Company Tax Rate
The company Income Tax Rate has been 28% for the last few years.
Small Business Corporation Tax Rates
If you meet the following requirements
- Turnover is less than 20 million per year
- Not more than 20% of income is derived from investment income
- The company doesnt render personal services
- The company isnt a personal services provider as defined in the Tax Act
- All shareholders are natural persons
- None of the shareholders hold shares in other companies - certain exclusions apply
- Also download and refer to the Guide On Small Business Corporations
Then you can elect to be taxed at more favourable tax rates
Financial years ending on any date between 1 April 2021 and 31 March 2022:
Taxable Income (R) Rate of Tax (R)
1 – 87 300 0% of taxable income
87 301 – 365 000 7% of taxable income above 87 300
365 001 – 550 000 19 439 + 21% of taxable income above 365 000
550 001 and above 58 289 + 28% of the amount above 550 000
Financial years ending on any date between 1 April 2020 and 31 March 2021:
Taxable Income (R) Rate of Tax (R)
1 – 83 100 0% of taxable income
83 101 – 365 000 7% of taxable income above 83 100
365 001 – 550 000 19 733 + 21% of taxable income above 365 000
550 001 and above 58 583 + 28% of the amount above 550 000
Financial years ending on any date between 1 April 2019 and 31 March 2020:
Taxable Income Rate of Tax
0 – 79 000 0% of taxable income
79 001 – 365 000 7% of taxable income above 79 000
365 001 – 550 000 20 020 + 21% of taxable income above 365 000
550 001 and above 58 870 + 28% of the amount above 550 000
Year end between 1 April 2018 and 31 March 2019
Taxable income: Tax rate:
R 0 - R 78,150 - No income tax payable
R 78,150 - R 365,000 - 7% of taxable income above R 78,150
R 365,001 - R 550,000 - R 20,080 + 21% of taxable income above R 365,000
Above R 550,000 - R 58,930 + 28% of taxable income above R 550,000
Year end between 1 April 2017 and 31 March 2018
Taxable income Tax rate
R 0 - R 75,750 - No income tax payable
R 75,751 - R 365,000 - 7% of taxable income above R 75,750
R 365,001 - R 550,000 - R 20,248 + 21% of taxable income above R 365,000
Above R 550,000 - R 59,098 + 28% of taxable income above R 550,000
Year end between 1 April 2016 and 31 March 2017
Taxable income Tax rate
R 0 - R 75,000 - No income tax payable
R 75,000 - R 365,000 - 7% of taxable income above R 75,000
R 365,001 - R 550,000 - R 20,300 + 21% of taxable income above R 365,000
Above R 550,000 - R 59,150 + 28% of taxable income above R 550,000
