A weekly summary of the main changes to the South African tariff dispensation and amendments to customs and excise legislation. Compiled by Riaan de Lange. E-mail: riaan.de.lange@za.pwc.com PricewaterhouseCoopers Customs & International Trade (CIT) consultancy Refund Procedure for VAT on CCA1 The South African Revenue Service (SARS) has produced a guide to assist with the application for a refund of the Value-added Tax (VAT) on form CCA1 “Declaration of Goods Removed within the Southern African Common Customs Area”. According to the SARS guide there are four (4) instances in which the VAT paid on form CCA1 can be refunded: ¥ Duplication of payment; ¥ Surplus amount collected, such as the incorrectly calculated rates of exchange; ¥ Goods on which VAT has been paid at entry into South Africa, and then returned to Botswana, Lesotho, Namibia and Swaziland (BLNS countries) provided that the goods are identifiable; and ¥ Goods which were exported on a temporary basis or in transit do not attract VAT upon importation; in such instances the VAT must be secured by means of a provisional payment on a form DA70 “Application to Make Provisional Payment”. Administration of 70707070 Code There have been changes in respect of the treatment of imports and exports cleared using this Customs code. In respect of imports where the value is less than R20 000 and the consignment contains no “commercial goods” the importer has the right to clear 70707070, three (3) times a calendar year with no provisional payment required. Where the value exceeds R20 000 and is not catered for in terms of the exclusions to “commercial goods” the South African Revenue Service (SARS) office will insist on a provisional payment of 10% of the value with a minimum of R2 500 and a maximum of R20 000. This provisional payment is refundable after proof of registration and the Commercial Service of the SARS Head Office has allocated a confirmed code. In respect of exports the code may only be used by clients if a fully completed form DA185 “Application Form: Licensing/ Registration of Customs and Excise Clients” has been submitted to a local SARS office and the copy is stamped. A company will be allowed to use the code three (3) times within the calendar year. If the value is less than R20 000 the company may export without any proof of registration for once in the financial year. However, the company may continue to clear without the code for two (2) more times with the submission of a proof of application. No Rule Amendmenst - 18 June No Tariff Amendments - 18 June Tariff Application - Response due The rebate of the duty on woven fabrics of a width exceeding 3.70m obtained from strip or the like of polypropylene, and/or filaments of polypropylene unprinted for use as backing in the manufacture of wall-to-wall tufted carpets with a finished width exceeding 3.60m. Response due by 16 July 2004. No Anti-dumping Amendments - 18 June Anti-dumping Investigation - Response Due The initiation of an investigation into the alleged dumping of steel wheels originating in or imported from Brazil, the People’s Republic of China, Chinese Taipei and Turkey. Response due by 28 June 2004. The initiation of a sunset review of the anti-dumping duties on hot rolled plates and sheets of steel originating in or imported from the Russian Federation and the Ukraine. Response due by 21 June 2004. The anti-dumping duty on certain products could expire if interested parties do not act timeously. The products in question are accordingly listed, with the expiry duty of the anti-dumping duties reflected in brackets. Carbon black (13/10/2005), garlic (20/10/2005), supertension cable (31/3/2005), sutures (12/5/2005), hydrogen peroxide (3/3/2005), optical fibre cable (31/3/2005), and chicken meat portions (27/12/2005). Manufacturers in the SACU of the said products that intend to submit a request for the anti-dumping duty to be reviewed prior to the expiry thereof should do so by no later than 30 June 2004.
