National Budget 2026 highlights
The Minister of Finance tabled the 2026 Budget in February. Here is what changed, and where to find the detail that applies to you.
The Minister of Finance, Mr Enoch Godongwana, delivered the 2026 National Budget speech in February 2026. A few headline numbers stood out.
- 1Tax revenue for 2025/26 is expected to reach R2 trillion, R21 billion higher than the previous year’s estimate.
- 2Debt service costs have reached R432 billion, about 21.3% of revenue — more than the budgets for basic education, economic development, and peace and security combined.
- 3Government debt is expected to stabilise at 78.9% of GDP in 2025/26.
- 4Excise duties on alcohol and tobacco increase by 3.4%.
- 5Tax tables and several tax limits were increased for the first time in years, and a previously pencilled-in R20 billion tax increase was withdrawn.
What increased
A number of tax-free limits and deduction ceilings were adjusted upward, effective 1 March 2026:
- 1Annual contribution to a tax-free savings account: from R36,000 to R46,000.
- 2Annual tax deduction for retirement fund contributions: from R350,000 to R430,000.
- 3Annual exclusion on capital gains or losses: from R40,000 to R50,000.
- 4Exclusion on capital gains or losses on death: from R300,000 to R440,000.
- 5Exclusion on the capital gain from selling a primary residence: from R2 million to R3 million.
Small Business Corporations and micro businesses using the Turnover Tax system also see meaningful adjustments to their tax brackets.
Budget changes affect households differently depending on income, retirement contributions and how your investments are structured. If you are unsure how this year’s adjustments touch your own plan, it is worth a conversation.
This article is general information and not advice. Silke Financial Services is an Authorised Financial Services Provider, FSP No. 12462.