Toyota top car exporter to South Africa and other countries of Southern Africa

Jim is Thailand's top car exporter and 4x4 exporter, importer and dealer of new and used 2009, 2008, 2007, 2006, 2005, 2004, 2003, 2002, 2001, 2000 models of Toyota Hilux Vigo, Toyota Fortuner, Mitsubishi L200 Triton, Nissan Navara, Ford Ranger, Chevy Colorado, Isuzu Dmax, Isuzu MU-7 and other 4x4 pickups and SUVs. Jim is also Thailand's top car exporter to Africa. We are exporting RHD vehicles to all countries of Southern and Eastern Africa and Left Hand Drive vehicles to LHD countries of Southern, Central and Western Africa.

Jim has dominated export of vehicles to Southern Africa including South Africa, Namibia, Botswana, Lesotho, Swaziland, Zimbabwe, Zambia, Mozambique, Madagascar, Seychelles and Angola.

We also dominate exports to Eastern Africa. After banning of imported stolen vehicles, Jim has emerged as Thailand's top car exporter and top 4x4 exporter to Uganda, Kenya and other East African countries as Tanzania and Malawi just as we were Thailand's top car exporter and top 4x4 exporter to Southern African countries. Please note that right now while you can only import vehicles from between 2001 and 2008 as Kenya only allows importation of cars that are less than eight years old. Uganda used to have no such restrictions but this year (2008) Uganda will also have this eight year restriction. We are sending mostly used second-hand Toyota Hilux Tiger and nearly new and new Toyota Hilux Vigoto Uganda, Kenya and the rest of East Africa. Please see their Images (Pics) at http://thailand-dealer.com/pics.html.

The Southern African Customs Union (SACU) is the oldest Customs Union in the world.  SACU came into existence on 11 December 1979 with the signature of the Customs Union Agreement between South Africa, Botswana, Lesotho, Namibia and Swaziland. It entered into force on the 1st of March 1970, thereby replacing the Customs Union Agreement of 1910. It was renegotiated in 1994.

SACU revenue constitutes a substantial share of the state revenue of the BLNS (Botswana, Namibia, Lesotho and Swaziland) countries.

Products imported into South Africa can therefore circulate freely within these 4 countries.

Eastern Africa includes Tanzania, Kenya, Uganda, Malawi, Zambia, Burundi, Rwanda, Djibouti, Eritrea, Ethiopia and Sudan. Tanzania, Kenya, Uganda, Malawi, and Zambia are Right Hand Drive countries while Burundi, Rwanda, Djibouti, Eritrea, Ethiopia and Sudan are Left Hand Drive countries. Malawi and Zambia are sometimes counted among Southern African countries as well and are a part of South African Regional organizations as well. We serve Tanzania from Dar-es-Salaam port and Kenya from Mombasa port. Ugandan Burundi and Rwandan buyers prefer Mombasa but can also route via Dar-es-Salaam. Malawians buyers have choice between Mombasa, Dar-es-Salaam and Durban.  All the other countries have their own ports but our shipment to Southern Sudan are often routed via Mombasa.

Souther African countries include Botswana, Lesotho, Namibia, South Africa, Swaziland, Angola, Mozambique, Madagascar, Zimbabwe, Comoros, Mauritius, Seychelles, Mayotte, and Réunion. Botswana, Lesotho, Namibia, South Africa, Swaziland,, Mozambique, Madagascar, Zimbabwe, Mauritius, Seychelles are Right Hand Drive countries while Angola, Comoros, Mayotte, and Réunion are Left Hand Drive countries.

Please note that Jim is Thailand's largest, Singapore's, United Kingdom UK's and Dubai's largest exporter to Africa. People may find it daunting to export to South Africa but not with Soni. Email us now at [email protected] and discover the Jim difference. Jim is family-owned and family-operated since 1911 and is known for its superior integrity, great customer service, great prices, great selection, great quality and great speed of delivery.

The founder members of the East African Community Customs Union are Kenya, Uganda and Tanzania. In December 2006, Burundi and Rwanda were admitted into the Union. Members of COMESA are Angola, Burundi, Comoros, Democratic Republic of Congo, Djibouti, Egypt, Eritrea, Ethiopia, Kenya, Libya, Madagascar, Malawi, Mauritius, Rwanda, Seychelles, Sudan, Swaziland, Uganda, Zambia and Zimbabwe. Finally, South African Development Community (SADC) is comprised of Angola, Botswana, Democratic Republic of Congo, Lesotho, Madagascar, Malawi, Mauritius, Mozambique, Namibia, South Africa, Swaziland, Tanzania, Zambia and Zimbabwe.

The majority of our exports to South Africa are going to Durban based dealers who buy it for their customers in different parts of South and East Africa.

South Africa

The import duties in South Africa are fairly high and you must have both an Import Permit from The Director of Import and Export Control Trade and Industry  (Email: [email protected] ) and a Letter of Authority from the South African Bureau of Standards (Email: [email protected]). on and this discourages customers from buying imported vehicles. Most of our vehicles heading to Durban port are for other countries of Southern Africa. Some Southern African customers living near the border with relatives in Swaziland, Lesotho, Namibia, Botswana and Mozambique get their vehicles registered in that neighboring country and then that relative or friend transfers the ownership of the vehicle in your name in an official document. The person then brings this vehicle into South Africa and drives with Swazi or Mozambiquean number plate. Obviously if one were to do it long-term he would run into trouble with the local Southern African authorities. Even though this practice is quite common in the border region, we discourage this practice.

How to import Vehicles into South Africa

1. Motor Cars (New or Used)

a) Import Duty and Tax

* Customs duty = 36% (motor cars more than 20 years old are subject to 20% customs duty)
* Ad valorem customs duty (based on a sliding scale depending on the value of the vehicle, with a minimum of 0.75% and a maximum of 20%)
* Value-added tax (VAT) = 14%

As an example, the cumulative duties and taxes payable on a car with a value of approximately R200 000 are ±70% of the market value. All vehicles with a value for ad valorem customs duty purposes of less than R130 000 do not pay ad valorem customs duty on importation into South Africa.

If the original purchase invoice is not available, three written valuations must be obtained from motorcar dealers in the country of export to assist the customs clearance process in South Africa.

b) Import Permit

All used motor vehicles are subject to the production of an Import Permit that must be obtained prior to the vehicle being shipped to South Africa. Applications for Import Permits should be addressed to:

The Director of Import and Export Control
Trade and Industry
Private Bag X192
Pretoria
0001
South Africa

Tel: +27 12 428 7793 or 428 7796
Fax: +27 12 428 7799
E-mail: [email protected]

Please Note – Import Permits are only forwarded to South African addresses.

c) Letter of Authority

All new and used motor vehicles being imported into South Africa are also subject to the production of a Letter of Authority. Applications for Letters of Authority should be addressed to:

The South African Bureau of Standards
Private Bag X192
Pretoria
0001
South Africa

Contact: Mr. Paul Snyman
Tel: +27 12 428 6276
Fax: +27 12 344 1568
E-mail: [email protected]

Contact: Mr. Allen Cohen
Tel: +27 12 428 6891
Fax: +27 12 344 1568
E-mail: [email protected]

Your attention is drawn to the fact that the importation of left-hand drive vehicles is generally prohibited if registered in the name of an importer on or after 1 January 2000 unless authorised by the SABS.

How to import Motor Cycles (New or Used) in South Africa

* Above 800 cc = Customs duty free, 7% ad valorem customs duty, plus 14 % value-added tax 200 – 800 cc = Customs duty free, 5% ad valorem customs duty, plus 14% value-added tax Under 200 cc = Customs duty free, ad valorem customs duty free, plus 14 % value-added tax.
* An Import Permit is required for all used motor cycles (see above).
* If the original purchase invoice is not available, three written valuations must be obtained from motorcycle dealers in the country of export to assist the customs clearance process in South Africa.
* Immigrants who are in possession of a Permanent Residence Certificate may import one motor vehicle per family without the payment of customs duties and tax on change of residence to South Africa on condition that the vehicle is registered in the importer’s name and has been owned and used by the importer for a period of at least 12 months before shipment of the vehicle to South Africa.
* All rates of import duty and tax are subject to amendment without prior notification.

