More goods added to VAT exemption list |24 May 2017

The Seychelles Revenue Commission (SRC) in collaboration with the Ministry of Finance have announced that the VAT exemption list has been revised.

In accordance with *S.I 21 of 2017, several categories of goods such as milk, cheese, coffee and several others, have been added to the existing VAT exemption list. This legislation took effect as from the April 13, 2017.

Following its implementation, it has been agreed upon by the Ministry of Finance and the SRC that as of April 13, 2017:

(i) For all VAT registered businesses, the administration of the exemption list is as follows:

All exempted goods will not be liable for VAT at the point of sale irrespective if the goods are from their old or the new stock. Businesses that have paid VAT at the point of entry on those goods, will have to claim the VAT as an ‘input tax credit’ on their VAT return. It is important to note that no refund will be processed by SRC and no VAT on those additional exempted products will be collected at the point of sale after April 13, 2017.

(ii) For all businesses that have not registered for VAT, the administration of the exemption is as follows:

Businesses that have imported their stock after April 13, 2017 and who has paid VAT at the point of entry on any of the goods that appear on the amended VAT exemption list, the businesses will be able to claim their refund individually at SRC.

A copy of the items added to the VAT exemption list including HS codes (SI 21of 2017) can be downloaded from SRC’s website at http://www.src.gov.sc/resources/SI/2017/SI21of2017.pdf.

Businesses who believe that they have collected VAT incorrectly please contact the VAT Unit on 4293745 or visit any of the SRC’s offices on Mahé, Praslin and La Digue during working hours (8am – 4pm). Members of the public can also forward their enquiries to vat@src.gov.sc .