115. Entries, oaths, etc., made outside the Republic of full force and effect
Any entry, writing, oath or declaration required to be made under this Act shall, if made outside the Republic to or before an officer of the Republic, be binding and of full force and effect in the Republic.
116. Manufacture of excisable goods solely for use by the manufacturer thereof
(1) Notwithstanding anything to the contrary contained in this Act, the Commissioner may, in respect of any excisable goods manufactured by natural persons or institutions for their own use and not for sale or disposal in any manner –
[Words preceding para (a) substituted by section 142 of Act 22 of 2013 effective on 1 January 2013]
(a) if he considers that such manufacturing results or is likely to result in loss of revenue or is likely to be detrimental to any industry in the Republic to such extent as to warrant any action described in this paragraph –
(i) by rule prohibit the sale to any such person of any plant, apparatus, appliance, instrument or material used or capable of use in or designed for the manufacture of such excisable goods or impose such conditions in respect of the advertising or sale of such plant, apparatus, appliance, instrument or material as he deems fit;
(ii) for the purpose of calculating the duty payable on such excisable goods manufactured by any such person, estimate the quantity thereof so manufactured or the strength or other characteristic of any such quantity in any manner he may deem fit; or
(iii) in respect of any quantity of such excisable goods in respect of which duty will become payable, accept duty (or any portion thereof), calculated according to any basis which he deems reasonable, from any person who sells or disposes of any material for use in the manufacture of such excisable goods to the manufacturer thereof;
[Subparagraph (iii) substituted by section 72 of Act 45 of 1995]
(b)
(i) if he considers that such manufacturing does not result or is not likely to result in loss of revenue or is not or is not likely to be detrimental to any industry in the Republic to the extent stated in paragraph (a); or
(ii) if in the manufacture of such excisable goods used parts or material on which any duty had been paid previously was used to such extent as he deems reasonable,
exempt such excisable goods from the whole or any portion of the duty thereon, subject to such conditions as he may in each case impose.
(2) ……….
[Subsection (2) deleted by section 72 of Act 45 of 1995]
(3) The manufacturer of any goods exempted from the whole or any portion of the duty in terms of this section, shall be liable for payment of the whole or such portion of the duty as the Commissioner may determine if they are sold or disposed of by such manufacturer.
(4) The Commissioner may, subject to such conditions as he may in each case impose, exempt any goods to which this section relates from any provision of Chapter IV, V or VIII of this Act.
(5) The Commissioner may make rules-
(a) specifying any requirement to qualify for any exemption contemplated in subsection (1);
(b) regarding any matter which is required or permitted in terms of this section to be prescribed by rules;
(c) in respect of any other matter which the Commissioner may reasonably consider to be necessary and useful to achieve the efficient and effective administration of the provisions of this section.
[Subsection (5) inserted by section 142 of Act 22 of 2013 effective on 1 January 2013]
[Section 116 substituted by section 18 of Act 95 of 1965]
117. Statistics
(1) Such statistics of the import and export trade of the Republic and of excisable goods manufactured in the Republic and of fuel levy goods manufactured in and imported into the Republic as the Minister may determine, shall be compiled and tabulated by the Commissioner and published at such times and in such manner as the Minister may direct.
[Subsection (1) substituted by section 34 of Act 84 of 1987 and section 38 of Act 59 of 1990]
(2) For the purposes of subsection (1) any person –
(a) entering any goods for import or export shall furnish, in addition to any particulars necessary for making due entry of such goods, such particulars of such goods as the Commissioner may from time to time require for the compilation of import and export statistics; or
(b) manufacturing any excisable goods or fuel levy goods shall furnish in such manner and at such times as the Commissioner may require the value for excise duty purposes in terms of section 69 or for fuel levy purposes of all excisable goods or fuel levy goods manufactured by him, whether or not such goods are subject to ad valorem duty or to a duty calculated according to a unit of quantity, volume or other measurement, as the case may be.
[Paragraph (b) substituted by section 34 of Act 84 of 1987]
[Subsection (2) added by section 20 of Act 52 of 1986]
(3) For the purposes of paragraph (b) of subsection (2) the value for fuel levy purposes shall be deemed to be the value for excise duty purposes in terms of section 69 in respect of such goods manufactured in the Republic.
[Subsection (3) added by section 34 of Act 84 of 1987]
[Section 117 substituted by section 35 of Act 105 of 1969]
118. Delegation of powers and assignment of duties
The Minister may, subject to such conditions as he may in each case impose –
(a) delegate any of the powers which may be exercised or assign any of the duties which shall be performed by him in accordance with the provisions of sections 48, 49, 51, 52, 53, 56, 56A, 57, 60 (3), 75 (15), 99 (4), 105 and 113 (4) to the Deputy Minister of Finance;
(b) and for such period as he may specify in each case, delegate any of his powers under this Act (except any power relating to the amendment of any Schedule or the making of any regulation) to the Commissioner.
[Section 118 substituted by section 72 of Act 53 of 1999]
119. Substitution of Schedules
Whenever any Schedule to this Act or any part or item thereof, is substituted and the new Schedule or part or item provides that the Minister or the Commissioner may impose or prescribe any condition or approve of any matter or thing in relation to any class of goods, any condition imposed or prescribed or approval given by the Minister or the Commissioner under the Schedule or part or item in relation to such class of goods before substitution shall be deemed to have been imposed, prescribed or given under the new Schedule or part or item.
(1) Notwithstanding anything to the contrary contained in this Act, for the purposes of modernising customs or excise administration where –
[Words in subsection 1 preceding paragraph (a) substituted by section 4 of Act 25 of 2011 effective on 14 December 2011]
(a) enabling provisions for the implementation of any part of a modernisation program are urgently required; and
(b) it is not possible to effect timeously the necessary amendment to any relevant section of this Act,
the Commissioner may by rule, in respect of any person or class of persons or any class or kind of goods, ship or vehicle or any activity regulated by this Act –
(i) adapt any existing power, duty or function contemplated in this Act for purposes of establishing alternative or revised administrative policies and procedures that will give effect to the modernisation program;
(ii) include in such rules any requirement, process or procedure relating to –
(aa) any electronic communication contemplated in sections 7, 7A, 8, 101A or 101B, or as may be reasonably necessary in respect of any other activity which is required to be regulated by this Act;
(bb) the processing of travellers;
(cc) the clearance of goods;
(dd) the import, export or handling of goods;
(ee) the licensing and the operation of licensed premises;
(ff) the control over the movement of any person, ship, vehicle or goods;
(gg) the manufacture of goods;
(hh) the administration of any international agreement; and
(ii) any other activity regulated by this Act.
(2) Any rule contemplated in subsection (1) –
(a) must be consistent with the objectives of this Act;
(b) may exempt any person or class of persons or any class or kind of goods, ship or vehicle or any activity regulated by this Act from the application of such rule in the circumstances and for the period as may be specified in such rule.
(3) Any rule made or any amendment or withdrawal of or insertion in such rule under this section in any calendar year shall, unless Parliament otherwise provides, lapse on the last day of the next calendar year, but without detracting from the validity of such rule or any amendment, withdrawal or insertion before it has so lapsed.
[Section 119A inserted by section 32 of Act 18 of 2009]
119B. Arrangements for obtaining undue tax benefits
(1) Notwithstanding anything in this Act, whenever the Commissioner is satisfied that any arrangement-
(a) has been entered into or carried out which has the effect of any person obtaining a tax benefit; and
(b) having regard to the substance of the arrangement-
(i) was entered into or carried out by means or in a manner which would not normally be employed for bona fide business purposes, other than the obtaining of a tax benefit; or
(ii) has created rights or obligations which would not normally be created between persons dealing at arm’s length; and
(c) was entered into or carried out solely or mainly for the purpose of obtaining a tax benefit,
the Commissioner may determine the liability for duty imposed under this Act, and the amount thereof, as if the arrangement had not been entered into or carried out, or in such manner as in the circumstances of the case the Commissioner deems appropriate for the prevention or diminution of that tax benefit.
(2) An arrangement is presumed to have been entered into or carried out for the sole or main purpose of obtaining a tax benefit unless and until the party obtaining a tax benefit proves that, reasonably considered in light of the relevant facts and circumstances, obtaining a tax benefit was not the sole or main purpose of the arrangement.
