying natural persons who ultimately own or control the entity. This must be filed initially and updated within 10 business days of any change. CIPC enforces compliance strictly — non-filing can result in administrative penalties and affect company standing. B&F prepares and files all BO declarations as part of our secretarial service.
An audit is required if your company's public interest score (PI score) exceeds 350 — calculated as: number of employees + number of shareholders/beneficiaries with a direct or indirect interest + annual turnover (÷R1m) + third-party liabilities at year-end (÷R1m). Companies with a PI score between 100–349 require an independent review. Below 100, you may use compilation reports. B&F provides all three levels of assurance through our audit arm, Brown & Ferguson Inc.
Key documents include: trial balance and general ledger, bank statements and reconciliations for all accounts, loan agreements, fixed asset register, creditor/debtor age analysis, inventory counts, employment contracts for key staff, minutes of board meetings, and all SARS correspondence. We provide a detailed audit preparation checklist well before fieldwork begins so there are no surprises.
We offer fixed monthly retainers based on the scope and complexity of your needs — not hourly billing. This means no surprises. Your retainer covers monthly accounting, tax compliance, and secretarial services as agreed in your engagement letter. Advisory, audit, and ad-hoc work (like SARS disputes or valuations) are quoted separately. Use our instant quote builder for a quick estimate.
We accept EFT (bank transfer), Netcash debit orders (our preferred method for retainer clients), and credit/debit card payments via our online payment portal. Debit orders are processed on the 1st of each month. All invoices are issued via Xero with a 7-day payment term.
SARS Compliance Calendar 2026
Every key deadline by entity type — never miss a filing
January
EMPEMP201 due by 7th
VATVAT201 due by 25th (Cat A) / 28th (Cat B — Nov-Dec period)
INDIndividual filing season closes (provisional taxpayers)
February
EMPEMP201 due by 7th
COIRP6 — 2nd provisional (Feb y/e companies)
INDIRP6 — 2nd provisional (individuals) by 28th
VATVAT201 due by 25th
March
EMPEMP201 due by 7th
VATVAT201 due by 25th (Cat B — Jan-Feb period)
TAXNew tax year begins 1 March
April
EMPEMP201 due by 7th · EMP501 interim recon opens
VATVAT201 due by 25th
TRUSTITR12T — Trust return filing opens
May
EMPEMP201 due by 7th · EMP501 interim due ~31 May
VATVAT201 due by 25th (Cat B — Mar-Apr period)
June
EMPEMP201 due by 7th
VATVAT201 due by 25th
July
EMPEMP201 due by 7th
INDIndividual tax filing season opens ~1 July
VATVAT201 due by 25th (Cat B — May-Jun period)
August KEY MONTH
EMPEMP201 due by 7th
COIRP6 — 1st provisional (Feb y/e companies) by 31st
INDIRP6 — 1st provisional (individuals) by 31st
VATVAT201 due by 25th
September
EMPEMP201 due by 7th
VATVAT201 due by 25th (Cat B — Jul-Aug period)
CO3rd provisional top-up (Feb y/e) — voluntary by 30th
October
EMPEMP201 due by 7th · EMP501 annual recon opens
INDIndividual filing season closes (non-provisional) ~21 Oct
VATVAT201 due by 25th
November
EMPEMP201 due by 7th · EMP501 annual recon due ~30 Nov
VATVAT201 due by 25th (Cat B — Sep-Oct period)
December
EMPEMP201 due by 7th
VATVAT201 due by 25th
TAXTax year-end planning — review before 28 Feb
Company returns (ITR14) are due 12 months after year-end — varies per company. CIPC annual returns are due within 30 business days of registration anniversary. Trust returns (ITR12T) are due within 12 months after February year-end. B&F manages all deadlines for retainer clients — you never need to track these yourself.
Do I Need a Trust?
Select your objectives, enter your details, and get a weighted feasibility score
Step 1: Select all objectives that apply
Why a trust helps: Assets in a trust fall outside your personal estate, reducing estate duty (20% on estates > R3.5m, 25% > R30m). Growth in asset value accrues to the trust, not your estate. Key consideration: Section 7C deems interest on interest-free loans to trusts at the official rate (7.75%), creating an annual donations tax cost of ~1.55% of the loan balance. The R100,000 annual donations tax exemption can reduce the loan over time.
Threshold: Generally worthwhile when your estate exceeds R5 million (where estate duty saving exceeds trust setup + running costs over 10+ years). Most beneficial for estates above R10m.
Why a trust helps: Assets owned by a trust are not personal assets and are generally protected from personal creditors. However, timing is critical: assets transferred while insolvent or to defraud creditors can be clawed back under the Insolvency Act (s.26-31, dispositions within 2 years are vulnerable). The trust must be genuine with independent trustees.
Warning: Assets must be transferred before any financial difficulty arises. Transfers made after are attackable. Minimum 2+ year seasoning before protection is robust.