Motor Vehicles imported by natural persons on change of Permanent Residence to South Africa

1. Rebate of Duties

In terms of item 407.04 of Schedule number 4 to the Customs and Excise Act –

• Immigrants, and
• South African residents who originally emigrated from the Republic obtained permanent residents status abroad, and thereafter return,

being natural persons, may after obtaining permanent residence in South Africa/return to South Africa permanently, import ONE MOTOR VEHICLE PER FAMILY under full rebate of customs duties for his/her own personal use, provided that the vehicle so imported was the personal property of the importer, and was owned and used by him/her for a period of not less than 12 months prior to the Importer's departure for the South Africa.

South African Residents, please note that unless you comply with all three elements, i.e:

1. you originally emigrated from the South Africa;
2. you obtained permanent residents' status abroad; and
3. you again return to the South Africa permanently,

you do not qualify for the rebate of duty.

Note:

- Should the vehicle have been owned and used for a period of less than twelve months prior to departure, the amount of duty rebated will be reduced pro-rata, according to the number of days less than 12 months.

- If the vehicle is second-hand, an application for an import permit must be made, prior to shipment of the vehicle to South Africa, to:

The Director of Import and Export Control
Private Bag X192
Pretoria
0001
South Africa

Tel: +27 12 428 7793 or 428 7796
Fax: +27 12 428 7799
E-mail: [email protected]

Download ITAC application form H462 for importation of second hand vehicle in South Africa here (pdf)

- All vehicles being imported into the South Africa require an original Letter of Authority, application for which must be made to:

The South African Bureau of Standards
Private Bag X192
Pretoria
0001
South Africa

Contact: Mr. Paul Snyman
Tel: +27 12 428 6276
Fax: +27 12 344 1568
E-mail: [email protected]

Contact: Mr. Allen Cohen
Tel: +27 12 428 6891
Fax: +27 12 344 1568
E-mail: [email protected]

2. Specific Exclusions

Please note that the following persons do not qualify for the rebate –

• South African citizens travelling abroad;
• South African citizens taking up temporary residence in a foreign country, irrespective of the period involved, i.e. for study, work permit, contract work, etc.; and
• Foreign nationals taking up temporary residence in South Africa.

For any period that a vehicle may be registered in a company's name during the twelve months period prior to shipment, the rebate will be reduced on a pro-rata basis.

3. Documents to be Produced

In support of the clearance of the vehicle in South Africa, the following documentation must be produced to your clearing agent/Customs –

• * Immigrants must produce their permanent residence permit issued by the Department of Home Affairs (or a copy thereof)
• Returning South Africans must produce proof of emigration from the Republic, proof of permanent residence obtained abroad as well as evidence that such permanent residence has been withdrawn
• A duly completed form DA 304 A
• Purchase documents
• Registration certificate/permit
• Documentary evidence of the date on which delivery of the vehicle was taken
• Documentary evidence of the date on which the vehicle was handed to the shipper for shipment to South Africa
• An import permit (used vehicles); and
• An original Letter of Authority (all vehicles)

4. Additional Information

A vehicle shall not be deemed to be personally owned and used by an importer unless such importer was at all reasonable times personally present at the place where the vehicle was used. The period of use is deemed to be from the date on which the vehicle was registered in the name of the importer (whichever is the later), until the date on which the vehicle was delivered by the importer to the shipper or other agent for the purpose of shipment or dispatch to South Africa.

Vehicles imported under the provisions of item 407.04 may not be offered, advertised, lent, hired, leased, pledged, given away, exchanged, sold or otherwise disposed of within a period of 20 months from the date of it being cleared for Customs purposes in South Africa. Prior permission must be obtained, should an importer wish to dispose of the vehicle within the 20 month period after the date of clearance.

For the purposes of item 407.04, during the initial period of 20 months after the date of clearance in South Africa, an importer shall, if he or she is absent for a continuous period of longer than 3 months from the place where the vehicle is usually used in South Africa, be deemed not to have imported the vehicle for his/her own or personal use, and the duty determined by the Commissioner for the South African Revenue Service shall be payable as from the date of such absence.

5. Important notice

Due to the fact that the provisions of the rebate item and the rate of VAT may be subject to change and also to avoid any misunderstanding regarding the provisions of the rebate item, you are advised to confirm the above information prior to deciding to ship a vehicle to South Africa. Enquiries in this regard should be addressed to:

South African Revenue Service
Customs Commercial Services
Private Bag X923
Pretoria
0001
South Africa

Tel: +27 12 422 6793 or 422 4000

Contact: Mr. Harold Hartley
Tel: +27 12 422 6901
Fax: +27 12 422 6978
E-mail: [email protected]

Contact: Mr. Roux Raath
Tel: +27 12 422 4568
Fax: +27 12 422 6978
E-mail: [email protected]

Contact: Mr Rajesh Mohanlall
Tel: +27 12 422 6790
Fax: +27 12 422 6978
E-mail: [email protected]

Southern Africa

SACU (the Southern African Customs Union)

The Southern African Customs Union (SACU) is the oldest Customs Union in the world.  SACU came into existence on 11 December 1979 with the signature of the Customs Union Agreement between South Africa, Botswana, Lesotho, Namibia and Swaziland. It entered into force on the 1st of March 1970, thereby replacing the Customs Union Agreement of 1910. It was renegotiated in 1994.

SACU revenue constitutes a substantial share of the state revenue of the BLNS (Botswana, Namibia, Lesotho and Swaziland) countries.

Products imported into South Africa can therefore circulate freely within these 4 countries.

 

Regional Agreements

The Common Market for East and Southern Africa

The Common Market for East and Southern Africa (COMESA) has been operating, in one form or another, since 1981.  COMESA aims to promote economic integration via the removal of barriers to trade and investment among COMESA member states. Moreover, COMESA aims to advocate for infrastructure development, and development in science and technology. Economic integration is envisaged to progress from the Free Trade Area (FTA) to an economic monetary union. The FTA became operational on 1st November 2000 with nine participating countries initially. The nine member countries that are implementing zero tariffs are Egypt, Sudan, Djibouti, Malawi, Madagascar, Mauritius, Zambia and Zimbabwe.  However in January 2004, Burundi and Rwanda joined the FTA, bringing the total number of participating countries to eleven.  

The COMESA FTA is an agreement among members not to apply customs duties or charges on goods traded amongst themselves.  The eligible goods for duty-free treatment must meet the agreed upon Rules of Origin.  Members also agree to eliminate all non-tariff barriers to trade between them.

A COMSEA Certificate of Origin is required for each consignment of goods and is obtained from the Revenue Authority in respective member countries. 

The Southern Africa Development Community

The Southern Africa Development Community (SADC) aims to promote regional integration and sustainable development in the regional community.

Members of the Southern African Development Community (SADC), comprising 14 countries, signed a Trade Protocol, which calls for the implementation of a Free Trade Area.  Each country has negotiated two reduced tariff schedules.  One schedule is applicable only for South Africa, and another schedule for all other SADC members. Zambia's implementation of her offer, effective 30th April 2001, is provided to those countries that provide Zambia with the SADC reduced tariff schedule. 

The reduction of tariffs to South Africa provide for delayed liberalization, while the schedule to other members provide for broader and faster access to the South Africa market.  The tariff schedule applicable to SADC members, with the exception of South Africa, has three categories.  Category A products are those products which go to zero-duty immediately upon implementation.  The tariff for Category B products gradually goes down to zero-duty over a period of eight years, and the tariff of Category C products reaches zero-duty twelve years after implementation.  Category C products are known as sensitive products, and include for Zambia meat and dairy products, tea, some flours, raw sugar, cement, textiles and clothing, and motor vehicles.

Plans are currently underway to establish a Free Trade Agreement by 2008, and a SADC Customs Union by 2010.

A SADC Certificate of Origin is required for each consignment of goods and is obtained from the Revenue Authority. 

South Africa - RHD

South Africa is one of Bloomstar's - and by extension Jim Motors' - global hub. Our Gold Partners have dealership in Durban Port and after keeping the vehicles suitable for South African markets, they resell the rest to the customers who flock to Durban port from all parts of Africa. We are exporting a number of new and Jim Quality Toyota and Mitsubishi vehicles to South Africa, some for South African consumers while the vast number of vehicles are imported for the express purpose of re-export to other Southern African countries.

The main zones of economic concentration are located in the main South African conglomerations: Johannesburg / Pretoria, Cape Town and Durban.

The entire motor vehicle imports and exports (over 175,000 units in 2003/04) are handled through two major car terminals at Durban, East London with an additional number handled at Port Elizabeth. Durban Container Terminal (DCT) is South Africa's largest and one of the busiest and best equipped in the southern Hemisphere. DCT serves as a pivotal hub for the entire southern Africa region, serving trade links to the Far East, Middle East, Australasia, South America, North America and Europe. The terminal also serves as a transshipment hub for East Africa and Indian Ocean islands.

