How to work out your SARS tax refund (2026/27)
Figures for the 2026/27 tax year. Prime rate checked 2 October 2026; tax tables and fees checked 30 September 2026. By AfroTech.
Your employer deducts PAYE every month, but SARS works out your final tax only when you file your return. The difference is your refund, or the amount you still owe. Here's what causes each, worked out with the 2026/27 SARS tables.
Why the numbers differ
PAYE assumes your salary is your only income, that you earn it evenly all year, and that you have only the deductions your employer knows about. Anything outside that picture changes your final tax.
- You'll likely get a refund if you paid into a retirement annuity yourself, had a bigger medical aid household than your payroll shows, or worked only part of the year.
- You'll likely owe if you had two employers at once, side or rental income, or interest above the R 23 800 exemption.
Example 1: a retirement annuity paid by debit order
On R 40 000 a month, PAYE for the year is R 92 217. If you also pay R 3 000 a month into an RA yourself, your taxable income drops by R 36 000 and your tax for the year is R 81 057. You can expect a refund of about R 11 160, as long as you include the IT3(f) certificate from your RA provider in your return.
Example 2: two jobs at the same time
Two employers each paying you R 20 000 a month each deduct PAYE as if theirs were your only salary: R 25 380 a year each. But on your combined R 480 000 a year, your tax is R 92 217. You'll owe SARS about R 41 457 when you file, because each employer gave you a full rebate and the lower tax rates.
Example 3: interest on savings
The first R 23 800 of South African interest is tax-free (R 34 500 from age 65). With R 40 000 of interest on top of a R 40 000 monthly salary, R 16 200 is taxable, so you'd owe about R 5 022. Interest in a tax-free savings account doesn't count.
How to check before you file
- Get your IRP5 from your employer: it shows your income and the PAYE deducted (code 4102).
- Gather certificates for RA contributions (IT3(f)), medical aid, and interest (IT3(b)).
- SARS sends many people an auto-assessment. Check it against your own documents before accepting it: it may not include your RA or medical expenses.
Try it with your own numbers. The ZARWise calculator uses the same figures as this page.
Estimate your own refund