On 30 July 2010 the South Africa Revenue Service (Sars) issued a press release and extensive information (documents, presentations, and general information) on its comprehensive Customs Modernisation initiative. The following documentation was released: (i) Media Release: Stakeholder Support for Customs Modernisation; (ii) Media Release: First Phase of Customs Modernisation Programme set for Roll-Out from October 2010; (iii) Customs Modernisation Overview – July 2010; (iv) Trader Pocket Guide; (v) Customs Procedure Code Combinations; (vi) Customs Modernisation Presentation to Stakeholders – February 2010; and (vii) Application of Customs Procedure Code Release. October 2010 will see Sars Customs begin implementing the first phase of its modernisation programme. Customs Risk Engine to be enhanced In addition to goods declarations, the Customs risk engine now accommodates cargo declarations. Risk management lies at the heart of the Customs process – the inclusion of cargo reports not only improves customs risk assessment but provides an additional form of supply chain reconciliation between what is declared and what is physically landed. Effective risk management within Customs will not only rely on developing an enhanced Customs Risk Engine but also the introduction of an enhanced trader management system. Single registration on the cards During the first quarter of 2011, Sars will introduce a single registration application process for all Sars stakeholders. This means that taxpayers, traders and practitioners will have a single interface to Sars for all their client needs. Once introduced, clients can either register electronically or they will have the choice of going to any Sars office and physically registering for any Customs products. For example, Customs clients can apply at Taxpayer Service branches for application to register or license with Sars. The application will be completed on a single integrated Sars from known as the SR-1 or Single Registration form. Like other tax applications it is based on the dynamic Adobe form technology that allows the form to dynamically structure the information required by Sars based on the forms wizard which the applicant will be required to complete. ‘Centres of Excellence’ on the way Customs has identified activities – particularly administrative risk and audit tasks – which can be conducted in a central location away from ports of entry. These offices will be called Trade Administration Centres. Customs will also be introducing ‘Centres of Excellence’ comprising specialists in the areas of tariff, valuation and origin, which will also operate independently of ports of entry. A New Tariff Chapter 99 On 30 July 2010 a notice appeared in respect of the introduction of Chapter 99 to Schedule No.1 Part 1 i.e. “Miscellaneous Classification Provisions”. The notice relates to the insertion of tariff subheading 9992.00 in respect of “Stores for foreign-going ships and aircraft”. According to the notice “Goods in free circulation supplied as stores to a foreign going ship or aircraft shall be cleared for export in terms of the provisions of heading 99.92 and not in terms of any other heading in Part 1 of Schedule No.1”.
