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VAT & Tax Estimate Explorer

Calculate your VAT obligations and see how VAT affects your small business profitability. Understand output VAT, input VAT, and net VAT payable to SARS.

Your Business Data

Total revenue including 15% VAT

Total expenses including VAT

Standard rate in SA is 15%

Enter your data to calculate VAT obligations

Understanding VAT in South Africa

When to Register for VAT

You must register for VAT if your taxable turnover exceeds R1 million per year. You can voluntarily register if turnover is between R50,000 and R1 million.

VAT Return Deadlines

VAT returns are due on the 25th of the month following the tax period. Most SMEs file bi-monthly (Category B) or monthly (Category A if turnover > R30m).

Zero-Rated vs Exempt

Zero-rated supplies (0% VAT) allow you to claim input VAT. Exempt supplies don't charge VAT and you can't claim input VAT on related expenses.

What You Can Claim

You can claim input VAT on business expenses like office supplies, software, professional services, and equipment. Keep valid tax invoices for all claims.

SARS Tax Invoice Requirements

Tax invoices must include: "Tax Invoice" or "VAT Invoice" label, your VAT number, itemized descriptions, VAT amount shown separately, and customer details.

Penalties for Late Filing

Late VAT returns incur a penalty of up to 10% of the VAT due, plus interest at 9.5% per year. File on time to avoid penalties.

Common VAT Scenarios for SA SMEs

Scenario 1: Freelancer with R100k Revenue

Revenue: R100,000 (incl. VAT) = R86,957 excl. VAT
Expenses: R40,000 (incl. VAT) = R34,783 excl. VAT
Output VAT: R13,043 | Input VAT: R5,217 | Net VAT: R7,826 payable

Scenario 2: Agency with High Expenses

Revenue: R200,000 (incl. VAT) = R173,913 excl. VAT
Expenses: R180,000 (incl. VAT) = R156,522 excl. VAT
Output VAT: R26,087 | Input VAT: R23,478 | Net VAT: R2,609 payable

Scenario 3: Startup with VAT Refund

Revenue: R50,000 (incl. VAT) = R43,478 excl. VAT
Expenses: R120,000 (incl. VAT) = R104,348 excl. VAT (equipment purchase)
Output VAT: R6,522 | Input VAT: R15,652 | Net VAT: R9,130 refund from SARS

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