2026 South African Budget Speech: Key Tax and Financial Changes
The 2026 South African Budget Speech introduced a range of tax and allowance adjustments affecting individuals, small businesses, and companies. Below is a clear summary of the confirmed changes that are most relevant to taxpayers and business owners. VAT and Business Registration Thresholds To ease the administrative burden on smaller enterprises, the VAT registration thresholds have been significantly increased: These changes aim to reduce compliance pressure on smaller businesses and growing enterprises. Capital Gains Tax (CGT) Adjustments Several CGT relief measures were announced: Personal Income Tax and Rebates Medical Aid Tax Credits Medical aid tax credits were increased as follows: Subsistence and Travel Allowances Corporate and Investment Taxation Tax-free Savings and Retirement Funding Fuel Levies and Sin Taxes Effective from 1 April 2026, fuel levies will increase: Excise duties on alcohol and tobacco were increased in line with inflation. Offshore Investment Allowance The Foreign Discretionary Allowance was doubled from R1 million to R2 million per year, enabling greater offshore investment and diversification opportunities. LINK TO FULL BUDGET SPEECH – speech.pdf LINK TO SARS 2026 TAX GUIDE – Budget 2026 Tax guide.pdf Contact us at info@pinionza.com or visit our website for more information.