FRCS VMS detects fraud worth thousands of dollars
May 23, 2019 7:50 am
The Fiji Revenue and Customs Services’ VAT monitoring system has been able to detect fraud running into thousands of dollars.
This has been revealed by Chief Executive Visvanath Das adding that these were carefully planned tactics that were used but obviously not above the law.
Since its launch in 2017, the VAT monitoring system has been able to capture frauds, tax evasion, and non-compliance.
“When we did phase one and two, some pharmacies reported to us that they discovered fraud to the extent of $200 thousand over some period of time. It was happening in their business and they didn’t even know. One pharmacy from the west reported discovering a loss of $50 thousand – and that pharmacist was happy we implemented this because it helped eliminate fraud in his business.”
The tax-man says the ending of the second phase also collated some positives from February to June last year.
“FRCS has captured 60million receipts issued by those groups of tax-payers who have already fiscalised that means through this system we have seen the proceeding of $1.6billion of the sale in Fiji and through that, we have achieved a total output VAT of $120m.”
The third phase which came into effect May 18th comprises of nine sectors.
These include accommodation, architecture and engineering, commercial health care services, construction, food services, freight operations, real estate agents, service stations and wholesalers and manufacturers.
“In the third phase, we will fiscalising about 16 thousand plus taxpayers. One important point is that we will be listing all those taxpayers on our website who need to comply with these regulations.”
The third phase of the EMS will end in July.