The Durban Car Terminal is one of Africa's largest car terminals. It has continued to expand and during 2003/04 handled a total of 139,189 motor units. This is expected to increase beyond 160,000 for 2004/05. The terminal occupies a dedicated area with exclusive access to a single berth (R berth) via an overhead bridge and operates a 24-hour, 365 day a year service. A multi level parking facility, commissioned in May 2004 increased the yard capacity to 7,000 motor units. A further addition to the terminal is under consideration.

The East London Car Terminal has provision for 2,800 motor units in a modern multi-level facility. The terminal is currently (June 2004) applying for ISO9001:2000 accreditation. During 2003/04 East London handled a total of 34,900 motor vehicles. Vehicles for export are stored in a four-storey building with an annual throughput capacity of 50,000 motor units. The terminal is linked to the adjacent DaimlerChrysler manufacturing plant by a dedicated private road and opens onto its own berthing area of two berths. A port-deepening programme currently underway will permit larger car carrier vessels to access the terminal.

Importation of Used Vehicles

A study carried out in 2004 by the Competition Authority of South Africa (which regulates competition among the industries) found out that cars in South Africa cost twice as much as in Australia. This is because strict control measures are used to restrict the number of legal import permits issued to allow used vehicles into SA. In terms of current legislation, used vehicles qualifying for an import permit include those for returning residents and immigrants, vintage cars, racing cars, donated vehicles for welfare organizations and adapted vehicles for persons with physical disabilities. Without a legal import permit, imported used vehicles cannot be registered on the National Information Transport System (NaTIS) while the system also combats stolen and non-complying vehicle registrations. All vehicle-manufacturing plants have also been linked on line to the system to facilitate the collation of data of vehicles produced. Government and industry are engaged in various actions and initiatives to effectively combat the illegal import of used vehicles into SA. The focus of the task teams has been extended to also include imported new vehicles not complying with the SA Bureau of Standards compulsory vehicle specifications as well as illegal registrations on the NaTIS. In this regard the SABS Letter of Authority (LOA) was introduced in 2000 as a means of certification of compliance with SABS standards. The LOA has been instrumental in combating the increasing levels of imports of non-complying vehicles, which tend to have sub-standard safety features to the detriment of road safety. In addition, SABS homologation is the procedure to ensure that all new vehicle models comply with the relevant SA legislation, standards and specifications, as well as codes of practice, for motor vehicles intended for use by the public on public roads. The process for homologation must be carried out before any motor vehicle model is introduced into the SA market. This prevents the need to withdraw a motor vehicle model before it enters the market and reduces the possibility of resultant legal action against the supplier. A process of homologation is also requiring in respect of motor vehicle tires.

Used Vehicle Import Procedure

In order to import a used vehicle for resale, you must first obtain a import permit by applying at the Directorate: Import & Export Control, Private Bag X192, Pretoria, 0001. A Letter of Authority (LoA) is also required and application for this must be made to the South African Bureau of Standards, Private Bag X191, Pretoria, 0001. See below for phone and email.

Importers are, however, cautioned that the Directorate Import & Export Control does not issue permits in this regard and are well advised to first contact their office directly for more information. (Please see the preceding section for restriction on used car imports

At present the Customs duty on motor cycles imported into South Africa is zero.

However, please note that ad-valorem duty on:

• Motor cycles with an engine capacity not exceeding 800cm is 5%
• Motor bikes with an engine capacity exceeding 800cm - 10%

The ad valorem duty is calculated on the value for Customs duty purposes plus 15% thereof, plus the Customs duty.

These duties are subject to change without prior notice.

Second-hand motor cycles are also subject to an import permit and Letter of Authority (LoA).

Here are the documents you will need:

• Please read careful before completing the Letter of Authority (LoA)
  New notes to the LoA
• Application for a Letter of Authority (LoA) to Import & Register/License a Motor Vehicle
  Letter of Authority Page 1
  Letter of Authority Page 2
• Application for the Importation of a Second Hand or Used Vehicle
  Import Pemit- Used Vehicle

An example of how duties for a motor vehicle would be calculated is shown below. A ORDINARY CUSTOMS DUTY (PART 1 OF SCHEDULE NO. 1)   Duty Motor cars, assembled 40% The value for duty purposes is the price paid or payable for the motor vehicle. If a special reduced price was paid for the vehicle or the vehicle was not purchased then a value for Customs purposes can be determined in consultation with the Controller for Customs & Excise at the time of clearance. Example: To calculate the Customs duty payable on a motor vehicle with a value of say R100,000.00 Value for Duty purposes: R100,000.00 Customs duty payable @ 40%: R 40,000.00 B ADDITIONAL CUSTOMS DUTY IN TERMS OF PART 2B OF SCHEDULE NO. 1 AD-VALOREM CUSTOMS DUTY: Sliding scale with a maximum of 20%   The value for Ad-Valorem Customs duty purposes shall be the value for Customs duty purposes as described above, uplifted by 15% of such value plus the Customs duty payable. Example: To calculate the Ad-Valorem duty payable on a motor vehicle with a value of R100 000.00 VALUE FOR DUTY PURPOSES R100,000.00 Plus 15% of this value R 15,000.00 Plus Customs duty payable (A/Example) R 40,000.00 R155,000.00 R155 000 x 0.000035 = 5.55% - 0.5% = 5.05% Ad-Valorem duty payable (R155 000 x 5.05%) R 7 634,00 C TOTAL DUTY PAYABLE   Customs Duty R40,000.00 Ad-Valorem Customs Duty R 7,634.00 TOTAL R47,634.00 Details Costs     Tax Car Purchase price: 100,000   Plus 15% of Value 15,000   Car Price+15% 115,000   Customs Duty 40,000 40,000 Car+Import+Customs 155,000   Ad Valorem (155,000 x 0.000035 = 5.55% - 0.5%= 5.05%) 7,828 7,828 Total: 162,828 47,828

Customs Tariff in South Africa

South Africa is a contracting party to the General Agreement on Tariffs and Trade (GATT) and is a member of the World Trade Organisation (WTO). The framework of the external tariff is the 2-column Harmonised Commodity Coding and Description System (HS).

The Southern African Customs Union (SACU) is a customs union agreement that is in force between South Africa, Botswana, Lesotho, Namibia and Swaziland. In terms of the agreement, goods are traded free of duty between members of the customs union.

Import tariffs are levied at the first point of entry in the South African Customs Union.

• Customs Tariff
• Excise duties
• Value for duty
• Preferential Access
• Value-Added Tax (VAT)
• World Trade Organisation (WTO)

 

Tariff reductions:

Under her market access offer for the Uruguay Round, South Africa will:

• rationalise 10 000 tariff lines down to between 5 000 and 6 000 by the end of the five-year adjustment period following 1995;

• bind 98 per cent of its tariff lines over that period, well up from the 55 per cent bindings prior to the offer;

• replace all remaining quantitative controls and formula duties with ad valorem duties; and

• cut back tariff lines from the 80 different levels of the past into six levels: 0 per cent, 5 per cent, 10 per cent, 15 per cent, 20 per cent and 30 per cent.

Protection for two industries will be phased down over a longer period: clothing and textiles will comply with the GATT schedules over 12 years and maximum tariffs will fall to 45 per cent, instead of 30 per cent. Motor industry manufacturers have a maximum of eight years to adjust and will have to reach a terminal maximum tariff of no more than 50 per cent.

For more information on import policy and tariffs, contact:

Board on Tariffs and Trade
Private Bag x753
Pretoria, 0001
Telephone: (27 12) 322-8244
Fax: (27 12) 322-0149

Protection levels:

Many goods, especially industrial inputs, enter duty free. Where duties apply, the rates generally fall between five and 25 per cent, although protection can be quite high, with automobile tariffs at 50% per cent. Goods not exceeding a value of R400 are not liable for customs duty and do not have to be entered on a bill of entry.

As noted earlier, the government is now in the process of simplifying the tariff system by consolidating categories of similar goods and reducing many tariff levels. The move to simplify the tariff system by reducing the number of separate tariff items has met with limited success in reducing tariff barriers: some tariffs have been reduced, others, due to the combining of formerly separate listings, have actually risen.

