An organisation must be constituted in one of the following ways to be approved as a tax exempt institution:

Public Benefit Organisation

  • An NPC incorporated in South Africa.
  • A trust established in South Africa.
  • An association of persons formed or established in South Africa. This association of persons must be formally established by adopting a legal founding document
  • A branch of a foreign tax-exempt organisation.

Recreational Club

  • An NPC incorporated in South Africa
  • A society or other association of persons formed or established in South Africa. This society or other association of persons must be formally established by adopting a legal founding document

Membership Associations and Professional Bodies

  • An NPC incorporated in South Africa
  • A society or other association of persons formed or established in South Africa. This society or other association of persons must be formally established by adopting a legal founding document

Small Business Funding Entity

  • An NPC incorporated in South Africa.
  • A trust established in South Africa.
  • An association of persons formed or established in South Africa. This association of persons must be formally established by adopting a legal founding document

Home Owners Association

  • An NPC incorporated in South Africa
  • An association of persons formed or established in South Africa. This association of persons must be formally established by adopting a legal founding document.

Government Institution

  • Any institution, board or body established by or under any law (usually gazetted entities or entities required to register under any law). This specifically excludes the following entities:
    • Any company or NPC
    • Any trust
    • Water services providers
    • Automatic exemptions or entities exempt in terms of other sections

Companies Owned by Government Institutions

  • A company incorporated in South Africa (100% shareholding by one or more government institutions) or an association.