DUTY CALLS is your weekly look at changes in the South African tariff dispensation and amendments to Customs and Excise legislation. This column aims to provide the reader with a summary of the main changes and is not intended to be a comprehensive statement of the law. No liability is accepted for errors or omissions. No Provisional Payments as Surety Bonds The South African Revenue Service (SARS) has announced that provisional payments i.e. DA70 forms (Application to make Provisional Payment), may not be used as a substitute for surety bonds. As a consequence, SARS’ past practice of accepting DA70 forms as surety bonds specifically for rebate item 470.03 permits will cease with immediate effect. In addition the DA70 forms accepted in the past need to be replaced with valid surety bonds as a matter of urgency. The current minimum surety bond amount is R100000. 00. This measure does not affect the provisional payments that serve to cover the potential customs duty and Value-added Tax (VAT) liability, pending the compliance with any of the Customs and Excise Act 91 of 1964 provisions. Rule amendments (DAR/84) - 10 October For the purpose of transition users of DA63 forms i.e. “Application for Refund - Export for Trade Purposes of Imported Duty-Paid Goods”, DA64 forms i.e. “Application for Drawback”, and DA forms i.e. “General Application for Refund” and users of DA63 forms, DA64 forms and DA 66 forms are allowed to utilise existing stock until 30 November 2003. To effect this change the Customs and Excise Rules have been amended by the substitution of rules 202.01.04 and 202.01.05 with the following: 04. In respect of forms DA 63 and DA 64, must: (a) Be printed lengthwise; (b) Be printed in black ink; (c) Have dimensions of 297 mm x 210 mm; and be printed on white paper. In respect of form DA 66, must: Consist of four pages; Be so printed that it form a folder, with page two as the reverse side of page one and page four the reverse side of page three; Be printed upright; Be printed in black ink; Have dimensions of 420 mm x 297 mm; and Be printed on white paper with a mass of not less than 80g/m?. 06. In respect of all other forms, each form reflects: (a) Whether printing is to be lengthwise; (b) The dimensions; (c) The colour of the ink; and (d) The colour of the paper. 07. The printing shall be so arranged as to allow the maximum space for the particulars to be entered. Tariff amendments - 10 October Tariff subheading 3808.40.20 has been substituted by tariff subheading 3808.40.30 trichlorocyanuric acid containing disinfectants, where the general rate of duty has been increased from free to 10% ad valorem, and tariff subheading 3808.40.80 has been inserted for “Other, with a coal tar derivative as active ingredient”. A separate tariff subheading has been created for printing blankets with a micro grounded surface in standard gauges of 1mm or more but not exceeding 2.58mm and elasticity or stretching capacity not exceeding 0.7% at 500N/5cm, at a rate of duty. A manufacturing rebate provision (306.04/1515.11/01.06) is created for the full customs duty (duty) on crude linseed oil, used for the manufacture of alkali refined linseed oil, modified linseed oil and putty oil. A manufacturing rebate provision (312.01/6406.99/03.06) is created for the full duty on cork inner soles, for the manufacture of footwear. Tariff applications - Response due A comprehensive description of the anti-dumping application is given the first time it is published; thereafter only the essential information is given. The reduction in the rate of customs duty (duty) on radical deep grove ball bearings classifiable under tariff subheadings 8482.10.10 and 8482.10.15, from 20% ad valorem to free of duty. Response due by 24 October. Rebate of the duty on 4,6 diamine-2-methyl-1, 3, 5-trizine, coated release papers and printed dŽcor papers, classifiable under tariff subheadings 2933.69.90, 4811.90 and 4811.90, respectively, for the manufacture of plates, sheets, film, foil and strip decorative laminate of phenolic resin. Aluminium alloys, classifiable under tariff subheadings 7605.21.70, 7605.21.80, 7605.29.05 and 7605.29.80, from 5% ad valorem respectively to free of duty. Response due by 17 October. Anti-dumping amendments - 10 October A provisional anti-dumping of 79% is imposed on flat-rolled products of iron or non-alloy steel, of a width of 600mm or more, painted, varnished or coated with plastics (tariff subheadings 7210.70 and 7212.40), originating in or imported from BHP Steel Ltd, Australia. The anti-dumping duty on bed linen imported from Crown Fashions Limited, Malawi remains unchanged (211.14/6302.22/01.06 and 211.14/6302.32/01.06). Provision is made for separate anti-dumping duties on fitted sheets and pillowcases imported from Crown Fashions Limited, Malawi (211.14/6302.32/02.06 and 211.14/6302.32/03.06). Provision is made for a full rebate of the anti-dumping duty on vinyl chloride originating in or imported from Germany, India, the Netherlands and Thailand for the manufacture of tablecloths (307.04/3920.4/01.05 and 315.12/3920.4/01.05).
