Every South African taxpayer needs to understand how SARS tax brackets work. The Pay-As-You-Earn (PAYE) system uses progressive tax rates, meaning the more you earn, the higher the percentage of tax you pay on each portion of your income.
2025/2026 Tax Year Brackets
For the 2025/2026 tax year (1 March 2025 to 28 February 2026), the following tax brackets apply:
- 0 – R95,750: 18% of taxable income
- R95,751 – R237,700: R17,235 + 26% of amount above R95,750
- R237,701 – R410,500: R54,109 + 31% of amount above R237,700
- R410,501 – R555,600: R107,744 + 36% of amount above R410,500
- R555,601 – R708,700: R159,980 + 39% of amount above R555,600
- R708,701 – R1,633,350: R219,729 + 41% of amount above R708,700
- R1,633,351 and above: R599,555 + 45% of amount above R1,633,350
Tax Rebates
All taxpayers receive a primary rebate of R17,250. If you are 65 or older, you receive an additional rebate of R9,525. If you are 75 or older, you receive a further R3,165.
Use Our PAYE Calculator
Want to know exactly how much tax you will pay? Use our PAYE Calculator for an instant, accurate calculation based on your salary.