Update on the VAT Monitoring System (VMS)
FRCS would like to advise all VAT-registered taxpayers that as announced in the 2023/2024 National Budget, the implementation of Phase 3 of the VAT Monitoring System (VMS) has been deferred until further notice.
However, Phase 1 (Supermarkets and Pharmacies) and Phase 2 (Law and Accounting Firms, Medical Centres, Hardware Companies (wholesale and retail) and Travel Agencies) will still need to comply with VMS requirements.
We wish to advise all new businesses that fall under Phases 1 and 2 of VMS to register and comply at the earliest with FRCS. FRCS also acknowledges businesses that have voluntarily registered for VMS under Phase 3, and we would encourage them to maintain their registration.
Additionally, we also wish to advise all VMS Accredited Point of Sale (POS) Vendors and Electronic Fiscal Device (EFD) users that the new rate will be applicable from 1st August 2023 on the Tax Label as follows:
|
NAME |
ABBR |
TAX LABEL |
NOTE |
|
Value Added Tax |
VAT |
A |
To be used for refund purposes on the goods and services that were charged 9% before 1st August 2023. |
|
Value Added Tax |
VAT |
D |
To be used on goods and services which has a VAT rate increase from 9% to 15 |
|
Value Added Tax (Zero-Rated Supplies) |
VAT – ZERO-RATED |
B |
To be used for all zero-rated goods and services under Schedule 2 of the Value Added Tax Act 1991 which includes 21 essential items and prescribed medicines. |
Should you have any enquiries on VMS registration and compliance requirements, please email us at efdcompliance@frcs.org.fj
Mr. Mark Dixon
CHIEF EXECUTIVE OFFICER