We are an inbound tour operator and we do hotel bookings too. Do we have to register for service turnover tax?
Yes, you are providing a prescribed service and obliged to register for service turnover tax.
What are the due dates for lodgement of STT returns and payment of the related tax?
The STT Return for any particular month is due for lodgement by the end of the following month and likewise the tax payment.
How do we present our invoices to our guest? Should we present our invoice as inclusive of the STT in the same manner as we are doing for VAT?
The invoiced amount should be inclusive of the STT as you are supposed to be charging your clients the 5% STT amount, collecting it and remitting the same to FRCA in the same manner as you are doing for VAT.
We currently operate several dive/water sports concessionaires at various island resorts throughout Fiji. We wish to clarify if service turnover tax applies to the services we provide, although in several cases the resorts collect the guest income on our behalf for which we then invoice them, less a predetermined commission.
Both entities will have to account for STT on their turnovers if both are registered for STT. The concessionaire also has to account for the 5% STT on the commission it pays to the hotel.
We operate a restaurant that has a licensed bar within the restaurant area and would like clarification as to whether we should be charging STT to our clients. Our turnover is below $1.5million during the year.
The operation of a licensed bar is a prescribed services under the STT Decree. You are required to register and charge 5% STT to all your clients including the restaurant even though your turnover is below $1.5million.
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