Who is exempt from provisional tax?
The following persons/natural persons don't need to pay provisional tax:
- Any person whose income is derived solely from remuneration.
- Any person who doesn't carry on a business and whose income isn't more than the tax threshold for the year.
See the latest tax thresholds.
- The taxable income of any person derived from interests, dividends, and rental from the letting of fixed property and it will not exceed R20 000.
- The investment income does not exceed the exemption for the year
See the latest exemptions limits.
- Any person 65 years or older is exempt from the payment of provisional tax if:
- The taxable income for the tax year does not exceed
R120 000 and consists of remuneration, pension, interest, dividends or rental income from the letting of fixed property; and
- He/she do not carry on any business.
- Non-resident ship and aircraft owners that are required to make payment under section 33 of the Act are exempt from paying provisional tax.
- Non-residents who are physically absent from the country for 183 days and are not carrying trade in South Africa.