The South African Revenue Service (SARS) tax brackets determine how much income tax you pay based on your annual taxable income. These rates are effective from 1 March 2025 to 28 February 2026.
Tax Brackets Overview
South Africa uses a progressive tax system where higher income is taxed at higher rates. Your income is divided into brackets, and each portion is taxed at the corresponding rate.
| Taxable Income (R) | Rate | Base Amount (R) |
|---|---|---|
| R0 – R237,100 | 18% | R0 |
| R237,101 – R370,500 | 26% | R42,678 |
| R370,501 – R512,800 | 31% | R77,362 |
| R512,801 – R673,000 | 36% | R121,475 |
| R673,001 – R857,900 | 39% | R179,147 |
| R857,901 – R1,817,000 | 41% | R251,258 |
| R1,817,001 and above | 45% | R644,489 |
How to read this table
The “Base Amount” is the cumulative tax on all income below that bracket. Add the base amount to the percentage of income within the bracket.
Tax Rebates
Tax rebates reduce your total tax liability based on your age:
| Rebate | Annual Amount | Applies To |
|---|---|---|
| Primary | R17,235 | All taxpayers |
| Secondary | R9,444 | Age 65 and older |
| Tertiary | R3,145 | Age 75 and older |
Tax Thresholds
If your income is below these thresholds, you don’t need to pay income tax:
- Under 65 years: R95,750 per year
- 65 to 74 years: R148,217 per year
- 75 years and older: R165,689 per year
Use our calculator
Try our free PAYE calculator to calculate your exact tax liability based on your salary and age.
Example Calculation
For an annual taxable income of R500,000 (under 65):
- Falls in the R370,501 – R512,800 bracket (31%)
- Base amount: R77,362
- Amount in bracket: R500,000 - R370,500 = R129,500
- Tax on bracket amount: R129,500 × 31% = R40,145
- Gross tax: R77,362 + R40,145 = R117,507
- Less primary rebate: R117,507 - R17,235 = R100,272
Monthly PAYE: R100,272 ÷ 12 = R8,356
Changes from Previous Year
The 2025/2026 tax brackets remain unchanged from the 2024/2025 tax year. SARS maintained bracket creep, meaning no inflation adjustment was made.
Important
These rates apply to taxable income only. Deductions such as retirement contributions, medical aid, and travel allowances reduce your taxable income.