Use TaxTim's free SARS capital gains tax calculator to estimate the CGT you'll pay when you dispose of an asset such as property, shares, crypto or a second home in the 2026/2027 tax year (1 March 2026 – 28 February 2027). Capital gains tax in South Africa isn't a separate flat tax: a portion of your capital gain is added to your normal taxable income and taxed at your marginal rate. Enter your base cost, proceeds and taxable income and the calculator works out your gain, applies the annual and any primary-residence exclusion, and shows the estimated CGT payable.
Capital gains tax is governed by the Eighth Schedule to the Income Tax Act, not a standalone tax. First, your capital gain is calculated as proceeds (what you received on disposal) minus base cost (what you paid plus allowable acquisition, improvement and disposal costs under paragraph 20). The calculator then subtracts the annual exclusion (R50,000 for the 2027 tax year), and the primary-residence exclusion of R3,000,000 if the asset was your main home owned by a natural person. The remaining gain is multiplied by the inclusion rate, which for individuals and special trusts is 40%. Only that 40% is added to your other taxable income and taxed at your marginal rate, so the most an individual can ever pay is an effective 18% of the gain (40% inclusion × the 45% top marginal rate). Companies use an 80% inclusion rate (effective 21.6%) and other trusts 80% (effective 36%). Assets acquired before 1 October 2001 (CGT's start date) use time-apportionment or a valuation to determine the pre-CGT base cost.
Capital gains tax for the 2027 tax year (individuals & special trusts)
| Item | Figure |
|---|---|
| Inclusion rate (individuals/special trusts) | 40% |
| Inclusion rate (companies) | 80% (effective max 21.6%) |
| Inclusion rate (other trusts) | 80% (effective max 36%) |
| Annual exclusion | R50,000 |
| Annual exclusion (year of death) | R440,000 |
| Primary residence exclusion | R3,000,000 of the gain/loss |
| Maximum effective CGT rate (individuals) | 18% (40% × 45% top marginal rate) |
Example (2027 tax year): selling a buy-to-let flat. You bought a rental flat for R1,200,000 and paid R80,000 in transfer and bond costs (base cost = R1,280,000). You sell it for R2,000,000 and pay R100,000 estate-agent commission (a disposal cost). Proceeds net of commission = R1,900,000. Capital gain = R1,900,000 − R1,280,000 = R620,000. It's not your primary residence, so only the annual exclusion applies: R620,000 − R50,000 = R570,000. Apply the 40% inclusion rate: R570,000 × 40% = R228,000 added to your taxable income. If your marginal rate is 39%, the CGT is roughly R228,000 × 39% ≈ R88,920. (Your actual rate depends on your total taxable income for the year.)
There is no flat CGT rate. Individuals include 40% of their net capital gain in taxable income and pay tax on it at their marginal rate. The most you can pay is an effective 18% (40% inclusion × the 45% top marginal rate). Companies include 80%, an effective 21.6%.
Every individual gets an annual exclusion of R50,000 for the 2027 tax year, meaning the first R50,000 of your combined net capital gains in the year is exempt. In the year a person dies, this exclusion rises to R440,000. The exclusion is per person, not per asset.
Often not. If the home is your primary residence, owned by a natural person, the first R3,000,000 of the capital gain (or loss) is excluded for the 2027 tax year. Only the gain above R3 million, less the annual exclusion, is subject to CGT. Holiday homes and rental property don't qualify.
Base cost is what you paid plus allowable costs under paragraph 20 of the Eighth Schedule: transfer duty, securities transfer tax, conveyancing and agent fees, improvement costs (not repairs), valuation costs and VAT not claimed. Costs already deducted against income, such as capital allowances, cannot be included again.
Yes, if SARS treats the gain as capital rather than revenue. Disposals of shares, unit trusts and crypto assets held as investments trigger CGT, with 40% of the gain included in your taxable income. Frequent trading may instead be taxed as ordinary income at your full marginal rate, since the distinction depends on intention.
Personal-use assets such as your motor vehicle, furniture and household goods are excluded, as are lump sums from approved retirement funds, proceeds from most South African life and endowment policies, compensation for personal injury, and lottery or gambling winnings authorised under SA law. Small boats and light aircraft used personally are also excluded.
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