Duty calls

Legislative Amendments Expected for EU Refunds According to the South African Revenue Service (SARS) the first legislative amendments that you can expect during January are the enlargement of the European Community (EC). This will be in respect of the additional ten (10) member states being added with retrospective effect from 1 May 2004, the date when they were included as part of the EC. The processing of the amendments had to be delayed pending approval by the National Assembly and the National Council of Provinces as required in terms of Section 231 of the Constitution of the Republic of South Africa, Act 108 of 1996 and as contemplated in Section 49 of the Customs and Excise Act 91 of 1964 (the Act). This will have an effect on Rules 46A2, 49A and then on Schedule No. 1 and Schedule No. 10 to the Act. The Additional Protocol to the Trade, Development and Co-operation Agreement (TDCA) between the EC and its Member States and South Africa is being signed into law under the provisions of Section 49 and included in Schedule No. 10 to the Act. Due to unforeseen circumstances the publication of the Customs and Excise Rules did not take place in December 2005 as was planned. We will keep readers informed of any further developments. New State
Warehouse Rules
– 1 February 2006 On 23 December 2005 the new rules for Section 17 of the Act i.e. State Warehouse were published including the new form DA68 – Application for the delivery of goods ex state warehouse, with effect from 1 February 2006. Please note that the published rule 17.05 in the Government Gazette indicates 3 January 2006 as the date of implementation of the new rules. Although this was originally the idea, SARS decided that it should be effective from 1 February 2006, but unfortunately this one slipped through. The new rules for the state warehouses, as well as the form DA68, should be treated as being effective from 1 February 2006. No tariff amendments – 13 January 2006 Tariff Applications – Response Due Reduction in the rate of customs duty (duty) on electric arc furnace transformers. Reduction in the rate of duty on preparations put up as mollusc food containing, by mass, 50% or more of a combination of wheat and gluten, by amending the existing scope of tariff subheading 2309.90.15. Rebate of the duty on plates, sheets, film, foil and strips, of polymers of vinyl chloride, non-cellular and not reinforced, laminated, supported or similarly combined with other materials, containing by weight 6% or more of plasticisers, of a thickness of 365 microns or more but not exceeding 425 microns for further processing by means of embossing or surface coating with a lacquer. Rebate of the duty on narrow woven mesh fabric of nylon or polyester used in the manufacture of peaked caps. Reduction in the rate of duty on other compression-ignition internal combustion piston engines (diesel or semi-diesel engines). Should this reduction be implemented, it will result in the simplification of the tariff structure and consequently impact the existing rebate items. Response due by 17 February 2005. No Anti-dumping Amendments
– 13 January 2006 Anti-dumping Applications
– No Response Due