Historic $3.1 billion revenue for FRCS, revenue forecast exceeds by $68 million

The Fiji Revenue and Customs Service has achieved a historic milestone by surpassing $3 billion in revenue collections for the 2023-2024 financial year.

With a final net revenue of $3.1 billion, FRCS has exceeded its forecast by $68 million, representing a 2.3 percent increase.

This marks a remarkable growth of $819 million, or 36 percent, compared to the previous fiscal year of 2022-2023.

Prior to the $3 billion achievement, the highest revenue collections were $2.83 billion in the 2017-2018 financial year and $2.81 billion in the 2018-2019 financial year, the two years before the pandemic.

The most significant revenue growth has come from Value Added Tax, which now contributes 44 percent to the total revenue.

The increase in VAT collections can be attributed to the growth in the economic activity and the key sectors, higher import volumes, the change in rate from 9 to 15 percent, and the compliance initiatives by FRCS.

Income taxes including the Corporate Tax and Pay As You Earn and trade taxes such as fiscal duty and domestic excise taxes, all contributed significantly towards the total collection.

FRCS Chief Executive Officer, Udit Singh says surpassing the $3 billion revenue mark is a significant achievement for the Fiji Revenue and Customs Service and a testament to the resilience and growth of key economic sectors in Fiji.

Singh says the strong performance is a reflection of the robust recovery and expansion in sectors such as manufacturing, wholesale and retail trade, and accommodation and food services.

He says they are also seeing a robust performance in income taxes, with both corporate and PAYE collections reflecting a strong economic rebound.

Singh also expressed their gratitude to the government for its unwavering support, as well as to their partners, including the Fiji Police Force, Australian Tax Office, Australian Border Force, and New Zealand Police and New Zealand Customs, for their ongoing collaboration.

He also thanks all taxpayers who have diligently filed and paid their taxes on time, and the FRCS staff across the country for continuing to raise the bar and improve performance.