VAT - Imoorting & Exporting

[Grant McPherson]

HI All

I need your assistance please. We have an issue at work. Here's the situation, we a distributor and on sell to resellers.

We bought the goods from our vendor and the vendor has sent the goods direct onto the end user on behalf of the reseller. The local vendor has not charged me vat as the goods never came into SA, being a registered company in SA we charged our local reseller vat for these goods. The reseller is now saying that we should not charge him vat due to the fact that we were not charged vat. From my understanding if you a Vat registered company in SA and you selling something locally to anyone you must charge them vat.

Can i please have the correct process?

[timazisqua]

Hi Grant, so am I understanding this correctly.
Usually you would import from Vendor (Whom I assume is not local) then distribute to your reseller, but in this instance your Vendor sent the goods directly to your reseller but the Vendor invoiced you (no VAT) and you invoiced the reseller with VAT?
If this is the case, who was liable for the Import Tax - You or the Reseller?