Any South African producer may petition the Board of Tariffs and Trade for tariff protection. In practice, approval of such petitions is more likely in cases where the producer has a major share of the domestic market and can show that foreign competition is eroding the producer's market dominance. In mid- 1991, the Government introduced a new three-week public comment period followed by an undefined period for governmental decision-making.

Excise duties

Specific excise duties are levied for revenue purposes on luxury goods: spirits, beer, cigarettes/tobacco and new cars. In effect, local and imported items are treated equally.

Value for duty

The dutiable value of goods imported into South Africa and the Southern African Customs Union (SACU) is calculated on the f.o.b. price in the country of export.

Section 66 of the South African Customs and Excise Act implements the GATT Customs Valuation Code and states that the value for customs duty purposes is the transaction value, the price actually paid or payable. In cases where the transaction value cannot be ascertained, the price actually paid for similar goods, adjusted for differences in cost and charges based on distance and mode of transport, is regarded as the transaction value. If more than one transaction value is ascertained, the lowest value applies. Alternatively, a computed value may be used based on production costs of the imported goods.

In the case of related buyers and sellers, the transaction value will be accepted if, in the opinion of the Commissioner for Customs and Excise, the relationship does not influence the price, or if the importer shows that the transaction value approximates to the value of identical or similar goods imported at or about the same time.

Dutiable weight for the assessment of specific duties is the legal weight of the merchandise, plus the weight of the immediate container in which the product is sold, unless specified otherwise in the tariff.

Preferential Access

Trade Blocs

Southern African Customs Union (SACU): Southern African Customs Union is composed of South Africa, Botswana, Lesotho, Namibia and Swaziland. In terms of the agreement, members use the South African tariff as a common external tariff and goods are traded free of duties and quotas between member states.

Southern African Development Community (SADC): South Africa joined SADC in August 1994. The other members of SADC are: Angola, Botswana, Democratic Republic of the Congo, Lesotho, Malawi, Mauritius, Mozambique, Namibia, Seychelles, Swaziland, Tanzania, Zambia, Zimbabwe. SADC's objectives are that member states work together to reconstruct and develop the entire social and economic framework of the region so that the region can develop and offer its peoples economic well being, social stability and lasting peace. The SADC treaty places binding obligations on member countries with the aim of promoting economic integration towards a fully developed common market.

SADC committed itself to the creation of a free trade area (FTA) when a Protocol on Trade was signed at the SADC Summit in 1996. The essential ingredients of the trade protocol are: an eight year timetable for the implementation of a FTA; classification of products covered by and excluded from the protocol based on level of sensitivity; elimination of export duties, non-tariff barriers and qualitative export restrictions; and rules of origin for community treatment. The agreement will be in full compliance with WTO rules whereby it will cover "substantially all trade" without the exclusion of any sector.

It is hoped that an interim agreement will be in place by January 2000 with the full agreement in place by 2010. The initial agreement will exclude the Democratic Republic of Congo, Angola and the Seychelles. It is envisaged that they will join at a later stage. The remaining eleven SADC members have now tabled either preliminary or opening offers with Mozambique and Tanzania having tabled draft offers.

South Africa, in recognition of her large trade surplus with the region, has submitted an offer based on the principle of asymmetry whereby South Africa will scale down tariffs over a five-year period, faster than the other four members of the customs union. They will scale down tariffs over a seven-year period.

Bilateral trade agreements

Malawi: An agreement between the South Africa and Malawi was reached in 1967 and provided for preferential rates of duty, rebates and regulations on certain goods traded between the two countries. The agreement has been amended and all goods of Malawian origin enter South Africa duty-free. South African goods entering Malawi receive the most-favoured-nation rate of duty.

Zimbabwe: An agreement between South Africa and Zimbabwe (1964) providing for preferential rates of duty, rebates and quotas on certain goods traded between the two countries has been under review for some time by both parties. Consensus on a new trade agreement was reached in August 1996. In terms of the new agreement, tariffs and quota levels on textile imports into South Africa will be lowered. There is a possibility that the agreement will be extended to other sectors such as the agricultural sector.

Mozambique: This agreement is a wide-ranging preferential arrangement regulating mine labour, railway and port matters, and trade. A limited number of Mozambican goods receive tariff preference from South Africa.

European Union: The European Union and South Africa signed a Free Trade Agreement (FTA) on the 11th of October 1999 following four years of negotiation. The agreement will be phased in over a ten to twelve year period and will essentially liberalise 86% of South Africa's imports from the EU and about 95% of EU imports from South Africa. The overall agreement meets WTO requirements of 90% coverage. The agreement is due to come into force on 1 January 2000 however, recent developments involving a dispute over South Africa's usage of certain terms relating to their wines and spirits may cause a delay in implementation.

South Africa VAT (Value Added Tax)

• 1. Introduction
• 2. Definitions
• 3. General Procedures and Regulations
• 4. Transportation and VAT

1. INTRODUCTION

Value Added Tax (VAT) was introduced in South Africa on 30 September 1991 at a rate of 10 per cent. It was increased to 14 per cent on 7 April 1993. Conditions and procedures are laid out in the Value Added Tax Act No. 89 of 1991. VAT is an indirect, multi-stage method of tax collection which results in the tax burden ultimately being borne by the final consumer and is levied on the value added to the product by the vendor.

Each vendor pays tax on his purchases (input tax) and collects tax on his sales (output tax); that is, he credits or deducts input tax paid from output tax received. At the end of each tax period, the vendor is obliged to submit a return accounting for all tax to the Receiver of Revenue. Where input tax exceeds output tax, the vendor is entitled to a refund of the excess. Please note that only those regulations that directly affect the importer are outlined here. For more detailed information than that contained in this section, contact the South African Revenue Services.

One of the principals of the South African VAT system is that VAT at a standard rate is imposed when immovable goods are supplied in or imported into the RSA and VAT at the zero rate may be applied by the RSA vendor where movable goods are exported, provided that satisfactory proof of export can be furnished. Imports from and exports to countries other than Botswana, Lesotho, Namibia and Swaziland (the BLNS states) have been controlled since the introduction of VAT in 1991. As of 16 November 1998, imports from and exports to the BLNS countries have also been controlled.

2. DEFINITIONS

'Enterprise' is any business or activity carried on continuously or regularly by any person in (or partly in) the Republic, in the course or furtherance of which goods or services are supplied to any other person, whether or not for profit. This includes commercial, financial, industrial, farming, fishing or professional concerns, or any other concern of a continuing nature, or in the form of an association or club. Supplies by public and local authorities and welfare organisations are also regarded as enterprises.

'Export country' means any country other than the Republic and includes any place which is not situated in the Republic: Provided that the President may by notice in the Gazette determine that a specific country or territory shall from a date and to the extent indicated in the notice, be deemed not to be an export country.

'Exports' are defined as goods that are exported when ownership of movable goods passes to the recipient and goods have been:

• consigned or delivered by the vendor to the recipient at an address in an 'export country',
• delivered to the owner/charterer of any foreign-going ship or aircraft for use or consumption outside the Republic, or
• removed from the Republic by the recipient for conveyance to an export country in accordance with the provisions of an export incentive scheme approved by the Minister.

Where goods are exported by way of a rental agreement, the supply is deemed to take place as and when rentals are made, and the amount of the rentals constitutes the value for VAT purposes.

'Goods' are defined as corporeal movable things, land (including improvements affixed thereto), real right in any such thing or fixed property. The following are excluded from this definition: money; rights under mortgage bonds or pledges; and any stamp, form or card (other than postage stamps) sold or issued by the State for the payment of any tax or duty levied under any Act of Parliament.

'Imports' are defined as goods that are physically imported or when they are entered for home consumption where so required in terms of the Customs and Excise Act. The general rule is that goods are entered for home consumption once customs duty is paid. If the goods are placed in a bonded warehouse they are regarded as having been entered for home consumption only upon removal from that warehouse.

'Imported services' means a supply of services that is made by a supplier who is resident or carries on business outside the Republic to a recipient who is a resident of the Republic to the extent that such services are utilised or consumed in the Republic otherwise than for the purpose of making taxable supplies;

'Input tax' in relation to a vendor means:

• tax charged and payable by:
  • a supplier on the supply of goods or services made by that supplier to a vendor, or
  • the vendor on the importation of goods, or
  • a vendor on excise duty in certain circumstances
• the notional input tax paid by a vendor in respect of second hand and repossessed goods (see 'Notional input tax' below).

