fbpx

What is Transfer Duty? #AskEtchells

Transfer Duty is the tax that a purchaser (person, company, closed corporation or trust) pays based on the value of the property sold. The Transfer Duty is usually paid to SARS by the Conveyancer who pays on the purchaser’s behalf, and as of 1 March 2015 is as follows:

Property Value & Transfer Duty Rate

  • 0 – R750 000 : 0% (exempt from transfer duty)
  • R750 001 – R1 250 000 : 3% of the value above
  • R1 250 001 – R1 750 000 : R15 000 + 6% of the value above R1.25mil
  • R1 750 001 – R2 250 000 : R45 000 + 8% of the value above
  • R2 250 001 and above : R85 000 + 11% of the value above R2.25mil

“The new rates eliminate transfer duty on properties below R750 000, while the rate on properties above R2.25 million will increase.”

Nhlanhla Nene

Finance Minister 2015