Not sure how changing the rate will affect the agency. If the total commission is R100 000 and 25% PAYE is deducted the total expense for the agency is R100 000 (R75 000 to the agent and R25 000 to SARS). If the rate changes to 30%, the total cost to the agency will still be R100 000 (R70 000 to the agent and R30 000 to SARS).

The tax directive (if used correctly) is in place to help commission earners get tax deducted at a rate which is closer to their actual rate. This is based on historical cost. As I said, if used correctly. A lot of these "self taught" accountants/bookkeepers do not know how to apply a tax directive.

In the end it will all be the same. If your directive said 18% or 35%, when you get assessed at the end of the year you are still taxed on the normal tax tables. It just help the commission earner to not have a huge tax bill at the end of the year