2016 Tax Tables
✔ 2016 Tax Rates, Thresholds and Allowance for Individuals, Companies, Trusts and Small Business Corporations (SBC) in South Africa
The following tax rates, thresholds and allowances are valid for the 2015 - 2016 Tax Year in South Africa which is known as the 2016 Tax Year. The Tax Year runs from 1 March 2015 - 28 February 2016
Rates for Individuals
South Africa 2016 Tax Tables for Individuals | Taxable Income (R) | Percentage rate of tax due within the threshold |
|---|
| R0.00 - R181,900.00 | 18% of income within the threshold |
| R181,900.00 - R284,100.00 | 26% of income within the threshold + R32,742.00 |
| R284,100.00 - R393,200.00 | 31% of income within the threshold + R59,314.00 |
| R393,200.00 - R550,100.00 | 36% of income within the threshold + R93,135.00 |
| R550,100.00 - R701,300.00 | 39% of income within the threshold + R149,619.00 |
| R701,300.00 - R0.00 | 41% of income within the threshold + R208,587.00 |
South Africa 2016 Tax Tables for Individuals | R73,650.00 | Tax Free Threshold Under 65 |
| R114,800.00 | Tax Free Threshold Over 65 |
| R128,500.00 | Tax Free Threshold Over 75 |
| R0.00 | Tax Rebate Under 65 |
| R0.00 | Tax Rebate Over 65 |
| R0.00 | Tax Rebate Over 75 |
Medical Tax Credit Rates
Please note that the Medical Tax Credit is a non-refundable tax credit and cannot be carried over to the next tax year. The MTC is a fixed monthly amount that increases in line with the number of dependants you claim for. Note that the figures below show the annual Medical Tax Credit amounts
South Africa 2016 Tax Tables for Medical Tax Credit Rates | R3,084.00 | Medical Tax Credit for the taxpayer who paid the medical scheme contributions |
| R3,084.00 | Medical Tax Credit for the first dependant |
| R2,064.00 | Medical Tax Credit for each additional dependant(s) |
| 7.5% | Medical Tax, percentage of deductible earning |
Companies, Trusts and Small Business Corporations (SBC)
South Africa 2016 Tax Tables for Companies, Trusts and Small Business Corporations (SBC) | 28% | Company with financial years ending 1 April 2015 - 31 March 2016 |
| 28% | Personal service provider companies |
| 33% | Foreign resident companies which earn income from a source in South Africa |
| 41% | Trusts (other than special trusts) assessment year ending 1 March 2015 - 31 Febuary 2016 |
South Africa 2016 Tax Tables for Small Business Corporations (SBC) | Taxable Income (R) | Percentage rate of tax due within the threshold |
|---|
| R0.00 - R73,650.00 | 0% of income within the threshold |
| R73,650.00 - R365,000.00 | 7% of income within the threshold + R0.00 |
| R365,000.00 - R550,000.00 | 21% of income within the threshold + R20,395.00 |
| R550,000.00 - R0.00 | 28% of income within the threshold + R59,245.00 |
Medical Tax Credit Rates
Please note that the Medical Tax Credit is a non-refundable tax credit and cannot be carried over to the next tax year. The MTC is a fixed monthly amount that increases in line with the number of dependants you claim for. Note that the figures below show the annual Medical Tax Credit amounts
South Africa 2016 Tax Tables for Medical Tax Credit Rates | R3,084.00 | Medical Tax Credit for the taxpayer who paid the medical scheme contributions |
| R3,084.00 | Medical Tax Credit for the first dependant |
| R2,064.00 | Medical Tax Credit for each additional dependant(s) |
| 7.5% | Medical Tax, percentage of deductible earning |
Interest and Dividends
South Africa 2016 Tax Tables for Interest and Dividends | R23,800.00 | Interest Exemptions threshoold for an individual younger than 65 |
| R34,500.00 | Interest Exemptions threshoold for an individual 65 and older |
| 15% | Final Withholding tax charged on interest from a South African source payable to non-residents |
| R20.00 | Dividends Tax |
| R20.00 | Foreign Dividends |
| R20.00 | Foreign Dividends received by individuals from foreign companies (shareholding of less than 10% in the foreign company) |
Capital Gains Tax (CGT)
South Africa 2016 Tax Tables for Capital Gains Tax (CGT) | 13.65% | Capital Gains Tax for Individuals and Special Trusts |
| 18.65% | Capital Gains Tax for Companies |
| 27.31% | Capital Gains Tax for Other Trusts |
Retirement Lump Sum Benefits
South Africa 2016 Tax Tables for Retirement Lump Sum Benefits | 27.5% | Pension Contributions: Maximum Income contribution |
| R350,000.00 | Pension Contributions: Maximum Annual contribution |
Withdrawal Benefit
South Africa 2016 Tax Tables for Withdrawal Benefit | Taxable Income (R) | Percentage rate of tax due within the threshold |
|---|
| R0.00 - R25,000.00 | 0% of income within the threshold |
| R25,000.00 - R660,000.00 | 18% of income within the threshold + R0.00 |
| R660,000.00 - R990,000.00 | 27% of income within the threshold + R114,300.00 |
| R990,000.00 - R0.00 | 36% of income within the threshold + R203,400.00 |
Retirement & Death Benefits or Severance Benefits
South Africa 2016 Tax Tables for Retirement & Death Benefits or Severance Benefits | Taxable Income (R) | Percentage rate of tax due within the threshold |
|---|
| R0.00 - R500,000.00 | 0% of income within the threshold |
| R500,000.00 - R700,000.00 | 18% of income within the threshold + R0.00 |
| R700,000.00 - R1,050,000.00 | 27% of income within the threshold + R36,000.00 |
| R1,050,000.00 - R0.00 | 36% of income within the threshold + R130,500.00 |
Income Tax Tables are used to calculated individual salaries, apply tax deductions and tax credits to produce a net take home pay (your income after deductions). Below is an example salary after tax deductions based on the 2015 - 2016 tax tables.
R309,400.00 Salary Income Tax Calculation and Salary Example
R309,400.00 Income Tax Calculations for 2016 | Yearly | %1 | Salary/Tax Component |
|---|
| R309,400.00 | 100.00% | Employment Income |
| R309,400.00 | 100.00% | Gross Income |
| R85,085.00 | 27.50% | Retirement Funds |
| R309,400.00 | 100.00% | Taxable Income |
| R65,892.00 | 21.30% | Income Tax Due |
| R65,892.00 | 21.30% | Total Deductions |
| R243,508.00 | 78.70% | Net Pay |
| R3,094.00 | 1.00% | Employer Contribution to Risk Benefits |
| R4,641.00 | 1.50% | Employer Contribution to Retirement Funds |
| R317,135.00 | 102.50% | Salary Package [Cost of Employee] |
1 Percentage expressed in relation to Gross Income [R309,400.00].
If you have not encountered tax table information before or if you are unsure of how tax tables affect your income we recommend you read our guide: What are Tax Tables? Tax Tables explained.