{"id":27782,"date":"2025-09-08T16:20:54","date_gmt":"2025-09-08T14:20:54","guid":{"rendered":"https:\/\/www.gauteng.net\/whats-on-g\/?p=27782"},"modified":"2026-03-12T09:53:31","modified_gmt":"2026-03-12T07:53:31","slug":"sars-tax-increase-on-parcels","status":"publish","type":"post","link":"https:\/\/www.gauteng.net\/whats-on-g\/sars-tax-increase-on-parcels\/","title":{"rendered":"No New Parcel Tax in South Africa: Understanding VAT and Customs Duties in 2025"},"content":{"rendered":"\n<p>South Africans have raised concerns in 2025 about rumours of a new <em>parcel tax<\/em> linked to growing e-commerce and postal deliveries. However, the South African Revenue Service (SARS) has <strong>not introduced any new tax specifically targeting parcels<\/strong>. Instead, parcel deliveries remain subject to South Africa\u2019s existing tax framework, which covers <strong>customs duties<\/strong> and <strong>Value-Added Tax (VAT)<\/strong>.<\/p>\n\n\n\n<p>This article breaks down how parcel taxation works in 2025, clarifies recent changes, and explains what both consumers and businesses should know.<\/p>\n\n\n\n<p><strong>READ MORE:<\/strong> <a href=\"https:\/\/www.gauteng.net\/whats-on-g\/tax-season-scams-2025\/\">Tax Season Scams on the Rise: How to Protect Yourself in 2025<\/a><\/p>\n\n\n\n<div class=\"wp-block-yoast-seo-table-of-contents yoast-table-of-contents\"><h2>Table of contents<\/h2><ul><li><a href=\"#h-no-dedicated-parcel-tax-introduced-in-2025\" data-level=\"2\">No Dedicated Parcel Tax Introduced in 2025<\/a><\/li><li><a href=\"#h-customs-duties-and-vat-on-imported-parcels\" data-level=\"2\">Customs Duties and VAT on Imported Parcels<\/a><\/li><li><a href=\"#h-vat-and-domestic-parcel-deliveries\" data-level=\"2\">VAT and Domestic Parcel Deliveries<\/a><\/li><li><a href=\"#h-vat-rate-in-2025\" data-level=\"2\">VAT Rate in 2025<\/a><\/li><li><a href=\"#h-how-sars-enforces-parcel-taxes\" data-level=\"2\">How SARS Enforces Parcel Taxes<\/a><\/li><li><a href=\"#h-seller-responsibilities\" data-level=\"2\">Seller Responsibilities<\/a><\/li><li><a href=\"#h-consumer-responsibilities\" data-level=\"2\">Consumer Responsibilities<\/a><\/li><li><a href=\"#h-impact-on-e-commerce-and-deliveries\" data-level=\"2\">Impact on E-Commerce and Deliveries<\/a><\/li><li><a href=\"#h-staying-informed\" data-level=\"2\">Staying Informed<\/a><\/li><li><a href=\"#h-what-this-means-for-you\" data-level=\"2\">What This Means for You<\/a><\/li><\/ul><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-no-dedicated-parcel-tax-introduced-in-2025\">No Dedicated Parcel Tax Introduced in 2025<\/h2>\n\n\n\n<p>There is <strong>no new \u201cparcel tax\u201d or levy<\/strong> in place this year. Tax rules for goods delivered by post or courier remain the same as those applied under South Africa\u2019s VAT <a href=\"https:\/\/www.sars.gov.za\/media-release\/changes-to-customs-import-system\/#:~:text=The%20changes%20to%20be%20implemented,rates%2C%20by%201%20November%202024.\" target=\"_blank\" rel=\"noreferrer noopener\">system<\/a> and customs legislation.<\/p>\n\n\n\n<p>Taxpayers should note that SARS can only collect <strong>taxes set out in law<\/strong>. It cannot impose new charges outside existing statutes, such as the Value-Added Tax Act and the Customs and Excise Act.<\/p>\n\n\n\n<div id=\"gaute-2631772120\" class=\"gaute-inbetween-content\" style=\"margin-top: 30px;margin-bottom: 30px;margin-left: auto;margin-right: auto;text-align: center;\"><div class=\"gaute-adlabel\">Advertisement<\/div><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-1852772760112594\" crossorigin=\"anonymous\"><\/script><ins class=\"adsbygoogle\" style=\"display:block;\" data-ad-client=\"ca-pub-1852772760112594\" \ndata-ad-slot=\"1819787043\" \ndata-ad-format=\"auto\" data-full-width-responsive=\"true\"><\/ins>\n<script> \n(adsbygoogle = window.adsbygoogle || []).push({}); \n<\/script>\n<\/div><h2 class=\"wp-block-heading\" id=\"h-customs-duties-and-vat-on-imported-parcels\">Customs Duties and VAT on Imported Parcels<\/h2>\n\n\n\n<p>Imported parcels remain subject to two main costs:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Customs duties<\/strong>: Charged based on the tariff classification of the goods. Rates vary depending on the product type and origin.