Employment Tax Incentive (ETI)

ETI was legislated to continue until 31 December 2016.

As the Taxation Laws Amendment Bill has not yet been promulgated, the ETI will not continue until further notice.

A summary of the proposed changes published by National Treasury:


  • A single employer will not be allowed to claim more than R20 million ETI per tax year.
  • Unpaid hours (e.g. unpaid leave) will no longer be counted towards the 160 hours to determine a full month.
  • Any unclaimed ETI amount as at the end of February 2016 and the end of August 2016 may not be rolled over into the next 6-month period.
  • The expiry date for ETI has been extended until 28 February 2019.

Learnership allowances (incentive)

  • The tax deduction value will be based on the NQF level of the learner.
  • The tax deduction value will be higher for qualifications up to NQF level 6 and lower for qualifications from NQF level 7 and higher.
  • The expiry date for the incentive has been extended until 31 March 2022.


Contact our legislation team at info@crs.co.za if you require any additional information.

 © 2017 CRS Technologies (Pty)Ltd. All Rights Reserved.