Cryptocurrency Tax in South Africa – The Legal Guide revealed. We have compiled a guide for South Africans regarding Cryptocurrency Tax in South Africa, providing information they might need when they trade cryptocurrencies. This is a complete guide to Cryptocurrency Tax in South Africa.    

Cryptocurrency Tax in in South Africa – 12 Key Point Quick Overview

 

  1. ✅ What is Crypto Trading, and is it Legal in South Africa?
  2. ✅ The History of Crypto Asset Tax in South Africa
  3. ✅ The South African Revenue Service and Crypto Asset Tax
  4. ✅ SARS – Tracking Crypto Asset Transactions in South Africa
  5. ✅ How Other Crypto Asset Transactions Are Taxed in South Africa
  6. ✅ Calculating Tax on Crypto Assets Step-by-Step
  7. ✅ Considerations for South African Crypto Traders in Terms of Tax
  8. ✅ How does SARS deal with Stolen or Lost Crypto Assets?
  9. ✅ Tax-Free Crypto Asset Transactions in South Africa
  10. ✅ The Best Crypto Brokers in South Africa
  11. ✅ Conclusion
  12. ✅ Frequently asked questions

  In this in-depth guide, you’ll learn:

  • What is Crypto Trading, and is it Legal in South Africa?
  • The History of Crypto Asset Tax in South Africa
  • The South African Revenue Service and Crypto Asset Tax
  • SARS – Tracking Crypto Asset Transactions in South Africa
  • How Other Crypto Asset Transactions Are Taxed in South Africa
  • Calculating Tax on Crypto Assets Step-by-Step
  • Considerations for South African Crypto Traders in Terms of Tax
  • How does SARS deal with Stolen or Lost Crypto Assets
  • Tax-Free Crypto Asset Transactions in South Africa
  • The Best Crypto Brokers in South Africa

 

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What is Crypto Trading, and is it Legal in South Africa?

  A cryptocurrency, also known as a crypto asset, is a digital representation of value that uses cryptography techniques. Unlike traditional currencies, it is not issued by a central bank. Instead, it is traded, transferred, and stored electronically by individuals and businesses for various purposes, such as payments, investments, and other forms of utility. Cryptocurrency trading refers to the buying and selling of digital currencies on online platforms. It is legal in South Africa, but the country's regulatory authorities have issued warnings about the risks associated with cryptocurrency trading and have called for increased industry regulation. The South African Reserve Bank has also issued guidelines for banks and other financial institutions regarding handling cryptocurrency transactions.  

The History of Crypto Asset Tax in South Africa

 

South Africa’s Journey to Understand and Document Crypto Assets to date

 

2014

  In 2014, the National Treasury (NT) issued an initial public statement in collaboration with the following:

  • The South African Reserve Bank (SARB)
  • The Financial Services Board (now the Financial Sector Conduct Authority (FSCA))
  • The South African Revenue Service (SARS)
  • The Financial Intelligence Centre (FIC) alerts the public to the potential risks associated with crypto assets.

 

2016

  In 2016, the Intergovernmental Fintech Working Group (IFWG) was established with NT, SARB, FSCA, and FIC members to foster fintech innovation by supporting an enabling regulatory environment and assessing the benefits and risks of emerging innovations.  

2018

  In 2018, SARS released a media statement to clarify its position on the tax treatment of cryptocurrencies and published a list of frequently asked questions.  

2019

  In 2019, the National Credit Regulator (NCR) and SARS joined the IFWG, and the group released a consultation paper on crypto assets, highlighting the perceived benefits and risks of crypto asset-related activities and policy proposals for a regulatory framework.  

2020 to Date

  In 2026, the IFWG released a position paper on crypto assets, updated in 2026. The position paper aims to present detailed proposals for the construction of a regulatory framework for crypto assets, as well as implementation options for necessary regulatory changes. The position paper is used to input the proposed regulations and policies on crypto assets. It should be noted that SARS is one of many stakeholders in South Africa, and the SARB is leading the development of these documents. The SARB has said that it is developing its own set of rules that could allow its clients to transfer assets abroad. Currently, it is illegal for crypto users to transfer funds abroad until the regulation is fully established, according to SARB.  

