List Of Zero Rated Supplies In South Africa

In economics, zero-rated supply refers to items subject to a 0% VAT tax on their input supplies. The term is applied to items that would normally be taxed under valued-added systems such as Europe’s Value Added Tax or Canada’s Goods and Services Tax.

Find below are the list of Zero Rated Supplies In South Africa

brown bread.

dried mealies.

dried beans.


pilchards or sardinella in tins or cans.


fresh fruit and vegetables.

vegetable oil.

What are zero-rated products?

The zero rating of food items was originally introduced as a means of providing some relief to low-income households which spend a relatively high proportion of their income on zero rated items. Examples include brown bread, fresh fruit and vegetables, dried mealies and dried beans.

What items are zero-rated for VAT?

Zero-rated items are goods on which the Government charge VAT but the rate is currently set to zero. The goods covered by this classification are items such as children’s clothes and footwear, water, basic foods, books and newspapers.

What is zero rated price?

0% VAT-Rated

Under the VAT framework in the Philippines, certain sales can be classified as Zero-Rated or 0% VAT Sales. Such sales will be taxable transactions for VAT purposes, but do not generate any Output VAT. For such sales, a seller is not required to apply the standard 12% VAT rate.

What services are exempt from VAT in South Africa?

Goods and services exempted from VAT are:

Non-fee related financial services.

Educational services provided by an approved educational institution.

Residential rental accommodation, and.

Public road and rail transport.

What essential items are not taxed?

In general, clothing, groceries, medicines and medical devices and industrial equipment are sales tax exempt in many states (but don’t assume they’ll be exempt in all states.