Cross-border tax

Work out, in one place, whether your foreign salary is taxed by SARS – and how much. If you are a South African tax resident working abroad, SARS taxes your worldwide income, but the section 10(1)(o)(ii) foreign employment income exemption can shield the first R1,250,000 of your qualifying foreign salary each year – if you pass two day-count tests. This calculator runs those tests, applies the R1.25 million ceiling, and shows the tax on anything above it, with the reasoning at every step. Free, no signup, current to the 2026 year of assessment (1 March 2025 – 28 February 2026).

→ Calculate my expat tax – runs in your browser, workings shown.

What the calculator checks

It walks the same path SARS does, in order:

1. Are you a SA tax resident? Residence-based taxation means residents are taxed on income from anywhere in the world. If you are resident, your foreign salary is in scope – the exemption is what takes it back out.
2. Do you pass the day tests? The exemption requires more than 183 full days rendering services outside South Africa in any 12-month period, and a continuous stretch of more than 60 full days outside SA inside that window. Both must be met; the 12 months need not match the tax year.
3. Are you an employee? The exemption is for employees only. Independent contractors and freelancers cannot use it, and certain public-sector roles are excluded.
4. How much is exempt, and what's taxable? Up to R1,250,000 of qualifying foreign employment income is exempt. Only the portion above R1.25 million is taxed in SA, at normal marginal rates.

Enter your foreign earnings, your residency status and your days in and out of SA, and the calculator returns a clear pass/fail on each test plus the rand figure that's actually taxable – not just a yes/no.

Why it works this way (the reasoning)

The exemption is narrower than most people assume, and the calculator surfaces the three places people get caught:

• "More than" is literal. Both thresholds are more than – more than 183, more than 60. Hitting the number exactly fails, so the calculator flags a near-miss.
• It's a ceiling, not an on/off switch. Earn over R1.25 million and you keep the exemption on the first R1.25 million and pay SA tax only on the excess.
• Employee vs contractor is decisive – the difference between R1.25 million exempt and R0 exempt, so the calculator asks it up front.

Where SA tax does fall on the excess, you may be able to claim a foreign tax credit under section 6quat for tax already paid abroad – relief from double taxation the full guide explains.

Worked example

Sipho is a SA tax resident and an employed engineer. For the 2026 year of assessment he earns the equivalent of R1,600,000 in salary and bonus on a project in Saudi Arabia, spending 10 months on-site with an unbroken stretch of over 200 days before he comes home.

The calculator reasons it out:

• Resident? Yes – worldwide income is in scope.
• 183-day test? Over 183 days outside SA in the 12-month window. Pass.
• 60-day test? A continuous 200+ days outside SA. Pass.
• Employee? Yes, not a contractor. Qualifies.
• Exempt amount: the first R1,250,000.
• Taxable in SA: R1,600,000 − R1,250,000 = R350,000, taxed at normal SA rates – potentially reduced by a section 6quat credit if Saudi tax was paid.

So Sipho doesn't escape SARS entirely, but R1.25 million is sheltered and only the R350,000 slice is taxed.