Revenue & Customs and FBoS sign MOU

The Fiji Revenue and Customs Service (Revenue and Customs) and Fiji Bureau of Statistics (FBoS) signed a Memorandum of Understanding (MOU) to improve Fiji’s macroeconomic and business statistics.

The MOU was signed by Revenue and Customs Chief Executive Officer, Mr. Visvanath Das and FBos Government Statistician, Mr. Epeli Waqavonovono at the Revenue and Customs Boardroom yesterday.

As both parties provide important services to the Fiji government, business and people, this MOU will allow FBoS to access Revenue and Customs data in order to improve the range, quality and timeliness of inputs to key economic indicators such as Gross Domestic Product (GDP) and also contribute to the establishment and operation of a national business register.

Revenue and Customs Chief Executive Officer, Mr. Visvanath Das said the MOU will enhance the collaboration between both agencies.

“The MOU is a tool to enhance the cooperative relationship between both agencies. It is also an achievement for both parties in the context of national interest,” Mr. Das said.

“Revenue and Customs is a key source of data on business income, expenses and capital transactions and on business registration. This data can be potential inputs to the compilation of statistics including the Fiji national accounts, international accounts and business activity,” he said.

Apart from data sharing, an officer from FBoS will also be seconded to Revenue and Customs.

“We are pleased with the decision to have an officer seconded at Revenue and Customs to access the records required by FBoS,” Mr. Das said.

Mr. Waqavonovono thanked Revenue and Customs for the secondment opportunity as it would ensure ease of business.

He also gave his assurance that the MOU will allow FBoS to provide timely and robust data with other Fiji government agencies in coordinating a scheme of economic and social statistics relating to Fiji.

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CEO opens refurbished Labasa Office

The Revenue and Customs opened its refurbished Labasa Office this morning. With the opening of this refurbished office, 108,000 taxpayers from the Northern Division can expect better customer service.

“The Look North strategy of government has seen the focus and development of the North consistently over the last few years. The North is a budding and emerging economic region”, Revenue and Customs Chief Executive Officer Mr. Visvanath Das said.

“I would like to outline the economic significance of Labasa in order to highlight the contribution Labasa makes to the Fijian economy. Labasa has 5,831 registered businesses. These businesses are made up of 381 companies, 269 partnerships, 42 cooperatives and remaining are sole trader businesses which generates approximately $6.7 million annually”.

“Partnership is one of our key strategic Focus areas outlined in our 3-year Strategic plan and we anticipate that the opening of our refurbished Labasa office will also enable us to work more closely with the business community and people of Fiji. With the opening of this refurbished office, we encourage our taxpayers to voluntarily comply with their income tax obligations by coming in to talk to our officers if you need any assistance. We want to build a healthy relationship with you, a relationship of Trust”, Mr. Das stressed.

Divisional Planning Officer Northern, Mr. Uraia Rainima said that the opening of new office will no doubt boost the morale of the staff and the organization to continue to provide effective and efficient service to the entire Northern Division.

“Whether you are from Bua, Cakaudrove, Taveuni or interior of Macuata, I guarantee you that your queries, doubts and expectation on tax or border issues will be transformed into satisfactory once you exit the office door”, Mr. Rainima said.

For queries please contact the Stakeholder Engagement /Public Relations Department on 3243031/ 3243259.

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Investigation Workshop

IN a bid to enhance border protection capabilities to combat transnational crimes in the region, the Fiji Revenue and Customs Service in collaboration with Australian Border Force and Oceania Customs Organisation (OCO) is conducting an investigation workshop for Border Protection Agencies from around the Pacific. 

23 participants from Fiji, Cook Islands, Kiribati, Solomon Islands, Palau, Tuvalu, Vanuatu, Samoa, Nauru, Marshall Islands and French Polynesia will undergo the Investigation workshop for the next two weeks at the Regional Training Centre at the Revenue and Customs Service Complex in Suva.

While delivering his keynote address, Revenue and Customs Service Chief Executive Officer, Mr. Visvanath Das emphasised on the need to strengthen the network with regional border agencies to protect our borders.

