RATE PER KILOMETER: 2026 TAX YEAR

Thanks to SARS who, after a request by the PAGSA, today published the prescribed rate per-kilometer and the SARS Cost Scale table under sections 8(1)(b)(ii) and (iii), effective 1 March 2025.

The prescribed rate per kilometer effective 1 March 2025 has been reduced from R4,84 per km to R4,76 per km. This rate is applicable at the option of the recipient where no other form of compensation is received for business travel purposes.

The “Cost scale Table” has been changed for 2025/26 (effective 1 March 2025) and can be access via the following link: https://www.sars.gov.za/legal-lsec-it-gn-2025-003-budget-2025-rates-per-kilometre-28-february-2025/