VAT compliance checks slow Botswana traffic

KEVIN MAYHEW THE TAXING issue of VAT for goods being imported from Botswana into South Africa and imports from South Africa to Botswana by road is causing major problems, particularly after a seeming clampdown and increased consignment checks in the past few months. The marketing director of Gaborone-based Hoya Removals and Freight Botswana, James Molokomme, says South African Revenue Service’s (SARS) personnel at times call for physical examination at border posts to check declaration compliance. “This causes a major problem with consolidated cargoes where different importers are involved and some might have deferred accounts with Customs while others have not. We have also had situations where we had to arrange for labour to offload for checking by Customs at the border,” he told FTW. SARS requires that VAT on all goods for import must be paid before they clear the South African border, and the same applies for imports into Botswana. Using the rail alternative, on the other hand, means no delays as trains are not checked at the border, even though PX containers are constantly moving through it. Complicating matters further is the mismatch of documentation - with the Botswana authorities using electronic and South African manual, paper-driven systems. Hoya provides customs clearing and forwarding, road, sea and air freight, removals, packaging, bonded and general warehousing services.