- South African primary and secondary schools will be fully exempt from VAT on all goods and services from January 1, 2026.
- The change removes schools from the VAT system to reduce administrative burden.
- Schools that were previously VAT-registered must deregister and account for deemed exit VAT on assets held as of December 31, 2025.
- This exit VAT may be paid in 12 monthly instalments starting January 1, 2027.
- Schools will no longer be able to claim input VAT on purchases.
Source: news.bloombergtax.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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