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.