(3) For the purposes of this section-
120. Regulations and rules
(1) The Commissioner may make rules –
(a) prescribing the powers, duties and hours of attendance of officers;
(b) determining services for which charges shall be payable the rate and the method of payment of such charges and the conditions attaching to such services;
[Paragraph (b) substituted by section 39 of Act 59 of 1990]
(c) as to the reporting inwards and outwards of ships and aircraft (including such reporting of ships or aircraft calling or landing at places not appointed as places of entry or customs and excise airports under this Act), the entry or departure of vehicles overland, the landing, loading, removal, detention, release, examination, conveyance and handling of cargo (including transit and coastwise and transshipment cargo), goods under customs control, customs controlled areas, the control of persons (including their baggage and goods) entering or leaving the Republic, the placing into or removal from any State warehouse of goods and the removal in bond of goods;
[Paragraph (c) substituted by section 40 of Act 61 of 2008]
(d) as to the control of the storage or manufacture of goods in customs and excise warehouses (including the suitability of any buildings, plant and method of manufacture for the purposes of this Act, the hours of conducting any or all operations, the securing or marking of such plant, the inspection of such warehouses and the removal of goods from such warehouses), the testing of the output of stills, the conditions on which stills may be made, possessed, imported, disposed of or used and the fresh fruit which may be used by an agricultural distiller in the Republic for the distillation of spirits;
[Paragraph (d) substituted by section 11 of Act 19 of 1994 and section 74 of Act 30 of 1998]
(e) as to the importation, exportation, transit or coastwise carriage of goods, the entry of goods, the payment of duties and other charges and fees, the costs which shall, for the purposes of section 46 be included in or excluded from the production cost of goods in general or of goods of any class or kind, and the movement of goods to and from any territory with the government of which an agreement has been concluded under section 49 or 51;
[Paragraph (e) substituted by section 24 of Act 36 of 2007]
(f) prescribing the form of and the particulars to be inserted on invoices or certificates in respect of any goods to which this Act applies and which are imported into or manufactured in the Republic;
[Paragraph (f) substituted by section 36 of Act 105 of 1969]
(g) as to the collection of duty by means of stamps, the method of applying stamps or stamp impressions to containers, the cancellation of stamps, the use of franking or counting machines, inks, dies and other appliances and materials, the accounting for stamp labels and stamp duties and the disposal of stamp labels;
(h) as to the collection of excise duties and fuel levy, the time, manner and terms of payment and the calculation thereof;
[Paragraph (h) substituted by section 36 of Act 105 of 1969, section 35 of Act 84 of 1987 and section 39 of Act 59 of 1990]
(i) as to the collection of duties which become payable under subsection (2) of section 58;
(j) as to the circumstances under which licences may be granted and the manner of issuing and renewing licences;
(k) governing the entry of goods under any item of Schedule No. 3, 4, 5, or 6 and prescribing the conditions on which such goods may be so entered or such goods may be transferred from one manufacturer or owner to another or such goods may be used, and as to the registration of manufacturers or owners so entering goods (including requirements as to the suitability of buildings, premises, storerooms and methods of manufacture for the purposes of this Act to be complied with by such manufacturers or owners), the records to be kept by such manufacturers or owners and the form of the application for registration and the particulars to be furnished by such manufacturers or owners;
[Paragraph (k) substituted by section 36 of Act 105 of 1969 and section 39 of Act 59 of 1990]
(l) prescribing the returns and price lists to be rendered by importers or manufacturers or owners of any class or kind of goods;
[Paragraph (l) substituted by section 36 of Act 105 of 1969]
(m) prescribing the form of any licence, bill of entry, certificate and any other document, register, stockbook or return which he considers necessary for the effective administration of this Act;
(mA) as to matters relating to security;
[Paragraph (mA) inserted by section 73 of Act 45 of 1995]
(mB) as to matters relating to electronic payment of any amount required to be paid in terms of this Act;
[Paragraph (mB) inserted by section 24 of Act 36 of 2007]
(mC) as to matters relating to the making of certain advance foreign exchange payments in relation to goods that are to be imported, through authorised dealers in foreign exchange appointed by the Minister of Finance for purposes of the Regulations issued under section 9 of the Currency and Exchanges Act, 1933 (Act 9 of 1933), including rules prescribing-
(i) the type of advance foreign exchange payments to which the rules apply;
(ii) requirements and procedures for notifying the Commissioner of the intention to submit an application to an authorised dealer in foreign exchange to effect an advance foreign exchange payment in respect of goods to be imported into the Republic; and
(iii) reporting requirements for authorised dealers in foreign exchange in relation to advance foreign exchange payments by persons intending to import goods into the Republic;
[Paragraph (mC) inserted by section 18 of Act 33 of 2019 and amended by section 18 of Act 24 of 2020]
(n) as to all matters which by this Act are required or permitted to be prescribed by rule;
[Paragraph (n) substituted by section 73 of Act 45 of 1995]
(o) as to such other matters as are necessary or useful to be prescribed for the purposes of this Act.
[Subsection (1) amended by section 73 of Act 45 of 1995]
(2) ……….
[Subsection (2) deleted by section 73 of Act 45 of 1995]
(3) The rules made under this section may provide penalties for any contravention thereof or failure to comply therewith not exceeding the penalties mentioned in subsection (2) of section 78.
[Subsection (3) substituted by section 73 of Act 45 of 1995]
121. Repeal of laws
(1) Subject to the provisions of subsection (2), the laws specified in Schedule No. 9 are hereby repealed to the extent set out in the third column of that Schedule.
[Subsection (1) amended by section 8 of Act 98 of 1970]
(2) Anything done in terms of any provision of any law repealed by subsection (1) shall be deemed to have been done under the corresponding provision of this Act.
122. Short title and commencement
This Act shall be called the Customs and Excise Act, 1964, and shall come into operation on a date to be fixed by the State President by proclamation in the Gazette.