Free Small Business Corporation (SBC) Tax Calculator (2026/27)
Qualifying Small Business Corporations pay 0% tax on the first R99,000 of taxable income, then 7%, 21% and 27% bands – against a flat 27% for standard companies.
Qualification has rules: gross income R20 million or less, natural-person shareholders and no personal-service income. Read the SBC qualifying rules.
[ba_sbc_calc]
Frequently Asked Questions
How much tax does an SBC pay on R400,000 profit?
At 2026/27 rates: R18,620 plus 21% of R35,000 – R25,970 in total, against R108,000 at the flat 27% company rate.
Does every small company qualify for SBC rates?
No. The tests exclude companies with gross income above R20 million, shareholders with other private company shares, more than 20% investment income, or personal service provider status.
How do I claim SBC rates?
On the company’s ITR14 return – SBC is a status applied at assessment, not a separate registration.
Official sources
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.
