‘Prepare now for January harmonised system switch’

Get those headings sorted out, consultants urge ALAN PEAT WITH THE deadline for the introduction by the SA Revenue Service (Sars) of the new World Customs Organisation (WCO) harmonised commodity description and coding system (HS) on January 1, 2007, it's time for shippers and importers to become alert to the new tariff headings, according to Wian de Bruyn of trade and customs consultants, Deloitte. “The issue for them is to confirm whether the current tariff headings they use are correct under the new system,” he said. This is especially the case if the shipper/importer has a tariff determination in place, with a ruling from Sars about which heading must be used. “These will need to be checked to see if they have to change at all, and whether they will still be valid when the new regime is implemented,” De Bruyn told FTW. Although Sars has not yet confirmed its own list of the new HS tariff headings, he said that indications were that these would be published in December. Riaan de Lange of SA Tariff and Trade Solutions agreed. He also agreed that shippers/importers should have all their own headings sorted out as quickly as possible. It might be a bit late waiting for Sars to release its list, as a lot will depend just how much notice it provides of the new headings. “However,” De Lange said, “in my discussions with customs, it would appear that Sars is really well prepared for the new system this time around.” De Bruyn agreed, but pointed out that there could still be some complications when the new system comes into being. This could be from companies in the private sector who haven’t got their new headings quite right. “There could also be hiccups,” he said, “if Sars questions some of the headings being used.” It’s a matter of the correct interpretation on both public and private sector sides, and could see a number of shipments delayed until all of it is sorted out. The only detailed source of this new system that FTW has found is the WCO itself. Amongst their current list of publications are “the amendments to the harmonised system nomenclature” (the latest version of the 2007 HS) at 30-euros, and the five-volume “explanatory notes to the harmonised system” at 700-€. Details are available from the WCO website at: publications@wcoomd.org – along with a further list of HS-related publications due for early 2007.