Millions of dollars lost in tax revenue due to black economy

There has been quite an extensive black economy in the country and the government is taking steps to ensure that people are captured in the official economy of the country.

Minister for Finance, Aiyaz Sayed-Khaiyum says a World Bank Report from 1999 to 2007 highlighted that 2.8 billion dollars that existed in Fiji over that period was not part of the official Fijian economy.  

This means that this money was circulating in the country through illegal means and businesses.

Sayed-Khaiyum says approximately $716.2M has not been collected through tax revenue due to the $2.8 billion not being in the official economy.

He says since 2007, the government has increased fines for those who do not comply with the requirements.

Sayed-Khaiyum says directors of companies are now personally liable and he also highlighted a case of a Nausori businessman who falsified VAT documents.