Finance minister Enoch Godongwana has outlined the new tax brackets for personal income taxpayers in his Budget speech 2022 on Wednesday (23 February).
- The personal income tax brackets and rebates will be adjusted by 4.5%, in line with inflation.
- The adjustments will mean that the annual tax-free threshold for a person under the age of 65, will increase from R87,300 to R91,250.
- Medical tax credits will increase from R332 to R347 per month for the first two members, and from R224 to R234 per month for additional members.
The below table shows the personal income tax rates from 1 March 2022 to 28 February 2023 for individuals and trusts in South Africa:
2023 tax year (1 March 2022 – 28 February 2023)
23 February 2022 – See the changes from the previous year:
Taxable income (R) | Rates of tax (R) |
---|---|
1 – 226 000 | 18% of taxable income |
226 001 – 353 100 | 40 680 + 26% of taxable income above 226 000 |
353 101 – 488 700 | 73 726 + 31% of taxable income above 353 100 |
488 701– 641 400 | 115 762 + 36% of taxable income above 488 700 |
641 401 – 817 600 | 170 734 + 39% of taxable income above 641 400 |
817 601 – 1 731 600 | 239 452 + 41% of taxable income above 817 600 |
1 731 601 and above | 614 192 + 45% of taxable income above 1 731 600 |