'Notional input tax' may be claimed by a vendor in certain circumstances that is, he may claim an amount of input tax which he has not actually paid to the supplier. This applies in respect of:

• second hand goods acquired by the vendor from a nonregistered vendor for the purpose of making a taxable supply, and
• goods repossessed by the vendor under an instalment credit agreement.

'Output tax' is the tax charged in respect of the supply of goods and services by a vendor, a supply deemed to have been made during the tax period. For example, the following transactions are deemed to be supplies for the purposes of VAT:

• where goods have been removed from stock for private consumption,
• where payment has been received from the State in respect of a taxable supply of goods and services,
• receipt of an indemnity payment under a contract of insurance,
• provision of certain fringe benefits, and
• certain other adjustments that is, bad debts recovered debit and credit notes.

'Republic', in the geographical sense, means the territory of the Republic of South Africa and includes the territorial waters, the contiguous zone and the continental shelf referred to respectively in sections 4,5 and 8 of the Maritime Zones Act, 1994 (Act no. 15 of 1994).

'Services' include anything done or to be done, including the granting, assignment, cession or surrender of any right or the making available of any facility or advantage, but excluding a supply of goods or money. This includes every kind of commercial or professional service; services of clubs; organisers of entertainments, cultural or sporting events; services of local or public authorities; and dealings in intellectual property rights such as patents, designs, copyrights, trademarks, and in personal rights.

'Standard rated supplies' are supplies that are subject to tax at either 14 per cent or zero per cent that is:

• the supply by any vendor of goods and services during the course or furtherance of any enterprise carried on by him,
• the importation of goods or certain services into the Republic by any person, or
• an amount equal to the excise duty of goods when supplied while in bond at a price which does not exceed such excise duty.

'Supply' includes all forms of supply of goods effected under a sale, a lease, a barter agreement or any other kind of agreement. Although, in general, the supply of goods entails a change in ownership, it is sufficient that the recipient has use of the goods; therefore, gifts and loans may also be defined as supplies.

For the purposes of the VAT Act a supply of goods or services shall, except as otherwise provided in this Act, be deemed to take place at the time an invoice is issued by the supplier or the recipient in respect of that supply or the time any payment of consideration is received by the supplier in respect of that supply, whichever time is earlier. For further information refer to the time of supply rules as set out in Section 9 of the VAT Act.

'Taxable supply' is a supply of goods and services made by a vendor in the course of furtherance of any enterprise carried on by him which is chargeable with VAT. Exempt supplies are excluded.

'Tax invoice' is an invoice containing prescribed details and is issued by one registered vendor (the supplier) to another (the recipient). Without a tax invoice, no input tax credit may be claimed.

'Tax periods' are divided into three time periods:

• Monthly tax periods (Category C) ending on the last day of each of the 12 calendar months. A vendor falls into this category if his turnover exceeds R30 million for the 12 month period ending on the last day of any calendar month, or if it is likely to exceed that amount in the 12 month period beginning on the first day of any such month.
• Two month tax period (Categories A and B). This is the standard tax period where the vendor is required to furnish a two monthly return. A vendor on a two month tax period may apply, in writing, to the Receiver of Revenue to be allocated a one month tax period.
• Six monthly tax periods (Category D), where provision is made in certain circumstances for vendors conducting agricultural, pastoral or other farming operations.

'Zero rated supplies' means that exporters do not have to charge VAT on their export sales and are credited for the VAT they paid on their purchases.Merely exempting exports from VAT would not allow for such credits.

This enables the supplier to claim a credit in respect of the tax borne by him on supplies received by him (input tax) for the purpose of making the zero-rated supplies. In the case of "commercial goods" which originated in a BLNS country and are temporarily imported into the Republic, or are removed in transit from a BLNS country prior to re-export, at the discretion of the Commissioner such goods may be allowed to enter without the payment of VAT. Until it has been proved that they have left South Africa, however, they remain liable to VAT and this proof must be produced within 30 days of entry. Failure to do so will make the payment of VAT necessary and in future the person concerned will be required to pay provisional VAT. Where goods are exported by a vendor to a recipient at an address in an export country the supply is zero-rated.

Note: Other VAT transactions are standard rated supplies exempt supplies and non-supplies. For the purposes of this document only zero-rated supplies are dealt with.

The two major zero-rated supplies are as follows:

• 'Zero rated goods' exported from the Republic (see Definitions)
  • Goods supplied in the course of repairing, renovating, modifying or treating any other goods temporarily admitted into the Republic from an export country and exempt from tax on importation
  • Goods supplied under a rental agreement for exclusive use in an export country
  • Sale of an enterprise as a going concern

  Note: All the above zero rated supplies are subject to the proviso that such goods are not second-hand goods in respect of which a notional input tax credit has been claimed by the vendor. This effectively excludes second-hand goods from ever being treated as an export and hence as zero rated.

• 'Zero rated services' (See Transportation)
  • The transport of passengers or goods from a place:
    • outside the Republic to another place outside the Republic or a specified country
    • in the Republic or a specified country to a place in an export country or
    • in an export country to a place in the Republic
  • Any services whereby goods are transported from a place in the Republic to another place in the Republic to the extent that those services are supplied by the same supplier as part of a zero rated supply.
  • The transport by air of passengers from a place in the Republic to another place in the Republic if such domestic transport is part of an international flight.
  • Handling loading and unloading charges in respect of the overland portion of any zero rated transport service.
  • The insuring and arranging of any zero rated transport that is agency fees.
  • Services supplied directly in connection with land or any improvements thereto situated in an export country.
  • Services supplied directly in respect of movable property situated in any export country at the time the services are rendered.
  • The repair cleaning or reconditioning of a foreign going ship or aircraft.
  • Services physically rendered outside the Republic.
  • Certain services rendered to nonresidents if the latter are outside the Republic or any specified country at the time the services are rendered. This excludes services supplied directly in connection with land or improvement thereto or any movable property situated inside the Republic.
  • Services relating to intellectual property rights that is the filing and prosecution of patents copyright designs or trade marks where and to the extent that those rights are for use outside the Republic.
  • Movable goods which are temporarily admitted to the Republic for the purpose of repair or servicing, provided that the non-resident for whom the service is being undertaken obtains a VAT 262 form at the point of entry to the Republic. This form must be retained by the RSA vendor for 5 years.

3. GENERAL PROCEDURES AND REGULATIONS

3.1 Requirements for registration as a vendor

3.1.1 Compulsory registration

Registration is compulsory for any person who carries on any enterprise in which the total value of taxable supplies made exceeds R150 000 over a 12 month period or is likely to exceed R150 000 in the ensuing 12 months.

Registration is not obligatory for a person who satisfies the Commissioner for inland Revenue (the Commissioner) that the R150 000 limit has been or will be exceeded solely as a consequence of a permanent reduction in the extent of the enterprise the replacement of capital assets or abnormal circumstances of a temporary nature.

Note that it is the person who is registered as a vendor, not the enterprise. A person who is registered as a vendor will be registered once in respect of all his enterprises.

3.1.2 Voluntary registration

A person may apply for registration even though the value of his total taxable supplies does not exceed R150 000 in the applicable 12 month period. Registration is at the discretion of the Receiver.

3.1.3 Procedures for claiming

A registered vendor pays VAT on all his inputs and has to ensure that he receives tax invoices from all suppliers to claim an input tax credit. He has to identify, record and, for a period of five years, keep copies available of all tax invoices in respect of which an input credit may be claimed. He has to charge VAT on all sales of goods or services, and capture details of all such output tax charged.

Trading stock does not have to be sold and output tax charged before the business can claim an input tax credit in respect of its purchases. The only requirements for claiming of an input tax credit are that the business must be registered as a vendor, must be in possession of a tax invoice in respect of the particular purchase, and the goods or services must be purchased for the purposes of making taxable supplies that is, sales of goods or services whereby the output is charged to customers. There is no requirement for the matching in any way of inputs and outputs; therefore, the business will not have to finance any tax on its stockholdings.

A vendor is required to render a return for each tax period applicable to him and to pay the tax within a period of 25 days after the end of the tax period (See 2. DEFINITIONS 'Tax periods').

All returns, correspondence and enquiries should be directed to the local Receiver of Revenue.

