What is an Advance Payment Notification (APN)?
When you pay a foreign supplier before the goods ship — common with new suppliers, custom-manufactured items or factories that work on a deposit basis — you are making an advance import payment, also known in SARS terminology as an Advance Import Payment (AIP).
SARS requires a notification of this payment, called an Advance Payment Notification (APN), for any such payment whose ZAR equivalent exceeds R50,000. The APN is registered on the SARS eFiling portal (or the Registration, Licensing and Accreditation — RLA — system if you are a registered trader). You receive a unique APN reference number, which you then quote on your bank's TT (Telegraphic Transfer) application form. Your Authorised Dealer bank will not process the advance payment without it.
Think of the APN as a promise to SARS: "I am sending R X overseas to pay for goods that will be imported." SARS then tracks whether those goods eventually come through customs with a matching entry. It is part of South Africa's broader exchange control framework administered by the SARB (South African Reserve Bank).
The R50,000 threshold — exactly how it works
The R50,000 limit applies to the ZAR equivalent of the foreign currency amount at the time of payment. It is not a calendar-year aggregate — it applies per transaction. So if you are sending USD 2,600 (roughly R48,000 at R18.50/USD) you fall just below the threshold; if the invoice is USD 2,800 (roughly R51,800) you need the APN.
| Scenario | APN required? |
|---|---|
| Advance payment of USD 2,500 (≈ R46,250 at R18.50) | No — below R50,000 |
| Advance payment of USD 3,000 (≈ R55,500 at R18.50) | Yes — above R50,000 |
| Payment after goods shipped (open account / deferred) | No — not an advance |
| LC payment at sight on presentation of documents | No — goods are already shipped |
| 50% deposit advance, 50% on shipment; deposit ≈ R60,000 | Yes — for the advance portion |
How to register an APN on SARS eFiling — step by step
The process below assumes you have an active SARS eFiling profile with at least one tax type registered (Income Tax, VAT, or PAYE). If you do not have eFiling access, register at efiling.sars.gov.za first.
- Log in to eFiling at efiling.sars.gov.za with your username and password.
- In the top menu, go to Customs & Excise → Customs Registrations → Advance Payment Notification.
- Click Request New APN (or "Create APN" depending on your eFiling version).
- Complete the APN form with:
- Your customs code / importer code (you must have a registered importer code)
- Supplier name and country
- Currency and amount of the advance payment
- Description of goods (broad HS chapter is usually sufficient)
- Expected shipment date / expected date of import
- Submit the form. SARS generates an APN reference number immediately (the system is usually real-time).
- Print or save the APN confirmation page. Quote the reference number on your bank's TT instruction form in the "SARS APN Number" field.
Some customs agents and freight forwarders will register the APN on your behalf as part of their service. This is common for importers who do not trade frequently enough to maintain their own eFiling customs access. Confirm with your clearing agent whether they offer this.
What happens after the APN — matching the customs entry
Once your goods arrive and are cleared through South African customs, your clearing agent submits a Customs Entry (DA 500 or equivalent SAD500 form). The customs entry must reference the same transaction so SARS can close off the APN loop.
SARS gives you a window of time — generally six months from the date of the advance payment — in which the corresponding customs entry must be lodged. If the goods are delayed, you should proactively contact your bank (who will inform SARB) and SARS to explain the delay and request an extension. Do not simply wait and hope it resolves itself.
| Event | Deadline / timeframe |
|---|---|
| Register APN | Before bank processes the payment |
| Goods shipped by supplier | As per purchase order / contract |
| Customs entry lodged and cleared | Generally within 6 months of payment |
| If goods delayed: notify bank + SARS | Before 6-month deadline expires |
| If goods not arriving: repatriation of funds | As directed by SARB/bank |
Penalties for non-compliance
Failing to register an APN when required, or failing to follow up when goods do not arrive, can have serious consequences under both SARS Customs legislation and the Exchange Control Regulations:
- Administrative penalties from SARS — typically a percentage of the undeclared/unmatched amount, plus interest. SARS can assess these even if the goods eventually arrive late.
