Useful next calculations
Rates and sources, 2026
South African VAT at the SARS standard rate for standard-rated supplies; zero-rated supplies are modelled at 0%.
Source: SARS โ Value-Added Tax. Source checked for 2026.
When to use this calculator
- Before accepting a pay change, bonus or contribution arrangement.
- When you want a simple take-home or conversion estimate before payroll or filing.
- When you need to convert between hourly, monthly and annual pay.
- When you want to compare two pay scenarios using the same assumptions.
A worked example
These are the example figures the calculator opens with.
| Input | Value |
|---|---|
| Amount (R) | 10ย 000 |
| Calculation Type | Add VAT to ex-VAT price |
| Supply Type | Standard-rated (15%) |
For those figures the calculator returns:
- Ex-VAT amount: R10ย 000,00
- VAT amount: R1ย 500,00
- VAT-inclusive amount: R11ย 500,00
- VAT rate: 15.00%
Method & assumptions
Value-Added Tax (VAT) is an indirect consumption tax levied at each stage of the supply chain in South Africa. Introduced in 1991 and currently set at 15% for standard-rated supplies, VAT is collected by SARS-registered vendors who charge output tax on their sales and offset it against input tax paid on their purchases. The net difference is remitted to SARS via a VAT201 return, typically every one or two months. For consumers, VAT is embedded in the prices of most goods and services they purchase, with the exception of zero-rated items such as basic foods and exports, and exempt supplies such as residential accommodation. Understanding whether a price is quoted exclusive or inclusive of VAT is essential for accurate budgeting, invoicing, and financial planning.
This calculator handles the three most common VAT calculations South African individuals and businesses need. Adding VAT converts an ex-VAT price to the amount you will actually pay at checkout or invoice. Removing VAT works in reverse โ useful when you have received a VAT-inclusive quote and want to know the underlying cost before tax. The component calculation isolates the VAT element within an inclusive amount, which is needed when reconciling financial statements or confirming the VAT portion on a supplier invoice. For zero-rated or exempt supplies, the calculator correctly applies a 0% rate, reflecting SARS policy. Always verify your vendor's VAT registration number on the SARS e-filing portal before claiming input tax credits.
Common mistakes
- Using an assumption that is not supported by a current local quote, bill, statement or official source.
- Treating a generic estimate as a lender, provider, payroll or tax authority decision.
- Mixing monthly and annual inputs without converting them consistently.
- Testing only one scenario instead of checking how a cautious assumption changes the result.
What to do next
- Run a second scenario with a cautious assumption so you can see the downside clearly.
- Compare the result with the related calculators below before making a decision.
- Check current local rules, eligibility and provider terms before applying or committing money.
- Keep a record of the assumptions so you can update the estimate when a quote, bill or pay figure changes.