South Africa Provisional Tax Calculator 2026/27
Estimate 2027 individual normal tax from taxable income, age rebates and entered credits, then compare it with PAYE and provisional payments already made. This is a planning aid, not an IRP6 return.
Enter an individual 2027 tax estimate
The annual tax subtotal is not a completed IRP6. Confirm liability, period rules, estimates and deadlines with SARS.
What provisional tax is
Provisional tax is not a separate tax. It is a system of paying estimated normal income tax during the year so that a large balance is not left only for assessment. Companies are provisional taxpayers, and individuals can become provisional taxpayers when they receive qualifying income other than remuneration, subject to exclusions and thresholds described by SARS.
A salary earner with PAYE and no other relevant income is usually not provisional merely because the final assessment changes. Rental profit, freelance or business income, investment amounts beyond exclusions, and remuneration from an unregistered employer can alter the position. Determine liability before using the payment estimates; this calculator does not register a taxpayer or submit IRP6 data.
Tax year and table used
The calculator uses the individual rates for the 2027 year of assessment, from 1 March 2026 to 28 February 2027. The seven brackets begin at 18% and rise to 45%. It also applies the primary rebate of R17,820, secondary rebate of R9,765 from age 65 and tertiary rebate of R3,249 from age 75.
Taxable income is not the same as cash received or turnover. It is determined after applying the tax rules to income, allowable expenses, deductions, exemptions, assessed losses and taxable capital gains. Entering gross business receipts will usually overstate the base, while entering only take-home cash can understate it. Prepare a defensible taxable-income estimate first.
How the annual estimate is calculated
The script applies the progressive table to taxable income, subtracts age rebates and then subtracts other annual tax credits entered by the user, with tax floored at zero. It does not calculate medical credits from membership data, retirement-fund deductions, capital gains, foreign tax credits, donations or ring-fenced losses. Those should be reflected correctly in taxable income or verified credits where applicable.
The displayed marginal bracket is the rate on the next rand within the current band, not the percentage of total income paid in tax. Lower portions remain taxed at their lower band formulas and rebates reduce tax. Use the annual tax estimate as a subtotal for provisional planning, not as a complete ITR12 calculation.
First and second period thinking
For a simple planning view, the half-year target is one half of estimated annual tax less one half of estimated full-year PAYE. The remaining annual provision subtracts full-year PAYE and provisional payments already entered. Actual IRP6 calculations consider the relevant period, estimates, PAYE and other allowable credits, and the second payment is a cumulative position less the first payment.
Do not pay the displayed number without reconciling it to the IRP6 form and current SARS guide. Companies with non-February year ends have different dates. Individuals and February-year-end companies usually face first and second periods six months into the year and at year end, with a possible voluntary top-up later under the applicable rules.
IRP6 prior-assessment benchmark and estimate rules
SARS provisional-tax rules contain a benchmark amount derived from a prior assessment and conditions for estimates. The acceptable basis can depend on when that assessment was issued and whether the taxpayer chooses or is required to use a current estimate. Underestimation rules differ above and below specified taxable-income levels, and late or insufficient payments can attract penalties and interest.
This calculator intentionally does not invent that prior-assessment benchmark from one income field. Use the latest assessment and SARS IRP6 documentation to determine the permitted figure. A low estimate chosen only to reduce cash outflow can create a costly shortfall even if the annual tax arithmetic on this calculator is correct. Check the assessment issue date as well as its taxable-income figure before filing.
PAYE and credits
Enter expected PAYE for the full year, including all employers if there is more than one. Multiple employers may each withhold as though their salary is the only income, causing an assessment shortfall when combined income moves into higher brackets. Payroll bonuses, travel allowances and irregular payments can also make a straight-line PAYE forecast inaccurate.
Only enter credits you can substantiate for the full year. A deduction reduces taxable income, while a credit reduces tax; confusing the two exaggerates relief. Medical scheme fee tax credits depend on covered beneficiaries and months, and additional medical expense credits have further rules. Keep them outside the field until reasonably verified.
A worked planning example
At R600,000 taxable income for a person under 65, the gross table amount lies in the 36% bracket: R125,599 plus 36% of income above R530,200. Subtracting the primary rebate produces the annual normal-tax estimate before any entered credits. If expected PAYE is R80,000, the calculator displays the remaining annual provision after that PAYE.
Changing taxable income by a modest amount can change tax by the current marginal rate, but not every rand is taxed at that rate. Run low, central and high profit scenarios for variable business or rental income. Update the estimate as bookkeeping improves rather than leaving the first estimate unchanged until year end.
Records and filing discipline
Maintain year-to-date income, deductible expense evidence, PAYE certificates, retirement contribution records, medical certificates, capital-gains schedules and prior provisional payments. Reconcile bank transactions to invoices and expenses. An accurate forecast comes from current records, not a percentage guess applied to bank balance.
Submit IRP6 returns and payments through authorised SARS channels by the applicable deadlines, using the correct payment reference. A nil payment does not necessarily remove a filing obligation. Retain submission confirmations and payment proof. If income is complex, cross-border, trust-related or affected by losses, obtain advice before the deadline rather than after a penalty notice. Reconcile the SARS statement of account afterwards.
Questions that affect this result
Is provisional tax an extra tax?
No. It is an advance payment toward normal income tax and is credited on assessment.
Does every freelancer have to pay provisional tax?
Not automatically. The statutory definition, exclusions and income thresholds must be checked against the person’s facts.
Why does the calculator ask for taxable income instead of turnover?
Income tax applies to taxable income determined under tax rules, not simply gross receipts or bank deposits.
Can I copy the half-year result directly into IRP6?
No. Reconcile the official period calculation, basic amount, estimate rules, PAYE and credits using current SARS guidance.
What happens if my estimate changes?
Update records and the next cumulative estimate. Underestimation, late filing or late payment can trigger penalties and interest.