- VAT will increase by 0.5% on May 1, 2025.
- The VAT rate will reach 16% in the 2026/27 financial year.
- The increase may affect businesses that account for VAT on their supplies.
- The increased rate will likely apply to all supplies of goods or services made on or after May 1, 2025.
- The time of supply rules determine when a supply is deemed to take place.
- An invoice must be issued or payment received to trigger a liability for tax at the old rate.
- Supplies made before May 1, 2025, will be subject to the old rate.
Source: moonstone.co.za
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "South Africa"
- South Africa Advances Toward Mandatory Peppol E-Invoicing and Real-Time VAT Reporting by 2028
- South Africa Moves Toward Mandatory E-Invoicing and Real-Time VAT Reporting Under SARS Modernisation
- South Africa to Launch Mandatory E-Invoicing and E-Reporting by 2028 Under New VAT Framework
- Court Upholds 15-Year Sentence for R3.6m VAT Fraud, Denies Juan Maritz’s Appeal
- South Africa’s E-Invoicing and Real-Time VAT: Transforming Tax Compliance and Business Transparency
