Private company (Pty) Ltd
Most businesses, including foreign-owned ones.
- Foreign directors are allowed, after CIPC’s Foreigner Assurance identity check
- Beneficial ownership must be filed within 10 business days of incorporation
The World Desk Floor 2 · The Gulf & Africa
Room 205
South Africa
Sawubona. How may I help you?
CIPC incorporation, beneficial ownership, the new VAT threshold and customs registration.
The concierge
What do you need in South Africa?
01 · Set up
Ways to be present
Registry: Companies and Intellectual Property Commission (CIPC).
External company (branch)
A foreign company operating as itself.
- Registers with CIPC on starting business in South Africa
01 · Set up
First registrations
- 01
Incorporation and beneficial ownership
On CIPC e-services; later changes filed within 10 business days; annual return each year.
- 02
Tax
Income tax registration follows CIPC registration. VAT is compulsory above R2.3 million of taxable supplies in 12 months from 1 April 2026 (voluntary from R120,000). VAT is 15%.
- 03
Employer and exchange control
PAYE, UIF and SDL when employing. Foreign shareholdings are recorded through an authorised dealer bank under exchange control rules.
02 · Trade
Moving goods
- 01
Register as an importer or exporter with SARS Customs (Registration, Licensing and Accreditation, on eFiling) to receive a customs client number
- 02
Check whether the goods need an ITAC import permit or NRCS approval
- 03
Declare through a licensed clearing agent; keep the customs code active and details current
03 · Close
Done when
Watch
- Directors must attend CIPC inspections personally if called
- Some reference material still shows the old R1 million VAT threshold
Sources
Checked against
- CIPC: beneficial ownership cipc.co.za
- SARS: VAT registration threshold sars.gov.za
- SARS: customs registration sars.gov.za
- Plus each authority’s own portal. Several points come from practitioner reports; where they disagreed, the text above says so.