VAT is paid on the Added Tax Value (ATV) of imported products, which is calculated as follows:
10% of the Customs Value + any applicable duties in addition to the Customs Value.
VAT on imported products from BLNS – When imported items are brought into the country from Botswana, Swaziland, Lesotho, or Namibia (BLNS), the Customs Value cannot be raised by the 10% VAT.
Customs Value + any applicable taxes added to the items.
From 1 April 2018, the rate of VAT that must be paid (based on the ATV) increased from 14% to 15%.
What are taxes and customs duties?
The Customs and Excise Act 91 of 1964 imposes customs duties. With the intention of generating income and defending the domestic market, they are imposed on imported goods. Usually, they are determined as a proportion of the value of the items (set in the schedules to the Customs and Excise Act). But some textiles, meat, fish, and tea goods as well as some types of weaponry are subject to duty rates that are either based on a percentage of the item’s worth or on a charge per unit (for example, per kilogram or metre).
Numerous luxury or non-essential items, including perfumes, weapons, and video games, are subject to additional ad valorem excise taxes.
Can you recoup the customs VAT?
Any tax period ending within five years of the tax period in which the products were approved by Customs and Excise for use at home may be used to make a claim for the customs VAT. The Customs Release Notification includes the date when items were certified for domestic use.
How can I avoid paying South African customs fees?
Break the seal on the merchandise before returning to avoid paying import taxes in South Africa. Even if a new phone is yours and you bring it to the airport in its original packaging, you will still be assessed a customs fee.