The South African Revenue Service and Crypto Asset Tax

 

SARS and Crypto Assets

  From a legal standpoint, SARS regards cryptocurrencies and other crypto assets as non-central bank-issued digital representations of value. This means that crypto assets are not treated as equivalent to fiat currencies such as the South African Rand, euro, or US dollar for tax reasons, and neither can they be seen in the same light as shares, as the average cost cannot be used. The complexity of crypto taxes in South Africa stems from the fact that SARS is only one of several bodies involved in the country's legal and tax treatment of crypto assets. The South African Reserve Bank (SARB) regulates the legal status of crypto assets. SARS merely follows SARB's official declarations regarding how South African taxpayers must record cryptocurrency-related activities and how the asset class is taxed.  

Do Crypto Assets fall under Capital Gains or Income Tax in South Africa?

  Standard income tax regulations, income generated from transactions involving crypto assets may be subject to taxation under the category of "gross income" on a revenue account. Conversely, such gains may be considered capital in nature and subject to taxation under the Capital Gains Tax (CGT) as outlined in the Eighth Schedule of the Income Tax Act. The determination of whether an accrual or receipt is of a revenue or capital nature is to be determined per existing jurisprudence. A taxpayer could deduct the cost of acquiring or selling crypto assets from their taxable income if the transaction were necessary for the person's business.   If the transaction fits the CGT paradigm, an adjustment to the base cost can also be applied. There are three main scenarios concerning gains or losses from crypto assets, and each one may have different tax ramifications:  

  • Crypto assets can be acquired through a process known as "mining," which involves verifying transactions in a computer-generated public ledger by solving complex computer algorithms.
  • Cryptocurrency exchanges function as markets for crypto assets, and private transactions allow investors to trade fiat currency for crypto assets (or vice versa).
  • Goods or services can be exchanged for crypto assets. This transaction is considered a barter transaction and is subject to the normal rules that apply to barter transactions.
  • Investors can trade fiat currency for cryptocurrencies (or vice versa) through cryptocurrency exchanges or in-person deals.
  • Profits from exchanging one cryptocurrency for another, such as Bitcoin for Ethereum, are likewise taxable.

  It is important to note that the determination of the tax implications of crypto assets transactions can be complex, and it is recommended that taxpayers seek the advice of a tax professional to ensure compliance with the relevant tax laws and regulations. The current Capital Gains Tax (CGT) rate in South Africa for the 2026 tax year is 18%. Additionally, each individual is entitled to an annual exclusion of R40,000, meaning that tax is only due on capital gains that exceed this limit. After subtracting the annual exclusion from the total capital gains, 40% of the remaining amount is taxed as ordinary income based on the individual's income tax rate. The remaining 60% is taxed as capital gains at a fixed rate of 18%. It is important to note that tax laws and regulations can change over time, so it is recommended to consult a tax professional for the most accurate and updated information.  

How does SARS identify Tax Traders vs. Investors in South Africa?

  To determine how your cryptocurrency profits should be taxed, SARS will primarily assess whether you are an investor or trader. Profits earned by investors are subject to Capital Gains Tax, whereas those earned by traders are subject to Income Tax at the applicable progressive rates.   When deciding whether a South African is an investor or a trader, SARS will primarily consider the following two questions:  

  • How often do you make cryptocurrency trades?
  • What was your objective in purchasing the various cryptocurrencies?

  The more regularly you trade, the more likely people will label you a trader rather than an investor. Furthermore, if you sell the crypto assets within a reasonable timeframe of purchasing them, you will not be deemed an investment from the SARS perspective. However, you will be considered an investor subject to Capital Gains Tax on your earnings if you invest in cryptocurrencies with the intent of holding them for some years as a long-term investment.   Furthermore, you will be considered an investor and not a trader if you do not engage in activities such as:  

  • Margin or futures trading
  • DeFi liquidity mining
  • Or other ways to make short-term profits in crypto assets trading.

 

SARS – Tracking Crypto Asset Transactions in South Africa

  The South African Revenue Service (SARS) has been granted a wide range of authorities that enable the agency to request financial data from third parties, including cryptocurrency exchanges, both within and outside South Africa. As such, if an individual has opened an account and provided Know Your Customer (KYC) information to a cryptocurrency exchange provider, SARS will likely have information regarding the individual's investment and trading activity. It is important to note that the collection of financial data by SARS is conducted per the legal powers granted to the agency and is subject to the protection of individual privacy rights as outlined in relevant laws and regulations.  

