Smart Tax Moves: Claim Deductions That Put Money Back in Your Pocket
Monday, 01 December 2025
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Posted by: Ernest Roper
 When tax season comes around, most of us either panic or hit ‘submit’ without thinking twice. However did you know that SARS allows you to claim back certain expenses that could reduce your tax liability or even secure you a tax refund?
This article outlines the main deductions that taxpayers in South Africa may be eligible to claim when filing their tax returns.
Medical expenses
If you contribute to a medical aid scheme, whether for yourself or your family, you are entitled to a monthly medical tax credit for yourself and dependants. In addition, qualifying out-of-pocket medical expenses such as doctors and specialists’ visits and prescribed medication not covered by your medical aid may also be deductible. It is essential to retain all medical aid statements and receipts, as SARS may request them to verify your claims.
Retirement savings
SARS provides an incentive for saving towards retirement. Contributions to a pension fund, provident fund or retirement annuity are deductible up to 27.5% of the higher of your total taxable income or remuneration, subject to an annual cap of R350,000. To ensure the deduction is correctly captured and processed, you must attach the relevant tax certificate to your annual income tax return. This provides SARS with the necessary proof to verify your contribution amount and the corresponding tax-saving benefit.
Work-related travel
Taxpayers who receive a travel allowance or use their own vehicle for business purposes can claim a deduction for the business portion of travel expenses, provided they maintain an accurate logbook. The logbook must record business and private kilometres separately. Allowable expenses include fuel, maintenance, and wear and tear as determined by SARS’s official rate per kilometre tables. Personal travel is not deductible.
Home office expenses
Employees or business owners who work from home may claim a portion of certain household expenses if they use a dedicated workspace exclusively for business purposes. For employees, home office claims are generally allowed only if more than 50% of duties are performed from that space.
Qualifying expenses can include rent or bond interest, electricity, internet, telephone, cleaning, and maintenance costs. The workspace must be used regularly and exclusively for work-related activities and not shared with personal or family use. Employees should ensure their employer does not already reimburse or cover these expenses, as double claiming could result in penalties.
Donations to charitable organisations
Donations made to an approved Public Benefit Organisation (PBO) are tax-deductible up to 10% of your taxable income, provided the organisation is registered with SARS and issues a valid Section 18A certificate. Even small recurring donations can add up over the year and provide a meaningful tax benefit.
Commission earners
If more than 50% of your income is derived from commission, SARS allows you to claim a wider range of deductions than a standard salaried employee. These may include expenses such as cellphone and internet costs, marketing and promotional expenses, business travel, office supplies and administrative support. All claimed expenses must directly relate to your income generation and be backed by documentation such as receipts or invoices.
Tax practitioner fees
Fees paid to a registered tax practitioner may be deductible if the services rendered are directly related to your income generation. For example, if you are self-employed, earn commission or run a business. For salaried employees, these fees are not deductible under the current SARS regulations.
Wear and tear on work tools
SARS permits a wear-and-tear allowance under Section 11(e) of the Income Tax Act for assets used to generate income. If you use personal items such as a laptop, cellphone, or office equipment for work, you can claim a deduction based on the proportion of business use.
Examples of typical write-off periods include:
• Laptop or computer: 3 years
• Cellphone or tablet: 2 years
• Printer or scanner: 3 years
• Office furniture or desk: 6 years
• Office chair: 5 years
• Filing cabinet or shelving: 6 years
• Photocopier: 5 years
The above write-off periods are indicative. SARS may adjust, depending on asset type and use.
Only the portion used for business purposes may be claimed. For example, if your laptop is used 70% for work, you may deduct 70% of the wear-and-tear cost.
Legal fees (work-related only)
Legal fees may be deductible under Section 11(c) of the Income Tax Act if they are incurred in protecting, recovering or securing your income. Examples include costs related to unfair dismissal disputes, recovery of unpaid commission or breach of employment contract matters. Supporting documentation and evidence of the link between the legal fees and income protection are essential for SARS to allow the deduction. However, legal fees for personal, criminal or non-income-related issues cannot be deducted.
Study and training costs
SARS allows the deduction of study or training expenses that are directly related to your current income earning activities, as per Section 11(a) of the Income Tax Act. This typically applies to self-employed individuals, business owners or commission earners seeking to maintain or improve their existing skills. Training costs paid or reimbursed by an employer cannot be claimed again by the employee. Study costs incurred for a new qualification or career change are not deductible.
Record keeping
For deductions you intend to claim, all supporting documents including receipts, statements, logbooks and certificates must be retained for at least five years after submitting your return. SARS may request these at any time during an audit or review process. Electronic records and scanned receipts are accepted, provided they are legible and can be produced on request.
Claiming legitimate tax deductions is not tax avoidance, it is smart tax planning. By knowing which expenses qualify and keeping proper records, you can reduce your tax liability and make the most of the relief that SARS provide. If you’re unsure about what applies to you, consult a registered tax practitioner for professional advice.
Reetesh Balgobind | Head: Finance
References:
1. South Africa, 1962, Income Tax Act No. 58 of 1962. Pretoria: Government Printer.
2. PKF Tax Guide 2025/2026. [online] Available at: https://www.pkf.co.za/
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