Page 41 - Juta's Indirect Tax

s 11
VALUE-ADDED TAX ACT 89 OF 1991 s 11
(q)
(r)
(s)
(cc) a tax invoice issued in accordance with section 20 in relation to that supply is inclusive of tax at the rate of zero per cent;
[Para. (p) inserted by s. 98 (1) (d) of Act 32 of 2004.] the goods—
(i) are supplied by a vendor to a person who is not a resident of the Republic and not a vendor and who has contracted with that vendor to deliver goods to a recipient, who is a vendor in the Republic; and
(ii) form part of a supply by the person referred to in paragraph (i) to the recipient; and
(iii) are used by the recipient wholly for the purposes of consumption, use or supply in the course of making taxable supplies; or
[Para. (q) added by s. 105 (e) of Act 31 of 2005 and amended by s. 81 (d) of Act 20 of 2006.]
compensation is paid by a public authority in terms of section 19 of the Animal Diseases Act, 1984 (Act 35 of 1984) for the supply of a ‘controlled animal or thing’ as de ned in that Act to that public authority;
[Para. (r) added by s. 81 (e) of Act 20 of 2006.]
the goods (being xed property) are supplied to the Cabinet member responsible for land reform who acquired those goods in terms of the Provision of Land and Assistance Act, 1993 (Act 126 of 1993), or section 42E of the Restitution of Land Rights Act, 1994 (Act 22 of 1994); or
[Sub-s. (1) amended by s. 28 (a) of Act 27 of 1997.]
(2) Where, but for this section, a supply of services, other than services contemplated in section 11 (2) (k) that are electronic services, would be charged with tax at the rate referred to in section 7 (1), such supply of services shall, subject to compliance with subsection (3) of this section, be
charged with tax at the rate of zero per cent where—
[Words preceding para. (a) substituted by s. 96 (1) (b) of Act 43 of 2014 – date of commencement: 1 April 2015.]
(a) the services (not being ancillary transport services) comprise the transport of passengers or goods—
(i) from a place outside the Republic to another place outside the Republic; or
[Sub-para. (i) substituted by s. 13 (c) of Act 20 of 1994.] (ii) from a place in the Republic to a place in an
export country; or
[Sub-para. (ii) substituted by s. 13 (c) of Act 20 of 1994.] (iii) from a place in an export country to a place in the
Republic; or
[Sub-para. (iii) substituted by s. 13 (c) of Act 20 of 1994.]
(b) the services comprise the transport of passengers from a place in the Republic to another place in the Republic to the extent that that transport is by aircraft and constitutes ‘international carriage’ as de ned in Article 1 of the Convention set out in the Schedule to
the Carriage by Air Act, 1946 (Act 17 of 1946); or
[Para. (b) substituted by s. 13 (d) of Act 20 of 1994.]
(c) the services (including any ancillary transport services) comprise the transport of goods from a place in the Republic to another place in the Republic to the extent that those services are supplied by the same supplier as part of the supply of services to
which paragraph (a) applies; or
[Para. (c) substituted by s. 13 (e) of Act 20 of 1994.]
(d) the services comprise the insuring or the arranging of the insurance or the arranging of the transport of passengers or goods to which any provision of paragraph (a), (b) or (c) applies; or
(e) the services comprise the transport of goods or any ancillary transport services supplied directly in connection with the exportation from or the importation into the Republic of goods or the movement of goods through the Republic from one export country to another export country, where such services are supplied directly to a person who is not a resident of the Republic and is not a vendor, otherwise than through an agent or other person; or
[Para. (e) substituted by s. 13 (f) of Act 20 of 1994.]
[NB: Para. (e) has been substituted by s. 22 (1) (i) of Act 44 of 2014, a provision that will come into operation on the date on which the Customs Control Act 31 of 2014 takes effect. See Pendlex below.]
(t)
the goods (being xed property) are supplied to a person to the extent that the consideration for those goods is an advance or subsidy granted in terms of the Provision of Land and Assistance Act, 1993 (Act 126 of 1993); or
[Para. (s) added by s. 108 (1) (a) of Act 60 of 2008 and substituted by s. 169 (1) of Act 31 of 2013 – date of commencement: 1 April 2014.]
[Para. (t) added by s. 108 (1) (a) of Act 60 of 2008.]
(u) the supply of goods, other than the supply of goods by an inbound duty and tax free shop, which have been imported and entered for storage in a licensed Customs and Excise storage warehouse but have not
been entered for home consumption; or
[Para. (u) added by s. 108 (1) (a) of Act 60 of 2008.]
[NB: Para. (u) has been substituted by s. 22 (1) (g) of Act 44 of 2014, a provision that will come into operation on the date on which the Customs Control Act 31 of 2014 takes effect. See Pendlex below.]
Pendlex (to come into operation on the date on which the Customs Control Act 31 of 2014 takes effect)
(u) the supply of goods, other than the supply of goods
by a tax free shop, which have been imported and cleared for storage in a storage warehouse but have not been cleared for home use; or
(v)
the supply of goods by an inbound duty and tax free shop:
[Para. (v) added by s. 108 (1) (a) of Act 60 of 2008.]
Pendlex (to come into operation on the date on which the Customs Control Act 31 of 2014 takes effect)
(e) the services comprise the transport of goods or any
ancillary transport services supplied directly in connection with the exportation from the Republic or the importation of goods or the movement of goods through the Republic from one export country to another export country, where such services are supplied directly to a person who is not a resident of the Republic and is not a vendor, otherwise than through an agent or other person; or
[NB: Para. (v) has been substituted by s. 22 (1) (h) of Act 44 of 2014, a provision that will come into operation on the date on which the Customs Control Act 31 of 2014 takes effect. See Pendlex below.]
Provided that paragraphs (a), (b), (c), (d) and (i) of this subsection shall not apply in respect of any supply of goods by a vendor if in respect of such goods input tax contemplated in paragraph (b) of the de nition of ‘input tax’ in section 1 has been deducted in terms of section 16 (3) by that vendor or any other person where that vendor and that other person are connected persons.
Juta’s IndIrect tax 2016
(f) the services are supplied directly in connection with land, or any improvement thereto, situated in any export country; or
(g) the services are supplied directly in respect of—
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Pendlex (to come into operation on the date on which the Customs Control Act 31 of 2014 takes effect)
(v) the supply of goods by a tax free shop:
VALUE-ADDED TAX ACT