Elevate Your Bottom Line with Tax 12B Solar Incentives!

ending February 2025


Get Started Now!

Who can benefit

For Commercial, Industrial & Agricultural Companies: Entities seeking to adopt solar energy through installations.

Are you an industrial or commercial entity in South Africa looking to reduce your tax burden while embracing sustainable energy solutions? Look no further! Tax S12B offers a compelling incentive for businesses like yours to invest in renewable or solar installations. By leveraging this incentive, you not only contribute to a greener future but also bolster your financial health by slashing your tax liabilities.

The expanded Section 12B tax incentive currently provides for a 125% deduction through means of depreciation from taxable income in year 1 for projects completed and operational by end February 2025. Accounting for scoping, design and implementation timelines, to take advantage of this opportunity initial requirement discussions should take place before the end of June 2024.

Contact Us to find out more
2Zero50 100percent Thumbnail

EXAMPLE: TAX S12B Solar incentive calculation

Let’s consider a hypothetical scenario where a South African industrial or commercial company invests R15 million in a solar installation and how they can utilize the Tax S12B incentive through means of depreciation to their advantage.


  • The company invests R15 million in a solar installation.
  • The company’s tax rate is 27%.
  • The solar installation qualifies for the Tax S12B incentive, allowing for accelerated depreciation at 125%.

Tax Example:

Tax Deduction = Depreciated Amount x Tax Rate = R18.75 million x 27% = R5.062 million

Tax Savings = Tax Deduction = R5.062 million

Net Cost = Initial Investment – Tax Savings = R15 million – R5.062 million = R9.9375 million

In this example, the Company effectively reduces its net cost for the solar installation to R9.9375 million.


Attractive Tax Incentive

A deduction of 125% is a substantial tax break, significantly reducing the investor’s taxable income.

Support Green Energy

Investments support the growth of sustainable energy, reducing reliance on fossil fuels and aiding environmental conservation.

Meet the Team

with decades of success in project management and execution in solar and green energy

Meet the Team