South African Tax Formula:
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Definition: This calculator estimates income tax liability based on South Africa's progressive tax brackets for the 2025/26 tax year.
Purpose: It helps individuals and businesses estimate their tax obligations using the official SARS tax brackets.
The calculator uses the formula:
Where:
Explanation: The calculator determines which tax bracket applies and calculates tax accordingly.
Tax brackets for individuals:
Tips: Enter your annual taxable income in ZAR. The calculator will automatically apply the correct tax bracket.
Q1: Are these the official SARS tax rates?
A: Yes, these are the projected rates for the 2025/26 tax year.
Q2: Does this include medical tax credits or other deductions?
A: No, this calculates gross tax liability before credits or deductions.
Q3: How often are tax brackets updated?
A: SARS typically adjusts brackets annually to account for inflation.
Q4: Is this calculator suitable for companies?
A: No, this is for individual taxpayers. Companies have different tax rates.
Q5: Where can I get official tax information?
A: Visit the SARS website at www.sars.gov.za for official tax tables.