The Fiji Revenue and Customs Services (FRCS) has initiated a Compliance Improvement Strategy aimed at simplifying tax compliance for taxpayers. Announced during an event at the FRCS headquarters in Suva, the strategy is described as a roadmap designed to enhance taxpayer behavior through voluntary compliance, increased education, and a commitment to a fairer tax system in Fiji.
FRCS has categorized taxpayers into four distinct groups: voluntary compliant, unfamiliar, negligent, and evaders. Each group will receive tailored support, whether it be through education or enforcement, based on an assessment of their risk level. Rohitesh Dass, the manager for Risk Assessment and Financial Intelligence at FRCS, emphasized that this strategy marks a shift from reactive audits to a more supportive approach. “We are not just auditing; we are offering assistance where taxpayers need it,” he remarked.
The strategy will focus on 11 key areas of support that include customer service, value-added tax, customs for imports and exports, and various sectors such as large taxpayers, agriculture, tourism, and the arts. This is part of FRCS’s broader effort, which has previously identified ongoing compliance issues across several sectors, particularly agriculture, where many operations are informal and tax reporting remains a challenge.
Deputy Prime Minister and Minister of Finance, Professor Biman Prasad, spoke at the launch, highlighting the importance of a fair tax system. “It is a shared commitment to fund essential services,” he said, which underlines the significance of collective responsibility in bolstering public services through effective tax compliance.
This initiative follows previous efforts like the establishment of the Tax Compliance Taskforce, which targeted tax evasion and aimed to enhance compliance strategies. The task force, led by Chartered Accountant Nitin Gandhi, focuses on reviewing tax legislation and improving the frameworks for investigating financial non-compliance.
Through these proactive measures, FRCS is optimistic about creating a more transparent tax environment, reinforcing public trust in Fiji’s financial systems. As the Compliance Improvement Strategy unfolds, it aims to pave the way for a robust economy where all citizens can confidently contribute their fair share to the national budget.
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