Tax amnesty period

Minister for Economy Aiyaz Sayed-Khaiyum, in his 2017/2018 National Budget address on June 29, 2017, had announced a tax amnesty by Fiji Revenue and Customs Authority (FRCA) for waiver of penalties on registration, outstanding returns and tax payments, for any taxable period prior to December 31, 2017, provided taxes are fully paid and outstanding returns are lodged before the end of the amnesty period.

The amnesty period is from June 30, 2017 to December 31, 2017 and it is aimed at providing relief to taxpayers with annual gross income of $1.5 million or less, from the burden of penalties and to assist those who face genuine financial difficulties to take this opportune time in updating their records with FRCA.

The FRCA is urging the taxpaying public to take advantage of this limited-time opportunity to update all their tax filing and payment of outstanding taxes within the tax amnesty period, June 30, 2017 to December 31, 2017, with applicable tax payments in exchange for forgiveness of all penalties, excluding audit penalties, without any prosecution.

Penalties that qualify for waiver includes — late lodgment, late payment, failing to maintain proper records and penalties for insufficient advance payment penalty (IAPP).

These will be waived once principal taxes are fully paid and all outstanding returns lodged within the amnesty period.

The authority has embarked on the journey towards self-assessment and encouraging voluntary tax compliance and this is an initiative to assist those taxpayers who genuinely had challenges in the timely filing of their tax returns and cash-flow problems to meet outstanding taxes.

For outstanding returns, the amnesty will cover for June 2017 VAT Returns and prior periods, service turnover tax (STT), fringe benefit tax (FBT), environmental and climate adaptation levy (ECAL), contractors provisional tax (CPT) summary and employment monthly schedule (EMS) that should be lodged and paid by December 31, 2017.

It will also cover for the 2016 Income Tax Returns and that of prior tax years.

FRCA has a tax amnesty unit (TAU) that will accept outstanding returns for lodgment, processing and payments.

Upon lodgments, whilst the tax returns are being processed, taxpayers must continue with the payment of tax liability by lump sum payment to pay-off the principal tax liability excluding administrative penalties by December 31, 2017.

You are all encouraged to approach our various tax offices in Fiji and our lodgment enforcement or debt management team in Lautoka and Suva to verify your tax return lodgment or tax arrears status and our staff would provide the necessary information. You may also use this opportunity to update FRCA on any changes to your telephone contacts, postal address, email address, business activities or location and other important details.

We further advice that “Tax Compliance Certificate” is an important requirement for government tenders, public sector business contracts, registrations, permits and licences; thus the need for taxpayers to update their tax returns and tax payments.

For further information and queries on the amnesty, you can call the tax amnesty unit (TAU) on its toll-free line on 0800 3304925. For those who wish to mail, it should be sent to the ‘Tax Amnesty Admin Committee (TAAC), Fiji Revenue & Customs Authority, Private Mail Bag, Suva’. You can also email your queries and soft copies of your duly completed tax returns to taxamnesty@frca.org.fj.

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