List Of Vatable Items In South Africa

A sale of goods or transactions is considered VAT Exempt if it falls under SEC 109 – Exempt Transactions.

Find below are the list of Vatable Items In South Africa

all medical and pharmaceutical products;

basic food items;

books and educational materials including educational performances and tuition from nursey to tertiary education;

baby products;

all exported goods and services;

imported machines for use in the Export Processing Zone (EPZ) or free trade zone;

fertiliser and locally made agricultural medicines and agricultural equipment;

life insurance;

transportation services for public use;

lease on residential property;

equipment for utilisation of gas in down-stream petroleum operations;

microfinance banks people’s bank and mortgage institutions services; and locally manufactured sanitary towels

What items are subject to VAT?

Most sales of goods and services in the UK are subject to VAT at the standard rate of 20%.

Standard rate

catering and hot food (including hot takeaways)

snacks such as crisps, confectionery and ice cream.

alcoholic drinks.

soft drinks.

sports drinks.

What items is VAT not charged on?

vegetable oil. mealie rice. pilchards in tins. edible legumes and pulses of leguminous plants.

What are exempt and zero rated items?

Exempt items are different from zero-rated supplies. In both cases VAT is not added to the selling price, but zero-rated goods or services are taxable for VAT – at 0%.

Do you have to pay VAT on PPE?

Care homes and other such providers within the welfare sector that also use PPE will benefit from the VAT relief. Their supplies are usually exempt (or partially exempt) from VAT. This means that, at present, they are unlikely to be able to recover any VAT on PPE .

What is the difference between tax exempt and zero rated?

You need to understand that there is a difference between Zero Rated and Exempt. Zero Rated are goods and services that basically are taxable, but the legislator decided to rate it at a “0” rate (for now). Exempt means that goods or services are not taxable. A grant is an exempt item