How to Get Tax Rebate

By Trev Gami •  Updated: 01/23/24 •  5 min read

All individuals and companies that earn taxable money shall pay taxes to the South African Revenue Service (SARS). However, filing tax returns can be challenging since there are certain things you should know. For instance, if you pay too much tax than what you are required to do, you will be entitled to get what is known as a tax rebate. This article explains everything you want to know about the concept of tax rebates

How do Tax Rebates Work in South Africa?

When you pay too much tax, SARS will pay back your money, which is known as a tax rebate. This is one way of reducing your tax burden together with other exemptions you may qualify to get. SARS calculates the tax you should pay based on the money you earn and expenses you incur during the year. If you meet specific conditions that are considered in calculating taxes, your tax will be reduced. 

When you get a rebate, your tax liability will be reduced, and you may not get the money. However, you will be paid back the excess tax if you have no credit. If you owe SARS some money, you will not get the rebate when it is applied. Instead, it will be used to offset the money you owe. Rebates are used as yardsticks to establish taxable thresholds. This jargon can be confusing to many people, so it is a good idea to enlist the services of a professional so they handle your tax returns.  

How do I Claim the SARS Tax Rebate?

To claim your SARS tax rebate, request an eSTT refund first. You can do this by filling out Part A of the REV1600 form. Once you complete it, send it by email to Ibqueries@sars.gov.za. The following documents must accompany this form.

If your claim for a refund is denied, you will be notified, and you will also get the reasons for the decision. If the refund is successful, it will be processed and paid into your bank account within a few days. 

How Much is Tax Rebate in South Africa?

The tax year starts on 1 March and ends on 28/9 February the following year. Now, we are in the 2024 tax year, which commenced on 1 March 2024 and ends on 29 February 2024. The following are the types of tax rebates available in South Africa. 

When Can I Expect My SARS Refund 2024?

When your SARS refund has been approved and processed, you can expect to get it in about 72 hours, which is equivalent to three days. Once SARS completes the assessment of your refund request, you should expect to get your money within the stipulated time. To get the payment fast, you should ensure your banking details are correct. The refund should be more than R100 to be paid through the banking system. Additionally, make sure you have no outstanding returns or debt since these can lead to denial of the payment. No audit or verification must be initiated on your tax account if you want to get your refund without issues.  

Who Qualifies For Tax Returns?

People who qualify for tax returns belong to the income bracket of R500 000 or more. You should have one employer who is the source of income during a specific tax year. If you get money from different sources, you will not be considered. Other sources of income that are not considered include business income, rental income, travel allowance, taxable interest, and fringe benefits.

You should not have allowable tax deductions you can claim, such as travel expenses, medical expenses, and retirement contributions. If you meet the above requirements, you will get an auto-assessment from SARS. This is based on the data submitted by your employer to SARS. Information obtained from financial institutions, medical schemes, and retirement funds is used to generate the fund. 

Once you accept the auto-assessment, you no longer have to file a return. However, check if all the details are correct. If there is incorrect information, you will experience problems with your tax return. If you have additional income, you should declare it.

All South Africans who earn taxable income must pay taxes to SARS. However, you should understand all the concepts involved so that you do not end up with a credit or paying excessive tax to SARS. If you realize that you have paid more money than required, you can request a tax rebate. First, check the requirements to see if you qualify for a tax rebate before submitting your request.  

Keep Reading

How to Check SASSA R350 Payday

How to Check SASSA R350 Payday

You can check your SASSA R350 payday through the SASSA website or the Moya app. Both methods are simple. Here's how.

How to Submit An EMP601

How to Submit An EMP601

This article will explain how to submit an EMP601, what it is, the difference between EMP201 and EMP601

SARS Toll-Free Number To Dial For My Tax Number

SARS Toll-Free Number To Dial For My Tax Number

Obtaining your tax number online is a convenient method the South African Revenue Service (SARS) provides.

How to Register for PAYE on eFiling

How to Register for PAYE on eFiling

By far, the easiest way to pay PAYE and remain compliant is to register for the PAYE tax type on SARS eFiling- and here's how to do that.

How to Fill In Pay Periods on SARS Efiling

How to Fill In Pay Periods on SARS Efiling

This article explains everything you need to know about how to fill in pay periods on SARS eFiling.

How to Get EMP201 On eFiling

How to Get EMP201 On eFiling

EMP201 can be submitted and paid electronically via eFiling, a free, convenient, and secure online service SARS provides.

How To Register To Pay SDL

How To Register To Pay SDL

Learn how to register for SDL in South Africa. Meet your legal obligation and contribute to the growth of the country's workforce by understanding the requirements and making payments. Get expert guidance here.

How to Apply For a SARS Tax Number

How to Apply For a SARS Tax Number

Apply For a SARS Tax Number. In this article, we will learn about SARS and its taxation, how to get your SARS number.

How to Dispute SARS Efiling Assessment?

How to Dispute SARS Efiling Assessment?

This article explains everything you want to know about disputing SARS eFiling assessment. 

How to Check Your SARS Balance Online

How to Check Your SARS Balance Online

Today's article helps taxpayers transition to mobile, online alternatives with information on how to check your SARS balance online.

Who Is Exempt From Paying Tax in South Africa?

Who Is Exempt From Paying Tax in South Africa?

Who Is Exempt From Paying Tax in South Africa? This article explains everything you want to know about tax exemptions. 

How Do I Submit A DTR01?

How Do I Submit A DTR01?

Generally, the DTR01 is a declaration of the dividends tax transaction, showing the details of the dividend payer

What Happens After Submitting Your Tax Return?

What Happens After Submitting Your Tax Return?

Today, we'll explore what happens to your tax return after you click ‘submit’,  and what you can expect to hear from SARS.

How to Fill SARS Travel Logbook

How to Fill SARS Travel Logbook

This article explains how you fill out your SARS travel logbook. Continue reading to learn how to fill it

How to Report Tax Fraud

How to Report Tax Fraud

You can do this by taking different measures. Read on to learn how to report tax fraud.