Find Accountancy, Audit and Tax expertise in Fiji
- Overview
- Profession
- Tax
Overview
The Fijian accountancy and audit field has had its mixed fortunes, not unlike any other developing country. As a result of the size of its economy Fiji continues to retain firms affiliated to international networks such as PricewaterhouseCoopers, Ernst & Young, KPMG, Deloitte and PKF. However, it has lost highly qualified accountants due to emigration, as a result of the country’s political instability. There is also a wide range of small and medium sized firms complementing the work carried by the bigger firms – these however may be limited in terms of resources and training. The international accounting standards adopted in 2001 were subsequently replaced by the International Financial Reporting Standards (IFRS) for SMEs standards, for small and medium sized reporting entities, and IFRS for larger reporting entities. As of 2007, the IFRS issued by the International Accounting Standards Board are officially applicable to the majority of entities. The current set of audit related standards issued by the International Federation of Accountants are implemented for the audit of financial statements. In the 2011 World Bank’s Ease of Doing Business Index Fiji placed 126th in the world (out of 183 countries) in relation to resolving insolvency, below Vanuatu (53rd) and Tonga (108th), but above Samoa (145th).
Profession
The Fiji Institute of Accountants is the professional body responsible for the accreditation of accountancy professionals. The society has a membership of 720, of which around 30% are Chartered Accountants. The Institute is a registered member of both the International Federation of Accountants and the Confederation of Asian and Pacific Accountants. To practice professionally as an accountant, an individual must be registered with the Institute and have both the correct academic qualifications and the practical experience. A diploma or Bachelors Degree in the field of accounting can be obtained from the University of South Pacific, the University of Fiji or the Fiji National University, after which one can be registered as an affiliate member. In order to be admitted as a full member an individual must complete further post-graduate qualifications, most commonly the Certified Practicing Accountants (CPA) Australia training programme.
Tax
Personal income tax rates in Fiji are progressive, up to 31% for incomes of $22,001 and above (2010). Corporate tax is set at 28%, although small businesses (with a turnover of under $300,000) are exempt from income tax. There are tax breaks and incentives for the tourism, filmmaking, ICT, fisheries, agriculture and forestry industries. Value added tax (VAT) is charged at a rate of 12.5% on the majority of goods and services in Fiji. Certain items are exempt, such as financial services, residential dwellings, educational services, certain zero rated items such as exported goods and services and certain basic food items. Fiji placed 80th in the world for paying taxes in the 2011 Ease of Doing Business Index, below most of its Pacific neighbours, with Kiribati in 6th place, Tonga in 29th, Vanuatu in 32nd and Samoa in 66th.
| Accountancy, Audit and Tax organisations in Fiji | |
|---|---|
| Fiji Institute of Accountants |
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