Bulk Fuel Management in Mining
DIESEL REBATE SYSTEM - Unpacking what you need to know:
The diesel rebate is basically a diesel refund system. It is
a tax relief made available for various activities in the farming, mining and
forestry sectors among others.
The intention is
to lighten the burden carried by local industries that must compete in the
international sector where for e.g. many farmers receive subsidies and other
forms of protection.
Die diesel rebate
system is also intended as a relief offered on vehicles that do not necessarily
utilise the public roads networks since they primarily work in designated
areas, for example on mines and farms.
The Diesel Refund
Scheme is currently administered through the VAT system in terms of the Customs
and Excise Act.
DIESEL REBATE SYSTEM - What must I do to be able to claim my diesel rebate from SARS?
- In order to qualify for a diesel rebate:
- It is necessary to firstly be registered as a
VAT vendor. You must then apply for registration for the diesel rebate
with SARS. The form to be completed is a VAT101D.
- In order to qualify for the diesel rebate and
be able to claim the rebate back, the onus is on the mining enterprise/
farmer to prove the amount of fuel consumption.
- All relevant documentation relating to diesel
purchases must be kept.
- Logbooks must be maintained. This will require
that the farmer completes a schedule listing the activities that qualify
for the rebate as well as the diesel usage per activity.
- In order to qualify for a diesel rebate:
