Reduce your import duty and VAT costs with a Customs Rebate Manufacturing Store.
That’s right, reduce or completely rebate your import Customs duties by registering a Customs Rebate Manufacturing Store. You may never have to pay import duties again.
The requirements for managing a Rebate Manufacturing Store are not so difficult, provided you understand some basic criteria.
For example, you need to understand:
- How to qualify for a Rebate of duties
- What is required to manage a Rebate Store, and
- If there are any Permits required.
We specialise in identifying opportunities for Importers to qualify for Rebates of duty.
More About Customs Rebate Manufacturing Stores
A Rebate Manufacturing Store is a Customs facility designed to “permanently rebate” the full or partial import duties.
In some cases, taxes (such as VAT) may also be “exempted” at time of importation. This would apply for companies who import, manufacture, and re-export goods.
The physical store must be owned and situated on the import manufacturers premises.
Once imported, the goods are stored in the Rebate Store. Thereafter they may be dispatched into production. The liability for duties (and taxes, if applicable) generally ends when manufacturing ends. In some cases, the liability for duties and taxes ends when goods become re-exported.
Goods may also be transferred between rebate stores when selling imported stock to third party manufacturers.
Outsourcing or subcontracting the manufacturing process is possible provided one obtains permission from SARS Customs.
Types of Customs Rebate Manufacturing Stores
Broadly speaking, there are two types of Rebate facilities available:
Industrial Rebates
These are designed for specific purposes for example, for local distribution of goods after manufacture. Goods may also be re-exported.
General Rebates
These are designed for a multitude of purposes and circumstances. Many of these require the imported goods to be manufactured and re-exported to qualify for a rebate of duties.
Physical Store Requirements
The physical store requirements are largely about good governance, for example:
- Clean and tidy, no “stuff” lying around
- Stock clearly marked
- Stock packed well in proper bays
- Provision for quarantine areas (i.e. broken or damaged stock)
- Health and safety, fire hydrants and fire extinguishers
- Security (i.e. armed response, CCTV), and so forth.
ITAC Permits
In some cases, a Rebate Facility requires a permit to be issued by ITAC before the commencement of production.
While some rebate provisions require a permit for specific products, most do not require a permit.
Time Periods
Goods may be stored in a Rebate Manufacturing Store for up to two years.
If one has not manufactured within this time frame, then one is compelled to bring duties and taxes to account.
Extensions of the two-year period are allowed, provided one applies in advance of the expiry date.
Contact Us
Please Contact us for advice or a quotation for a Customs Rebate Manufacturing Store.
We will help you with:
- Qualification of Import Goods for Rebate Purposes
- Application Process and the Customs Inspection
- Supporting Documents and Guidelines
- Permit Applications (if applicable).
