Side income tax in South Africa: what to know first

This is general information. It isn't tax advice. If your situation is complex, speak to a registered tax practitioner.

The basics

• South African tax residents are taxed on worldwide income, including dollars earned on platforms.
• For the 2026/27 tax year, the tax threshold for people under 65 is R99,000 of taxable income. Your salary and side income count together.
• Income without PAYE deducted (freelance, platform, content income) usually means you will need to look at provisional tax. SARS has specific guidance for content creators and influencers.

VAT

From 1 April 2026, compulsory VAT registration applies once taxable supplies exceed R2.3 million in 12 months (it was R1 million). Some older guides still quote the old figure.

Records from day one

Keep invoices, platform statements, payout confirmations and receipts for costs (data, software, equipment share). Genuine business expenses reduce taxable income.

If you plan to do bookkeeping or tax work for others

Providing tax advice or completing returns for others for payment requires registration as a tax practitioner with a recognised controlling body and SARS. This matters if bookkeeping is one of your recommended paths.

Questions people ask

Do I pay tax on side hustle income?

Yes, once your total taxable income, salary and side income together, is above the tax threshold. For 2026/27 that is R99,000 for people under 65.

What is provisional tax?

A way of paying tax in advance when you earn income that has no PAYE taken off. Payments are due by the end of August and by the end of February.

When must I register for VAT?

From 1 April 2026, when your taxable supplies go over R2.3 million in 12 months.