Why a trust helps: Prevents lump-sum inheritance to immature beneficiaries. Trustees manage assets professionally until children reach a specified age. A testamentary trust (in your will) gets more favourable CGT treatment than an inter vivos trust. Note: Income distributed to minors under 18 is attributed back to the donor under s7(3)-(5).
Threshold: Recommended when assets earmarked for children exceed R2 million or when there are special needs dependants regardless of amount.
Trust vs Company for property: Trust is better for long-term holding (no transfer duty on beneficiary changes, no estate duty). Company is better for selling (lower CGT at ~21.6% vs trust at ~36%). Transfer duty of up to 13% applies when transferring property into a trust. Rental income taxed at 45% in trust unless distributed to beneficiaries. s7C applies to interest-free loans used to fund the purchase.
Threshold: Generally makes sense for properties held 10+ years with a combined portfolio value exceeding R5 million. For shorter holds or trading, a company (Pty Ltd) is usually better.
Why a trust helps: A family trust holding shares in the operating company (Pty Ltd) provides continuity beyond any individual, controlled succession via the trust deed, estate duty efficiency, and protection from divorce claims. SARS may challenge the arrangement if the trust is a sham with no genuine governance.
Threshold: Recommended when the business is valued above R3 million and there is a clear intention to transition ownership across generations or to multiple stakeholders.
Step 2: Enter your details for feasibility scoring
Select at least one objective and enter your details to see a feasibility score
Important: This tool provides indicative guidance based on general thresholds. Trust feasibility depends on many individual factors including tax position, family dynamics, existing structures, and estate liquidity. A detailed analysis with B&F is essential before proceeding. Book a trust advisory consultation.
Expat & Emigration Tax Guide
Determine your SA tax residency status and understand your obligations
Am I a South African Tax Resident?
South Africa taxes residents on worldwide income. Non-residents are only taxed on SA-sourced income. Your residency status is determined by two tests — if you meet either test, you are a tax resident:
1Ordinarily Resident Test
You are "ordinarily resident" if South Africa is the country to which you would naturally and as a matter of course return from your travels — your real, permanent home (per SARS Interpretation Note 3).
Key indicators: Your family lives in SA, your home is here, your economic interests are centred here, you intend to return to SA after travel/work abroad, you have SA bank accounts and investments as your primary financial base.
2Physical Presence Test
If not ordinarily resident, you are deemed resident if physically present in SA for:
More than 91 days in the current year of assessment, AND
More than 91 days in each of the preceding 5 years, AND
More than 915 days in aggregate during the preceding 5 years
Note: If you exceed these thresholds but are then absent for a continuous period of 330+ days, deemed residency ceases.
Expat Tax Exemption — Section 10(1)(o)(ii)
If you are a SA tax resident working abroad, the first R1.25 million of foreign employment income per year is exempt from SA tax, provided:
183-Day Rule
You must be outside SA for more than 183 days during any 12-month period starting or ending in the tax year.
60-Day Continuous Rule
Within that 183 days, at least 60 days must be a continuous, unbroken period outside SA.
Income exceeding R1.25M is taxed in SA at the normal marginal rate (up to 45%). Foreign tax credits may apply under the relevant DTA. Use our DTA rate tool to check treaty rates.
Ceasing SA Tax Residency ("Tax Emigration")
If you cease to be a SA tax resident (either by changing your "ordinarily resident" status or breaking the physical presence test), the following applies:
Deemed disposal (exit tax): You are deemed to have disposed of all worldwide assets (except SA immovable property and assets connected to a SA PE) at market value on the day before cessation. CGT is triggered.
Retirement fund lump sums: Post-emigration withdrawals from SA retirement funds are subject to tax in SA (withholding applies).
Exchange control: A tax compliance status (TCS) PIN is required to transfer funds offshore above R2m per calendar year (the single discretionary allowance increased to R2m under the 2026 Budget).
SARS notification: You must formally notify SARS of cessation of residency. This is not automatic.
Foreigners Working or Living in South Africa
If you are a foreign national in SA, you may become a SA tax resident through either test above. Common triggers:
Spending more than 91 days per year in SA for 5 consecutive years (physical presence test)
Relocating family, buying property, or establishing your permanent home in SA (ordinarily resident test)
Holding a permanent residence visa may indicate ordinarily resident status
Once resident, you are taxed on worldwide income. DTAs may provide relief on double-taxed income. Specific exemptions exist for relocation allowances (s10(1)(nB)) and employer-provided accommodation (up to R25,000/month for 2 years).
Check Your Residency Status
Enter your details to determine if you are likely a South African tax resident under the physical presence test.
Physical Presence — Days in South Africa
Enter your days in SA to check the physical presence test
Need expert advice on your tax or estate position?
B&F's International Services Desk handles SA, UK, US, and UAE tax matters for expats and global businesses.
