SARS Tax Tables 2024 – 2025: Monthly Income PAYE

SARS Tax Tables 2024 – 2025: Monthly Income PAYE

The South African Revenue Service (SARS) provides tax tables annually to help individuals and businesses calculate their tax liabilities. For the tax year 2024-2025, these tables cover various income periods including monthly, weekly, annually, and fortnightly. Understanding these tables is crucial for accurate tax planning and compliance.

SARS Tax Tables 2024 – 2025 PAYE

Below is an overview of each type of tax table for the 2024-2025 tax year.

Annual Tax Tables 2024 – 2025

The annual tax tables are used to determine the tax payable on income earned over the entire tax year. These tables are typically used by individuals who need to file their annual tax returns.

• Example: An individual earning R500,000 per year can use the annual tax table to find their applicable tax rate and calculate their annual tax liability.

Monthly Tax Tables 2024 – 2025

The monthly tax tables are used by employers to calculate the monthly PAYE (Pay-As-You-Earn) deductions from employees’ salaries. These tables are essential for payroll processing and ensure that employees’ tax contributions are correctly withheld and remitted to SARS.

• Example: An employee earning a monthly salary of R40,000 can use the monthly tax table to determine the amount of PAYE to be deducted from their salary each month.

Weekly Tax Tables 2024 – 2025

The weekly tax tables are used to calculate tax deductions for employees who are paid on a weekly basis. These tables help ensure that the correct amount of tax is deducted from weekly wages.

• Example: An employee earning R10,000 per week can refer to the weekly tax table to find out how much tax should be deducted from their weekly earnings.

Fortnightly Tax Tables 2024 – 2025

The fortnightly tax tables are designed for employees who receive their pay every two weeks. These tables provide the necessary information to accurately deduct tax from fortnightly wages.

• Example: An employee with a fortnightly wage of R20,000 can use the fortnightly tax table to determine the correct PAYE deduction for each pay period.

Importance of Using SARS Tax Tables 2024 – 2025

Using the correct SARS tax tables is crucial for several reasons:

1. Accurate Tax Deductions: Ensures that the correct amount of tax is deducted from employees’ salaries and wages, reducing the risk of underpayment or overpayment.
2. Compliance: Helps employers comply with SARS regulations by correctly calculating and remitting PAYE deductions.
3. Tax Planning: Assists individuals in understanding their tax liabilities and planning their finances accordingly.

How to Use the Tax Tables

Each tax table provides detailed information on the tax rates applicable to different income levels. To use the tables:

1. Identify the Income Period: Determine whether you need the annual, monthly, weekly, or fortnightly table based on your income frequency.
2. Find the Applicable Income Bracket: Locate your income bracket in the table.
3. Calculate the Tax: Use the tax rate provided for your income bracket to calculate the tax owed.

Conclusion

The SARS tax tables for the 2024-2025 tax year are essential tools for both employers and individuals. They ensure accurate tax calculations and help maintain compliance with tax regulations. By understanding and using these tables correctly, taxpayers can better manage their tax obligations and avoid potential issues with SARS.

Please upload the PDFs for each heading containing the specific tables, and I will provide detailed insights and examples based on the data from those documents.