ITAC Releases SOP for Businesses Importing Critical Supplies and Essential Goods During National State of Disaster

ITAC has released a Standard Operating Procedure (SOP) that will act as a guideline to businesses importing critical supplies and essential goods into South Africa under Rebate Item 412.11 and Schedule 1(8) of the Value Added Tax Act. It includes imports of dutiable and duty-free goods.

The SOP provides more detailed information regarding:

• The prerequisites for licensing and registration
  1. The company must be registered with SARS Customs as an importer
  2. A company must be registered in terms of the Companies Act, No. 71 of 2008, as well as being registered as an approved operator during the national disaster period
  3. A business must be registered for VAT if the total value of taxable supplies made in any consecutive twelve-month period exceeded or is likely to exceed R1 million
  4. Refer to the ITAC website to reference the Covid-19 List of Critical Supplies
  5. Only dutiable goods as referenced on said list are eligible for an ITAC rebate certificate to import these goods under full rebate of the relevant customs duties.

• The application process for a rebate certificate from ITAC
  1. Obtain application form from ITAC website
  2. Guidelines for rebate item 412.11
  3. Application form to be completed
  4. Submission of the application via email to ITAC
  5. ITAC will process applications expeditiously
  6. Email Notification of Approval to Applicants

• Information regarding how notifications will be issued

• Customs declaration process

• Information regarding escalations

• Procedure for physical inspections

• SARS Head Office monitoring.

Other Relevant Resources:

• List of resources on the ITAC website: http://www.itac.org.za/pages/services/tariff-investigations/guidelines-questionnaires
• List of critical supplies: http://www.itac.org.za/upload/Rebate%20Application%20(COVID-19).pdf
• SARS Corona Virus Updates:https://www.sars.gov.za/Media/Pages/CoronaVirus.aspx and
• SARS Customs and Excise Information:https://www.sars.gov.za/ClientSegments/Customs-Excise/Pages/default.aspx

For more information please contact us or get in touch with your account representative.