How Other Crypto Asset Transactions Are Taxed in South Africa

 

Crypto Mining and Staking

  It is imperative that the acquisition of these assets is considered revenue and will be subject to taxation accordingly. Therefore, if an individual mines and receives one Bitcoin on January 31, 2026, and its market value is 200 South African Rand at that date, it is necessary to include 200 South African Rand in their taxable income for the 2026 tax return. Furthermore, if the individual subsequently sells one Bitcoin for 400 South African Rand, this will result in another taxable event. Therefore, the individual must report the 200 South African Rand gain (400 South African Rand - 200 South African Rand) in their tax return as either a revenue or capital gain transaction, depending on the individual's intent and the circumstances surrounding the disposal.  

Airdrops

  Airdrops are a promotional tactic to increase awareness of a new cryptocurrency asset. This strategy involves distributing the assets without charge to many wallet addresses. Currently, there is no definitive guidance on properly treating such transactions for tax purposes. However, it is logical to consider them similar to cryptocurrency assets obtained through mining.  

Crypto Derivatives and CFDs

  It should be no surprise that SARS has no guidance on the tax implications of crypto derivatives and CFD products, as it has none on related products for more traditional markets. Therefore, considering trading cryptocurrency derivatives or CFDs, you should see a crypto accountant. When a CFD or derivative trade is terminated, many countries often tax the resulting profit or loss as a capital gain or loss. However, in the eyes of SARS, taxation is determined by motive. That is why most traders who trade CFDs, or other derivatives seek short-term profits. Therefore, it is likely that SARS will classify any taxpayer who trades in derivatives or CFDs as a trader and subject their entire profit to Income Tax at their country's marginal rate.  

Earning Yields from Stored Crypto

  This is akin to earning interest on a bank account, and as such, it would be subject to taxation. Therefore, it is recommended that it be treated similarly to Bitcoin obtained through mining. Furthermore, since exchanges do not issue IT3bs for this type of "interest," the interest exemption (i.e., R23,800 for individuals under 65 years of age) would not apply.  

Hard Forks

  While the South African Revenue Services do not guide how cryptocurrency hard forks should be accounted for for tax purposes, we can look to the regulation in other countries to understand the outcome. Hard forks are often regarded as tax-free in most jurisdictions because a cryptocurrency produced from a blockchain split will usually have zero value at the time of formation. If you obtained access to the coins while they were still actively trading on one or more exchanges, there are a few exceptions to this rule. As a result, you must include the value of the coins you received as income on your tax return if they were worth more than pennies when you got them. In other words, the value of the forked coins in your wallet or exchange account at the time of the fork is what matters most.  

NFTs

  The particular tax treatment of NFTs is unclear because SARS has not issued guidelines (non-fungible tokens). The tax treatment of NFTs, however, will be consistent with the current SARS crypto tax guidelines because NFTs are included in the broader category of 'crypto assets.' Therefore, the tax treatment of NFTs is dependent on factors such as the nature of the transaction (whether it is capital or revenue) and the taxpayer's status in the eyes of SARS. In other words, the scope and goals of your NFT investing operations will determine the outcome.   Thus, a variety of events and transactions could be considered a sale of an asset, making some of the proceeds liable to Capital Gains Tax:  

  • Giving away NFTs in exchange for cryptocurrency.
  • The exchange of two non-fungible tokens.

  However, if you are making and selling NFTs as a business, your earnings are more likely to be classified as revenue, and you will have to pay Income Tax on them at your marginal rate.  

Crypto Asset Gifts

  The South African Revenue Service (SARS) considers cryptocurrency transfer as a gift to a friend or family member equivalent to selling the cryptocurrency. As a result, it is necessary to calculate the realized gains and pay taxes on the profits. Additionally, any losses may be used to offset other gains. It should be noted that the tax treatment of such gains is not yet fully established, and it is unclear whether they will be subject to Capital Gains Tax or Income Tax at this time. However, if an individual is considered an investor for tax purposes, it can be assumed that the gains would be subject to Capital Gains Tax.  

Receiving Crypto as Income

 

Contract Workers

  Income earned from cryptocurrency is subject to normal tax and must be reported on your tax return. You must register as a provisional taxpayer if the total income exceeds the tax threshold. Business expenses can be deducted from the income. However, when you sell cryptocurrency for fiat currency, you will need to pay tax on any increase in value from the date of receipt to the date of sale, using either revenue or capital gains tax principles, depending on your circumstances.  

Permanently Employed individuals

  Similar to other forms of compensation, this sum will be taxable at receipt or accrual, whichever occurs first. It is worth noting that the gain or loss incurred from the sale of cryptocurrency for fiat currency is another taxable event that must be reported on your tax return. From when you first received it as a salary to when you sold it, this is how much value has increased or decreased.  