3.2 IMPORTS

The payment of VAT on imports is similar to the payment of customs duties. Therefore, many of the planning methods used to minimise exposure to customs duty apply equally to VAT. The value to be placed on the importation of goods into the Republic shall be deemed to be-

(a) Where such goods are entered for home consumption in terms of the Customs and Excise Act, the value for customs duty purposes, plus any duty levied on the goods, plus 10 per cent of the value; or

(b) where such goods are not required to be so entered, the amount of the value which would have been used for customs duty purposes had they been subject to customs duty:

VAT paid on the importation of goods can be claimed as an input tax deduction from Inland Revenue by importers who are registered vendors. Customs and Excise does not normally grant refunds of VAT to registered vendors. However, Inland Revenue may authorise Customs and Excise to refund VAT, in which case, the refund claim (form DA66) is endorsed by Inland Revenue and processed by Customs and Excise.

Importers who are not registered vendors cannot claim VAT paid on importation as an input tax. If a refund is owed to the importer by Customs and Excise, the importer must first present his refund claim to Inland Revenue for authorisation and then submit the claim in question.

Deferment of duty and VAT may be achieved by placing imported goods into bonded warehouse on arrival in the Republic until those goods are required for manufacture or resale.

3.2.1 Goods

VAT is payable on goods imported into the Republic by any person, regardless of whether the importer is registered as a vendor. The tax is payable in addition to any customs duty. If, however, the importer is a vendor, he/she can claim an input tax credit, provided he/she imported the goods for the purpose of making a taxable supply. No tax is charged on the list of imports referred to in Schedule No. 1 of the Act.

Where goods are imported, but not for the purpose of being sold in the Republic, the importer is obliged, within 30 days after importation of goods, to furnish the Receiver with a prescribed declaration of importation, together with the tax payable. However, the importer is not obliged to submit the declaration or tax, if such tax is claimable as an input tax credit - that is, where the vendor for the purpose of making a taxable supply has acquired the goods. Therefore, the importer - instead of having to pay and subsequently claim the credit for the input tax - simply accounts for the output tax during the tax period in which he/she supplies the goods to the customer.

3.2.2 Services

Services are subject to VAT if they are supplied by a person who is resident or carries on business outside the Republic to a recipient who is resident in the Republic, to the extent that such services are utilised or consumed in the Republic, other than for the purpose of making a taxable supply - that is, private or exempt purposes. Therefore, imported services, utilised by a vendor for the purpose of making taxable supplies are not subject to VAT and cannot be claimed as input tax credits.

The supply of imported services are deemed to take place at the time an invoice is issued by the supplier or recipient in respect of that supply or the time any payment is made by the recipient in respect of that supply, whichever time is earlier. The value to be placed on the supply of imported services is the value of the consideration for the supply or the open market value of the supply, whichever is greater.

Note: If an enterprise has an independent branch or division carrying on activities outside the Republic, services rendered by this branch to its division in the Republic are deemed to be imported services where such services, if rendered by a separate legal entity, would have qualified as imported services.

The recipient of imported services is obliged, within 30 days of supply, to furnish the Receiver with the prescribed declaration, together with the tax payable.

Any supply which is standard-rated supply, or a supply which if made in the Republic would be charged with tax at the rate of zero per cent, or would be an exempt supply, is excluded from the above.

3.2.3 Exemptions

1. Goods imported into the Republic which fall under any of the following items or headings are exempt from the payment of VAT:

Item

• 405.04 Goods for welfare or charitable purposes:
• 406.00 Goods for Heads of State, Diplomatic and other Foreign Representatives.
• 407.01 Personal effects and sporting and recreational equipment, new or used:
• 407.02 Goods imported as accompanied passengers' baggage either by non-residents or residents of the Republic and cleared at the place where such persons disembark or enter the Republic
• 407.06 Household furniture, other household effects and other removable articles, including equipment necessary for the exercise of the calling, trade or profession of the person, other than industrial, commercial or agricultural plant and excluding motor vehicles, alcoholic beverages and tobacco goods, the bona fide property of a natural person and members of his family, imported for own use on change of his residence to the Republic: Provided that the said goods are not disposed of within a period of six months as from the date of entry.
• 409.01 Imported goods (including packing containers) re-exported and thereafter returned to or brought back by the exporter or any other party, without having been subjected to any process of manufacture or manipulation.
• 409.02 Goods (including packing containers) produced or manufactured in the Republic, exported therefrom and thereafter returned to or brought back by the exporter or any other party, without having been subjected to any process of manufacture or manipulation (excluding excisable goods exported ex a customs and excise warehouse).
• 409.03 Imported or locally manufactured articles sent abroad for processing or repair, provided they are exported under customs and excise supervision, retain their essential character, are returned to the exporter, no change of ownership having taken place, and can be identified on re-importation.
• 409.06 Excisable goods exported ex a customs and excise warehouse and thereafter returned to or brought back by the exporter, without having been subjected to any process of manufacture or manipulation and without a permanent change in ownership having taken place.
• 409.07 Compensating products obtained abroad from goods temporarily exported for outward processing, in terms of a specific permit issued by the Director-General: Trade and Industry on the recommendation of the Board of Trade and Industry
• 412.03 Used personal or household effects (excluding motor vehicles) bequeathed to persons residing in the Republic.
• 412.04 Used property of a person normally resident in the Republic who dies while temporarily outside the Republic.
• 412.10 Bona fide unsolicited gifts of not more than two parcels per person per calendar year and of which the value per parcel does not exceed R400 (excluding goods contained in passengers' baggage, wine, spirits and manufactured tobacco (including cigarettes and cigars)) consigned by natural persons abroad to natural persons in the Republic.
• 412.11 Goods imported- (a) for the relief of distress of persons in cases of famine or other national disaster;
  (b) under any technical assistance agreement; or
  (c) in terms of an obligation under any multilateral international agreement to which the Republic is a party
• 460.11/63.09/01.04 Worn clothing, entered before or on 8 February 1997 in terms of a specific permit issued on or before 8 February 1996 by the Director-General: Trade and Industry, on the recommendation of the Board of Tariffs and Trade, purchased by or forwarded unsolicited and free to any church or any welfare organisation registered in terms of the National Welfare Act, 1978 (Act 100 of 1978), for free distribution to indigent persons by such church or organisation
• 470.00 Goods temporarily admitted for processing, repair, cleaning, reconditioning or for the manufacture of goods exclusively for export
• 480.00 Goods temporarily admitted for specific purposes
• 490.00 Goods temporarily admitted subject to exportation in the same state.

Heading

• 07.13/0713.3 Beans.
• 07.13/0713.40 Lentils.
• 07.01 Potatoes, fresh or chilled.
• 07.02 Tomatoes, fresh or chilled.
• 07.03 Onions, shallots, garlic, leeks and other alliaceous vegetables, fresh or chilled.
• 07.04 Cabbages, cauliflower's, kohlrabi, kale and similar edible brassicas, fresh or chilled.
• 07.05 Lettuce and chicory, fresh or chilled.
• 07.06 Carrots, turnips, salad beetroot, salsify, celeriac, radishes and similar edible root, fresh or chilled.
• 07.07 Cucumbers and gherkins, fresh or chilled.
• 07.08 Leguminous vegetables, shelled or unshelled, fresh or chilled.
• 07.09 Other vegetables, fresh or chilled.
• 07.13 Dried leguminous vegetables, shelled, whether or not skinned or split.
• 08.06/0806.10 Grapes, fresh.
• 08.07 Melons (including watermelons) and papaws (papayas), fresh.
• 08.08 Apples, pears and quinces, fresh.
• 08.09 Apricots, cherries, peaches (including nectarines), plums and sloes, fresh.
• 08.10 Other fruit, fresh
• 10.05 Maize (corn)
• 10.06 Rice
• 16.04/1604.13.15 Sardinella, in airtight metal containers
• 16.04/1604.13.20 Sardines (pilchards), in airtight metal containers
• 16.04/1604.13,15 Sardinella, in airtight metal containers
• 16.04/1604.13.20 Sardines (pilchards), in airtight metal containers
• 27.09.00 Petroleum oil and oils obtained from bituminous minerals, crude
• 27.10/2710.00.12 Petrol
• 27.10/2710.00.16 Distillate fuels
• 38.11/3811.11 Anti-knock preparations: based on lead compounds
• 49.07/4907.00.30 Travellers' cheques and bills of exchange, denominated in a foreign currency
• 49.11/4911.10.20 Publications and other advertising matter relating to fairs, exhibitions and tourism in foreign countries.

2. Any of the following items imported into the Republic in respect of which the Controller of Customs and Excise has, in terms of the proviso to section 38 (1) (a) of the Customs and Excise Act, granted permission that entry need not be made:

1. Containers temporarily imported;
2. human remains;
3. goods which in the opinion of the Commissioner for Customs and Excise are of no commercial value;
4. goods imported under an international carnet; and
5. goods of a value for customs duty purposes not exceeding R200, and on which no duty is payable in terms of Schedule 1 to the said Act.

