Zero-Rated
Quick Answer
What is Zero-Rated?
Zero-rated supplies are taxable supplies charged at 0% VAT – like basic foodstuffs and exports.
Zero-Rated explained
Zero-rated sales still count toward the R2.3 million VAT registration threshold, and the vendor can still claim input tax on related purchases – unlike exempt supplies.
Who it applies to: Vendors selling zero-rated goods or services.
Cost: N/A.
Related terms and guides
Official source: SARS (South African Revenue Service)
Always verify this information with official South African government sources. Rules, fees and thresholds change. Check SARS, CIPC, the Department of Employment and Labour or gov.za before you act.
About BizAnswers: BizAnswers is a privately owned South African company – not a government department. Our guides are free to read and show you how to do things yourself through official channels. If you would rather have the paperwork handled for you, we assist individuals and businesses with filing their South African tax returns and staying compliant, which is a paid service, not a free government service. Contact us for help.
Last reviewed: September 2026 by the BizAnswers editorial team. How we write and check our guides.