Effective since 12 January 2012 the South African Revenue Service (Sars) “External Policy – Customs Deferment” applies. The Scope of this document: (a) It encapsulates the deferment requirements and processing of customs duties and Value-added Tax (VAT) for a period of up to 30 days for clients on the Customs system; (b) The purpose of this document is to cater for the deferment of customs duties and VAT payable upon importation for both international and BLNS transactions; (c) It outlines the legal requirements and the respective timeframes allowed; and (d) Registration for the deferment facility is covered in a different document. The Policy of the document states: (a) Only registered Customs clients may utilise the deferment scheme; (b) The payment of Customs duties and VAT at the time of importation may be deferred for up to 30 days. No locally manufactured goods, may be deferred under this scheme; (c) The respective bond requirements are covered in a different document; (d) If Agents utilise Importers deferment accounts they must obtain a Power of Attorney; and (e) Appeals against decisions; (ei) In cases where clients are not satisfied with any decision taken in terms of the Customs and Excise Act they have a right of appeal to the relevant appeal committee; (eii) Should clients be unhappy with a decision of any appeal committee their recourse will be to lodge an application for Alternative Dispute Resolution (ADR) with the relevant appeal committee. The committee will add its comments thereto and forward the application to the ADR Unit for attention; (f) Keeping records; (fi) Every client must keep for record purposes for a period of 5-years: (A) Books, accounts and documents in respect of all transactions relating to the Rules for the purpose of any acquittal procedure; and (B) Any data related to such documents created by means of a computer; (fii) The 5-year period is calculated from the end of the calendar year in which the document was created, lodged or required; (fiii) Every client must produce such books, accounts and documents on demand. (g) Penalties; (gi) Failure to adhere to the provisions of the Act, as set out in this document, is considered an offence. (gii) Offences may render the client liable to, as provided for in the Act: (A) Monetary penalties; (B) Criminal prosecution; and/or (C) Suspension and/or cancellation of registration, license, accreditation and/or designation.
