On 26 May Sars published an amendment to Part 3 of Schedule No 6 to the Act, 1964 (Refunds and Rebates of Excise Duties, Fuel Levy and Environmental Levy) in order to clarify the position with regard to certain provisions under the Diesel Refund Item.
The substitution of Note 6(f)(ii)(cc) in Part 3 of Schedule No 6 to the Act relating to the cessionary of the necessary authorisation granted or ceded in terms of the Mineral and Petroleum Resources Development Act, 2002.
The substitution of Note 6(f)(iii)(ss) in Part 3 of Schedule No 6 to the Act, 1964 relating to quarrying activities.
The insertion of Note 6(f)(iii)(uu)(I) in Part 3 of Schedule No 6 to the Act, 1964, relating to rehabilitation required by an environmental management programme or plan approved in terms of the Act, 2002, but excluding such activities performed beyond the place where the mining operations are carried on or after a closure certificate has been issued in terms of the Act, 2002.
The substitution of Note 6(f)(iv) in Part 3 of Schedule No 6 to the Act, 1964 relating to the refund of levies in respect of the mining, if mined from a quarry.
The insertion of Note 6(h)(vii) in Part 3 of Schedule No 6 to the Act, 1964 relating to sugarcane farmers with an average production of less than 1 800 tons of sugar cane each per year that are not registered for value-added tax (VAT) purposes and fail to keep the logbook.
Diesel Refund Item Tariff Amendments
On 26 May Sars published an amendment to Part 3 of Schedule No 6 to the Act, 1964 (Refunds and Rebates of Excise Duties, Fuel Levy and Environmental Levy) in order to clarify the position with regard to certain provisions under the Diesel Refund Item.
The substitution of Note 6(f)(ii)(cc) in Part 3 of Schedule No 6 to the Act relating to the cessionary of the necessary authorisation granted or ceded in terms of the Mineral and Petroleum Resources Development Act, 2002.
“(cc) by the holder or cessionary of the necessary authorisation granted or ceded in terms of the Mineral and Petroleum Resources Development Act, 2002 (Act No. 28 of 2002).”
The substitution of Note 6(f)(iii)(ss) in Part 3 of Schedule No. 6 to the Act, 1964 relating to quarrying activities.
”(ss) Quarrying activities necessary solely for obtaining, extracting and removing minerals from the quarry but excluding any secondary activities to work or process such minerals (including crushing, sorting and washing) whether in the quarry or at the place where the mining operation is carried on.”
The insertion of Note 6(f)(iii)(uu)(I) in Part 3 of Schedule No. 6 to the Act, 1964, relating to rehabilitation required by an environmental management programme or plan approved in terms of the Act, 2002, but excluding such activities performed beyond the place where the mining operations are carried on or after a closure certificate has been issued in terms of the Act, 2002.
“(vv) Rehabilitation required by an environmental management programme or plan approved in terms of the Mineral and Petroleum Resources Development Act, 2002, but excluding such activities performed beyond the place where the mining operations are carried on or after a closure certificate has been issued in terms of the Mineral and Petroleum Resources Development Act, 2002.”
The substitution of Note 6(f)(iv) in Part 3 of Schedule No. 6 to the Act, 1964 relating to the refund of levies in respect of the mining, if mined from a quarry.
“(iv) The refund of levies in respect of the mining of sand, stone, rock, soil (other than topsoil), clay, gravel and limestone applies only if mined from a quarry and the mining operations comply with subparagraph (iii)(ss).”
The insertion of Note 6(h)(vii) in Part 3 of Schedule No. 6 to the Act, 1964 relating to sugarcane farmers with an average production of less than 1 800 tons of sugarcane each per year that are not registered for value-added tax (VAT) purposes and fail to keep the logbook.
“(viii) Sugarcane farmers with an average production of less than 1800 tons of sugarcane each per year that are not registered for value-added tax purposes and fail to keep the logbook information prescribed in paragraph (q) to this note must reduce their eligible distillate fuel purchases by 20 per cent to exclude potential non-eligible purchases. The sugar mills to which the sugarcane of these farmers is delivered must process the refund claims of these farmers under the mills' own value-added tax registrations as agents on behalf of such farmers in consultation with the South African Sugar Association (SASA).”