SEZ to succeed IDZ in the future

All references in the Customs Act to Industrial Development Zones (IDZ), will be replaced with Special Economic Zones (SEZ) once the  new Special Economic Zones Act, 2014 (SEZ Act) comes into effect (date unknown). When the SEZ…

Compulsory tariff determinations for alcoholic beverages

[fusion_text]From 1 April 2015,every manufacturer or importer of an alcoholic beverage must apply to SARS for a tariff classification determination. For all new alcoholic beverages, imported or manufactured, the application for a tariff determination needs to be made before…

Sunset review on garlic from China

An application has been brought for a sunset review on both fresh and dried garlic from China.  If successful, this will result in the anti-dumping duties being extended for another 5 years.  It is also possible…

Tripartite agreement to be signed in June

The tripartite agreement seeks to merge SADC, the EAC and Comesa into one free trade area.  If successfully implemented, this would create a duty free area from South Africa, up the east coast of Africa, all…

Duties increased on wheat

The import duties for wheat have been increased according to the variable tariff formula constructed according to the Domestic Dollar-based Reference Price (DDRP). Below are the details of the duty amendments: Tariff subheading Description 10 October 2014…

Low Pathogenic Avian Influenza (Poultry) – Netherlands

There has been an outbreak of low pathogenic avian influenza in the Netherlands. The OIE sent out an immediate notification on the 13th of March 2015 notifying members of an outbreak of low pathogenic avian influenza…

Public officer to register a company for Customs purposes

When a company wants to register or license for Customs or Excise purposes, the legal entity needs to be represented by an individual residing in South Africa. The individual who will represent the entity must be…

Customs Acts implementation date postponed

SARS has delayed the implementation of the Customs Control Act, No 31 of 2014 and the Customs Duty Act, No 30 of 2014 to the last quarter of 2015 or possibly during the course of 2016.…

Wheelbarrows from China carry anti-dumping duties from today – 06 March 2015

On 20 June 2014, the International Trade Administration Commission (ITAC) initiated an investigation into the alleged dumping of wheelbarrows from China. The application was lodged by Lasher Tools. In  their application, Lasher calculated the dumping margin…

Correction to the AGOA article

In my article, yesterday, on the impact of the chicken industry on AGOA, I stated that SA imported R140m of bone-in chicken in 2014.  This is incorrect.  The total volume of imports was 140m kg (140…

Will anti-dumping duties soon be lifted on chicken from the USA?

South Africa’s continued participation in the African Growth and Opportunity Act (AGOA) would now appear to be almost completely dependent on SA lifting the anti-dumping duties on US chicken.  SA’s participation in AGOA has been contentious…

Proposed export control measures on exports of scrap batteries

ITAC is inviting interested parties to comment on the proposed introduction of export control measures on: Waste scrap of primary cells Primary batteries and electric accumulators Spent primary cells Spent primary batteries Spent electric accumulators These…

Final anti-dumping duties imposed on frozen bone-in chicken from Germany, the Netherlands and UK

The anti-dumping investigation on frozen bone-in chicken from Germany, the Netherlands and the UK has come to a close. The case was initiated in October 2013 and preliminary duties were imposed in July 2014. These preliminary duties…

Duty increase on sugar

Import duties on sugar have been increased on the following tariff codes with immediate effect: 1701.12 (Beet sugar) 1701.13 and 1701.14 (Cane sugar) 1701.91 (Containing flavouring or colouring) 1701.99 (Other sugar) The current duty of 207,1…

Initiation of a sunset review of anti-dumping duties on clear float and drawn glass from China and India

PFG Building Glass, requested ITAC Commission to initiate a sunset review investigation on clear float and drawn glass from China and India.  If successful, this request will result in the anti-dumping duties being extended by 5…

Further amendments to the price preference system for scrap metal

In 2013, ITAC (International Trade Administration Commission), with the support of the Department of Economic Development, introduced a price preference system for metal scrap. The trade policy directive empowers ITAC to regulate the exportation of scrap metals.…

Re-register with SARS when new Customs Acts come into effect

In line with SARS Customs Modernisation Programme, SARS is aiming to implement the Customs Control and Duty Acts in July 2015. Once the Acts take effect, all importers and exporters will only have 30 days to…

More VAT challenges for import agents

The Tax Administration Laws Amendment Act of 2014 (TALA) was promulgated on 20 January 2014. The TALA deals, amongst others, with the records that VAT vendors must keep to claim a deduction of VAT paid on the…

Deferment account dates to be standardised

On 6 February 2015 SARS Legal and Policy issued a notification for public comment. In the notification SARS indicates that they intend standardising all deferment settlement arrangements. “SARS will be standardising all deferment accounts to calendar…

Onus of proof a two-edged sword

A taxpayer bears the onus of proof that an amount is not taxable or is deductible. This requirement is contained in fiscal legislation. In various tax cases the court held that disposing of the onus is…

New Customs dispute resolution procedures

SARS released the revised provisions to the dispute resolution provisions as provided for in the Customs Control Act, 2014 in December 2014. The draft amendments proposed are aimed at establishing uniform appeal and dispute resolution procedures…

Fixed amount Customs penalties released for comment

In the Fourth Batch of Draft Customs Control Rules for Chapters 32 to 41 released in December 2014, SARS incorporated an Annexure which contains the fixed amount penalties that will be applied in the case of…

Anti-dumping duties removed on Tall Oil Fatty Acid

Anti-dumping actions on Tall Oil Fatty Acid (a chemical extracted from pine trees and used in many industrial applications, including the production of resins and paints) have quite a history in South Africa.  In 2008, Industrial…

Duty increase application on steel

The South African Coil Coaters Association (consisting of ArcelorMittal and Safal Steel) brought a duty increase application on Zinc coated/galvanised steel, aluminium-zinc coated steel and paint coated steel, classifiable under tariff subheadings 7210.41, 7210.49, 7212.30, 7210.61, 7210.90, 7225.99, 7210.70…

Application for duty reduction on certain types of batteries

N&Z Instrumentation & Control have brought an application for the complete removal of duty on: PRIMARY CELLS AND PRIMARY BATTERIES, Lithium – Other cylindrical (excluding those of a height not exceeding 7mm), of a diameter exceeding…

Change to the tariff structure of plastic bags

The tariff structure on plastic bags, will be amended to include thermoplastic materials under the compulsory specifications for plastic bags and flat bags as recommended by the National Regulator of Compulsory Specifications (VC 8087/2013).  The change will not…

New tariff structure for frozen chicken

The tariff structure for boneless offal and bone-in chicken has been changed to allow for a much greater level of detail.  At the moment, the above cuts of chicken are cleared as follows: Heading Description General…

Application for an exclusion from the anti-dumping duties on mirrors

Nelson Glass and Mirrors have applied for an exemption on the anti-dumping duties currently in place on “Unframed glass mirrors” imported from China.  The current anti-dumping duties, of 40.22%, were imposed in July 2013. Nelson Glass and…

Is SA in breach of our anti-dumping legislation and our WTO obligations?

On 8 July 2005 ITAC initiated an investigation against the alleged dumping of shocktubes (explosive devises) from China, but it revoked its decision to initiate on 19 January 2006. African Explosives Ltd (AEL) challenged this in…

VAT zero-rating: short-term reprieve for farmers

Had suggested amendments to the VAT Act been implemented, it would have seen the current dispensation in terms of which farming enterprises are allowed to acquire their production inputs at the zero-rate of VAT, being discontinued.…