Computer and Gaming Consoles Tariff Amendment
Sars on 29 March announced the insertion, with effect from 01 April, of 8-digit tariff subheadings to provide for computers with a screen size exceeding 45cm as well as gaming consoles with images produced on any external screen.
It is facilitated through the deletion of tariff subheading 9504.50.10 (Of a kind used with television receivers), and the insertion of tariff subheadings 8471.30.10 (With a screen size exceeding 45cm); 8471.30.90 (Other); 8471.41.10 (With a screen size exceeding 45cm); 8471.41.90 (Other); 8471.49.10 (With a screen size exceeding 45cm); 8471.49.90 (With a screen size exceeding 45cm); and 9504.50.20 (Video game consoles from which the image is reproduced on a television receiver, a monitor or other external screen or surface).
Cake Wheat Flour Tariff Amendment
On 29 March the South African Revenue Service (Sars) informed of the insertion of the title "Additional Note" and “Additional Note 1 in Chapter 11 of Section II to Part 1 of Schedule No. 1: ADDITIONAL NOTES:1. For the purposes of tariff subheadings 1101.00.20 and 1101.00.30 (a)Cake wheat flour and white bread wheat flour means such flours as defined in the Department of Agriculture, Forestry and Fisheries Regulations, published by Government Notice No. 405 of 5May 2017, relating to the grading, packing and marking of wheat products, imported into the Republic of South Africa. (b) Cake wheat flour or white bread wheat flour as defined in the Department of Agriculture, Forestry and Fisheries Regulations, published by Government Notice No. R. 405 of 5 May 2017, must be classified in tariff subheading 1101.00.90 unless it complies with the grading, packing and marking requirements applicable in terms of those Regulations to such classes of wheat products intended for sale in the Republic of South Africa.”
The insertion of tariff subheading 1101.00.20 (Cake wheat flour as defined in Additional Note 1(a) to Chapter 11).
The amendment is effective from 01 April 2019.
Sanitary Towels Tariff Amendment
The South African Revenue Service (Sars) on 29 March informed of the deletion of tariff subheadings 9619.00.05 (Of wadding of textile materials); 9619.00.10 (Of paper pulp, paper, cellulose wadding or webs of cellulose fibres); 9619.00.20 (Sanitary towels (pads), tampons and napkin liners for babies and similar articles of plastics or of other materials of heading 39.01 to 39.14); 9619.00.40 (Other (excluding napkins for babies and similar articles), made up from woven, knitted or crocheted textile material); and 9619.00.90 (Other).
The insertion of tariff subheadings 9619.00.03 (Pantyliners, of wadding of textile materials); 9619.00.12 (Pantyliners, of paper pulp, paper, cellulose wadding or webs of cellulose fibres); 9619.00.42 (Pantyliners, made up from knitted or crocheted textile material); 9619.00.45 (Other (excluding sanitary towels (pads) and pantyliners; excluding napkins for babies and similar articles), made up from woven, knitted or crocheted textile material); 9619.00.91 (Other, sanitary towels (pads) and pantyliners); and 9619.00.99 (Other).
The amendment is effective from 01 April.
“Luxury Tax” on Computers and Gaming Consoles Tariff Amendment
On 29 March Sars annuonced the imposition of ad valorem excise duty on computers with a screen size exceeding 45 cm and gaming consoles with images produced on any external screen or surface, with effect from 01 April.
The deletion of Tariff Item 130.10.059504.50.10 (Of a kind used with television receivers), and the insertion of Tariff Item 124.1184.71 (Automatic data processing machines and units thereof; magnetic or optical readers, machines for transcribing data onto data media in coded form and machines for processing such data, not elsewhere specified or included:); Tariff Item 124.11.018471.30.10 (With a screen size exceeding 45cm); XXX 124.11.058471.41.10 (With a screen size exceeding 45cm); Tariff Item 124.11.098471.49.10 (With a screen size exceeding 45cm); and Tariff Item 130.10.079504.50.20 (Video game consoles from which the image is reproduced on a television receiver, a monitor or other external screen or surface).
General Fuel Levy Tariff Amendment
On 29 March Sars announced an increase of 15c/li in the rate of the general fuel levy from 337c/li to 352c/li and 322c/li to 337c/li on petrol and diesel respectively to give effect to the Budget proposals announced by the Minister of Finance on 20 February, which is effective from 03 April.
By the substitution of Fuel Levy 195.10.032710.12.02 (Petrol, as defined in Additional Note 1(b) to Chapter 27); Fuel Levy 195.10.152710.12.26 (Illuminating kerosene, as defined in Additional Note 1(f) to Chapter 27); Fuel Levy 195.10.172710.12.30 (Distillate fuel, as defined in Additional Note 1(g) to Chapter 27); Fuel Levy 195.10.212710.12.39 (Specified menaliphatic hydrocarbons solvents, as defined in Additional Note 1(ij) to Chapter 27, unmarked); Fuel Levy 195.20.013826.00.10 (Biodiesel as specified in Additional Note 1(a) to Chapter 38); and Fuel Levy 195.20.033826.00.90 (Other biodiesel).
