Provisional tax · IRP6
Provisional tax, calculated and filed on time
If you earn money that isn't a salary, SARS expects you to pay tax in advance twice a year. We work out the right estimate, file your IRP6 and remind you before every deadline.
- Registered tax practitioner, Cape Town CBD
- CFP® · Registered Tax Practitioner (SARS) · CIBA member (SAIBA6662)
- In practice since 2011
In short: provisional tax is income tax paid in advance by people who earn income other than a salary, such as freelance fees, rent or investment income. Individuals with a February year end file two IRP6 returns a year: the first by the end of August and the second by the end of February. Dynamic Group SA calculates both estimates from your actual figures, files them on eFiling and tells you exactly what to pay.
Who must pay provisional tax
You are generally a provisional taxpayer if you receive income that isn't remuneration from an employer, for example:
- Freelance, consulting or sole-proprietor income
- Rental income from property in South Africa or abroad
- Interest and foreign dividends above the exempt amounts
- Directors' fees and income from a side business
Companies are also provisional taxpayers. There are narrow exemptions for people with small amounts of interest, dividends or rent. We confirm on a call whether they apply to you.
Why the estimate matters
SARS charges interest when provisional tax is paid late, and can add a penalty when it is paid late or when your second estimate is too low compared with your final taxable income. An estimate pulled from thin air is the most common way people end up with an avoidable bill.
We base your estimate on your real income to date, last year's assessment and what is still to come, and keep a record of how we got there in case SARS asks.
Fixed fees
What's included
IRP6 provisional tax return
Fixed fee, quoted on a call
- Estimate built from your actual income and expenses
- Calculation of tax, rebates and credits already paid
- Submission on SARS eFiling and payment reference
- Deadline reminders by WhatsApp or email
- Optional top-up payment advice after year end
Annual bundle
Both IRP6 returns plus your ITR12.
Quoted on a call
- August and February IRP6 returns
- Your annual ITR12 (see personal tax plans)
- Bookkeeping templates for income and expenses
- SARS verification and query support
How it works
- Book a callWe confirm whether you need to register and which deadlines apply to you.
- Send your figuresIncome and expense records, bank statements or your bookkeeping export.
- We calculate and fileYou approve the estimate and the amount to pay, then we submit the IRP6.
- You pay SARSUsing the payment reference we send. We diarise the next deadline for you.
Provisional tax questions
When are provisional tax payments due?
For individuals with a 28 February year end, the first IRP6 is due by the end of August and the second by the end of February. A voluntary third payment can be made after year end to reduce interest if you underpaid. SARS publishes exact dates each year, and a payment due on a weekend or public holiday falls on the last business day before it.
What happens if I pay too little provisional tax?
SARS charges interest on the shortfall and can add a penalty if your second estimate is too low compared with your final taxable income. Late payment and late filing also attract penalties. A well-supported estimate is the best protection.
I'm employed but also earn rent. Am I a provisional taxpayer?
In most cases yes, because rental income isn't remuneration. There is an exemption when your non-salary income from interest, dividends and rent is small and you have no business income. We check your figures on a call and register you only if you need to be.
Can you register me for provisional tax with SARS?
Yes. We can handle the registration on eFiling and set up your profile so that future IRP6 returns are issued to you correctly.
Do companies pay provisional tax too?
Yes. Companies pay provisional tax based on their own financial year end. We handle company IRP6 returns as part of our small business accounting service.
Who you work with
Tony Okonkwo, founder
CFP® · Registered Tax Practitioner (SARS) · CIBA member (SAIBA6662)
Tony founded Dynamic Group SA in Cape Town in 2011. Every return and every SARS submission is reviewed by a registered tax practitioner before it is filed. Because the practice also covers financial planning, trusts, estates and immigration, your tax position is looked at together with the rest of your affairs, not in isolation.
Related services
- Personal tax returnsYour ITR12 prepared, reviewed and filed, with SARS verifications handled.
- SARS disputes & objectionsObjections, appeals, s164 suspension of payment and SARS debt compromises.
- Trusts & estate planningTrust setup and administration, wills, and estate plans that account for tax.
- Expat & foreign income taxTax residency, foreign income, ceasing residency and tax for foreign nationals in SA.
- Small business accountingBookkeeping, financial statements, company tax, VAT, payroll and CIPC in one monthly fee.
Talk to a registered tax practitioner
Book a free 20-minute call. We look at your situation, tell you what you need and give you a fixed fee before any work starts.