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Excise duty refund on fuel

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The promulgation of Statutory instrument 72 of 2019 (Customs and Excise (Fuel supplied to approved beneficiaries) (Refund) Regulations, 2019, facilitates for approved beneficiaries to apply for a refund of excise duty on fuel purchased for use in the identified productive sectors namely Agriculture, Mining, Manufacturing and Transport. 

The refund is provided for in terms of Section 120 as read with section 125 of the Customs and Excise Act and applies to leaded and unleaded petrol, power kerosene, illuminating or heating kerosene and diesel fuels purchased from 13 January 2019 to 22 February 2019. 

The refund is equivalent to the difference between the prevailing Excise Duty rates during the stated period and the Excise Duty rates that prevailed prior to 13 January 2019. 

Registered beneficiaries who meet the following criteria as prescribe d by the Minister of Finance and Economic Development shall access the fuel duty refund facility. 

1. The beneficiaries should not have increased the price of their goods and services relative to the change in the price of fuel in the specified period; 

2. The beneficiaries should be registered and compliant for tax purposes; 

3. Beneficiaries should be members of recognized business associations; and, 

4. Beneficiaries should provide evidence of the productive use of the fuel. 

The fuel duty refund facility will only benefit approved beneficiaries in the Agriculture, Mining, Manufacturing andTransport sector who have successfully registered with Zimbabwe Revenue Authority through their respective business Association. 

All applications addressed to the Regional Manager of Customs and Excise must be submitted to ZIMRA office nearest to the beneficiary’s place of operation clearly marked with the respective Region. 

Application for refund process Approved beneficiaries will be required to submit the following documents; 

1. Application for refund Form Ex FRF2 

2. Submitted an invoice or receipt issued by the supplier of fuel from which duty paid shall be refunded, which contains the following particulars: 

(i) an individual serialised number and the date on which the invoice or receipt is issued; and 
(ii) the name, address and Zimbabwe Energy Regulatory Authority licence number of the supplier, and 
(iii) the name and address of the recipient of the fuel; and 
(iv) a description of the goods supplied; and 
(v) the quantity or volume of the fuel supplied; and 
(vi) registration number of the vehicle supplied with fuel or description of the container in which the fuel has been loaded; 
(vii) the value of the fuel supplied; and 
(viii) Any other additional particulars as may be required by the Commissioner 

3. Documented proof of productive use of the fuel for the period the claim is submitted for refund by the Zimbabwe Revenue Authority; Please note that all refund claims must be submitted to ZIMRA offices on or before 30 June 2019. Details of the registration process is available from the different recognized business associations. 

Source – Zimra


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