South Africa vs Portugal
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
πΏπ¦ South Africa β Provincial & Municipal Taxes
South Africa's 9 provinces do not levy their own income tax β this is national. Municipalities levy property rates (0.5%β2.5% of assessed value/year), utilities, and refuse levies. Cape Town and Johannesburg have relatively higher municipal rates. Load-shedding prompted energy-related tax credits in recent budgets.
π΅πΉ Portugal β Municipal & Regional Taxes
Portugal's 18 districts and 308 municipalities levy a municipal IRS surcharge (Derrama Municipal) of up to 1.5% of taxable income on residents. Municipalities also apply the Derrama Municipal on corporate profits (up to 1.5%). Madeira and Azores autonomous regions have their own lower tax regimes: Madeira has a 14.7% corporate rate in the MIBC (international business centre). Real estate transfer taxes (IMT) are municipal. The NHR (Non-Habitual Resident) regime attracted many foreigners until 2024 when it was replaced by IFICI.
South Africa vs Portugal: Key Tax Differences (2026)
π° Income Tax: π΅πΉ Portugal has a higher top income tax rate (18β45% vs 13.25β48%). πΏπ¦ South Africa is more favourable for high earners.
π VAT/Sales Tax: Portugal has a higher consumption tax (16% vs 6β23%).
π’ Corporate Tax: π΅πΉ Portugal offers a lower corporate rate (19% vs 27%), which can influence business location decisions.
π Capital Gains: πΏπ¦ South Africa taxes investment gains at a lower rate (18% vs 28%), benefiting investors.