The following new tax rates, rebates and thresholds proposed by the Minister of Finance in his Budget Speech on 25 February 2015 will come into effect on 1 March 2015.
Statutory Rates Applicable to Individuals
Taxable Income (R): Rates of Tax (R)
0 – 181 900: 18% of each R1
181 901 – 284 100: 32 742 + 26% of the amount above R181 900
284 101 – 393 200: 59 314 + 31% of the amount above R284 100
393 201 – 550 100: 93 135 + 36% of the amount above R393 200
550 101 – 701 300: 149 619 + 39% of the amount above R550 100
701 301 and above: 208 587 + 41% of the amount above R701 300
Tax Rebates Applicable to Individuals
Primary rebate: R13 257
Secondary rebate (for person 65 years and older): R7 407
Tertiary rebate (for person 75 years and older): R2 466
Tax Threshold Applicable to Individuals
Persons under 65 years: R73 650
Persons 65 – 74 years old: R114 800
Persons 75 years and older: R128 500
Medical Scheme Contribution Tax Credit
The medical scheme tax credit that will be effective from 1 March 2015 is:
R270 in respect of the taxpayer
R270 for the first dependant
R181 for each additional dependant
Residential Accommodation Fringe Benefit
The value of B in the formula prescribed in paragraph 9 of the Seventh Schedule has increased from R70 700 to 73 650 with effect from 1 March 2015.
Interest Rates
The official rate of interest applicable to interest-free or low-interest loan fringe benefits is 6,75%. No change to this rate has been announced.
The prescribed rate of interest applicable to the late or underpayment of tax is 9,25%. No change to this rate has been announced.