<\/li>\n\n\n\n<li><strong>VAT at 15%<\/strong>: Calculated on the <em>total landed cost<\/em> of the parcel, including the customs value, shipping, insurance, and duties.<\/li>\n<\/ul>\n\n\n\n<p>Until <strong>August 2024<\/strong>, imported parcels under <strong>R500<\/strong> were exempt from VAT and duties. This exemption ended on <strong>1 September <\/strong><a href=\"https:\/\/www.reuters.com\/world\/africa\/south-africa-impose-vat-low-value-parcels-help-clothing-industry-compete-2024-08-08\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>2024<\/strong>,<\/a> when South Africa aligned with global trade norms. Now, <em>all imported parcels<\/em>, regardless of value, are subject to VAT and, where applicable, <a href=\"https:\/\/www.sars.gov.za\/customs-and-excise\/duties-and-taxes\/duties-and-taxes-for-importers\/\" target=\"_blank\" rel=\"noreferrer noopener\">customs duties<\/a>.<\/p>\n\n\n\n<p>This means that even low-value online shopping parcels face VAT, ensuring fair competition with local businesses.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-vat-and-domestic-parcel-deliveries\">VAT and Domestic Parcel Deliveries<\/h2>\n\n\n\n<p>For parcels shipped <strong>within South Africa<\/strong>, no separate parcel tax applies. Instead, VAT is charged at the standard rate of <strong>15%<\/strong> on most goods and services sold by VAT-registered businesses.<\/p>\n\n\n\n<p>The VAT is <strong>already included in the sale price<\/strong> of goods. Customers do not pay a separate \u201cparcel tax\u201d when buying from local companies.<\/p>\n\n\n\n<div id=\"gaute-4253768985\" class=\"gaute-inbetween-content\" style=\"margin-top: 30px;margin-bottom: 30px;margin-left: auto;margin-right: auto;text-align: center;\"><div class=\"gaute-adlabel\">Advertisement<\/div><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-1852772760112594\" crossorigin=\"anonymous\"><\/script><ins class=\"adsbygoogle\" style=\"display:block;\" data-ad-client=\"ca-pub-1852772760112594\" \ndata-ad-slot=\"1819787043\" \ndata-ad-format=\"auto\" data-full-width-responsive=\"true\"><\/ins>\n<script> \n(adsbygoogle = window.adsbygoogle || []).push({}); \n<\/script>\n<\/div><h2 class=\"wp-block-heading\" id=\"h-vat-rate-in-2025\">VAT Rate in 2025<\/h2>\n\n\n\n<p>In the <strong>2025 National Budget<\/strong>, government briefly proposed raising VAT to <strong>15.5% in March<\/strong> and then to <strong>16% in April<\/strong>. However, this was met with public and business opposition, and the <strong>increase was rescinded<\/strong> in April 2025.<\/p>\n\n\n\n<p>The VAT rate for 2025 therefore <strong>remains at 15%<\/strong>, <a href=\"https:\/\/www.gov.za\/news\/media-statements\/national-treasury-publication-2025-draft-tax-bills-and-draft-regulations\" target=\"_blank\" rel=\"noreferrer noopener\">unchanged since 2018<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-how-sars-enforces-parcel-taxes\">How SARS Enforces Parcel Taxes<\/h2>\n\n\n\n<p>SARS has been modernising its customs and tax systems to improve compliance:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Electronic declarations<\/strong>: All imports must be properly declared to customs.<\/li>\n\n\n\n<li><strong>Automated risk checks<\/strong>: Systems flag suspicious shipments for inspection.<\/li>\n\n\n\n<li><strong>Stricter low-value parcel rules<\/strong>: With the R500 exemption removed, all imports face VAT.