Page 14 - Chapter 32 VAT Part 1

5. Imposition of VAT [s 7(1)] – KL 3

VAT is levied on:

- the supply of goods or services (in SA) by a vendor in the

course or furtherance of an enterprise carried on by him, or

- the importation of goods into SA by any person (also a non-

vendor), or

- the supply of imported services to any person to the extent

that the services will be used for non-taxable supplies.

4 Requirements for a VAT transaction :

- There should be a supply

- of goods or services

- by a vendor

- in the course or furtherance of an enterprise.