Under the VAT Act (CAP 445, FIRST SCHEDULE) goods sold for export are exempted. Therefore VAT registered manufacturers will be able to claim full credit for taxes (VAT) paid on inputs used in the manufacture or production of goods for the purpose of export. VAT registered persons who are exporters of commercial goods should ensure that the complete Customs export process is followed. The following steps must be followed to avoid delay in exporting your goods:
1. The exporter must have a taxpayer ID number (TIN).
2. The exporter must obtain the relevant permits/license/certificates in accordance with the goods listed in Part 11 of the Third Schedule of the CCMA and the Third Schedule of the Import and Export (Control) Regulations #10 of 1992, as well as, any of the laws that govern international trade and laws of the importing country.
3. Prepare a ‘Notice to Pack for Export” form and submit along with the processed entry to the Shipping & Reporting Unit for manufacturers wishing pack goods at their premises, For example in containers. This must be done 3-5 working days prior to date of shipment.
4. Prior to the date of shipment an officer will be assigned to examine and verify the descriptions and quantities of the goods packed for export in accordance with the customs entry. NB: the exporter/manufacturer will be responsible for providing the necessary transportation to enable verification of the consignment.
5. Prepare a Customs entry (shipping bill) with all the relevant supporting documents attached. In addition to permits, licenses or certificates, a copy of the export invoice must also be attached.
6. The Customs shipping officer will by affix his signature on the shipping bills after verifying goods
7. Exportation is based on three categories: a. Permanent exports of goods manufactured in SVG e.g. beers b. Temporary Exportation e.g. goods exported for repairs c. Goods that were not manufactured in SVG and needs to be exported permanently (re-exportation).
8. Submit the entry to the Customs Shipping Desk for processing. Ensure that ALL copies of the entry are fully and legibly completed and are in agreement with the invoice and other documents attached.
9. If any discrepancies are found, this will be documented in the “inspection act” of ASYCUDA++. The officer assigned will bring any discrepancies found to the attention of his/her Supervisor and the exporter or his/her representative.
10. After verification of the consignment, the officer will affix the necessary seal to the container or other packing.
11. The Officer will return a signed copy of the customs Entry (shipping bill) to the exporter and file the other copy at the Customs shipping desk.
Goods sold by a VAT registered duty free shop operator to a tourist or visitor are exempted of VAT and import duties. A bill/invoice must be submitted to the Customs, declaring all the goods sold duty free, to persons leaving the country within a particular period. A Customs Entry i.e. Shipping Bill Ex-Warehoused must be prepared and submitted to the Customs Inventory Audit. The sales receipts must indicate the following:
The above must be signed by such person, to whom the goods were sold. These documents will be checked and verified with the warehouse registers by the Inventory Audit Unit, who is responsible for the proper record keeping of these shops and warehouses. Any discrepancies found by the Inventory Auditing Team will be brought to the attention of the duty free shop operator or his representative.