South Africa Expat Tax Calculator
Calculate your South African tax liability on foreign employment income, including the R1.25 million exemption.
Qualifies for Foreign Income Exemption
You spend 200 days abroad, meeting the 183-day requirement. The first R1,250,000 of foreign employment income is exempt.
South Africa taxes residents on worldwide income. Since 1 March 2020, expats earning foreign employment income above R1.25M are taxed in SA.
To qualify for the exemption, you must spend at least 183 days outside SA in any 12-month period, with at least 60 consecutive days.
Foreign tax credits may be claimed to avoid double taxation, subject to the terms of any applicable Double Tax Agreement (DTA).
The exemption applies only to employment income, not investment income, rental income, or business profits.
How South African tax residents working abroad are taxed under the expat tax rules
What is the South African expat tax?
Since March 2020, South African tax residents who work abroad for more than 183 days in a 12-month period (with at least 60 consecutive days) must pay tax in South Africa on foreign employment income exceeding R1.25 million per year. Before this change, foreign employment income was fully exempt if you met the days requirements.
Who does the expat tax apply to?
The expat tax applies to South African tax residents (people who are ordinarily resident in SA or meet the physical presence test) who are employed abroad. It does not matter which country you work in. If you earn R2 million abroad and meet the 183/60-day rule, the first R1.25 million is exempt and you pay SA tax on the remaining R750,000.
How is the R1.25 million exemption applied?
The R1.25 million exemption applies to foreign employment income only — not to other foreign income like rental or investment income. The exemption is calculated for each tax year (1 March to 28 February). You cannot carry forward unused exemption. Income above R1.25 million is added to your other South African income and taxed at your marginal rate.
What if I pay tax in the foreign country too?
South Africa has double taxation agreements with many countries. If you pay tax abroad on the same income, you can claim a tax credit (section 6quat rebate) against your South African tax liability. This prevents you from being taxed twice. The credit is limited to the South African tax attributable to that foreign income. You need foreign tax certificates as proof.
How do I stop being a South African tax resident?
You can cease South African tax residency by financially emigrating through the South African Reserve Bank (now called "ceasing to be a tax resident for exchange control purposes"). You must notify SARS and prove you have become ordinarily resident elsewhere. An exit charge (capital gains tax on worldwide assets at market value) applies on the date you cease residency.
What is the 183-day and 60-day rule?
To qualify for the exemption, you must be outside South Africa for more than 183 days in any 12-month period starting or ending during the tax year, AND for a continuous period of at least 60 days during that same 12-month period. Both conditions must be met. Short trips back to South Africa count as days in South Africa for the 183-day test.
Do I still need to file a South African tax return?
Yes. South African tax residents must file returns regardless of where they earn income. You must declare your worldwide income on the ITR12 form, claim the R1.25 million exemption, and claim foreign tax credits. Failing to file can result in penalties starting at R250 per month, up to R16,000 per month for repeated non-compliance.
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