Transfer Duty in South Africa: Key Facts for Property Buyers
13 April 2026, Maritza du Preez
Transfer duty is the tax you pay when buying property
in South Africa, governed by Section 2 of the Transfer... Duty Act 40 of 1949
(TDA). It
applies to immovable property and certain real rights, like long-term leases. As the buyer (transferee), you're responsible for
paying it within six months of signing the offer to purchase. A
clear understanding of how transfer duty is calculated, when exemptions apply,
and how it interacts with VAT is essential to ensure a smooth and compliant
transfer process.