From the Horse’s Mouth: House Sales and the VAT Increase

KVV Inc Attorneys

Published on: 04/03/2025

Buying or selling property? If your residential property purchase agreement was signed before April 1, 2018, but payment and registration happen after, you'll likely pay 14% VAT, not 15%, even if the price is VAT-inclusive. This applies to existing dwellings, plot-and-plan deals, and new builds. For commercial property, the VAT rate is determined by the earlier of registration or payment. Deposits held in trust don't trigger this. Installment payments on pre-April 1st sales remain at 14%. This information comes directly from SARS, the source itself.