FAQ Blog Calculators Students Logbook Contact
Do your Tax with TaxTim and WIN R10,000  More info   T&C's apply
How do you currently do your tax?
SARS eFiling New to tax Tax Practitioner Auto-assessment TaxTim


Income Tax on Dividends

Posted 4 April 2017

RSS said:
4 April 2017 at 1:18

When receiving a Dividend from a Company (as a Shareholder). The Shareholder is taxed at 20% of the value on the dividend paid. If you're also earning a regular salary and paying PAYE monthly, would such dividends paid, be subject to additional Income Tax?

So, basically, would regular Individual Income Tax also apply on the dividend again after paying the 20% Dividend Tax?

TaxTim Neo TaxTim Neo said:
4 April 2017 at 7:15

No, the dividend is only taxed at the 20% rate and not at the employees tax rate too.

This entry was posted in Tax Q&A and tagged , . Bookmark the permalink.




Blog Categories


Ask TaxTim

Got a question you want answered about tax?

Visit our helpdesk

Get SARS Tax Deadlines in your Inbox
We'll tell you when you need to file, along with tax tips and updates.