3. Goods, being printed books, newspapers, journals and periodicals, imported into the Republic by post of a value for duty purposes under the Customs and Excise Act not exceeding R100 per parcel.

4. Goods, being gold coins imported as such and which the Reserve Bank has issued in the Republic in accordance with the provisions of section 14 of the South African Reserve Bank Act, 1989 (Act 90 of 1989), or which remain in circulation as contemplated in the proviso to subsection (1) of that section.

5. Goods forwarded unsolicited and free of charge to-

1. a public authority or a local authority; or
2. any association not for gain which satisfies the Commissioner that such goods will be used by that association exclusively-
   1. for educational, religious or welfare purposes; or
   2. in the furtherance of that association's objectives directed to the provision of educational, medical or welfare services or medical or scientific research; or
   3. for issue to or treatment of indigent persons, free of charge.

3.3 Movement of goods within the Southern African Common Customs Area (where goods are consigned and delivered to a point outside the Republic)

3.3.1 Declaration Procedures

A form 'Declaration of goods removed within the Southern African Common Customs Area', numbered CCA1, has been designed in collaboration with Customs administrations in the BLNS countries for the purpose of VAT administration in the Republic and Sales Tax administration in countries where this is applicable. Note that this form must not be used for importations from outside the Common Customs Area. It is to be used for all exports both of commercial goods and of goods that do not fall within the definition of commercial goods between the Republic and BLNS countries.

The form CCA1 can be used by both the supplier (whether in the Republic or BLNS countries) and the consignee.

The form must be completed by the supplier or his representative and presented for checking, control and acceptance to Customs or other designated authority at border posts or other places of entry.

Distribution of the form is as follows:

• the original and first copy go to Customs or the designated authority in the country of despatch,
• the second copy goes to the consignor ,
• the third and fourth copies go to Customs or the designated authority in the country of destination, and
• the fifth copy goes to the consignee .

The above information is printed on the forms, copies of which are available from commercial stationers. Forms must be printed in black and white. The declaration can also be made in electronic form as prescribed by the Commissioner. A hard copy of the CCA1 must, however, still accompany the declaration.

The CCA1 must accompany commercial goods entering or leaving the Republic (from or to a BLNS country), and will not be accepted unless it contains the required information.

BLNS countries can individually prescribe the information they require.

To verify the particulars reflected on the forms, Customs administrations may resort to physical examination of the goods.

Removal of goods between BLNS countries, in transit through the Republic, has to be covered by form CCA1, which is to be clearly marked "In Transit" or "Temporary".

In the case of commercial goods arriving by air without the necessary documentation, the consignee or his representative will have to present to Customs the last three copies of form CCA1 filled in as required, plus the invoices and air waybill. The third and fourth copies are retained by Customs. The fifth copy is handed back for the consignee's records and release is authorised on the relevant air waybill.

If the vendor has difficulty in supplying the CCA1 form to inland Revenue for example, if the transporter requires this form for his own purposes the tax invoice, stamped by the South African Department of Customs and Excise or the South African police, will be accepted as an alternative.

3.3.2 Payment procedures in respect of commercial goods imported into the Republic from the BLNS states

The same procedures regarding the calculation, valuation and payment of VAT on the import of commercial goods into the Republic from countries other than BLNS countries as provided for in the Customs and Excise Act, 1964, will apply. Provided that where commercial goods have their origin in a BLNS state, the following exceptions will apply:

• no customs duty shall be levied;
• the value of commercial goods shall not be increased by a factor of 10 per cent
• commercial goods temporarily imported into the Republic from a BLNS country or commercial goods removed in transit from a BLNS country through the Republic for re-export shall be subject to VAT or VAT shall be covered by a provisional payment; and
• payment of VAT must be made in accordance with the prescribed procedures

VAT shall be payable in the currency of the Republic to an officer or any other authority designated by the Commissioner, at the time of entry into the Republic at the designated commercial port.

Such payment shall be made:

i) in cash;

ii) by means of a bank guaranteed cheque;

iii) by means of a travellers cheque;

iv) by means of a postal order; or

v) by means of a money order.

4. TRANSPORTATION AND VAT

4.1 International transport services

The three types of international transport services that are zero-rated are as follows:

4.1.1 Transportation of goods from a place outside the Republic to another place outside the Republic

To qualify for zero-rating, the point of origin and the point of destination of the transported goods must be located outside the Republic (see 2. DEFINITIONS 'Zero-rated supplies'). If the goods physically pass through the Republic en route to the point of destination, the supply of the transport service still qualifies for zero-rating, provided the vendor is responsible for the entire movement of the goods from the point of origin to the point of destination.

4.1.2 Transport of goods from a place in the Republic to a place in an export country

To qualify for zero-rating, the point of origin of the goods transported must be located within the Republic and the point of destination must be located in an export country. The vendor supplying the transport service must be responsible for the entire movement of the goods from point of origin to point of destination.

4.1.3 Transport of goods from a place in an export country to a place in the Republic

To qualify for zero-rating, the point of origin of the transported goods must be located in an export country and the point of destination must be located within the Republic. The vendor supplying the transport service must be responsible for the entire movement of the goods from point of origin to point of destination.

These provisions apply only to the services that comprise the transportation of goods. Any other services rendered in connection with the transportation of goods, such as packing, loading, stevedoring, container handling, cargo inspection, preparation of documentation, etc., are not zero-rated.

4.2 Local transport services

The supply of any service with regard to transporting goods, within the Republic is subject to VAT at the standard rate.

There are two exceptions to this general rule:

• Local transport services provided as part of an international transport service. These transport services are zero-rated as long as the local transport service is provided as an integral part of the supply of an international transport service, and is provided by the same supplier as the international transport service in the contractual sense. Note that the supplier of a transport service in the contractual sense is not necessarily the person who physically performs the service.
• Local transport services supplied directly in connection with the importation or exportation of goods to non-residents, otherwise than through an agent or other person. These services are zero-rated provided they are supplied directly in connection with the exportation of goods from the Republic, the importation of goods, into the Republic or the movement of goods through the Republic from one export country to another.

Services may also be zero-rated if supplied directly to a person who is not a resident of the Republic and who is outside the Republic at the time the services are rendered. Note that this local transport service may not be provided through an agent or another person - that is, the supplier of the local transport service must contract directly with the non-resident and not through an agent of the non-resident or other third party in the Republic.

4.3 Ancillary transport services

These services are rendered directly in connection with the transportation of goods, but are incidental or additional to the transportation service. Ancillary transport services include packing, loading, stevedoring, container handling, cargo inspection, storage and preparation of documentation essential to the movement of goods. These services are generally subject to VAT at the standard rate.

There are two exceptions to this general rule:

• Ancillary transport services provided as part of the international transportation of goods. This service must be provided as an integral part of the international transport service and must be provided by the same supplier - that is, as part of the same contract.
• Ancillary transport services supplied to non-residents directly in connection with the importation or exportation of goods, other than through an agent or other person. These transport services are zero-rated provided they are supplied directly in connection with the exportation of goods from the Republic, the importation of goods into the Republic or the movement of goods through the Republic from one export country to another. Services must be supplied directly to a person who is not a resident of the Republic, is not a resident and is not a vendor.

4.4 Goods or services acquired on behalf of a foreign principal

The general rule is that any goods or services supplied to an agent on behalf of a principal are supplied to the principal and not to the agent. This means that the principal and not the agent is entitled to claim an input tax deduction in respect of the supply of those goods or services. An exception to this rule exists in the case of the international transportation of goods and related services. The goods and services referred to here include clearing and freight services, storage, insurance, packing, cargo inspection, stevedoring and preparation of documentation essential to the movement of goods.

The agent, acting on behalf of a principal who is not a resident of the Republic and not a vendor, may treat the supply of goods or services made to him/her on behalf of the principal as if the supply had been made directly to him/her. The agent may claim deduction of input tax in respect of supplies he/she holds and may pass the cost of those supplies (goods or services) on to the principal without charging VAT, provided the following conditions are met:

• The supply to the agent must be a taxable supply (see 2. DEFINITIONS) charged with VAT at the standard rate.
• The supply must be directly in connection with:
  • the exportation of goods from the Republic to any country or place outside the Republic,
  • the arrangement of such exportation,
  • the importation of goods to the Republic from any country or place outside the Republic,
  • the arrangement of such importation, and
  • the transportation of such goods within the Republic as part of an exportation or importation.
• The agent and principal must agree that the agent is to act as principal. This arrangement is not available where an agent is acting for a principal who is a resident of the Republic or is registered as a vendor.

