The Minister of Finance has completed his 2016 budget speech and the news is overall far more muted than most of us expected.
Aside from raising a few taxes on the periphery and bringing in a new tyre tax and even a tax on sugar next year, not much has changed.
Once small change which affects the property market is that the transfer duty rate on property sales above R10million has been hiked by 2%. This will not affect the majority of residential buyers and we therefore do not see it having any impact on the property market in the next year.
The new transfer duty rates effective 1 March 2016 are:
Remember, the date of sale is the date which determines your transfer duty amount payable, so if you are intending to purchase in the R10million and above bracket, make sure you conclude your sale before the 29th of February!
Our contact details are available on our website and you can let us know if you have any queries regarding the transfer duty changes, or in fact any other aspect of the budget speech.