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Value-Added Tax Act, 1991 (Act No. 89 of 1991)

Regulations

Regulations issued in terms of section 74(1) read with paragraph (d) of the definition of "exported" in section 1(1) of the Value Added Tax Act, 1991

VAT Export Regulations

Part Two - Section A : Procedures for the vendor who elects to supply movable goods at the zero rate to a qualifying purchaser, where the movable goods are initially delivered to a harbour, an airport, or are supplied by means of a pipeline or electrical transmission line in the Republic before being exported

9. Responsibilities of the vendor supplying the movable goods and the vendor responsible for further processing, repair, improvement, manufacture, assembly or alteration of the movable goods

 

(1) The vendor supplying the movable goods must—
(a) ensure that the movable goods are delivered to any of the designated harbours or airports listed in the definition of "designated commercial port". This provision will not apply where the movable goods are delivered to the vendor responsible for further processing, repair, improvement, manufacture, assembly or alteration before the movable goods are exported;
(b) obtain and retain for a period of five years as contemplated in section 55 of the Act and Part A of Chapter 4 of the TA Act the relevant documentary proof as stipulated in paragraph 10;
(c) comply with the procedures as stipulated in paragraphs 15 and 16;
(d) ensure that the zero rate is not applied in respect of the supply of second-hand goods where the proviso to section 11(1) of the Act read with the provisions of section 10(12) of the Act are applicable.

 

(2) The vendor responsible for the further processing, repair, improvement, manufacture, assembly or alteration of the goods must—
(a) after completion of the said process, ensure that the movable goods are delivered to any of the designated commercial harbours or airports as listed in the definition of "designated commercial ports" where required to do so;
(b) obtain and retain the export documentation prescribed under the Customs and Excise Act;
(c) comply with the procedures as stipulated in paragraphs 15 and 16;
(d) provide the vendor with a statement containing the details as set out in paragraph 10(1)(g)(ii) within 21 days from the date that the movable goods were exported or required to be exported.