31 Jan 2006

Investigation of black economy planned in Fiji

4:39 pm on 31 January 2006

There are plans to investigate the underground economy in Fiji to identify where tax revenue is being lost.

The acting chief executive of the Fiji Islands Revenue and Customs Authority, Barmod Achary, says nobody knows how much money is lost to the black economy but there is concern that it could be in the millions of dollars.

Mr Achary says they're working with local experts to establish terms of reference for the investigation but it will cover most areas.

"Fiji's predominantly an agricultural country and also this kind of study will help us to identify the segments where we are missing out on revenue collection. And, also we will identify the people who are trying to evade tax and also avoid tax."

Mr Achary says the proposal to undertake the study will go to the board by March and subject to their approval, it's hoped the investigation will be carried out within the next six months.