“The aim of the training is to provide participants from border security related agencies with skills, knowledge and confidence required to build their investigation capabilities, increase engagement with partner agencies and to pursue mutual objectives in the region,” Mr. Das said.

“Of course, investigative skills program focuses on investigation methods and techniques used by the Australian Border Force and includes areas such as elements of offences, note taking and record keeping, investigation planning and interviewing, power of arrest and search warrants to name a few,” he said.

“We are very fortunate to have the Australian Border Force technical experts here to guide and train our people build capacity and capability around this,” he said.

“This is a great opportunity you have been granted. You should put full effort into it and grasp as much as possible and the most important aspect of these kinds of workshops is the network that you build,” he added. 

Mr. Das thanked Australian Border Force for the expertise in ensuring a collective and collaborative approach to protect the region.

Australian Border Force facilitator, Mr. Alex Kelsall assured an establishment of a cooperative network through the workshop.

“We are here to gather knowledge as much as we are to impart knowledge because it is through knowledge we can get a closed working relationship, understand how each of our organisations work and how we can best combat transnational crimes,” Mr. Kelsall said.

OCO Head of Secretariat, Mr Seve Peneua expressed similar sentiments.

“It is very important for all enforcement agencies to work together. The region is a ground for transnational organised crimes and criminal syndicates. Transnational organised crimes is increasing in the Pacific. There is no single country or agency that can effectively address on its own therefore the need to work closely together between and among your law enforcement agencies at the national level and across borders.  We are working closely with regional organisations to jointly address these impacts of transnational organised crimes,” Mr. Peneua said.

Mr. Peneua also added that OCO is in the process of developing an education and training framework to enhance and equip capacity and skills of law enforcement agencies in the region.

 

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For queries please contact the Stakeholder Engagement /Public Relations Department on 3243031/ 3243259.

Tax Compliance Risk Management

Regional and local tax administrators are attending a three-day workshop at the Fiji Revenue and Customs Service complex discussing and sharing ideas to strengthen tax compliance, through risk management and profiling.

The workshop has been organized by the Pacific Financial Technical Assistance Centre (PFTAC) and the Pacific Islands Tax Administrators Association (PITAA).
Tax Administrators from Samoa, Tonga, Vanuatu and Papua New Guinea are attending the workshop.

Revenue and Customs Chief Executive Officer Mr. Visvanath Das while opening the workshop highlighted the need for proper risk management application in this modern era. “In Fiji we have developed a Compliance Improvement Strategy which identifies industries and taxpayer groups under the radar and this is done through a risk profiling and assessment process. Thereafter identifying various mitigation to address the noncompliance and the risks.

It outlines specific strategies for taxpayer services, large & international, medium, small, construction, real estate and supermarkets to commit themselves to their tax obligations, and enhance voluntary compliance”.

“Several factors have substantially increased revenue risks and the complexity and volume of service, audit and other compliance interventions by revenue authorities. These include the growth in international trade, supported by e-commerce developments, changes in employment patterns and growth in the numbers of contractors, innovations in business structures and financial products, and the commoditization of tax schemes.

“Therefore, tax administration should have in place strategies and structures to ensure that non-compliance is minimized. We have to be smarter about the way we maximize return on Tax Administration’s limited resource as well”.

PFTAC Coordinator Mr. David Kloeden told participants that Revenue and Customs has produced impressive results after adopting the Compliance Improvement Strategy particularly in the areas of returns lodgments.

“So during the workshop we will be looking at how tax administrations can learn from Fiji and improve their compliance level,” he said.

The workshop concludes today.

Tax Evader Fined $5000

Another company who was charged with “failing to file tax returns” has been fined $5,000 by the Suva Magistrates Court. Friendly Taxis and Tours Limited failed to file its returns for 2014, following which the company was charged and taken to court.

