EV tax incentives and allowances in South Africa

Not tax advice. This page summarises published sources as of 22 October 2026. Tax law changes and depends on your circumstances. Speak to a registered tax practitioner before making decisions based on it.

The honest summary

South Africa has few direct incentives for EV charging. We searched for national, municipal and Eskom subsidies, rebates or special tariffs for EV purchases or chargers, and found none. Some of the incentives you may read about are aimed at vehicle manufacturers or at business solar, not at people buying chargers.

The 150% EV allowance: manufacturers only

You may have read about a 150% investment allowance for EVs. It’s real, but it applies to production. A SARS draft interpretation note places it in section 12V, operative from 1 March 2026, for investment in producing battery electric and hydrogen-powered vehicles [1]. It was announced in the 2024 Budget [3], and industry described it as a good start for local production [2].

It does not apply to buying an EV, running a fleet, or buying or installing chargers.

Section 12B: business solar, not chargers

Section 12B is a capital allowance for assets used to generate electricity from renewable sources, such as solar PV. It’s still current, but it has a trade requirement: it applies to businesses using the assets in a trade, not to private homeowners [4]. Commentators describe solar PV up to 1 MW as qualifying for a 100% deduction in the first year, with larger systems on a 50/30/20 basis [5][6].

An EV charger is not a generation asset, and no source we found says it qualifies [4]. If a business installs solar partly to charge its EVs, the solar may qualify; the charger doesn’t.

Incentives that have ended

• Section 12BA, the 125% enhanced renewable energy deduction, covered assets brought into use from 1 March 2023 to before 1 March 2025. It has expired [4][5].
• Section 6C, the individual rooftop solar tax rebate, applied only to the 2023/24 tax year and has lapsed [4].

Policy to watch

• The EV White Paper. The Department of Trade, Industry and Competition released an Electric Vehicles White Paper in December 2023. It proposed production incentives, more spending on charging infrastructure and consumer incentives [7]. We found no consumer charging incentive that has since come into effect.
• Import duties. Imported EVs have been reported to attract 25% customs duty, compared with 18% for EU-sourced petrol and diesel vehicles, and industry lobbied for change before Budget 2026 [8]. We couldn’t confirm whether Budget 2026 changed EV duties.

What this means for you

• Homeowners: plan your charger budget without counting on a tax benefit.
• Businesses: if you’re adding solar alongside workplace or fleet charging, ask your tax practitioner whether section 12B applies to the solar component [4].
• Be wary of anyone marketing the 150% allowance or s12B as a discount on chargers.

How StrataCharge helps

We give you clear, itemised quotes so your accountant can see exactly what’s charger, what’s electrical work and what’s solar. Explore our energy resilience solution for solar plus charging, our charger supply service, and our commercial chargers for workplaces and fleets.