South African tax year 1 March 2026 to 28 February 2027
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Rental income tax calculator

Rental profit is added to your other income and taxed at your marginal rate. Enter the year's rent and expenses to see the profit, the extra tax and what to put aside each month.

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Deductible expenses for the year

Capital improvements (a new room, a pool) aren't deductible: they're added to the property's base cost for CGT when you sell.

What landlords can deduct

  • Bond interest on the rental property (only the interest, not capital repayments)
  • Rates and taxes, levies, building insurance
  • Repairs and maintenance that restore the property (painting, fixing a geyser), not improvements
  • Agent commission, management fees, advertising, legal fees for lease or eviction
  • Wear and tear on furniture and appliances you supply (usually over 6 years; SARS Interpretation Note 47)
  • Utilities you pay that the tenant doesn't refund

When a rental loss can't be used (section 20A)

If your taxable income (before the loss) is in the top tax bracket and you've had losses in 3 of the last 5 years, SARS can ring-fence the loss so it's carried forward against future rental profit instead of reducing your salary tax.

Renting out a room or using Airbnb

The same rules apply: income less expenses that relate to the rented part (apportion by floor area and days). Short-term rentals above R2.3 million a year (from April 2026) must also register for VAT; long-term residential rent is VAT-exempt.

Frequently asked questions

How much tax do I pay on rental income in South Africa?

Your rental profit is taxed at your marginal rate, between 18% and 45%. Use the calculator for your exact amount.

Can I deduct my bond repayments?

Only the interest portion on a bond used to buy the rental property. The capital portion isn't deductible.

Do I have to pay provisional tax on rental income?

Usually yes: if your rental and other non-salary income is more than R30,000 a year, you must register as a provisional taxpayer and pay IRP6 twice a year.

Last updated 2026-10-10. Sources: SARS rates of tax for individuals, medical tax credit rates, interest exemption, capital gains tax and the rate-per-kilometre schedule on sars.gov.za.