Starting July 1, 2024, South Africa’s Revenue Service (SARS) and Customs will implement new regulations affecting small clothing imports. Items valued at less than R500 (~.
75) will now be subject to the same duties as larger orders.
Currently, imported clothing packages exceeding R500 face a 45% import duty plus 15% VAT, while parcels below this threshold are charged approximately 20% import duty without VAT. The government aims to create a fairer competition landscape for local retailers by applying uniform taxation to clothing items purchased from international e-commerce platforms, regardless of package size.
Concerns have been raised regarding Chinese high-fashion e-commerce sites like Temu and Shein exploiting tax loopholes through shipping products in small quantities to benefit from lower import duties.