- Exchange control contraventions via SARB — if foreign currency left South Africa without the required APN documentation, this is treated as an exchange control contravention. The Currency and Exchanges Act penalties can be significant — up to the full value of the contravention plus a fine.
- Bank refusal on future payments — your Authorised Dealer bank is required to flag contraventions and may restrict your ability to make future foreign payments until the matter is resolved.
- Customs import delays — without a matching APN on file, your customs agent may face difficulties clearing the goods through SARS Customs, causing warehouse storage costs and delays at the port.
APN vs AIP — same thing, different names
You will see both terms in official documentation and from different banks:
- APN (Advance Payment Notification) — the SARS term used on eFiling and in SARS publications.
- AIP (Advance Import Payment) — the SARB exchange control term for the same concept, used in the SARB Exchange Control Regulations and by many banks on their TT forms.
When your bank asks for your "AIP reference", they mean the APN number you obtained from SARS eFiling. They refer to the same process. Your bank's TT application form may have a field labelled "AIP/APN Reference" — this is where the eFiling number goes.
Find a customs broker to help with APN registration
Many licensed customs brokers and clearing agents handle APN registration as part of their service — useful if you only import occasionally.
Browse customs brokers →Frequently asked questions
Does the R50,000 threshold include VAT?
The R50,000 threshold is the ZAR equivalent of the foreign currency amount being sent, converted at the spot rate on the day of the payment instruction. It is not about the VAT value — it relates purely to the outgoing forex amount. Confirm the exact basis with your bank at the time of application, as interpretations can vary slightly.
Can my clearing agent register the APN on my behalf?
Yes. Many licensed customs clearing agents and freight forwarders offer APN registration as part of their import facilitation services. They will need your importer code and invoice details. You remain legally responsible for the APN compliance even if an agent submits it, so always request a copy of the APN confirmation from them.
What if I registered an APN but the goods arrive in two separate shipments?
Speak to your customs agent. They will submit a customs entry for each shipment and reference the same APN number. As long as the total value clears within the allowed period and matches the APN amount, this is typically acceptable. Your bank and SARS may require documentary evidence of the split shipment.
Do I need an APN for a deposit on a tooling or mould (not goods for resale)?
If you are paying a foreign factory to manufacture tooling or a mould that will be used to produce goods that will be imported, this is still an advance import payment (the mould is a capital item related to imported production). In most cases, yes — an APN is required above R50,000. Confirm with your bank, as the classification can depend on whether the tooling itself is being shipped to SA or stays offshore.
Is there an APN equivalent for services (e.g. advance payment to a foreign developer)?
No. The APN system is specific to advance payments for goods that will be imported through SARS Customs. Advance payments for services are classified under a different BoP category (services) and do not require an APN. Your bank will still apply its own due diligence for service payments, but there is no SARS eFiling step required.
How long does it take to get an APN number?
The SARS eFiling system generates the APN reference number immediately upon successful submission of the form — it is a real-time system. However, if your importer code is not yet active, or if eFiling has a technical issue, it can take longer. Always register the APN at least 48 hours before you need to instruct your bank, to allow for any troubleshooting.
Related guides
- How to Pay a Foreign Supplier from South Africa (SARB Rules + Steps)
- Forward Exchange Contracts (FEC) for Importers: Locking in the Rand
- Letters of Credit vs Telegraphic Transfer for SA Importers
- Trade Finance for South African SMME Importers
- How Rand Volatility Affects Your Landed Cost (and How to Hedge)
- All paying-suppliers & forex guides →
Sources: SARS Advance Payment Notification; SARB Exchange Control Manual; Authorised Dealer banks. Last updated June 2026. This article is informational only — confirm current rules with your bank and SARS.