Fixed Tax Directive Application
Fixed Tax Directive Application – Get Taxed Correctly from Day One
Need a fair, accurate way to handle income that doesn’t fit standard PAYE, like commissions, bonuses, lump-sums, or retirement payouts?
A Fixed Tax Directive from South African Revenue Service (SARS) tells your employer/ fund administrator exactly how much tax to withhold, often reducing over-taxation and helping you manage cash flow better.
At TTT Financial Group, we take care of the full process for you — from application to submission — so you don’t have to navigate the red tape alone.
What Is a Tax Directive (per SARS)
A tax directive is an official instruction from SARS to your employer, fund administrator, or insurer on how to deduct “employees’ tax” from certain types of payments — typically ones not covered by standard PAYE tables (e.g. lump sums, commissions, bonuses).
There are two common types relevant for individuals:
- Fixed Percentage Directive (IRP 3(b)) – Useful if your earnings fluctuate (commissions, freelance). SARS calculates a withholding rate based on estimated taxable income.
- Fixed Amount Directive (IRP 3(c)) – Useful if you have a consistent, predictable monthly income or in cases of hardship / prior-year losses. SARS determines a fixed monthly withholding amount.
- A directive is an estimate, not a final tax liability — you must still submit your annual return and reconcile actual tax due.
- Directives are valid only for the period stated — if your income situation changes, you may need a new directive.
Who Should Apply for a Fixed Tax Directive
This service is ideal for:
1
Commission Earners
- Estate agents, sales consultants, brokers, and others who earn fluctuating income.
2
Freelancers & Independent Contractors
- Those who work on projects or invoice-based income.
3
Employees Receiving Lump-Sum Payments
- Bonuses, encashments, overtime, incentives, and gratuities.
4
Retirement or Resignation Withdrawals
- If you're taking money from a pension, provident, or retirement annuity fund.
5
Retrenchment & Severance Packages
- Ensuring SARS applies the correct tax rules.
Individual Tax Services
Income Tax Returns
The preparation and submission of personal income tax returns while ensuring requisite compliance with SARS.
e-Filing Registrations
Registration of SARS eFiling for individuals and businesses.
Application for tax number
Are you looking for a SARS tax number?
These processes can be complicated for the employed, self-employed, or starting a business person. So, we enable our clients to apply for a tax identification number without worrying about the application process.