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 doesn’t render personal services
- The company isn’t 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
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
Another option is to look at the guide for Turnover Tax