<\/li>\n<\/ul>\n\n\n\n<p>These changes are designed to close loopholes, protect local industries, and <a href=\"https:\/\/www.sars.gov.za\/legal-counsel\/secondary-legislation\/tariff-amendments\/tariff-amendments-2025\/\" target=\"_blank\" rel=\"noreferrer noopener\">ensure fairness<\/a> in tax collection.<\/p>\n\n\n\n<div id=\"gaute-3732019766\" class=\"gaute-inbetween-content\" style=\"margin-top: 30px;margin-bottom: 30px;margin-left: auto;margin-right: auto;text-align: center;\"><div class=\"gaute-adlabel\">Advertisement<\/div><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-1852772760112594\" crossorigin=\"anonymous\"><\/script><ins class=\"adsbygoogle\" style=\"display:block;\" data-ad-client=\"ca-pub-1852772760112594\" \ndata-ad-slot=\"1819787043\" \ndata-ad-format=\"auto\" data-full-width-responsive=\"true\"><\/ins>\n<script> \n(adsbygoogle = window.adsbygoogle || []).push({}); \n<\/script>\n<\/div><h2 class=\"wp-block-heading\" id=\"h-seller-responsibilities\">Seller Responsibilities<\/h2>\n\n\n\n<p>Businesses selling goods delivered by parcel must:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Register for VAT if their turnover exceeds the legal threshold.<\/li>\n\n\n\n<li>Collect 15% VAT on taxable goods.<\/li>\n\n\n\n<li>Remit VAT to SARS in line with filing requirements.<\/li>\n<\/ul>\n\n\n\n<p>Failure to do so risks penalties, audits, and reputational damage.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-consumer-responsibilities\">Consumer Responsibilities<\/h2>\n\n\n\n<p>South African consumers should:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Check whether VAT is included in online purchases.<\/li>\n\n\n\n<li>Be prepared to pay customs duties and VAT on imported parcels above R0 (since the R500 exemption ended).<\/li>\n\n\n\n<li>Avoid unverified claims of \u201cextra parcel taxes,\u201d which often spread on social media.<\/li>\n<\/ul>\n\n\n\n<div id=\"gaute-848417410\" class=\"gaute-inbetween-content\" style=\"margin-top: 30px;margin-bottom: 30px;margin-left: auto;margin-right: auto;text-align: center;\"><div class=\"gaute-adlabel\">Advertisement<\/div><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-1852772760112594\" crossorigin=\"anonymous\"><\/script><ins class=\"adsbygoogle\" style=\"display:block;\" data-ad-client=\"ca-pub-1852772760112594\" \ndata-ad-slot=\"1819787043\" \ndata-ad-format=\"auto\" data-full-width-responsive=\"true\"><\/ins>\n<script> \n(adsbygoogle = window.adsbygoogle || []).push({}); \n<\/script>\n<\/div><h2 class=\"wp-block-heading\" id=\"h-impact-on-e-commerce-and-deliveries\">Impact on E-Commerce and Deliveries<\/h2>\n\n\n\n<p>The end of the R500 VAT exemption has been particularly relevant for the <strong>e-commerce sector<\/strong>. Low-value imported goods now attract VAT, helping <strong>level the playing field<\/strong> for South African retailers who already charge VAT on their goods.<\/p>\n\n\n\n<p>For consumers, this means parcels from overseas may now be more expensive than before September 2024. However, the system ensures more consistent tax treatment across goods.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-staying-informed\">Staying Informed<\/h2>\n\n\n\n<p>To avoid confusion, taxpayers should:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Follow SARS updates on its <a href=\"https:\/\/www.sars.gov.za\/\" target=\"_blank\" rel=\"noreferrer noopener\">official website<\/a> or social media.<\/li>\n\n\n\n<li>Consult registered tax practitioners for advice on parcel-related taxes.<\/li>\n\n\n\n<li>Report misinformation directly to SARS.<\/li>\n<\/ul>\n\n\n\n<p><em>Confused by tax jargon?