Section 89 of the Customs and Excise Act and Regulation 78 of the Customs and Excise (General) Regulation 2000 stipulate that a rebate or remission of duty in respect of goods temporarily imported into Zambia shall be granted for the duration of stay that does not exceed the period authorized by the Commissioner General.
Any person, natural or corporate, is eligible to apply for authority to temporarily import goods into Zambia. The goods, upon which an application for temporary importation is made, should be owned by a person or company resident outside Zambia.
Application for a Temporary Importation Permit (TIP)
An application for authority to temporarily import goods is made in writing in the prescribed Form (TIP 0001). The form can be obtained from any Customs House.
Every application made should include information relating to the following:
- Physical address of the applicant or importer if applicant is different from importer
- Reasons for the request for temporary importation
- Duration of stay for the goods to be temporarily imported
- Identification details for the goods to be temporarily imported
- Terms and conditions under which goods to be temporarily imported will be sourced from the supplier (if on lease or hire)
- Form of security for Duties and Taxes to be provided (where required by customs)
Completed application forms should be submitted to the Station Manager of the intended Port of entry and should be received, at least, five (5) days before the intended date of arrival.
An application should be accompanied by the following –
- Copies of invoices (where applicable)
- Temporary exportation documents from the country of exportation
- Relevant permits (where applicable)
- Documents supporting the nature of business transaction between the exporter and importer such as, lease agreement and contracts
- Ownership documents such as copies of property registration book( where applicable)
Validity of TIP
- The maximum period allowed for goods to remain in Zambia under Temporal Importation is twelve (12) months.
- Upon expiry, a client who intends to extend the duration of the TIP needs to make an application to the Commissioner General who may extend the maximum allowable period for goods imported for developmental programs for not more than 12 twelve months.
- For an extra period of 12 months, the Commissioner-General may extend the period initially fixed upon written request by the client with reasons deemed valid.
- The period of all extensions including the initial period shall not exceed 12 months.
Any goods that remain in the country beyond the authorized period are liable to payment of full duties in addition to a fine of 3000 fee units per day or part thereof.
Goods that attract duties and taxes
Some goods attract partial duties and taxes while others do not. The distinction is based on, among other considerations, the economic benefit of the activity required; how specialized such goods could be; ownership; and other relevant conditions under which such goods are imported.
Goods imported under the following conditions are admitted with partial conditional relief from import duties:
- Goods imported under hire, lease or contract;
- (b) Goods for commercial use other than professional equipment, imported under related party arrangements:
- (c) Goods owned and imported by a contractor for use on a contract in Zambia
- (d) Goods owned and imported by temporary residents; and
- (e) Goods owned and imported by dependants of temporary residents
Determination of duties and taxes under partial relief
Determination of Value for Duty Purposes (VDP) on temporary admissions that qualify for partial relief is as follows:
- For goods imported under hire, lease or contract, the value for duty purposes is the total rental or lease charges paid or payable adjusted in accordance with the fifth (5th) schedule to the Customs and Excise Act.
- For goods imported under related party arrangements or goods owned or imported by a contractor for use on a contract in Zambia, the value for duty purpose is based on a depreciated value. In this case, the value will be proportionate to the duration of stay in Zambia. The maximum life span for the purposes of depreciation is 5 years.
Goods that qualify for total conditional relief from duties and taxes
The goods that may be allowed total relief from taxes include:
- Goods for display or use at exhibition, fairs, meetings or similar events
- Professional equipment as defined under these rules.
- Goods imported for educational, scientific or cultural purposes
- Goods imported as frontier traffic
These goods shall not be:
- Loaned or used in any way for hire or any form of compensation.
- Removed from the place of the event without prior written consent from Customs
- Sold without the consent from Customs and payment of taxes due