On 27 January 2023, the South African Revenue Service (SARS) published its seven-page “Customs Duty and Value-Added Tax Treatment of Goods Forwarded Free as a Donation”, which serves to enhance the understanding of the payment of value-added tax (VAT) on goods imported into the Republic. It does not go into comprehensive technical and legal detail and should therefore not be used as a legal reference. Please note that the guide has no binding legal effect.
It is divided into five sections: 1. Purpose; 2. Introduction; 3. Legislative framework; 3.1 Schedule 4 to the Customs and Excise Act 91 of 1964; 3.2 Value-Added Tax Act 89 of 1991; 4. Requirements; 4.1 Registration as an importer; 4.2 Import permit; 4.3 Rebate permit; 4.4 Application for value-added tax exemption; and 5. Clearance of goods.
The guide is accessible at: