New Guide: Customs Duty and VAT Treatment of Goods Forwarded Free as a Donation

27 January 2023

This guide enhances the understanding of the payment of the customs duty and VAT treatment of goods forwarded free as a donation.

Many organisations are increasingly dependent on donor assistance from abroad for the upliftment of indigent people. However, import value-added tax (VAT) and customs duty may be leviable on goods that are imported into South Africa. The Value-Added Tax Act 89 of 1991 (VAT Act) and Schedule 4 of the Customs and Excise 91 of 1964, (Act) provide for an exemption of VAT and a rebate of customs duty on goods forwarded free as donation to certain organisations in the Republic subject to certain conditions.

Read the new guide here.