Road Accident Fund (RAF) Levy Tariff Amendment
On 29 March Sars announced an increase of 5c/li in the RAF levy from 193c/li to 198c/li on both petrol and diesel to give effect to the Budget proposals announced by the Minister of Finance on 20 February, which is effective from 03 April.
By the substitution of the Road Accident Fund (RAF) 197.10.032710.12.02 (Petrol, as defined in Additional Note 1(b) to Chapter 27); 197.10.152710.12.26 (Illuminating kerosene, as defined in Additional Note 1(f) to Chapter 27, unmarked); 197.10.172710.12.30 (Distillate fuel, as defined in Additional Note 1(g) to Chapter 27); 197.10.212710.12.39 (Specified aliphatic hydrocarbon solvents, as defined in Additional Note 1(ij) to Chapter 27, unmarked); 197.20.013826.00.10 (Biodiesel, as defined in Additional Note 1(a) to Chapter 38); and 197.20.033826.00.90 (Other biodiesel).
Health Promotion Levy Tariff Amendment
On 29 March Sars announced an increase of 10c/g in the rate of the health promotion levy from 2.1c/g per 100ml to 2.21c/g per 100ml to give effect to the Budget proposals announced by the Minister of Finance on 20 February, which is effective from 01 April 2019.
By the substitution of Health Promotion Levy 191.01.051806.10.05 (Preparations for making beverages2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.02.051901.90.15 (Preparations for making beverages (excluding those of tariff subheading 1901.90.20) 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.05.052106.90.20 (Syrups and other concentrates or preparations for making beverages, not having a basis of fruit juice (excluding those of tariff subheading 2106.90.69) 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.05.102106.90.22 (Syrups and other concentrates or preparations for making beverages, with a basis of fruit juice (excluding those of tariff subheading 2106.90.69) 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.05.152106.90.69 (Drinking straws, containing flavouring preparations 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.07.052202.10.10 (In sealed containers holding 2,5 li or less (excluding those in collapsible plastic tubes) 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.07.102202.10.90 (Other 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.07.152202.91.20 (In sealed containers holding 2.5 li or less (excluding those in collapsible plastic tubes and those with a basis of milk) 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.07.202202.91.90 (Other 2,21c/gram of the sugar content that exceeds 4g/100ml); Health Promotion Levy 191.07.252202.99.20 (In sealed containers holding 2.5 li or less (excluding those in collapsible plastic tubes and those with a basis of milk) 2,21c/gram of the sugar content that exceeds 4g/100ml); and Health Promotion Levy 191.07.902202.99.90 (Other 2,21c/gram of the sugar content that exceeds 4g/100ml).
Road Accident Fund Levy Tariff Amendment
On 29 March the South African Revenue Service (Sars) announced an increase in the fuel and Road Accident Fund (RAF) levy as announced by the Minister of Finance in his budget speech of 20 February; the diesel refund provisions are adjusted accordingly, and are effective from 03 April.
The substitution of Note 6(b)(i) in Part 3 of Schedule No.6 to the Act, 1964 with the following:(i) Farming, forestry or mining on land is, 134,8 cents per litre fuel levy on 80 per cent of eligible purchases, plus 198 cents per litre RAF levy on 80 per cent of eligible purchases equalling 332,8 cents per litre on 80 per cent of the total eligible purchases. Mode of calculation of refund is as follows:(aa) For 1,000 litres eligible purchases -1,000 x 80 per cent equals 800 litres on which a refund of 332,8 cent per litre may be claimed;(bb) For 1,000 litres purchased of which 300 litres represent non-eligible purchases, for example, carriage of goods for reward -1,000 litres less 300 litres equals 700 litres eligible purchases x 80 per cent equals 560 litres on which a refund of 332,8 cents per litre may be claimed.
The substitution of Note 6(b)(ii)(gg) in Part 3 of Schedule No.6 to the Act, 1964 with the following: (gg)vessels employed to service fibre optic telecommunication cables along the coastline of Southern Africa, is 337 cents per litre fuel levy, plus 198 cents per litre RAF levy equalling 535 cents per litre.
The substitution of Note 6(b)(iii)(bb) in Part 3 of Schedule No.6 to the Act, 1964 with the following:(bb) vessels used by in-port bunker barge operators,198 cents per litre RAF levy.
The substitution of Note 6(b)(iv) in Part 3 of Schedule No.6 to the Act, 1964 with the following:(iv) Locomotives used for rail freight other than those used in farming, forestry or mining, as provided in these Notes is 198 cents per litre RAF levy.
The substitution of Note 6(b)(v) in Part 3 of Schedule No.6 to the Act, 1964 with the following:(v) Distillate fuel used solely as fuel in electricity generation plants with a capacity exceeding 200 megawatt per plant, generating electricity for the national distribution network, is 168,5 cents per litre fuel levy, plus 198 cents per litre RAF levy equalling 366,5 cents per litre.
Story by: Riaan de Lange