Calculating Tax on Crypto Assets Step-by-Step

  When paying your taxes, it is essential to report all of your past crypto transactions from every wallet and exchange. Then, for each reporting period, you can access a printable statement that can be used in place of an accountant.  

Capital Gains Tax and how you can calculate it

  As a general principle, any transaction in which a cryptocurrency is exchanged for South African Rand, other fiat currency, or another cryptocurrency may result in a capital gain or capital loss. To determine the gain or loss, it is necessary to calculate both the selling price (proceeds) and the purchase price (cost basis) of the cryptocurrency sold. The selling price is the value of the cryptocurrency sold at the time of the transaction in South African Rand. The purchase price should be calculated using the First-in, First-out (FIFO) accounting method. This method stipulates that the earliest acquired coins are sold first when an individual has acquired the same cryptocurrency on multiple occasions. Furthermore, the South African Revenue Service (SARS) states that any directly associated expenses, such as trading fees, can be claimed when calculating profits and losses. If an individual uses software to calculate cryptocurrency taxes, all trading fees will be automatically included in the calculations and deduced from their realized gains. The typical formula for calculating capital gains is:

  • Capital gains = Selling price - Purchase price
 

Calculating Your Crypto Asset Taxes Manually

  If you prefer to do your crypto taxes the old-fashioned way, here are the steps you will need to take:  

  • Always save copies of your cryptocurrency buying, selling, receiving, and sending records from any exchange you have used. This also applies to money moving within your wallet.
  • Each time cryptocurrency is sold, its cost basis must be calculated.
  • The revenues and capital gains from all sales SARS considers taxable must be determined.
  • Trace any business dealings that will trigger a SARS income tax assessment.
  • Review the year's end totals to determine the amount of tax due.

 

Calculating Your Crypto Asset Taxes Using Programs

  Using cryptocurrency tax software to perform the necessary computations automatically is likely the best solution for most people in South Africa. Here is how to automate your crypto tax issue and generate all the necessary tax reports with software to save time and money:  

  • Sign up for an account with your preferred software provider.
  • Connect all your exchange accounts and cryptocurrency wallets. With just a few clicks, you can import your whole transaction history by linking your exchange accounts with API credentials or uploading a CSV file with the details of your trades. If your provider does not support an exchange, you should contact them about integration.
  • To minimize your tax liability, you should let the program figure out your crypto asset transactions' cost basis, proceeds, capital gains, and taxable income.
  • Review any warnings that appear. These typically appear if there is an issue with the exchange accounts and wallets you connected.
  • Download the tax reports and forms and complete your return using the automated software’s information.
  • Make sure that you submit your tax return before the deadline in October.

 

Considerations for South African Crypto Traders in Terms of Tax

 

  • The South African Revenue Service (SARS) has made it clear that taxpayers must declare all taxable income in relation to cryptocurrency in the tax year in which it was received or accrued. This includes income generated from mining, buying, exchanging, or receiving payment in cryptocurrency.
  • As with any other asset class, it is essential for individuals to understand their tax obligations associated with cryptocurrency investments and to plan accordingly.
  • A buy-and-hold strategy can be more tax efficient but seeking professional tax advice is recommended for each case.
  • If an individual receives a request for information from SARS regarding cryptocurrency, they should immediately seek the assistance of a professional accountant. Likewise, even if an individual has not received communication from SARS but has not disclosed any cryptocurrency holdings, income, gains, or losses, they should seek the advice of a specialist tax accountant.
  • It is important to keep records of all transactions and use software to track them, as cryptocurrency platforms do not provide SARS-compliant tax certificates.
  • Additionally, SARS has included questions about cryptocurrency investments in the capital gains tax portion of tax returns.
  • The income or market value must be declared as part of total taxable income on a provisional tax return (IRP6) and the ITR12 form.
  • Individuals can use the annual Capital Gains Tax exclusion of R40,000 and ab claims deductions for expenses incurred in the production of income or for trade purposes, such as costs related to computers, servers, electricity, and internet service provider charges.
  • Losses on cryptocurrency bought as investments may be counted as capital losses and can only be deducted from capital gains.
  • If there are no capital gains to deduct losses from, the losses can be carried over to the next tax year. Obtaining expert tax guidance in this regard is highly recommended.

 

How does SARS deal with Stolen or Lost Crypto Assets?

  Although the crypto sector is plagued by hacks, frauds, and rug pulls, there may be a glimmer of hope when filing your taxes. Surprisingly, SARS does not provide detailed instructions on handling the tax consequences of misplaced or stolen cryptocurrency. There is, however, some guidance about capital assets that are destroyed or stolen. SARS allows for a range of involuntary disposals due to destruction or theft to be recognized as a capital loss in certain cases. However, these are subject to standard exclusions and limitations on losses (particularly the ring-fencing of losses under section 20A). Therefore, it is possible to claim a capital loss because of lost or stolen cryptocurrency, provided you can prove you no longer have access to the cryptocurrency and will not be able to recover it or obtain compensation. However, in some cases, such as rug pulls, where you still hold the cryptocurrency, and it has depreciated to the point where it is worthless, the easiest way to realize a capital loss is to dispose of your cryptocurrency by selling, swapping, spending, gifting, or sending it to a burning wallet.  

Tax-Free Crypto Asset Transactions in South Africa

 

Donating Crypto Assets to a Registered South African charity

  Donations Tax is not payable on the first R100,000 property donated by a natural person each calendar year. Transfers between spouses transfers inside a South African group company, and gifts to some public benefit organizations can be exempt. If the SARS recognizes the charity as a Public Benefit Organization (PBO), you may be eligible for a tax deduction. The charity should provide a receipt under section 18A of the Income Tax Act.  

HODLing Crypto Assets

  Hiding your crypto holdings from the tax man is completely legal. Also, the longer you retain an asset, the greater the likelihood that its sale will be treated as a sale of capital, qualifying you for a preferential tax rate on the sale's proceeds.  

Transferring funds between wallets in your name

  A taxable event occurs when an asset is sold (hence, ownership is transferred). Therefore, no fees or taxes are associated with moving cryptocurrency between personal wallets. It is important to note that taxes might not be straightforwardly applied to transfer costs (or gas fees). For example, there is a possibility that transfer fees paid in cryptocurrency could be considered a taxable transaction. However, SARS has not issued any specific guidance on this.  

Buying Crypto Assets using ZAR

  No VAT is applied to cryptocurrency purchases when paying using South African Rand (or any other fiat money). However, if you sell, trade, spend, or give away your cryptocurrency at a later date, you will need to know how much you originally invested in determining your gain or loss.  

The Best Crypto Brokers in South Africa

  This article lists the best brokers that offer Crypto and CFD trading to South African traders. In addition, we have further identified the brokers that offer additional services and solutions to South African traders.  

Best MetaTrader 4 / MT4 Crypto Broker in South Africa

 

Exness Review

  Overall, Exness is the best MT4 Crypto Broker in South Africa. Exness' Standard Account on MT4 requires a minimum deposit a low minimum deposit of 170 ZAR and offers South Africans over 278 instruments, including major cryptocurrencies such as BTC, ETH, and others.  

Best MetaTrader 5 / MT5 Crypto Broker in South Africa

 

XM.com Review in south africa

  Overall, XM is the best MetaTrader 5 Crypto Broker in South Africa. In addition, XM provides a choice between accounts, allowing South Africans to choose the best option. South Africans get unlimited access to MetaTrader 5, through which they can trade popular crypto assets with competitive trading conditions.  

Best Crypto Broker for Beginners in South Africa

 

A review about AvaTrade

  Overall, AvaTrade is the best Crypto Broker for beginners in South Africa. Started in 2006, AvaTrade has become one of the best Crypto CFD providers for beginners in South Africa. Furthermore, South Africans can use extensive educational material, guides, and videos to guide them.  

Best Low Minimum Deposit Crypto Broker in South Africa

 

A review about Axi

  Overall, Axi is the best Low Minimum Deposit Crypto Broker in South Africa. With Axi, South Africans are not required to pay a minimum deposit when registering an account. Instead, traders can invest any amount they are comfortable with, allowing them to start trading Crypto CFDs with a low investment amount.  

Best ECN Crypto Broker in South Africa

 

A review about Pepperstone

  Overall, Pepperstone is the best ECN Crypto Broker in South Africa. Pepperstone, a renowned international broker, supports the MT4, MT5, and cTrader platforms on two account types. Furthermore, both Pepperstone’s accounts experience some of the fastest and most reliable STP and ECN execution, with pricing from 0.0 pips on major instruments.  

Best Crypto Trading App in South Africa

 

A review of XTB

  Overall, XTB is the best Crypto trading app in South Africa. XTB developed the award-winning xStation 5 platform. Its user-friendly and intuitive design enables traders to track market fluctuations precisely. Furthermore, South Africans can access comprehensive educational materials, trading tools, and expert analysis.  

Best Crypto Rebates Broker in South Africa

 

A review about IC Markets

  Overall, IC Markets is the Best Crypto Rebates Broker in South Africa. South Africans who trade crypto CFDs with IC Markets can earn rebates up to $0.60 on the cTrader Raw Account per 100,000 USD traded. Furthermore, traders can expect some of the best trading conditions from IC Markets as a true ECN forex and CFD crypto broker.  

Best South African Rand Trading Account Crypto Broker in South Africa

 

HFM review

  Overall, HFM offers the best South African Rand trading account in South Africa. In addition, HFM allows South Africans to trade crypto with a ZAR trading account. Furthermore, HFM is a better option than many other foreign brokers for South African traders getting started in crypto because it has a local South African support team. Furthermore, South Africans can reap several benefits from trading crypto using a ZAR account.  

Best Lowest Spread Crypto Broker in South Africa

 

FP Markets review

  Overall, FP Markets is the best lowest-spread Crypto Broker in South Africa. In addition, FP Markets offers South Africans a Raw Account that features zero-pip spreads on major instruments and low commissions of 6 USD per round turn. Furthermore, FP Markets offers MetaTrader 5, which supports a range of strategies that crypto traders can use, including scalping, hedging, auto trading, and more.  

Best NDD Crypto Broker in South Africa

 

A review about Libertex

  Overall, Libertex is the best NDD Crypto Broker in South Africa. Libertex is a well-known STP broker that provides traders access to 51 forex pairs, commodities, indices, ETFs, cryptocurrencies, equities, and options. Libertex has more than 3 million platform members and is one of the most noteworthy CySEC forex brokers to watch.  

Best STP Crypto Broker in South Africa

 

A review of Skilling.com

  Overall, Skilling is the best STP Crypto Broker in South Africa. The Skilling MT4 platform supports STP trade executions. Notably, Skilling provides ordinary accounts with no commissions and low spreads. Furthermore, South African traders can anticipate a safe and well-regulated environment, powerful trading platforms, and a range of research tools and materials.  

Best Sign-up Bonus Broker in South Africa

 

A review about FBS

  Overall, FBS is the best sign-up Crypto Broker in South Africa. When South Africans register an account via the FBS entity under IFSC regulation, they can get a level-up bonus of 140 USD. Furthermore, FBS also offers a deposit bonus, cashback rebates, and other contests.  

Conclusion

  Despite little advice, the South African Revenue Service (SARS) is clear that cryptocurrencies are subject to tax. You may be subject to either Capital Gains Tax or Income Tax, depending on the nature of the transaction and your investing objectives. Therefore, South African crypto traders must ensure that they report all crypto asset transactions according to the guidelines provided by SARS to ensure that they comply.    

Frequently asked questions

 

How can I avoid tax on cryptocurrency in South Africa?

  You cannot evade tax on crypto assets in South Africa, as this is illegal. However, certain crypto transactions are (legally) tax-free, including buying crypto using ZAR, keeping crypto long-term, gifting crypto to a registered charity, etc.  

What is the best crypto tax calculator in South Africa?

  Several crypto tax calculators are available for South Africans, including Koinly, Token Tax, CoinLedger, Accointing, CoinTracker, etc.  

How much is the tax on cryptocurrency in South Africa?

  Individuals pay a maximum effective 18% tax rate on crypto profits subject to Capital Gains Tax on gains above the R40 000 yearly exclusion, depending on their total taxable income. Individuals pay between 18% and 45% tax on crypto gains subject to Income Tax, depending on their overall taxable income.  

Does SARS track crypto assets in South Africa?

  Yes. The South African Revenue Service (SARS) has been authorized to request financial data from other parties, including cryptocurrency exchanges inside and outside South Africa.  

Is Luno taxable in South Africa?

  In South Africa, crypto has always been subject to taxation. Therefore, Luno, among others, must report to SARS on crypto transactions. Furthermore, because platforms have KYC procedures, SARS can view the transactions of individuals registered on these platforms.  

Addendum/Disclosure

  No matter how diligently we strive to maintain accuracy, the financial markets are volatile that could shift and change at any given time, even if the information supplied is correct at the time of going live.

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