You could be exempt from paying CSOS Levies – Don’t pay unless you’re required to

October 1, 2025 

Administrative Management, Community Schemes Ombud Service

By Ané de Klerk

It is widely known and understood that, as of 7 October 2016, people and entities who own a unit in a sectional title scheme must pay so-called CSOS levies to their bodies corporate, who must in turn pay these levies over to the Community Schemes Ombud Service (“CSOS”) on a quarterly basis. What appears to be less widely known and often overlooked is the fact that there are 5 categories of unit-owners who are not required to pay such levies. Take a closer look at the list below to ascertain whether you are entitled to such an exemption and notify your body corporate immediately if you find that you should not be paying these levies:

1. Your administrative fund contributions payable to the body corporate is equal to or less than R500.00 per month.

Only those members liable for more than R500.00 per month to fund their scheme’s administrative expenses (such as its insurance and management costs) are liable for CSOS levies. If your admin levy falls below this threshold, you should not be paying a CSOS levy. Take note that the reserve fund -, exclusive use – and/or special contributions you may be paying to the body corporate are not to be taken into account when determining whether you should be paying a levy to the CSOS.

2. Your monthly net household income is less than R5 500.00. 

The second category of people who are exempt from paying CSOS levies are those whose monthly gross income less their income tax payable to SARS (known as “PAYE” or “Pay as you Earn”) is less than R5 500.00. So if the amount of income paid into your bank account after your employer has deducted PAYE is less than R5 500.00 every month, you should not be paying CSOS levies.

3. You receive a SASSA grant.

Those unit-owners who receive a social grant from the government (widely known as “SASSA” or the “South African Social Security Agency”) are exempted from paying CSOS levies. If you receive such a monthly grant, send a copy of your SASSA card to your body corporate, which they will submit to the CSOS to prove that you are not liable for this type of levy.

4. You live in a mid care, frail care or assisted living sectional title unit.

If you live in a unit situated within a retirement scheme where you receive help with daily tasks (like managing your medication, for example) you are not liable for CSOS levies. Take note that not all owners of units in schemes for retired persons qualify for this waiver – if you live independently in a unit within such a scheme without getting any assistance with daily tasks then you do not qualify for a waiver of your CSOS levy.

5. You have been granted a waiver by the CSOS.

Even if you do not fall within any of the above categories of members who are automatically exempted from paying CSOS levies, but you do not have the financial means to pay these levies, you could apply for consideration of a waiver of your CSOS levy by submitting Form CS3A on the CSOS Connect platform, by email to [email protected] or by hand delivering it to one of the CSOS’s regional or satellite offices. Doing so will require you to indicate your income and liabilities, proving that your financial situation warrants a waiver of this levy.

Before either refusing or granting the application, the Chief Ombud (or one of their representatives) will assess the application based on:

• the objectives of the Community Schemes Ombud Service Act;
• your personal circumstances (such as whether you are from a child-headed household or indigent family); and
• the so called “Means Test” – carefully considering your income, expenditure, assets and liabilities.

Anyone dissatisfied with the Chief Ombud’s decision to refuse their application for such a waiver may lodge an application in the High Court in terms of the provisions of the Promotion of Administrative Justice Act to have the decision reviewed.

Courtesy: The Advisory - Community Schemes Specialists

Specialist Community Scheme Attorney (BA, LLB), Ané de Klerk, is a Director of The Advisory, a boutique consultancy specialising exclusively in community schemes law. Her focus is legal education, which includes presenting seminars and running online and in-person training programs and courses. You can reach out to her via email at [email protected] to discuss you or your scheme’s training and educational needs.

Tags: Body Corporate, Complex Living, CSOS, Levies Sectional Title, Sectional Title Schemes