The 2014/2015 budget speech was announced by Pravin Gordhan on 26 February 2014. This page details the insights, tax tables, tax guides and transcripts for the 2014/15 Budget Speech.
Check your tax (FREE salary tax calculator)
Want to know how the 2014/2015 Budget Speech affects your pocket? Try our online salary tax calculator, which was developed in line with the 2014 Budget Speech changes. You simply enter your current monthly salary and allowances to view what your tax saving or liability will be in the 2014/ 2015 tax year. You can also check out the mobi salary tax calculator on your smart phone. Simply go to m.taxcalc.pastelpayroll.co.za.
New tax rates and legislation
The rates of tax in respect of the 2014/2015 tax year are set out in the new tax tables, see below.
|Taxable Income (R):||Rates of Tax:|
|0 – 174,550||18% of taxable income|
|174,551 – 272,700||R31,419 + 25% of taxable income above R174,550|
|272,701 – 377,450||R55,957+ 30% of taxable income above R272,700|
|377,451 – 528,000||R87,382 + 35% of taxable income above R377,450|
|528,001 – 673,100||R140,074 + 38% of taxable income above R528,000|
|673,101 and above||R195,212 + 40% of taxable income above R673,100|
|Monthly Medical Aid Tax Credits||Value|
|Each additional dependent||R172|
Budget Speech Highlights
- Personal income tax rates adjusted to compensate for the effects of inflation.
- Personal income tax relief amounts to 9.25 billion. 40% of the relief goes to South Africans earning below R250,000 per year.
- To align the treatment of company car fringe benefits, it is proposed that the actual retail market value only be used. It is also proposed to treat employees who bear costs of fuel & maintenance more equitably.
- It is proposed that the first R500,000 of retirement lump-sum is tax free, up from R315,000.
- National Health Insurance white papers will be tabled soon.
- Unemployment benefits proposed to be extended to 365 days.
- There is a clear strategy for youth development and employment – employment tax incentive, special economic zones, industrial incentives, support for agriculture
- The deemed rate per kilometre increased with 6 cents to R3,30/km.
- RSA subsistence values are now R335/day for meals & incidentals and R103 for incidentals only for travel inside the RSA.
- Medical tax credits are now R257 for the main members & 1st dependent and R172 for additional dependents.
The 2014 budget speech transcript gives a detailed account of the changes made in this year’s budget speech.