South Africa Tax Tables 2026/27: Brackets, Rebates, UIF

South Africa's 2026/27 tax year runs from 1 March 2026 to 28 February 2027. Budget 2026 adjusted the tax brackets and rebates for inflation, which means slightly less tax for most people than if the tables had stayed frozen. This guide sets out the South Africa tax tables for 2026/27, the rebates and tax thresholds, the main credits and deductions, and how much PAYE you pay, with worked examples.

South Africa income tax brackets for 2026/27

SARS taxes annual taxable income in these brackets:

Up to R245,100: 18%
R245,101 to R383,100: R44,118 plus 26% above R245,100
R383,101 to R530,200: R79,998 plus 31% above R383,100
R530,201 to R695,800: R125,599 plus 36% above R530,200
R695,801 to R887,000: R185,215 plus 39% above R695,800
R887,001 to R1,878,600: R259,783 plus 41% above R887,000
Above R1,878,600: R666,339 plus 45% above R1,878,600

The fixed amount in each bracket is simply the tax on all income below it, so you only apply the higher rate to the part of your income above the bracket's starting point.

Tax rebates and tax thresholds

Everyone gets a primary rebate of R17,820, which is subtracted from the tax calculated from the brackets. People aged 65 and older get a secondary rebate of R9,765, and those aged 75 and older get a further tertiary rebate of R3,249. As a result, you pay no income tax on income up to R99,000 a year if you are under 65, R153,250 from age 65 and R171,300 from age 75. These are known as the tax thresholds.

Credits and deductions that lower your tax

Medical scheme fees tax credit. If you belong to a medical scheme, you receive a credit of R376 a month for yourself, R376 for your first dependant and R254 for each additional dependant. The credit reduces your tax directly rather than your income.

Retirement fund contributions. Contributions to a pension fund, provident fund or retirement annuity are deductible up to 27.5% of your remuneration or taxable income, capped at R430,000 a year from 1 March 2026. This is one of the most effective ways to cut your tax; see our guide to retirement annuities and tax.

UIF. Employees pay 1% of pay to the Unemployment Insurance Fund on earnings up to R17,712 a month, a maximum of R177.12 a month. Your employer matches it. UIF is not deductible for income tax.

Worked examples for 2026/27 (under 65)

Salary of R300,000 a year. Tax from the brackets is R44,118 plus 26% of R54,900, which is R58,392. After the R17,820 primary rebate, PAYE is R40,572. With UIF of R2,125.44, take-home pay is R257,302.56, or about R21,442 a month.

Salary of R600,000 a year. PAYE is R132,907 and take-home pay is R464,967.56 after UIF. If you are on medical aid with one dependant, medical credits of R9,024 a year cut PAYE to R123,883.

Try your own figures with our South Africa tax calculator, which includes UIF, medical credits and retirement contributions.

How PAYE works through the year

Employers use these tables to deduct PAYE each month, spreading the annual tax evenly. At the end of the year, they give you an IRP5 certificate showing your income and the tax withheld. SARS uses this information during filing season to assess whether you paid the right amount. If you have extra deductions, such as retirement annuity contributions or out-of-pocket medical expenses, filing a return can lead to a refund.

Tips to reduce your tax legally

Contributing to a retirement annuity or increasing your workplace pension contribution lowers taxable income. A tax-free savings account lets you earn interest, dividends and growth without tax, within annual limits; see our guide to the tax-free savings account. Keep receipts for medical costs and claim every credit you are entitled to.

Frequently asked questions

What is the tax-free threshold in South Africa for 2026/27?

R99,000 a year for people under 65, R153,250 for those aged 65 to 74 and R171,300 from 75.

South Africa tax tables 2026/27: brackets, rebates and UIF