South Africa Draft Tax Bills 2026: What They Mean for Households

The South African government has published a set of draft tax bills for 2026 that could significantly affect how households file their taxes. The public consultation period closes on 28 August 2026.

While much of the media coverage has focused on business tax implications, these draft bills also contain important changes for ordinary South African households.

This guide breaks down the key household-focused provisions, explains what they mean for you, and provides practical steps you can take before the consultation deadline.

Key household changes

1. Medical tax credit adjustments

Proposed changes to medical scheme fees tax credit could affect households with medical aid coverage.

2. Retirement fund lump sum changes

Amendments to how retirement fund lump sums are taxed upon withdrawal or retirement.

3. Capital gains on primary residence

Changes to how capital gains on primary residences are calculated.

4. VAT on residential rental

Proposed changes to VAT treatment of residential rental properties.

Why the deadline matters

This is your opportunity to have a say in how these tax changes affect you:

• You rely on medical tax credits
• Planning retirement or lump sum withdrawal
• Own property and may sell
• Use a trust for estate planning

How to submit your comment

• Find the bills: Visit treasury.gov.za
• Identify: Review provisions relevant to your household
• Write: Explain how the change affects you
• Submit: Before 28 August 2026

Frequently asked questions