In the fiscal year 2023-2024, the Fiji Revenue and Customs Service reported net revenues of $3.1 billion, surpassing its initial projection by $68 million, which represents a 2.3 percent increase. This amount indicates a substantial growth of $819 million, or 36 percent, compared to the previous financial year’s performance.
The largest contributor to this revenue growth has been the Value Added Tax (VAT), which currently accounts for 44 percent of the total revenue collected. The rise in VAT revenues is largely due to heightened economic activity in key sectors, increased import volumes, a rate adjustment from nine to 15 percent, and various compliance initiatives implemented by FRCS.
Udit Singh, Chief Executive of FRCS, highlighted that reaching the $3 billion revenue milestone is a significant achievement for the organization and a testament to the resilience and growth of critical economic sectors in Fiji. He noted that the country’s strong economic performance reflects robust recovery and expansion in areas such as manufacturing, wholesale, retail trade, and accommodation.
Singh emphasized the importance of compliance measures and taxpayer support, stating that these factors have been crucial in achieving this record. He reaffirmed the commitment to maintaining a transparent and efficient tax system that promotes Fiji’s economic growth and development. Moreover, the continued success in VAT collections, alongside a strong rebound in income taxes, showcases the effectiveness of their compliance efforts and accurate tax collection strategies.