 

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Thailand's top new and used RHD LHD Car dealer and exporter to Southern, Eastern, Central, Western and Northern Africa and the world

We are not Thailand's top car exporter to Africa and the world because we are the oldest but because of our unwavering commitment to customer service, honesty, integrity, professionalism, great prices, great selection, great quality and quick delivery. Jim is a family-owned and family-operated dealership and we have been in business since 1911. Email us now at [email protected] to obtain your vehicle of your choice. Take a look at our selection of 4x4 vehicles to take your pick.

Africa
Southern Africa	Botswana, Lesotho, Namibia, South Africa, Swaziland, Angola, Mozambique, Madagascar, Zimbabwe, Comoros, Mauritius, Seychelles, Mayotte, Réunion,
Eastern Africa	Tanzania, Kenya, Uganda, Malawi, Zambia, Burundi, Rwanda, Djibouti, Eritrea, Ethiopia, Sudan
Central Africa	The Central African Republic, Chad, Democratic Republic of the Congo - Zaire, Republic of Congo
Western Africa	Benin, Burkina Faso, Ivory Coast, Cape Verde, The Gambia, Ghana, Guinea, Guinea-Bissau, Liberia, Mali, Mauritania, Niger, Nigeria, Senegal, Sierra Leone, Togo
Northern Africa	Algeria, Egypt, Libya, Morocco, Tunisia

We are Thailand's top car exporter to Asia, Thailand's top car exporter to Europe, Thailand's top car exporter to the Americas, Thailand's top car exporter to Africa and Thailand's top car exporter to the Pacific. No matter where in the world you are and whether your requirement is Right Hand Drive car or 4x4 or Left Hand Drive car or 4x4, Jim Autos Thailand, its used car division Jim 4x4 Thailand and its Dubai division Jim Autos Dubai are ready to serve all your automotive needs. In our 100 years proud history we have exported to over 100 countries in the world and continue to add new customers while not forgetting old customers and old countries. We have an 80% repeat and referral business rate, a testament to our superior customer service, honesty, great quality, great selection, great pricing and great speed of delivery. Thailand's top car dealer, Thailand top car exporter and Thailand's top 4x4 exporter is ready to serve you from either its Thailand or Dubai offices.

Exporting from Asia can be tricky as auto exporters and car exporters are dime a dozen. The stereotype of used car salesman is universal and based on some truth. With the advent of Internet the crooks have come out of the woodworks to separate the innocent from their money, Thailand, Singapore, Dubai and United Kingdom are no exception. Caveat emptor - buyer beware - maxim has been heeded by businessmen since the time of the Ancients but it is most relevant when all it takes is a DSL modem, a nerdy kit with some HTML skills to put together a website, some Images (Pics) taken at your competitor's lots and you are in business. We have seen a parade of newbie auto exporters come in, offer great deals for a year or so perpetrating an elaborate Ponzi scheme and then disappear with millions of dollars of their customers very hard earned money. Will you trust a company that has been in business for 1 year or one that has been in business for 100 years and is well respected not only all over Asia but also beyond Asian boundaries. If someone offers you a deal that sounds too good to be true, it probably is. Not all new entrants are crooks but there are some who in their quest for the fast buck wants to cut corners at the expense of the customer. When you work with Jim you have the peace of mind to know that we have been voted Thailand's most trusted dealership and Thailand's most trusted auto exporter five years in a row and it is for this reason that we have over 80% of the auto exporting market share in Thailand and dominate car, pickup, SUV, minivan, truck, bus and machinery exports from Singapore, Dubai and United Kingdom.

Thailand's top new 2016, 2017 Used 2014, 2013, 2012, 2011, 2010 and 2009Toyota Vigo and used Toyota Hilux Vigo dealer and exporter

Jim Autos Thailand is Thailand's largest, Singapore's, United Kingdom UK's and Dubai's largest auto exporter: we are Thailand's largest, Singapore's, United Kingdom UK's and Dubai's largest Toyota Hilux Vigo exporter and export all types of vehicles from cars to sedans to pickups to SUVs to 4x2s and 4x4s to Trinidad and other parts of the Caribbean. Toyota Hilux Vigo is our largest pickup export in T&T followed by Mitsubishi L200 Triton, Nissan Navara, Chevy Colorado, Ford Ranger, Isuzu DMax, Mazda BT50 among others. Our top SUV export to Trinidad is Toyota Fortuner followed by Isuzu MU-7. We ship to over 100 countries in the world. Email us now at [email protected] for your Vigo of choice. If you are looking for Toyota Landcruiser, Toyota Prado, Toyota Hilux Surf, Mitsubishi Pajero and other pickups and SUVs from our Dubai office in Right Hand Drive or Left Hand Drive please email our Dubai office at [email protected] now..

Pickups are among world's popular 4x4 vehicles and Jim Autos Thailand is Thailand's largest, Singapore's, United Kingdom UK's and Dubai's largest and oldest pickup and SUV exporter.

Toyota Hilux Vigo remains our best selling and top selling 4x4 pickup. If you are looking for Toyota Hilux Vigo 4x2 or 4x4 or single cab Toyota Hilux Vigo, extra cab Toyota Hilux Vigoand double cab Toyota Hilux Vigo, Jim Autos Thailand is the place.

Deal only with Trustworthy companies

Jim Autos Thailand is a fully owned division of the Jim Group of Companies. We are Thailand's oldest and largest auto exporter and we are only one of the three auto exporting companies with prior automotive experience. We have been in the business for the past 100 years with a 80% repeat and referral business thanks to our expertise, honesty, high quality, low price and quick delivery among others. Please check what some of customers have to say about us in our Testimonials page and top twenty reasons our customers have cited for doing business with us.

Whether you are looking for a diesel pickup or sports utility vehicle or a luxury car, sports car, minivan, truck, bus or machinery then Jim Autos Thailand, Jim Autos Dubai, Singapore Motors Jim and Jim Autos United Kingdom are the dealers and exporters of choice of thousands of dealers in Asia, Africa, Europe, Pacific and the Americas. We provide top quality 4WD and 2WD pickups and 4x4 and 4x2 pickups and SUVs direct from the manufacturer Toyota, Mitsubishi, Nissan.

We were the first to export Toyota Hilux Tiger out of Thailand as we were Thailand's first auto exporter. We were also Thailand first auto exporter to export Toyota Hilux Vigo out of Thailand. Our Toyota Vigo prices can not be beaten! No one can beat our Toyota Hilux Tiger pricing, or our Mitsubishi L200 Triton, or Mitsubishi L200 Strada, Nissan Navara pricing. Our prices for all pickups and SUVs are the cheapest. We have Toyota Vigo 4WD double-cabs in stock as well as all other top selling pickups and SUVs and available for immediate shipping anywhere in the world. Our Singapore, United Kingdom and Dubai branches and New Zealand and Australia offices can supply you full range of new and used Right Hand Drive and Left Hand Drive sedans, luxury cars, minivans, pickup trucks, SUVs, commercial trucks, buses and machinery.

 

 

 

 

 

 

 

 

 

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Our Australia, United Kingdom and Dubai Divisions Jim Autos Australia, UK and Dubai offers all kinds of new and used vehicles from Australia, United Kingdom, Dubai and United States ranging from sedans, small cars, family cars, estate cars station wagons, cabriolets convertibles, executive cars, 4x4 pickups, 4x4 SUVs, coupes, Multi-purpose vehicles (MPVs), vans, trucks to construction and farm machinery from Toyota, Honda, Nissan, Mitsubishi, Lexus, Mazda, Isuzu, Infiniti, Audi, Mercedes Benz, VolksWagen, BMW, Porsche, Alfa Romeo, Fiat, Ferrari, Lamborghini, Maserati, Iveco Trucks, Land Rover, Jaguar, Mini, Aston Martin, Bentley, Lotus, Vauxhall, Rolls Royce, Citroen, Renault Cars, Bugatti, Peugeot, Renault Trucks, Chrysler, Jeep, Ford, Chevrolet, Saab, Volvo, Scania Trucks, Volvo Trucks, DAF Trucks, Hyundai, Ssang Yong, Kia, Seat and Skoda