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Customs and Excise Act Rules Amended

January 11, 2021

South African Revenue Service

Rule 49G on the Economic Partnership Agreement between the Southern African Customs Union member states and Mozambique and the United Kingdom (UK) has been inserted into Customs and Excise Act Rules.

The South African Revenue Service (SARS) published the amended Rules in Government Gazette 44049.

The new agreement replaces the European Union (EU) partnership terms for the UK market that was in place until 31 December 2020 and effectively retains the terms of trade in the EU Agreement.

The rule came into effect on 1 January 2021.

In Notice 1432, SARS amended the Rules by the insertion of Rule 49F on the Agreement establishing the African Continental Free Trade Agreement (AfCFTA), in effect on 1 January 2021.

Trading takes place under the AfCFTA on the basis of legally implementable and reciprocal Tariff Schedules and Concessions with agreed Rules of Origin.

During December SARS published amendments to schedules of the act:

• Notice 1428 – Amendment to Part 1 of Schedule No. 1, by the substitution of various tariff subheadings under tariff heading 76.06 and 76.07, to increase the rate of customs duty on aluminium rolled sheets, plates, strips, can stock and foil products from free of duty to 15% – ITAC Report 622;
• Notice 1429 – Amendment to the General Notes to Schedule No. 1, to give effect to the implementation of the agreement to establish the African Continental Free Trade Area (AfCFTA);
• Notice 1431 – Amendment to insert Part F in the Schedule to the General Notes to implement the Rules of Origin contained in Annex II to the African Continental Free Trade Area (AfCFTA);
• Notice 1433 – Amendment to insert Part 8 to Schedule No. 10 to give effect to the implementation of the agreement to establish the African Continental Free Trade Area (AfCFTA);
• Notice 1434 – Amendment to Part 1 of Schedule No. 1, by the insertion of the AfCFTA column, in order to give effect to the implementation of the agreement to establish the African Continental Free Trade Area (AfCFTA).