2017/2018 BUDGET SPEECH

Home » 2017/2018 BUDGET SPEECH

budget

BUDGET SPEECH SUMMARY OF TAXES APPLICABLE TO PROPERTY LAW

Transfer Duty payable on purchase price

  • R0 – R 900 000 0%
  • R 900 001 – R 1 250 000 3% on the value from R900 001 to R1250 000
  • R 1 250 001 – R 1 750 000 flat rate of R10 500 plus 6% on the value from R1 250 001 to R1 750 000
  • R 1 750 001 – R 2 250 000 flat rate of R40 500 plus 8% on the value from R1 750 0001 to R2 250 000
  • R 2 250 001 – R10 000 000 flat rate of R80 500 plus 11% on the value from R2 250 000 to R10 000 000
  • R10 000 001 and above flat rate of R933 000 plus 13% on the value above R10 000 000

New Capital Gains Tax rate

Capital Gains Tax (CGT) has increased as follows:-

  • for individuals and special trusts – 18%,
  • for companies – 22.4%;
  • and for other trusts – 36%.

Donations Tax Donations

Tax stays unchanged and continues to be levied at a flat rate of 20% on the value of the property donated. Current exemptions (i.e. the first R100 000 of property donated by an individual and in the event of a company/trust, casual gifts not exceeding R10 000 per annum) remain the same.

Estate Duty

Estate Duty also stays unchanged and is levied at a flat rate of 20% on the property of residents and non-residents who have property in South Africa. The basic rebate of R3 500 000 on the nett value of the estate stays the same.

Need more information? Click here to contact us

By | 2017-09-27T13:46:45+00:00 May 4th, 2017|Uncategorized|0 Comments