| (1) | Subject to the provisions of section 9, there shall be levied for the benefit of the National Revenue Fund a transfer duty (hereinafter referred to as the duty) on the value of any property (which value shall be determined in accordance with the provisions of sections 5, 6, 7 and 8) acquired by any person on or after the date of commencement of this Act by way of a transaction or in any other manner, or on the amount by which the value of any property is enhanced by the renunciation, on or after the said date, of an interest in or restriction upon the use or disposal of that property, at the rate of— |
| (a) | [Section 2(1)(a) deleted by section 2(1)(a) of Act No. 24 of 2011] |
| (b) | subject to subsection (5)— |
| (i) | 0 per cent of so much of the said value or the said amount, as the case may be, as does not exceed R1 210 000; |
| (ii) | 3 per cent of so much of the said value or the said amount, as the case may be, as exceeds R1 210 000 but does not exceed R1 663 800; |
| (iii) | 6 per cent of so much of the said value or the said amount, as the case may be, as exceeds R1 663 800 but does not exceed R2 329 300; |
| (iv) | 8 per cent of so much of the said value or the said amount, as the case may be, as exceeds R2 329 300 but does not exceed R2 994 800; |
| (v) | 11 per cent of so much of the said value or the said amount, as the case may be, as exceeds R2 994 800 but does not exceed R13 310 000; and |
| (vi) | 13 per cent of so much of the said value or the said amount, as the case may be, as exceeds R13 310 000. |
[Section 2(1)(b) substituted by section 1(1) of the Rates and Monetary Amounts and Amendment of Revenue Laws Act, 3 of 2026, Notice No. 7342, GG54446, dated 1 April 2026 - deemed to have come into operation on 1 April 2025 and applies in respect of property acquired or interest or restriction in any property renounced on or after that date (section 1(2))]
Fixing of rates of normal tax
| (1) | The rates of tax fixed by Parliament in terms of section 5(2) of the Income Tax Act, 1962, are set out in paragraphs 1 to 7 and 9 of Schedule I. |
| (2) | The rate of tax fixed by Parliament in terms of section 48B(1) of the Income Tax Act, 1962, is set out in paragraph 8 of Schedule I. |
| (3) | Subject to subsection (4), the rates of tax referred to in subsection (1) apply in respect of— |
| (a) | any person (other than a company or a trust other than a special trust) for any year of assessment commencing on or after 1 March 2025; |
| (b) | any company for any year of assessment ending on or after 1 April 2025; and |
| (c) | any trust (other than a special trust) for any year of assessment commencing on or after 1 March 2025. |
| (4) | The rate of tax referred to in subsection (2) applies in respect of the taxable turnover of a person that is a registered micro business as defined in paragraph 1 of the Sixth Schedule to the Income Tax Act, 1962, in respect of any year of assessment commencing on or after 1 March 2025. |
| (2) | The Minister of Finance that, with effect from a date mentioned in that announcement— |
[Words preceding section 2(2)(a) substituted by section 1(1)(a) of Act No. 15 of 2016]
| (a) | the rates of transfer duty contemplated in subsection (1) will be altered to the extent mentioned in the announcement; or |
[Section 2(2)(a) amended by section 1(1) of Act No. 25 of 2015]
| (b) | there will be a change in the provision of this Act that will have the effect that the acquisition of or the renunciation of any interest in or restriction upon a certain class of property will no longer be subject to transfer duty. |
[Section 2(2) inserted by section 1 of Act No. 31 of 2005]
| (3) | If the Minister makes an announcement contemplated in subsection (2), that alteration or change comes into effect on the date determined by the Minister in that announcement and continues to apply for a period of 12 months from that date subject to Parliament passing legislation giving effect to that announcement within that period of 12 months. |
[Section 2(3) substituted by section 1(1)(b) of Act No. 15 of 2016]
| (4) | [Section 2(4) deleted by section 3(1)(b) of Act No. 88 of 1974] |
| (5) | Where a person acquires any property consisting of or including an undivided share in any property (hereafter in this subsection referred to as the joint property), the duty payable in respect of such acquisition shall be calculated in accordance with the formula |
in which formula—
| (a) | "y" represents the duty payable; |
| (b) | "a" represents the value on which the duty is leviable in terms of subsection (1); |
| (c) | "b" represents an amount equal to the sum of— |
| (i) | the amount represented by "a"; and |
| (ii) | the value of the remainder of the joint property (being the share or shares in the joint property remaining after excluding the aforesaid undivided share), assuming such value to be an amount which bears to the value of the said undivided share (being the value thereof represented by or included in 'a') the same ratio as the said remainder (expressed as a percentage of the full ownership of the joint property without regard to the value of that property or any share therein); and |
| (d) | "c" represents the duty which would have been leviable at the rate prescribed in subsection (1)(b) on the amount represented by the symbol "b" in the formula if that amount had been the value on which duty was leviable under subsection (1). |
[Section 2(5) substituted by section 2(1)(c) of Act No. 24 of 2011]
| (6) | The provisions of subsection (5) shall not apply in respect of the acquisition of an undivided share in common property which is in terms of the provisions of the Sectional Titles Act, 1986 (Act No. 95 of 1986), apportioned to a section as defined in section 1 of that Act and forms part of a unit as so defined but shall apply in respect of the acquisition of an undivided share in such unit. |
[Section 2(6) substituted by section 3 of Act No. 87 of 1988]
| (7) | [Section 2(7) deleted by section 1 of Act No. 37 of 1995] |
| (8) | [Section 2(8) deleted by section 2(1)(d) of Act No. 24 of 2011] |
[Section 2 substituted by section 2 of Act No. 77 of 1964]
