Mk786
Expert Member
Marking it as a gift saves u on taxes
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Marking it as a gift saves u on taxes
So we are talking about an effective 50% tax on imported goods?
So for every R100 , you will pay
R20 ~ (the duty valuye on the goods)
[-]R10 ~ (the arbitrary 10% )[/-]
R18 ~ (the VAT which is on the final sum of above , effectively 18% instead of 14%)**
=[-]R48[/-] R38
Seriously where the F is all this money going? What is customs doing with that 10% ? Things like this makes me want to break the law and dodge taxes left right and center.
It is ironic that "ATV" really should mean "Arbitrary Tax Value"
**Isn't that kinda against the meaning of VALUE ADDED TAX ? How can they tax the tax? What value is it adding? So they artificially tax the product and tax the inflated value? Isn't that against some tax law?
Thanks to the internet the world is getting smaller. If I can get the item shipped with customs cheaper than local, my money is going overseas. I have no loyalty to support any shop.
The reason behind import duties is fair. Why would SARS want you to buy from overseas where your money goes abroad and they miss out on firstly income tax on the profits the supplier makes and secondly the output VAT on the sale? Thirdly it is a method of leveling thre playing field between local supploers and those from abroad. Local suppliers have to add 14% to the the price for you as customer while you can get it from abroad without that 14% (in the absence of import duties).
If you feel import duties are unfair you first have to question the taxes imposed on local suppliers because import duties are there to match those taxes.
The reason behind import duties is fair. Why would SARS want you to buy from overseas where your money goes abroad and they miss out on firstly income tax on the profits the supplier makes and secondly the output VAT on the sale? Thirdly it is a method of leveling thre playing field between local supploers and those from abroad. Local suppliers have to add 14% to the the price for you as customer while you can get it from abroad without that 14% (in the absence of import duties).
If you feel import duties are unfair you first have to question the taxes imposed on local suppliers because import duties are there to match those taxes.
And if it's a product that needs to be repaired after a few months? Or you receive a defective product?
We give our clients up 2 years warranty on some of the products we sell.
Also, there are a lot of products that need to be physically tested/reviewed before you buy them. We sell such products.
Hence, you sometimes do need a brick and mortar shop , that offers 100% customer service and product backup warranty and support.
Thanks to the internet the world is getting smaller. If I can get the item shipped with customs cheaper than local, my money is going overseas. I have no loyalty to support any shop.