<\/em> <strong><a href=\"https:\/\/www.gauteng.net\/whats-on-g\/tax-terms-explained\/\">Tax Terms Explained: IRP5, ITA34, ITR12, and More in Plain English<\/a><\/strong>. <em>Get clear, simple explanations of the most common SARS tax terms to help you file with confidence.<\/em><\/p>\n\n\n\n<div id=\"gaute-1594408450\" class=\"gaute-inbetween-content\" style=\"margin-top: 30px;margin-bottom: 30px;margin-left: auto;margin-right: auto;text-align: center;\"><div class=\"gaute-adlabel\">Advertisement<\/div><script async src=\"\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-1852772760112594\" crossorigin=\"anonymous\"><\/script><ins class=\"adsbygoogle\" style=\"display:block;\" data-ad-client=\"ca-pub-1852772760112594\" \ndata-ad-slot=\"1819787043\" \ndata-ad-format=\"auto\" data-full-width-responsive=\"true\"><\/ins>\n<script> \n(adsbygoogle = window.adsbygoogle || []).push({}); \n<\/script>\n<\/div><h2 class=\"wp-block-heading\" id=\"h-what-this-means-for-you\">What This Means for You<\/h2>\n\n\n\n<p>There is <strong>no new parcel tax in 2025<\/strong>. Instead, the key rules are:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Imports<\/strong>: All imported parcels are subject to VAT at 15%, plus customs duties where applicable.<\/li>\n\n\n\n<li><strong>Domestic sales<\/strong>: VAT is charged at 15% on most goods, already included in the price.<\/li>\n\n\n\n<li><strong>No hidden taxes<\/strong>: SARS cannot impose taxes outside the laws of Parliament.<\/li>\n<\/ul>\n\n\n\n<p>Understanding these rules helps both businesses and consumers avoid misinformation, comply with the law, and make informed decisions about online shopping and parcel deliveries.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-video is-provider-youtube wp-block-embed-youtube wp-embed-aspect-16-9 wp-has-aspect-ratio\"><div class=\"wp-block-embed__wrapper\">\n<iframe title=\"SA-US Tariffs | SA goods to attract 30% import duty\" width=\"755\" height=\"425\" src=\"https:\/\/www.youtube.com\/embed\/676pbo_I-ik?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe>\n<\/div><figcaption class=\"wp-element-caption\"><a href=\"https:\/\/youtu.be\/676pbo_I-ik?si=8huExSg2tlTgJyir\" target=\"_blank\" rel=\"noreferrer noopener\">YouTube<\/a><\/figcaption><\/figure>\n","protected":false},"excerpt":{"rendered":"<p>SARS confirms no new tax on parcels in 2025. Understand current VAT and customs duties on parcel imports and domestic deliveries in South Africa.<\/p>\n","protected":false},"author":15,"featured_media":27806,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"rank_math_focus_keyword":"","rank_math_title":"","rank_math_description":"SARS confirms no new tax on parcels in 2025. Understand current VAT and customs duties on parcel imports and domestic deliveries in South Africa.","footnotes":""},"categories":[24],"tags":[4041,2536,6355,8145],"class_list":{"0":"post-27782","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance","8":"tag-e-commerce","9":"tag-sars","10":"tag-south-african-revenue-service-sars","11":"tag-tax-compliance"},"_links":{"self":[{"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/posts\/27782","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/users\/15"}],"replies":[{"embeddable":true,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/comments?post=27782"}],"version-history":[{"count":6,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/posts\/27782\/revisions"}],"predecessor-version":[{"id":27805,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/posts\/27782\/revisions\/27805"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/media\/27806"}],"wp:attachment":[{"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/media?parent=27782"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/categories?post=27782"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.gauteng.net\/whats-on-g\/wp-json\/wp\/v2\/tags?post=27782"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}