South Africa - International Franchise Association

Typically, the following goods are eligible to qualify for carnet entry:
1. Commercial samples,
2. Goods for international fairs and exhibitions, and
3. Professional equipment (including tools and instruments, but not goods
for processing or repair).
The exporter must provide a letter stating that the exporter/carnet holder authorizes the
customs clearance agent to clear the shipment on its behalf and may deliver to the
consignee addressed therein. This letter from the carnet holder is to accompany the
carnet document. SARS will not process carnet clearance without this letter. No duty or
VAT is payable on carnet shipments. The same carnet is used on export.
2. Temporary Entry
The shipping agent in the United States and its correspondent customs clearance agent
in South Africa must be notified that a shipment is only intended to remain in South
Africa for a limited period of time.
• The customs clearance process will include a "Provisional Payment” (PP)
that is valid for a period of six months; and the shipment must be exported
within this time. If export is to take longer, a formal extension request must
be submitted to the South African Revenue Service (SARS, Customs and
Excise) before the six-month period has expired.
• Upon import, the serial numbers of all the goods must be indicated on the
documentation (i.e., invoices from shipper). Customs will examine the
shipment and will verify the serial numbers and endorse the documentation.
• Upon export, the same procedure is followed so as to verify that the same
goods are leaving the country. The PP will cover any customs duty and VAT
applicable to shipment. After export, this PP is then liquidated by means of
submitting the import and export documentation and requesting the refund.
3. Repair and Return Entry
The shipping agent in the United States and its correspondent customs clearance agent
in South Africa must be notified that the shipment in question is for repairs, or a return
shipment for repairs performed in the United States.
• When the product is exported, the serial numbers are to be stated on
invoices; examination will be done by SARS.
• When imported, serial numbers are to be stated on invoices, with the
examination to be done by SARS.
• No duty is payable as duty was paid on the first import into the country.
• However, VAT is payable on repair costs only, even though value of goods is
declared to SARS as well.
The above is in accordance with SARS rebate item 409.04. In order to make use of this
rebate item, the importer must comply with the following provisions: