Page 56 - ADVANCED TAXATION - Day 1 Slides

Example

Mr Strempel is a non-resident on vacation in South Africa. Whilst

touring the Kruger National Park, he decided to purchase a wooden

giraffe figure. The curio store charged him R3 363 for the novelty item,

including VAT at the standard rate. Mr Strempel and his giraffe figure

continued to tour the country for another two weeks before his leave

entitlement ran out and he needed to return to his home country

Germany. Mr Strempel took the giraffe figure along when he left South

Africa.

Explain the VAT consequences for Mr Strempel, the curio

store, and the position of SARS.