DUTY CALLS

Supreme Court of
Appeal Rules in Sars’
Favour
On 01 October 2010
the Supreme Court of
Appeal of South Africa
(SCA) delivered its
judgement in the case of
the Commissioner for the
South African Revenue
Service (Sars) versus
Plasmaview Technologies
(Pty) Ltd.
This is the seventh
customs and excise-related
matter that has appeared
before the SCA this year.
The other court cases
in question are (i) Distell
Ltd (and Stellenbosch
Farmers Winery Limited);
(ii) Colgate-Palmolive
(Pty) Ltd; (iii) LG
Electronics SA (Pty) Ltd;
(iv) Fascination Wigs (Pty)
Ltd; (v) 3M South Africa
(Pty) Ltd; and (vi) AMI
Forwarding (Pty) Ltd.
The first four cases, as
well as the present one,
were all in respect of tariff
classifications, whilst the
last two dealt with different
customs and excise matters.
It is quite evident that tariff
classification is a major
point of contention.
In the latest case,
the SCA upheld the
Commissioner’s appeal
against a judgement of
the North Gauteng High
Court (Pretoria) (High
Court), which set aside
an amendment to the
motivation of a tariff
determination on review as
if it were a decision by the
Commissioner for Sars.
The Commissioner
for Sars had demanded
payment from Plasmaview
Technologies (Pty) Ltd of
underpaid duties and tax
calculated in two schedules
served on Plasmaview
Technologies (Pty) Ltd.
The High Court held that
the amounts claimed were
not owing and due.
The SCA set aside the
order of the High Court and
substituted it with an order
dismissing Plasmaview
Technologies’ (Pty) Ltd
application. The application
was accordingly dismissed
with costs, including the
costs of two counsel.
Duty Calls’ “To Do List”
A reminder of comments
that are due.
Comment in respect of
the proposed increase in
the rate of customs duty on
lattice masts for telegraph
lines of electric power lines
from free of customs duty
to 15% ad valorem is due
by 29 October 2010.
Comment in respect of
the proposed reduction in
the rate of customs duty
on glass Woven fabric,
tyre cord fabric, and
polymerised 1, 2 dihydro 2,
2, 4 trimethyl quinonline is
due by 21 October 2010.