Page 563 - SAIT Compendium 2016 Volume1

Schedule 2 VALUE-ADDED TAX ACT 89 OF 1991 Schedule 2
2. The provisions of paragraph 1 shall apply only if—
(a) the Commissioner, in respect of a vendor registered under this Act, is satis ed that that vendor, being the recipient
of any such goods, carries on agricultural, pastoral or other farming operations and has issued to him a notice of registration in which authorization is granted whereby the goods concerned may be supplied to him at the rate of zero per cent: Provided that where a vendor to whom such notice of registration has been issued is in default in respect of his obligation under this Act to furnish any return or to pay tax or he has ceased to carry on the said operations or he has utilized such notice of registration for purposes other than the carrying on of such operations, the Commissioner may, by notice in writing to the vendor, cancel such authorization with immediate effect or with effect from a date determined by the Commissioner and require the vendor to surrender such notice of registration in order that an amended notice of registration, excluding the said authorization, may if necessary be issued to the vendor;
[Sub-para. (a) substituted by s. 33 of Act 20 of 1994.]
(b) the goods concerned are supplied to a vendor who is in possession of a valid notice of registration as a vendor and
an authorization contemplated in paragraph (a);
(c) a tax invoice in respect of the relevant supply is issued containing such particulars as required by section 20 (4) of
this Act;
[Sub-para. (c) substituted by s. 56 (1) of Act 16 of 2004.]
(d) the acquisition, disposal, sale or use of the said goods is not prohibited in terms of section 7 of the Fertilizers, Farm
Feed, Agricultural Remedies and Stock Remedies Act, 1947 (Act 36 of 1947).
[Para. 2 amended by GN 2695 of 8 November 1991 and substituted by s. 44 (1) (b) of Act 136 of 1992.] PART B
ZERO RATE: SUPPLY OF GOODS CONSISTING OF CERTAIN FOODSTUFFS
(Section 11 (1) (j) of this Act)
[Part B added by GN 2695 of 8 November 1991 and by s. 44 (1) (c) of Act 136 of 1992 and amended by s. 45 (1) of Act
97 of 1993, by s. 104 of Act 30 of 1998, by s. 73 of Act 19 of 2001 and by s. 108 of Act 35 of 2007.]
1. The goods in respect of the supply of which the rate of zero per cent shall apply under the provisions of section 11 (1) (j) of this Act shall, subject to the provisions of paragraph 2, be as hereunder set forth:
Item 1 Item 2
Item 3 Item 4 Item 5
Item 6
Item 7 Item 8
Item 9
Item 10
Item 11 Item 12
Brown bread as de ned in Regulation 1 of the Regulations in terms of Government Notice R577 published in Government Gazette 13074 of 15 March 1991
Maize meal graded as super maize meal, special maize meal, sifted maize meal or unsifted maize meal, not further processed other than by the addition of minerals and vitamins not exceeding one per cent by mass of the nal product, solely for the purpose of increasing the nutritional value
[Item 2 substituted by s. 73 of Act 19 of 2001.]
samp, not further prepared or processed
mealie rice, not further prepared or processed
Dried silo screened mealies or dried mealies not further prepared or processed or packaged as seed, but excluding pop corn (zea mays everta)
[Item 5 substituted by s. 108 of Act 35 of 2007.]
dried beans, whole, split, crushed or in powder form but not further prepared or processed or where packaged as seed
lentils, dried, whole, skinned or split
pilchards or sardinella supplied in tins or cans consisting mainly of such products regardless of whether avoured, seasoned or preserved in oil, but excluding such products as are supplied as pet food or sardines supplied in tins or cans
milk powder: un avoured, being the powder obtained by the removal of water from milk and which falls under the following classi cations determined by the Minister of Agriculture under the Agricultural Product Standards Act, 1990 (Act 119 of 1990), or any regulation under that Act:
High-fat milk powder Full-fat milk powder Medium-fat milk powder Low-fat milk powder Fat-free milk powder,
provided the fat or protein content of such milk powder consists solely of milk fat or milk protein.
[Item 9 substituted by s. 104 (a) of Act 30 of 1998.]
dairy powder blend, being any dairy powder blend which falls under the following classi cations determined
by the Minister of Agriculture under the Agricultural Product Standards Act, 1990 (Act 119 of 1990), or any regulation under that Act:
High-fat dairy powder blend Full-fat dairy powder blend Medium-fat dairy powder blend Low-fat dairy powder blend Fat-free dairy powder blend.
[Item 10 substituted by s. 104 (a) of Act 30 of 1998.] Rice, whether husked, milled, polished, glazed, parboiled or broken.
Vegetables, not cooked or treated in any manner except for the purpose of preserving such vegetables in their natural state, but excluding dehydrated, dried, canned or bottled vegetables or such vegetables as are described under separate Items in this PART.
SAIT CompendIum oF TAx LegISLATIon VoLume 1 555
VALUE-ADDED TAX ACT