Do I need to register for VAT if my income is all export related but my turnover exceeds R1m?

I am a provisional taxpayer in South Africa working solely for a foreign company (my services are all export related) with my turnover exceeding R1 million a year. I know that exports are zero-rated for VAT. Do I need to register as a VAT vendor, even though my income would not be subject to VAT?

You are required to register your business for Value Added Tax (VAT) if your business makes taxable supplies which are more than R1 million in a 12 month period. Zero-rated supplies are still considered to be taxable supplies and therefore you would need to register for VAT. As a registered VAT vendor, you can claim input VAT on any goods or services that went into making those zero-rated items. Therefore, even though VAT is levied at 0% on your exports, you should be able to claim input VAT on your business related expenses.

It is important to note, that even if you trade as a sole proprietor/freelancer and not a company, you would still need to register for VAT if the taxable supplies of your business exceed R1 million in a 12 month period.