Duty calls

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 of
South African Tariff & Trade Solutions. E-mail: riaan@importsolutions.co.za New Rebate Item 470.03 Rules Are you an importer of components/inputs used in the manufacture of products destined for the export market? Or do you procure components/inputs from South African companies that you use in the manufacture of products that you export? Are you a packer, and processor? If so, you are no doubt aware of Rebate Item 470.03 and need to take account of the following. The International Trade Administration Commission of South Africa (ITAC) has announced that with effect from 1 April 2006 it will only deal with applications in terms of the rebate item if it conforms to the revised guidelines, and is on a revised application form. It is advisable for readers to obtain copies of these documents to ensure their compliance. Abolition of Ad Valorem Customs & Excise Duty With effect from 31 March 2006, the South African Revenue Service (SARS) abolished the ad valorem customs and excise duty on the following products: • Aqueous distillates and aqueous solutions of essential oils put up for retail sale; • Automatic goods vending machines (for example, postage stamp, cigarette, food, or beverage machines) including money-changing machines (excluding parts thereof); • Facsimile machines; • Parts of facsimile transmission apparatus; and • Road tractors for semi-tractors, of a mass not exceeding 1 600kg. Tariff Amendments
– 31 March 2006 The rate of duty has been amended for carrier bags, flat bags, carrier bags of polymers of propylene – all with a thickness of 24 microns or more. The environment levy has been amended for carrier bags, flat bags, carrier bags of polymers of propylene – all with a thickness of 24 microns or more, The rate of duty on petrol -unleaded, and petrol – leaded, biodiesel, and other biodiesel has been amended. The specific duty on petrol -unleaded, and petrol – leaded, biodiesel, and other biodiesel has been amended. The amendment of the fuel levy has been effected in terms of Part 5A of Schedule No.1 of the Customs & Excise Act 91 of 1964 (Act). Amendments have also been effected to Schedules No.4, No.5 and No.6 of the Act in terms of distillate fuels, residual fuel oil, and biodiesel. Tariff Applications – Response Due Reduction in the rate of duty on flavouring preparations in the form of beads whether or not packed for retail sale in the form of drinking straws and conical shaped filters for use in drinking straws from 20% ad valorem to free of duty. Response closes on 14 April 2006. No Trade Remedy Amendments – 31 March 2006 Trade Remedy Applications – No Response Due Rule Amendments – 31 March 2006 The rule amendments are in line with the tariff amendments, in order to facilitate such changes.