Zero-rated and exempt supplies

     The following goods and services are zero-rated:

�      Exports

�      19 basic food items

�      Illuminating paraffin

�      Goods which are subject to the fuel levy (petrol and diesel)

�      International transport services

�      Farming inputs

�      Sales of going concerns, and

�      Certain grants by government.

       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.

Basic foodstuffs zero-rated in South Africa

�       Brown bread.

�       Maize meal.

�       Samp.

�       Mealie rice.

�       Dried mealies.

�       Dried beans.

�       Lentils.

�       Pilchards/sardinella in tins.

�       Milk powder.

�       Dairy powder blend.

�       Rice.

�       Vegetables.

�       Fruit.

�       Vegetable oil.

�       Milk.

�       Cultured milk.

�       Brown wheaten meal.

�       Eggs.

�       Edible legumes and pulses of leguminous plants.