Resident Magistrate Mr. Joji Boseiwaqa while delivering his sentencing said that the company was well aware of its non-compliance with filing its tax returns as required by the law. It had received letters reminding it to comply or seek extension with Revenue and Customs but has failed to do so.

“Taxpayers who do not file returns and legal proceedings that are issued to bring them to justice should not expect any mercy from this court. This sentence should be a deterrent to future offenders as the tax laws of this country are to be adhered to or they will face heavy fines”, Mr. Boseiwaqa said.

Revenue and Customs Chief Executive Officer Mr. Visvanath Das welcomed the judgement saying that those taxpayers who continue to beat the tax system will have to face the full brunt of the law. This is another example, further to last week’s Judgement on 12 month’s imprisonment for non-lodgement of tax return.

We mean serious business here. Mr. Das reiterated the importance of the public seeking assistance from Revenue and Customs if they are unsure of their tax obligations. We want to further enhance tax transparency and voluntary compliance thus creating a level playing field for all taxpayers.

“We are here to serve the public and Revenue & Customs is encouraging taxpayers who may be unsure of their tax status or obligations, to call or visit our nearest office or alternatively visit our website www.frcs.org.fj for more information.”

18 Participants begin 2018 PLP training

EIGHTEEN participants from five different organisation began the 2018 Pacific Leadership Programme (PLP) this morning at the Regional Training Centre at the Fiji Revenue and Customs Service Complex.  

Over the years, through the assistance of the New Zealand Government, PLP has produced great leaders like alumni Mr. Stanley Trief from Vanuatu Customs. Similarly, 2018 PLP participants from Revenue and Customs, Fiji Police, Fiji Immigration, Biosecurity Authority of Fiji and Financial Intelligence Unit will undergo the same training by the New Zealand facilitators Mr. Roy Lagolago, Ms. Michelle McCormack and PLP alumni.

Revenue and Customs Chief Executive Officer, Mr. Visvanath Das, who is also a PLP alumni from 2012 believes that PLP enhances leadership capabilities.

“I for one can testify for Revenue and Customs. Our organisation has vastly transformed in its leadership over the period,” Mr. Das said.

“PLP will provide training to assist you all to contribute towards regional security and economic growth, strengthening of national border control, the removal of barriers at the border to legitimate trade and tourist flows, accurate identification and collection of revenues, mitigation of illegal border activity such as drug trafficking, money laundering, trade in firearms, people smuggling and bio-security risks,” Mr. Das said.

“We all understand and recognize the pivotal role that leadership plays at all levels in a nation’s path to development, and the importance of collective efforts to bring about inclusive and robust change for the public good,” he said.

“The Programme also identifies influential individuals and organisations in the Pacific and supports them in their exercise of ‘developmental leadership’ – that is, leadership involving collective action towards legitimate policies and effective institutions,” he added.

Mr. Das thanked the New Zealand Customs personnel for facilitating the workshop.

“This partnership between New Zealand Customs and Revenue and Customs is another milestone, and it would continue to build a strong and enduring partnership between NZ and Fiji,” Mr. Das said.

Chief Guest New Zealand High Commissioner to Fiji, His Excellency Jonathan Curr while delivering his keynote address stressed that good leaders are made and not born.

 

“Leadership development is incredibly important. Competent performance in an organisation can only go so far before they need to develop leadership skills and take their performances to the next level,” Mr. Curr said.

“We can all be better versions of ourselves and better leaders. In this programme, you will learn about yourselves. You all need to find your way into leadership that reflect who you are, that reflects your individual strengths and your weaknesses,” he said.

Mr. Curr reminisced on his leadership training 10 years ago.

“I learnt more about what effective leadership means, about myself and how to improve my own leadership qualities,” he said.

“Becoming a better leader is something you will do for the rest of your careers and I am proud that the New Zealand government through the New Zealand Customs Heads stands alongside your organisation and invest in you as Fiji’s future leaders in your respective professions,” he added.  

The 2018 Pacific Leadership Program commences this week and is an action oriented blended learning program, in which participants will complete leadership assessment at the start and end of program and also be required to develop and implement a leadership project to enable them to graduate in September 2018.

