Other taxes, duties and levies

Red denotes recent changes.

Securities Transfer Tax (STT)
The tax was imposed from 1 July 2008 at a rate of 0.25% on the transfer of shares in companies incorporated in South Africa (listed and unlisted securities) and foreign companies listed on the South African stock exchange.

STT is also payable on the transfer of member's interests in a closed corporation.

Skills Development Levy (SDL)
Payable at 1% of payroll (employers paying annual remuneration of less than R500 000 are exempt from SDL from 1 August 2005)

Unemployment Insurance Fund (UIF)

• Contributions are based on "remuneration" as defined for PAYE purposes
• Rate of contribution is 1% by the employer and 1% by the employee, and the employer is obliged to withhold the employee's contribution and pay both amounts to SARS
• The maximum contribution is R249.56 i.e. where any employee earns more than R12 478 per month, the contribution is payable only on the first R12 478 and the balance is not subject to the contribution

Withholding tax on royalties
Royalty payments to non-residents are subject to a final withholding tax of 12% (or a rate determined in a relevant agreement for the avoidance of double taxation).

Other tax proposals

Voluntary disclosure
The proposed Voluntary Disclosure Programme is an arrangement under which taxpayers are encouraged to disclose their defaults and regularise their tax affairs. It is proposed that the programme’s period will extend from 1 November 2010 to 31 October 2011 and that it may also apply to certain Exchange Control contraventions. Although the full amount of tax due will remain payable, it is proposed that penalties could be waived and the interest charge could be reduced.

Motor vehicle emission tax
A motor vehicle carbon emission tax is proposed on new passenger cars from 1 September 2010. It is proposed to take the form of a flat rate CO₂ tax that will be levied on the retail price of new passenger vehicles. The proposed rate of tax is R75 per certified gram of CO₂ emissions per kilometer above 120 grams per kilometer. This emissions tax will be in addition to the current ad valorem luxury tax on new vehicles and will replace the proposals put forward in 2009. The tax will be extended to commercial vehicles in the future.

 Source: SARS