As just a few weeks remain for higher penalties for tax evaders to be announced, the authorities are stressing to people to pay their taxes.
It has been highlighted that this year direct taxes which are PAYE, corporate tax, dividend withholding tax, capital gains tax and other minor taxes will rake in about $451.4million for government compared to $426million in 2010.
Next year, despite the personal income tax reductions, direct taxes are estimated to total $477.4million which is $26million above this year's collection.
The increase is largely due to higher collections anticipated in corporate taxes.
Indirect taxes are expected to rake in $1.190billion for government next year compared to $1.04billion this year.
Indirect taxes are VAT, Customs, Service Turnover Tax, Water Resource Tax, Departure Tax, Stamp Duty, the new Telecommunication Levy, the new Credit Card Levy and the new Third Party Insurance Levy.
The government is expecting an additional $20million through the Service Turnover Tax, an additional $32million from Departure Tax, an additional $5million from Stamp Duty, $2million from the Telecommunications Levy, $3million from the Credit Card levy and $2million from the Third Party Insurance Levy.
Permanent Secretary for Finance, Filimoni Waqabaca said Fiji’s revenue position will be positive if every individual and company just pay all their taxes.
A new Income Tax Decree is expected to come into force soon.
FIRCA will also be making further announcements on higher penalties for tax evaders.
Story by: Vijay Narayan
