Fiji has become the 152nd jurisdiction to join the Multilateral Convention on Mutual Administrative Assistance in Tax Matters (MAAC), strengthening its commitment to tax transparency and effective international cooperation.
The signing will pave the way for Fiji to engage in in the exchange of information with 151 other jurisdictions, including all major financial centres; and those exchange relationships will be added to the more than 8000 exchange relationships already in place under the convention.
The MAAC is the world’s most comprehensive multilateral instrument for tax cooperation, and enables jurisdictions to exchange information on request, and conduct simultaneous tax examinations and provide assistance in tax recovery. Speaking at the signing in Paris on January 15, Minister for Finance Esrom Immanuel said the convention was a landmark instrument that would bring significant benefits to Fiji.
He said it would strengthen the country’s cooperation with the international community and advancing its commitment to transparency and fairness.
“It is also a significant step towards Fiji’s removal from the European Union list of non-cooperative jurisdictions (EU Blacklist), which will enhance our international standing and economic partnerships,” Mr Immanuel said in a statement.
Fiji Revenue and Customs Service (FRCS) chief executive officer Udit Singh said joining the MAAC was a significant achievement for the country.
“It provides us with the legal foundation to implement AEOI and Exchange of Information on Request (EOIR) to effectively address tax evasion and avoidance,” Mr Singh said in the statement.
He said Fiji remained fully committed to international standards of tax transparency and to strengthening global cooperation.
“Fiji is determined to contribute meaningfully to the work of the Global Forum and to the shared goal of a fair, transparent and cooperative international tax system.
“Importantly, this milestone also represents a decisive step towards Fiji’s removal from the EU Blacklist. FRCS will continue to work closely with the Global Forum Secretariat and with other international partners to ensure the successful implementation of the required international standards, to improve compliance and to add more dollars to Fiji’s tax revenue.”
Following the signing of the MAAC, Fiji would undertaken its required domestic procedures to formally become a party to the MAAC.
The FRCS stated that once Fiji became a party to the MAAC, it would provide a single legal instrument for the exchange of information with the other 151 jurisdictions, including all major financial centres.
