VAT Refunds
What is VAT?
Currently set at 14%, Value Added Tax (VAT) is included in the price of most goods and services. Foreign visitors are not exempt for paying VAT on purchased goods. They may, however, claim back VAT paid on items taken out of the country when the total valued exceeds R250. The refund may be lodged with the VAT Refund Administrator’s offices, which are situated at Johannesburg and Cape Town International Airports, various land border posts and designated commercial harbours. Please note that the refund claim should only be lodged with the South African Customs Authorities at points of departure where the VAT Refund Administrator is not present.
Who Can Claim?
Foreign passport holders (South African Passport holders are excluded from the Scheme) who travel to the Republic of South Africa on a non-resident travel document and export moveable goods from the Republic of South Africa.
How to Go About Claiming Your Refund?
Simply identify yourself as a tourist to shop assistants, and request a tax invoice for the goods you have purchased. A Tax Invoice must contain all the following information:
- The words Tax Invoice
- The seller’s name and address
- The seller’s VAT registration number (a ten digit number, starting with a 4)
- The date of issue of the tax invoice
- A tax invoice number
- A full description of the goods purchased, second hand goods must be indicated as such
- The cost of the goods supplied in Rand’s
- The amount of VAT charged, or a statement that VAT at the rate of 14% is included in the total cost of the goods
- In the case of purchases over R3 000.00, the purchaser’s name and address and the quantity or volume of the goods must appear on the tax invoice. Tax invoices exceeding R3 000.00 that have been generated by a point of sale system that does not reflect the purchaser’s name and address but which are accompanied by proof of payment reflecting the purchaser’s name, for example a credit card payment slip, will be considered.
What documentation do you need to claim a VAT refund?
You need an original tax invoice reflecting the seller’s name, address VAT registration number, invoice number, your name and full postal address, a complete description of the item/s purchased, the cost of the item/s in Rand with the VAT reflected separately or the cost including VAT with a statement that the price includes VAT.
NOTE: Carbon copies, photostat copies or facsimiles of the original tax invoices are not acceptable. You must insist on the correct documentation when purchasing an item.
You must hold a foreign passport reflecting your country of residence/citizenship as other than South Africa.
What procedure must be followed when claiming a VAT refund?
When departing from South Africa, you must present the tax invoices, together with all the items on which a VAT refund is claimed, at the VAT Refund Administration for inspection and endorsement of the tax invoices.
NOTE: It is essential that all the items on which VAT Refund is claimed, are presented for examination. If you cannot display the items and documents, you will not obtain a VAT Refund.
How to claim VAT if a problem was experienced at the airport?
Due to some unforeseen circumstances e.g. arriving late for a flight or your flight being called before you have finalized your VAT refund claim, you may be unable to complete your VAT refund before departure. In such a case, you are able to submit your VAT refund application as a postal refund application. The documentation to be submitted as part of your postal refund application will depend on the documentation in your possession:
1. Goods already inspected by the VRA (VAT Refund Administration)
If you were in a position to present the goods for inspection to the VRA on your departure from South Africa, and your invoices have been endorsed with a Goods Inspected stamp, you are required to submit the following documents for VAT refund purposes:
- The original tax invoices duly endorsed by the VAT Refund Administrator with the Goods Inspected stamp.
- A copy of your passport showing your personal details as well as your entry and exit stamps into and from South Africa.
- A letter of explanation, explaining in full detail as to why you were unable to submit your claim on your departure from South Africa.
- A completed postal refund procedure form.
2. Goods not inspected by the VRA (VAT Refund Administration)
If you were unable to present the goods for inspection to the VRA or Customs on your departure from South Africa and the invoices have not been endorsed by the VRA or Customs, you are required to submit the following documents for VAT refund purposes:
- The original tax invoices issued by the South African vendors in respect of the goods exported.
- A copy of your passport showing your personal details as well as entry and exit stamps into and from South Africa. * Where the tax invoices are issued in both the husband and wife’s name eg. Mr. J and Ms J Jones, the passport copies of both the husband and the wife should be submitted for VAT refund purposes.
- A letter of explanation, explaining in full detail as to why you were unable to submit your claim on your departure from South Africa.
- A completed postal refund procedure form.
- A completed original export declaration form. Please note that this form should be signed and endorsed by a customs official on your arrival in your home country. The Customs official is required to confirm that the goods have been imported into your home country.
We are aware that the Customs authorities in some countries are reluctant to endorse and sign the export declaration form. In such cases, it is suggested that you present the goods, as well as the original tax invoices to the South African Embassy or High Commission in your country, who will endorse the invoices as proof that the goods have been exported. In such a case you can submit the documentation listed in points a to d above to enable us to process your claim.
Please note that your claim documentation must be RECEIVED by the VRA (VAT Refund Administration) within 3 months from the date of export. Your attention is also drawn to the fact that it is your responsibility to ensure that the claim documentation is received by the VRA. No claim will be entertained where the claim documentation has gone astray in the mail on route to our offices.
Send the above to the following address(remember to keep copies for your own records):
VAT REFUND ENQUIRIES
P O BOX 107
Johannesburg International Airport Post Office
South Africa
1627
Attention: Werner van Loggerenberg
If you have any further enquiries you can contact them at:
Telephone: 011 27 11 394-1117
Facsimile: 011 27 11 394-1430
E-mail: info@taxrefunds.co.za
- When the claim is submitted it is very important that you indicate in which currency the refund is required.
- Please be patient this process can take from two to three months.
For further information on VAT Refunds, please follow this link: http://www.taxrefunds.co.za
If you have any questions or require any further information, that you have not found on our website, please contact us in a way and at a time that is convenient for you, and we will endeavour to give you a speedy response.
