Employment Tax Incentive ( ETI ) To encourage the employment of young job seekers aged 18 to 29 , the ETI allows employers to reduce their PAYE ( Pay-As-You-Earn ) liabilities . This incentive can be claimed for up to 24 qualifying months per employee , effectively reducing the cost of hiring young talent .
Urban Development Zone ( UDZ ) Allowance The UDZ tax allowance offers accelerated depreciation for capital investments in designated urban development zones , promoting investment and economic development in these areas .
Learnership Allowance Employers engaged in learnership agreements with employees can claim additional deductions , fostering skills development and training within businesses .
In closing , Janse van Rensburg commended the revenue service , saying , " SARS ’ tax incentives offer a significant step-up towards fostering a more supportive environment for SMMEs . By reducing the financial strain and encouraging investment , these measures will help small businesses thrive and contribute to the overall economic growth of South Africa ."