In 2004, SARS introduced an internet-based EDI, which was secured by the Key Public Infrastructure (ICP). This has allowed many merchants to participate electronically in customs. A PKI is an automated system that manages the generation, maintenance and supply of encryption and digital signature keys. The two types of keys, encryption and digital signature, have two related components: a public key component that all users can access and a private key component that must be secured by access by others. The public key and other identifying information are stored in a digital certificate digitally signed by a certification body (CA). The digital signature of the certification body on the digital certificate links the identity of the finnity with its public key. It also ensures that the public key has not been manipulated. The Customs and Excise Act, Section 101A, provides for the electronic transmission of customs information through EDI. A particular requirement is that all electronic distributors must enter into an exchange contract with SARS; and successfully meet SARS message exchange requirements before transactions can be conducted electronically. At the same time, these merchants register as licensed electronic distributors at customs. Most merchants manage EDI through third-party computer desktop service providers.

These provide comprehensive management of supply chain documentation, storage, calculation, tracking and tracing, as well as import/export planning functions with the DE/EDIFACT translation capability and communication interface with customs. The use of EDI is only possible on the basis of the agreement (also known as an exchange agreement) between the sender and the recipient regarding the use of codes embedded in each message. These agreements are covered by a transaction rate. Initially, these formats and codes were developed ad hoc and national standards (e.g.B ASCI) were introduced. X12 in the United States) and international bodies (for example. B, the UN and EDIFACT) from the 1980s on. These organizations have retained and developed their new existing and necessary transaction rates. In order to maximize efficiency and minimize errors, SARS is required by law to impose electronic communications.

It has many benefits for the user like: All the above information is available on the SARS website, www.sars.gov.za. Extendable Markup Language (XML) allows users to set a hierarchical set of tags embedded in a file containing the information transmitted. It`s hard to define XML in a single sentence because it works doubly as script language and file format. But, it is a technology that has been developed from HTML, which uses the language of websites. Html and XML are both file formats that allow you to interact with their user. This feature, which allows “interaction,” separates XML from other EDI file formats such as X12 and UN/EDIFACT. Because EDI is defined as an exchange of data without human intermediaries, the XML format, with its interactive function, does not always fit into the definition of EDI; Otherwise, the XML format (standard format) would have been considered similar to that of all other standard EDI formats. Electronic data exchange (EDI) refers to the electronic transmission of data and the necessary declaration of customs users (for example. B clearing agents or forwarders) at customs.

SarS EDI requirements are published in the EDI SARS use manual. This document sets out all the requirements for the exchange agreement, registration as an electronic distributor and contains detailed technical specifications for all EDI exchange messages (mapping, branch diagrams, standardized code lists, etc.). It is therefore essential that all road hauliers travelling to South Africa establish a working relationship with a South African agent. The process is scheduled for completion on January 15, 2012. This agent may be a South African carrier. In the future, the aim is not to impose