Graphite Electrodes Duty Increase The SA Revenue Service (Sars) has announced an increase in the “General” rate of customs duty (Schedule No.1 Part 1) on graphite electrodes, classifiable under tariff subheading 8545.11, from free of customs duty to 10% ad valorem. The application was published in the Government Gazette of 22 March 2013 and took 238 days (just under 8 months) to complete. Tariff Chapter 27 On 15 November 2013 Sars announced the amendment of Schedule No.1 Part 1 (“Ordinary Customs Duty”) to the Customs and Excise Act. The amendment relates to the change of the statistical unit of certain tariff subheadings in Chapter 27 (petroleum products) from kilograms (kg) to litres (li). Comments on the proposed draft amendment closed on 05 August 2013. The tariff subheadings in question are 2707.10, 2707.20, 2707.30, 2707.40, 2707.50, 2707.91, 2707.99.10, 2707.99.20, 2707.99.90, 2710.12.01, 2712.02, 2710.12.07, 2710.12.09, 2710.12.15, 2710.12.26, 2710.12.30, 2710.12.35, 2710.12.37, 2710.12.39, 2710.12.40, 2710.12.49, 2710.12.52, 2710.12.55, 2710.12.57, 2710.12.60, 2710.12.70, 2710.12.80, and 2710.12.90. Welded Chain Link Dumping On 15 November 2013 Sars announced the amendment of Schedule No.2 Part 1 (Dumping Duty) that relates to the substitution of Items 215.02/7315.82/01.06 and 215.02/7315.82/02.06, which was initially published in the Government Gazette of 09 May 2013. The amendment serves to amend the description to replace “imported from” with “manufactured by”. Tariff subheading 7315.82 relates to nonarticulated welded link chain, the links of which are manufactured from round section iron or steel wire, bars or rods of a diameter of 4mm or more but not exceeding 10mm, which are imported from or originating in the People’s Republic of China. Section 4(4) – (6) of the Act On 14 November 2013 the Constitutional Court of South Africa released its judgement that Section 4(4) – (6) (general duties and powers of officers) is unconstitutional, and that it will not be applied retrospectively. The court suspended the declaration of invalidity for six months to allow Parliament to remedy. It determined a warrant requirement when Sars officials wish to search private residences for purposes of the Act. Duty Calls Watch List Comment is due by 22 November 2013 on the proposed amendment of tariff subheadings 8302.30.30, 8302.41.10 and 8302.42. Comment is due by 26 November 2013 on the proposed insertion of Note 6(h)(v) in Part 3 of Schedule No. 6 to the Customs and Excise Act to give a concession to users of distillate fuel for purchases where logbook records were not kept. Comment is due by 15 December 2013 on the two draft Customs Bills. Comments on the tax burden and tax mix are due by 30 November 2013 and on the Base Erosion and Profit Shifting (BEPS) by 01 January 2014.
