Freelance Tax Calculator South Africa 2026
Estimate your tax as a freelancer or independent contractor
Provisional tax estimates only. Consult a tax practitioner for official advice.
Frequently Asked Questions
What is provisional tax?
Provisional tax is advance income tax paid in two instalments during the tax year (first by 31 August, second by 28 February). It applies to freelancers, sole proprietors, and others who earn income not from a single employer.
Who must register as a provisional taxpayer?
You must register if you earn income other than a salary (freelance, rental, business), or if your non-salary income exceeds the tax threshold.
Can I deduct business expenses?
Yes, legitimate business expenses like equipment, internet, travel, office rent, and professional subscriptions reduce your taxable income.
What happens if I underpay provisional tax?
SARS charges interest on underpayment at the prescribed rate (currently around 10.5% per annum). You may also face penalties.
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How the freelance tax calculator works
A freelancer pays income tax on profit — income less allowable business expenses — using the same sliding scale as an employee, but without the automatic monthly deduction. Instead there are two provisional tax payments a year.
Income of R450 000 less R80 000 of allowable expenses leaves taxable income of R370 000. Tax on that is R58 772 for the year after the primary rebate — about R4 898 a month to put aside.
Provisional tax is paid in two instalments: the first by 31 August (roughly half the estimated liability) and the second by the last day of February, with the balance on assessment.
What changes the answer in South Africa
Allowable expenses are those incurred in producing the income — home office (pro-rata), internet, equipment, travel at the prescribed rate, professional fees, insurance. Personal expenses are not. A freelancer earning above R30 000 a year from freelance work must register as a provisional taxpayer, and VAT registration becomes compulsory at R2,3 million from 1 April 2026.
Common questions about the freelance tax calculator
Do I need to register for provisional tax?
Yes, if you earn income other than a salary or a small amount of interest. Registration is automatic on SARS eFiling once the income is declared, but the payments are not.
Can I claim my home office?
Yes, on a pro-rata basis for the area used regularly and exclusively for work, plus a share of rent, rates, electricity and bond interest. Keep the calculation.
What happens if I underpay provisional tax?
SARS charges a penalty of 10% on the shortfall if your estimate was too low, plus interest. Estimating honestly and topping up at the second payment is cheaper than guessing low.