The Fiji Revenue and Customs Service (FRCS) has announced a remarkable net revenue collection of $1.2 billion during the first four months of the current fiscal year. This figure not only surpasses its anticipated goal by $105 million, or 9.9 percent, but also marks an impressive increase of $178 million, or 18 percent, compared to the same timeframe in the previous year.
The strong revenue collection results can be attributed to steady monthly performances. In August, collections reached $291.9 million, exceeding forecasts by $53.5 million (22.5 percent). September followed suit with a net revenue of $290.9 million, surpassing expectations by $8.6 million (3.1 percent). October saw further growth, with revenue climbing to $300 million, a positive variance of $24 million (8.7 percent) against projections. Finally, November concluded with net collections of $286.5 million, exceeding forecasts by $18.9 million (7.1 percent).
FRCS reported strong performances across various tax categories, including Value Added Tax (VAT), Income Tax, and Trade and Customs taxes. Udit Singh, the CEO of FRCS, attributed these positive results to robust performances in key economic sectors and the agency’s compliance initiatives. He highlighted the significant role played by the growing tourism sector and increased commercial activity overall.
Singh pointed out that the uptick in income tax payments can be linked to improved business turnover and profitability. Similarly, VAT collections benefited from rising consumer demand. The ongoing success in revenue collection is also supported by enhanced compliance efforts, notably the VAT Compliance Drive and educational programs, which have fostered greater awareness. The establishment of a new Post Assessment Verification Unit has further contributed to these efforts.
Looking ahead, Singh remains optimistic regarding revenue projections for December 2024 and beyond, expecting this upward trend to continue.
This positive outlook underlines the resilience and growth potential within Fiji’s economy, particularly in the tourism and services sectors, despite the challenges faced on a global scale. The proactive measures taken by FRCS demonstrate a commitment to fostering compliance and maximizing revenue, which will ultimately benefit the nation’s economic growth.
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