Transfer Duty is a tax levied on the transfer of property from one owner to another. The buyer is responsible for paying the transfer duty.
Some transfers attract no transfer duty:
- Properties where VAT is applicable
- Properties, including improvements, purchased for less than
- R140 000 by a natural person as defined in the tax laws.
For individuals, transfer duty is calculated at 5% of the portion of the purchase price above R140 000 or R9 000 plus 8% of the purchase price above R320 000.
For legal entities, transfer is calculated at 10% of the total purchase price of the property.