Fiji VAT on e-services provided by remote sellers

28 February 2020

Fiji is proposing to extend its Value-Added Tax (VAT) regime to apply to the sales of electronic services supplied by non-resident (foreign) companies to consumers in the country.

Currently, foreign businesses providing digital services to consumers in Fiji do not have to charge VAT on their sales. However, in an effort to remove the unfair advantage this gives to non-resident companies over Fiji resident providers, the Fiji government are proposing that VAT at 9% will be applied to these types of transactions.

This new tax will be collected as a withholding tax via online market places and will apply to a range of electronic services including streaming games, music, apps, films, e-books, e-journals and internet services.

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