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. No liability is accepted for errors or omissions. Tariff Amendments Ð 6 September 2002 The general rate of duty (25%), the European Union (EU) rate of duty (25%) and the Southern African Development Community (SADC) rate of duty (17%) on canary seed classifiable under tariff subheading 1008.30, have been reduced to free of duty. The English wording in respect of tariff subheading 5309.2 i.e. 'containing less than 85 per cent by mass of flax', is amended to align it with that of the Afrikaans text. Insertion of the Rules to the Customs and Excise Act Ð 6 September 2002 The insertion of the following rules for section 69 after the rules for section 66 i.e. 'RULES FOR SECTION 69 OF THE ACT' Ð Invoice Price. 69.01 (a) In calculating the value for excise duty purposes of goods specified in items of section B of Part 2 of Schedule No. 1 (excluding the items specified in section 69(1)(a) on the basis of the invoice price contemplated in section 69(1)(d) and (e) there may be deducted from the final price stated on such invoice as contemplated in paragraph (b), in terms of the provisions of that section, the percentage stated in each case in respect of the following of such items-50 per cent in respect of items 118.10, 118.15, 118.20, 118.25 and 118.30; 20 per cent in respect of items 124.05 and 124.60; and 30 percent in respect of items 124.40, 124.70 and 124.75. All particulars in respect of any discount, credit or other remission or any other information whatever which relates to the invoice price of the goods reflected on such invoice shall be fully and completely set on such invoice which invoice shall indicate the full and final price of such goods. No discount, remission or credit which is not equally available to every potential participant in the normal course of trade in the market for the goods shall be deducted when the value for excise duty purposes of such goods ascertained or determined. There were no anti-dumping Amendments Ð 6 September 2002 Tariff Applications Ð 30 August 2002 The rebate of the customs duty (duty) on guar beans, classifiable under tariff subheading 0713.90.20, for the manufacture of guar powder, meal or flower. [According to the applicant guar beans are not produced in the Southern African Customs Union (SACU).] The reduction in the duty on flour, meal and powder of dried leguminous vegetables of heading 07.13, classifiable under tariff subheading 1106.10, from 0.8c/kg to free of duty. The reduction of the duty on new pneumatic tyres of rubber, for whelks identifiable for wheelchairs, from 20% ad valorem to free of duty. [According to the applicant, these wheels are similar to bicycle wheels, which can be imported duty free and the duty also serves as a cost on the disabled.] The revision of the duty on wine, other fermented beverages and spirits. In light of the investigations published in 1998, the Board on Tariffs and Trade (Board) is considering recommending the following levels of duty with regard to wine, other fermented beverages and spirits: The duty on wine and grape must, vermouth and other wine, classifiable under tariff heading 22.04 and 22.05, to be adjusted to R1.00 per litre. The duty in cider and perry, classifiable under tariff subheading 2206.00.80, to be amended to R1.00 per litre. The duty of undenatured ethyl alcohol of an alcohol strength by volume of less than 80 per cent volume, in containers holding more than 2 litres, to be increased to 154c per litre. [The Board invites interested parties to comment on the proposed level of duties and requests that they submit detailed information in the motivation of their comments.] Amendment of rebate item 317.02/00.00/02.00 Components (excluding chassis fitted with engines) for the manufacture of motor vehicles for the transport of ten or more persons, including the driver, with compression-ignition internal combustion engines (diesel or semi-diesel), fitted with interior parcel racks, magazine receptacles, coat hooks, reclining seats, arm rests, microphone and radio or cassette equipment, air-conditioning with individual controls, individual reading lights. (Explanatory note: The following items have been investigated and are under consideration for deletion from the rebate item: footrests, chemical toilets, pneumatic plug doors, washbasin and refrigerators). [According to the applicant, the rebate item is too stringent to comply with, as the fitment of these has in certain cases become superfluous on semi-luxury coaches in SACU.] The withdrawal of the rebate item on tartaric acid for the manufacture of wines and the revision of the customs duty on tartaric acid, classifiable under tariff subheading 2918.12, with a rate of duty of 15% ad valorem. [According to the applicant the current level of duty payable on tartaric acid may not be justifiable.] Response due 11 October 2002. Response Due on Tariff Application The proposed rebate of the customs duty on palm stearin, classifiable under tariff subheading 1511.90, for dehydrating and blending with paraffin wax in the manufacture of paraffin wax, wherein the palm stearin content of the blend is 20% or more by mass. Response due by 19 September 2002. No response due on Anti-dumping Applications Compiled by Riaan de Lange of Deloitte & Touche Trade & Investment Solutions. E-mail: rdelange@deloitte.co.za
