The South African Revenue Service (Sars) on 21 September published the substitution of Note 3 to Schedule No. 5 of the Customs and Excise Act, 1964 to allow for a drawback of safeguard duty on certain hot-rolled steel products in terms of Drawback Item 521.00.
Note 3.a) Note 3 to Schedule No.3 shall mutatis mutandis apply in respect of any expression relating to the extent of any drawback or refund in Column lll of this Schedule and for that purpose any reference to ordinary customs duty shall be deemed to include a reference to any anti-dumping duty provided for in Schedule No. 2 in respect of the goods in question.
3b) For the purposes of drawback item 521.00/00.00/01.00, Note 3 to Schedule No.3 shall mutatis mutandis apply in respect of the expression ‘extent of drawback’ in Column lll to this item and for that purpose any reference to customs duty shall be deemed to include a reference to any safeguard duty provided for in Part 3 of Schedule No.2 in respect of the hot rolled steel products classifiable in safeguard items 260.03/72.08/01.04, 260.03/7211.14/01.06, 260.03/7211.19/01.06, 260.03/7225.30/01.06, 260.03/7225.40/01.06, 260.03/7225.99/01.06, 260.03/7226.91/01.06 or 260.03/7226.99/01.06.
The reasoning for the substitution is contained in Itac Report No.587.