South Africa — Value-added tax (VAT)
|General VAT Rate||Other Rates||Local Currency|
South Africa's general VAT rate is 14%, with other rates including 0% that can apply to certain transactions. The Value-added tax (VAT) is administered by the Commissioner for the South African Revenue Service (SARS) (http://www.sars.gov.za) in Pretoria.
South Africa completely exempts from VAT on basic foodstuffs such as bread, educational goods and services, and rent paid on a private residence.
South Africa's consumption tax is called the Value-added tax (VAT), which was introduced in September 1991.
South Africa VAT rates for 2022
- Zero-rated and exempt
South Africa VAT number format
Businesses in South Africa that are required to collect tax will be issued an identification number. Tax identification numbers can be verified with the Commissioner for the South African Revenue Service (SARS), and will follow a certain format. The VAT number format is 4220122222.
South Africa VAT return periods
Businesses in South Africa that are required to collect tax from consumers must file regular tax returns with the Commissioner for the South African Revenue Service (SARS) in Pretoria. South Africa's VAT return periods are:
- Annual taxable supplies in excess of ZAR30 million
- Annual taxable supplies of less than ZAR30 million, determined by the commissioner
- Six-monthly or annually
- Annual taxable supplies of less than ZAR1.5 million by farmers, farming enterprises, nonprofit associations (special cases)
South Africa Value-added tax (VAT) Thresholds
These are the revenue thresholds at which businesses in South Africa are required to start collecting and remitting tax.
- Annual taxable supplies of more than ZAR1 million
Foreign suppliers of electronic services to South African residents exceeding ZAR50,000
Recovery of VAT by non-established businesses
Non-established businesses are small, unincorporated businesses that sell taxable goods and may consist of a single individual, or several. In South Africa, taxation of a non-established business is: Yes (in limited circumstances)
South Africa VAT Refunds
Many countries allow tourists, and others making purchases for export, to receive a VAT refund on exiting the country (or make purchases VAT free). While we don't have data on the South Africa VAT refund program, more info can be obtained from the Commissioner for the South African Revenue Service (SARS).
South Africa Tax Sources & Citations
- EN: South Africa Value Added Tax
- RU: НДС
- CN: 增值税
- South Africa Commissioner for the South African Revenue Service (SARS) (1)
- Ernst & Young global VAT tax study, South Africa (updated 2022)
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