Taxpayer Imprisoned for Non-Lodgement

In a landmark judgement, the Suva Magistrates Court has sentenced a businessman to 12 months imprisonment for failing to file Income Tax Returns and Value Added Tax (VAT) returns. 

The Ba businessman was facing six counts of failure to file Income Tax Returns and thirteen counts of failing to file Value Added Tax (VAT) returns. 

This is the first time a taxpayer has been given a jail term for failing to file tax returns. 

While sentencing Mr. Suresh Prasad, Resident Magistrate Mr. Joji Boseiwaqa said that taxpayers who evade paying taxes should not expect any mercy from the court. “This sentence should be a deterrent to any future offenders. The tax laws of this country are to be adhered to or face the penalty including custodial sentences,” the Magistrate highlighted. 

“This case is an example of how non-compliant taxpayers will be dealt with under the law. This should be a disincentive to those who even think that they can get away with beating the tax system,” Revenue and Customs Chief Executive Officer Mr. Visvanath Das said. 

“With a strong emphasis on voluntary compliance this year, Revenue and Customs is now concentrating on taxpayers who have not been compliant with their obligations. Given the low tax rates, and the economic buoyancy, if taxpayers continue to beat the tax system by being non-compliant, they will have to face the full brunt of the law”. 

Mr. Das reiterated the importance of the public seeking assistance from Revenue and Customs if they are unsure of their tax obligations. We want to further enhance tax transparency and voluntary compliance thus creating a level playing field for all taxpayers. 

“We are here to serve the public and Revenue & Customs is encouraging taxpayers who may be unsure of their tax status or obligations, to call or visit our nearest office or alternatively visit our website www.frcs.org.fj for more information.” 

“We are actively engaging and providing information to individuals, businesses and sectoral agencies as we focus our efforts on encouraging and supporting voluntary compliance in Fiji,” Mr. Das said. 

 

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For queries please contact the Stakeholder Engagement /Public Relations Department on 3243031/ 3243259.

More suppliers accredited for VMS

A total of eight (8) suppliers have been accredited to date to supply the Electronic Fiscal Device (EFD)/VAT Monitoring System (VMS) to the Fiji market after a further accreditation process by the Fiji Revenue and Customs Service.

“The deadline for supermarkets and pharmacies expired on 28th February and we are now working with the accredited suppliers to ensure that there is a smooth transition and that businesses are compliant with the EFD/VMS laws. Revenue & Customs have negotiated with suppliers to ensure that there is minimum cost to ensure compliance,” revealed Chief Executive officer, Mr. Visvanath Das.

Fiji Revenue & Customs Service reiterates that there is no extension to the deadline for implementation and that they will only defer penalty enforcement for suppliers who have met the two requirements, that is; (1) complied by registering and cleansing their data through the MyInfo portal and (2) have collected their secure element (smartcards) from the Revenue & Customs Office nearest to them.

“To ensure that businesses have minimal disruptions while complying; we have also developed a Free POS application which is compatible with smart phones / tablets. The free application will not compete with other suppliers as it has some limitations in functionalities with respect to internal accounting for business needs but meets the requirements of the Regulations, emphasized Mr. Das.

Very soon supermarkets and pharmacies will be issuing fiscal receipts, we urge consumers to download the Fiji Revenue and Customs receipt verifier application free of charge and verify the receipts issued to them.

The Fiji Revenue & Customs Service would also like to remind medical centres, travel agencies, accounting firms, law firms and hardware companies (wholesale and retail) that they are the next group of businesses required to install, implement and operate the EFD system on or before June 30, 2018 and urge businesses to register and comply now to avoid any penalties.

This new initiative has also created a business opportunity in the local market, given the increased demand for smart card readers. Fiji Revenue & Customs would like to encourage all IT dealers to stock up on smart card readers as we have observed that this is in short supply at the moment” said Mr. Das.

 

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For queries please contact the Stakeholder Engagement /Public Relations Department on 3243031/ 3243259.