According to recent studies, the PAYE rate in South Africa is one of the highest in the world. This means that many people are overpaying on their taxes and not getting the full benefit of their deductions. The good news is that there are ways to reduce your tax burden and make sure you’re only paying what you owe. In this blog post, we’ll look at how much you should pay in taxes and how to reduce your tax burden.
Some statistics, the top marginal tax rate for individuals is 41%, while companies pay 28%. This means that a large portion of people’s incomes is going towards taxes, leaving them with less money to live on. In South Africa, workers are entitled to a minimum wage of R20 per hour. This translates to around R3,500 based on a 40-hour working week.
Ways to reduce the tax burden
There are several ways to reduce your tax burden in South Africa. One way is to ensure that you only pay what is owed. This can be done by ensuring that your tax return is up to date and accurate. Another way to reduce your tax burden is to take advantage of the many deductions and allowances that are available.
