Excise

WHAT’S NEW?

• 25 January 2021 – Return and Submission of HTML5 forms via eFiling – External Manual
• 24 January 2020 – Excise duty and levy submission and payment dates for 2020/2021

WHAT IS IT?

Excise duties and levies are imposed mostly on high-volume daily consumable products (e.g. petroleum and alcohol and tobacco products) as well as certain non-essential or luxury items (e.g. electronic equipment and cosmetics).   The primary function of these duties and levies is to ensure a constant stream of revenue for the State, with a secondary function of discouraging consumption of certain harmful products; i.e. harmful to human health or to the environment.   The revenue generated by these duties and levies amount to approximately ten per cent of the total revenue received by SARS. 

WHO IS IT FOR?

Excise Duties are payable by manufacturers of the following products and are levied throughout the Southern African Customs Union (SACU), consisting of the Republic of South Africa, the Republic of Botswana, the Kingdom of Lesotho, the Republic of Namibia and the Kingdom of Swaziland:

• Ad Valorem Products
• Alcohol Products
  • Malt Beer
  • Traditional African Beer
  • Spirits / Liquor Products
  • Wine and Vermouth
  • Other Fermented Beverages
• Petroleum Products
• Tobacco Products

Excise Levies/tax are/may be levied separately and uniquely on different products by each individual SACU member state; in South Africa currently on the following products: 

• Air Passenger Tax
• Diamond Export Levy
• Environmental Levy Products
  • Carbon Tax
  • Electric filament lamps
  • Electricity generation
  • Motor vehicle CO2 emission
  • Plastic bags
  • Tyres
• Fuel Levy and Road Accident Fund (RAF) Levy on Petroleum Products
• Health Promotion Levy on Sugary Beverages
• International Oil Pollution Compensation Fund Levy (IOPCF)

In addition to duties and levies, we also have the Diesel Refund System for qualifying entities.

WHAT STEPS MUST I TAKE?

Relevant entities in the RSA must license with SARS Excise before they start to manufacture or otherwise deal in any of these products on which the applicable Excise Duty and / or Levy has not yet been paid.    There are 14 Excise offices around the country. To see the list of offices and contact details, click here.

WHEN AND HOW SHOULD IT BE PAID?

These duties and levies are self-assessed by the client per periodic Excise return and, depending on the product, paid to SARS on either a monthly or quarterly basis.   To view the Excise duty/levy submission and dates for 2019/2020, click here.  

To access this page in different languages click on the links below:

• Afrikaans
• Sepedi
• Sesotho
• Xitsonga