SOUTH AFRICA
SUBSISTENCE ALLOWANCES AND SARS RATE PER KILOMETRE
It is important that employers note the following:
Subsistence allowances and rate per kilometre for the 2025-2026 tax year
On 21 February SARS published draft notices on its website regarding the rate per kilometre and subsistence allowances. Although the budget speech has not yet been delivered, SARS has chosen to release these draft notices ahead of the official publishing date of 28 February 2025.
At this stage, it appears that no changes will be made to these draft notices following the budget speech scheduled for 12 March 2025. However, if any updates arise, another News Flash will be circulated.
Subsistence allowances
With effect from 1 March 2025, for business travel within the Republic where at least one night is spent away from home, the daily deemed expense thresholds will be:
For business trips where no overnight stay is required, the daily deemed expense threshold for meals and incidental costs will be R176.
Where the accommodation to which that allowance or advance relates is outside of the Republic, and the allowance or advance is paid or granted to cover the cost of meals and incidental expenses, the applicable amount per day will be determined in accordance with the ‘Table: Daily Amount for Travel Outside the Republic’ under Notice 4458 published in Government Gazette No. 50243 dated 1 March 2024.
To view the SARS notice on the day allowances, follow the link.
To view the SARS notice on the overnight allowances, follow the link.
