Terrilin Bookkeeping Services

The 2026 Budget introduces several changes affecting individuals, homeowners, and businesses. The previously planned R20 billion tax increase has been withdrawn, meaning no broad‑based tax hikes this year. Personal income tax brackets, rebates and medical tax credits have all been fully adjusted for inflation, providing relief from bracket creep.

For small businesses, the compulsory VAT registration and Turnover Tax thresholds increase from R1 million to R2.3 million, easing compliance and cash‑flow pressure. Savings and retirement incentives have also been strengthened, with higher limits for tax‑free investments, retirement contributions and capital gains exclusions.

Homeowners will benefit from the higher Capital Gains Tax exclusion on the sale of a primary residence, which increases from R2 million to R3 million.

These updates offer meaningful relief and improved planning opportunities across the board.