Turnover Tax Registration
Application to register for (or deregister from) the Turnover Tax system — a simplified tax regime for micro businesses with qualifying annual turnover of R1 million or less. Tax is calculated as a percentage of gross turnover (0%–3%) instead of normal income tax, eliminating the need to track deductible expenses.
TT1
Entity / Business Name
Full name of the business or individual applying. Turnover Tax is available to sole proprietors, partnerships, companies, Close Corporations, and co-operatives with qualifying turnover. Excluded: trusts, personal service providers, public benefit organisations, and businesses earning mainly investment income.
TT2
Tax Reference Number
Existing SARS income tax reference number (if already registered for income tax). If not yet registered with SARS, a new reference number will be issued upon processing the TT01.
TT3
Type of Business Entity
Entity classification: sole proprietor, partnership, company (Pty Ltd), Close Corporation (CC), or co-operative. Determines whether Turnover Tax is paid by the individual (sole proprietor/partner) or by the registered entity.
TT4
Estimated Annual Turnover
Estimated gross receipts from business activities for the tax year. Must not exceed R1,000,000 to qualify. If turnover exceeds R1M during the year, the business must notify SARS and deregister from Turnover Tax, switching to normal income tax from the following tax year.
TT5
Nature of Business
Description of the business activity. Certain activities are excluded from Turnover Tax: professional services (accountants, attorneys, engineers, doctors), labour brokers, and personal service providers must use the normal income tax system.
TT6
Registration Effective Date
The date from which Turnover Tax registration takes effect — must be the start of a tax year (1 March). Applications must be submitted before 1 March of the year the taxpayer wants to register. Existing income tax taxpayers switching to Turnover Tax must apply by 28 February.
TT7
Tax Period and Rates
Turnover Tax is paid in two periods: first payment by 31 August and final payment by 28 February. Rates (2024/25): 0% on the first R335,000 of turnover; 1% on R335,001–R500,000; 2% on R500,001–R750,000; 3% on R750,001–R1,000,000.