Finance minister Malusi Gagaba has announced a number of tax changes that will take effect in the next financial year, as part of government’s efforts to raise R36 billion through tax efforts.

Here’s what is changing – and what is staying the same:

VAT increased to 15%

VAT is levied at the standard rate of 15% on the supply of goods and services by registered vendors. The tax rate was 14% until 31 March 2018.

A vendor making taxable supplies of more than R1 million per annum must register for VAT.

A vendor making taxable supplies of more than R50 000 but not more than R1 million per annum may apply for voluntary registration. Certain supplies are subject to a zero rate or are exempt from VAT.

New tax rates

The tax brackets will be adjusted at a rate below inflation – which means that those whose salaries were raised above inflation at the cusp of the last tax brackets may find themselves with a higher tax rate in 2018/19.

Fuel levies going up

Motorists will be hard-hit once again by another increase in the general fuel levy and Road Accident Fund levy come April 2018.

The general fuel levy will be hiked by 22 cents, taking it up to R3.37, while the Road Accident Fund levy will be hiked by 30 cents, taking it up to R1.93.

Estate duties going up

Estate duty is levied on property of residents and South African property of non-residents less allowable deductions.

From 1 April, the duty will be levied on the dutiable value of an estate at a rate of 20% on the first R30 million and at a rate of 25% above R30 million.

Donations tax going up

Donations tax is levied at a flat rate of 20% on the value of property donated. However, the amount of donations exceeding R30 million is taxed at a rate of 25%. The first R100 000 of property donated in each year by an individual is exempt from donations tax.

Sin taxes going up

Medical aid rebates remain

These remain unchanged, with a rebate of R310 per individual contributing member. This amount has been capped to start raising money for the National Health Insurance programme.

Capital Gains tax unchanged

Capital gains taxes remain unchanged at 18% for individuals, 22.4% for companies, and 36% for other trusts.

Company tax unchanged

Standard company tax remains unchanged at 28%

Dividend withholding tax unchanged

Tax on dividends remains unchanged at 20%

The infographic below highlights the main tax changes in the 2018 budget: