Customs and Excise Tax Training From 08 to 10 May 2014 the Department of Taxation at the University of Pretoria (UP) is presenting a course on customs and excise taxes. The course is aimed at individuals wanting to acquire a basic knowledge of customs and excise taxes, and is considered as part of the knowledge and skills components of the tax professional qualification. WTO’s Founding Agreements On 15 April 1994 the World Trade Organisation (WTO) agreements were signed in Marrakesh, Morocco. They were the result of the 1986 to 1994 Uruguay Round negotiations and are the basis for the multilateral trading system in its present form. At that time most of the 123 participating governments signed the agreement, concluding the largest trade negotiation ever, and most probably the largest negotiation of any kind in history. Now the number has reached 159. The WTO’s creation on 01 January 1995 marked the biggest reform of international trade since World War II. It also brought to reality the failed attempt in 1948 to create an International Trade Organisation (ITO). Beadwire Customs Duty Increase The International Trade Administration Commission of South Africa (Itac) on 17 April 2014 announced the application for the proposed increase in the “General” rate of customs duty on wire of iron or non-alloy steel: plated or coated with other base metals (known in the industry as beadwire), classifiable in tariff subheading 7217.30, from free of customs duty to 10% ad valorem. Comment is due by 15 May 2014. The application was lodged by Natstan Wire (Pty) Ltd, based in Uitenhage, who reasoned that since the import duties on wire products had been removed, the Southern African Customs Union (Sacu) had lost substantial business due to the low landed price of competing imported beadwire products. Tax Provisions for Petroleum Exploration The South African Revenue Service (Sars) on 17 April 2014 announced the retrospective (01 January 2014) insertion of rebate item 460.23/00.00/02.00 and the substitution of rebate item 460.23 in terms of Schedule No.4 “General Rebates of Customs Duties and Fuel Levy”, Part 2 “Temporary Rebates of Customs Duties” to the Customs and Excise Act 91 of 1964. Sars also announced the retrospective amendment of paragraph 8 of Schedule 1 of the Value-added Tax (VAT) Act 8 of 1991 for the insertion of rebate item 460.23 to provide for an exemption from the levying of VAT on equipment imported and used in the exploration for or production of petroleum. The amendments relate to the importation of all goods used in the exploration for or production of petroleum and are designed to distinguish between customs duty free, and dutiable equipment used in the exploration for or production of petroleum as certified by the Director- General: Mineral Resources. Road Freight Cargo Manifests – Comment Due First published on 31 March 2014 for comment due by 15 April 2014, and extended on 17 April 2014 until 25 April 2014. The comments relate to the insertion of Rules to the Customs and Excise Act, 1964 in relation to road freight cargo manifests, and form DA187 “Customs Road Freight Manifest”.
