What Is VAT In South Africa?
VAT is an abbreviation for the term Value-Added Tax. It is an indirect tax on the consumption of goods and services in the economy.
Do foreigners pay VAT in South Africa?
Currently set at 14%, Value Added Tax (VAT) is included in the price of most goods and services. Foreign visitors are not exempt from paying VAT on purchased goods.
They may, however, claim back VAT paid on items taken out of the country when the total valued exceeds R250.
What is VAT currently in South Africa?
Taxable supplies are supplies for which VAT is charged at either the standard rate (currently 15%) or zero rate (0%).
How do I pay VAT in South Africa?
SARS eFiling system;
Electronic Funds Transfer (EFT);
At any of the following selected banks: Amalgamated Banks of South Africa (ABSA); Capitec; First National Bank (FNB); Nedbank; or. Standard Bank.
How much is the South African tax?
| Taxable income (R) | Rates of tax (R) |
|---|---|
| 1 – 237 100 | 18% of taxable income |
| 237 101 – 370 500 | 42 678 + 26% of taxable income above 237 100 |
| 370 501 – 512 800 | 77 362 + 31% of taxable income above 370 500 |
| 512 801 – 673 000 | 121 475 + 36% of taxable income above 512 800 |
Who must register for VAT in South Africa?
It is compulsory for a person to register for VAT if the value of taxable supplies made or to be made is in excess of R1 million in any consecutive 12-month period.
What is the VAT code in South Africa?
A VAT number is a unique 10-digit number, the first digit of which is always the number 4, assigned by SARS that identifies a person/entity as being a registered VAT vendor in South Africa.