On 28 July the South African Revenue Service (SARS) informed of an update of its “Bonds - External Policy Excise” through the insertion of Paragraph 2.1.(d)(i)(A) to make provision for temporary registration in terms of Rebate Item 621.08 classifiable in heading 38 of Part 1 of Schedule No. 1; and
Paragraph 2.1.(d)(i)(B) to make provision for the extension of the temporary license of an existing excise manufacturing warehouse and spirits warehouse.
In section 2. POLICY, and subsection 2.1 Surety as a condition:
A) Temporary registration in terms of Rebate Item 621.08 for recipients and users of partially or undenatured ethyl alcohol for disinfectants classifiable in heading 38 of Part 1 of Schedule 1; and
B) Temporary license for the:
I) Extension of the licensed premises of existing licensed Excise manufacturing warehouse; and
II) Spirits SOS warehouse (warehouse business type 48) licensed in terms of Rule 19A3.01(b)(v).
The “SUMMARY OF MAIN POINTS” informs that the Policy covers:
i) The standards used to determine the amount of surety and the criteria used to review the
amount of surety;
ii) The registration, cancellation, increase or decrease and governance of bonds and addendums
which are the acceptable forms of surety; and
iii) Surety where it is a condition of approval, registration, licensing or designation.
b) Cash deposits on provisional payments (DA 70) in lieu of bonds are no longer accepted for surety for any new applications. Cash deposits will only be accepted for duty and / or VAT, which are due or may become due pending compliance with a specified condition or obligation to Excise within a stipulated period, (e.g. the declaration process).
The Notices are accessible at:
https://www.sars.gov.za/AllDocs/OpsDocs/Policies/SE-BON-02%20-%20Bonds%20-%20External%20Policy.pdf
Story by: Riaan de Lange