South Africa Provisional Tax Calculator (IRP6)
Estimate your provisional tax payments for SARS IRP6 submissions. Calculate both required payments based on estimated taxable income.
First Payment
6 months after start of year of assessment
RÂ 103Â 537,00
Second Payment
At end of year of assessment
RÂ 103Â 537,00
Top-Up (Optional)
6 months after end of year of assessment (top-up if needed)
Pay any shortfall to avoid penalties
SARS charges penalties if your estimate is less than 80% of actual taxable income (90% for the second period).
Under-estimation penalty: 20% of the difference between actual tax and your estimated tax.
Late payment interest is charged at the prescribed rate (currently around 7.5% per annum).
You are a provisional taxpayer if you earn income that is not subject to PAYE (e.g., rental income, freelance income, investment income).
Directors of private companies and members of close corporations are also provisional taxpayers.
Provisional taxpayers must make two compulsory payments during the tax year. The first is due within 6 months of the start of the year, and the second at the end of the year. A third voluntary top-up payment can be made within 6 months after year-end to avoid penalties for under-estimation.
How provisional tax works and when you need to make payments to SARS
What is provisional tax in South Africa?
Provisional tax is a way of paying your income tax in advance, in instalments, rather than as a lump sum at year-end. It applies to anyone who earns income that is not subject to PAYE withholding — such as freelancers, rental income earners, and business owners. You estimate your annual income and pay tax on it in two or three payments throughout the year.
Who needs to register as a provisional taxpayer?
You must register if you receive income other than a salary (where PAYE is deducted) and that income exceeds R30,000 per year. This includes rental income, freelance earnings, business profits, and investment income above the interest exemption. Salaried employees who also earn rental income of R40,000 per year, for example, must register.
When are provisional tax payments due?
For a February year-end (the standard for individuals): the first payment is due by 31 August, and the second by 28/29 February. Companies have deadlines based on their financial year-end. A voluntary third payment can be made within 6 months after year-end (by 30 September for individuals) to top up and avoid interest charges.
How do I estimate my taxable income?
Add up all expected income for the full tax year — business profits, rental income, investment income, and any salary. Deduct allowable expenses. For the first payment, you must estimate the full year (which is tricky halfway through). SARS requires your estimate for the second payment to be within 80% of the final assessed amount, or you face penalties.
What happens if I underestimate my income?
If your second provisional tax estimate is less than 80% of your final taxable income (as assessed by SARS), you face a 20% penalty on the shortfall. For example, if you estimated R400,000 but SARS assesses you at R600,000, you underestimated by R200,000. The penalty is 20% of the tax on R200,000, plus interest from the due date.
Can I use last year's figures to estimate?
For the first payment, SARS accepts your basic amount (last year's taxable income from your latest assessment) as a starting point. However, you should adjust for any expected changes. If your business grew 20%, use 120% of last year's figure. Using outdated numbers is the most common reason people face under-estimation penalties.
How do I make provisional tax payments?
Pay through SARS eFiling using the IRP6 form, or via electronic funds transfer (EFT) to SARS. You need your tax reference number as the payment reference. SARS eFiling also lets you complete the IRP6 return online, calculate the payment, and generate a payment reference number. Keep proof of payment for your records.
What is the interest rate on late provisional tax payments?
SARS charges interest on late or underpaid provisional tax at the prescribed rate, currently around 10.75% per year. Interest runs from the date the payment was due until the date it is paid. On a R50,000 shortfall for 6 months, that is roughly R2,700 in interest. Penalties for late filing of the IRP6 form are charged separately.
SARS-Aligned: Based on 2025 SARS rates and thresholds. For personal advice, speak to a qualified tax practitioner.
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Disclaimer: This calculator provides estimates based on current HMRC rates and thresholds for the 2025/26 tax year. It does not constitute professional tax, financial, or legal advice. Your actual liability may differ depending on your individual circumstances. Always consult a qualified accountant or tax adviser before making financial decisions. Read our terms