Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1696589077071.pdf (Vanuatu)
Department of Customs and Inland Revenue Rue Carnot, PMB 9012, Port Vila, Vanuatu For all General Enquires contact: Tel: (+678)33091, VoIP 2317 Email: irtps@vanuatu.gov.vu Website: https://customsinlandrevenue.gov.vu Reminder 2021, Nº 2 (February 2021) REMINDERS We are committing to pro- vide email reminder on a regular basis.

If you want to be on our emailing list for these reminders please tell us at irtps@vanuatu.gov.vu These reminders will be also available on our web- site.
FROM OUR TAXPAYER SERVICES SECTION 1.

JANUARY VAT RETURN The January 2021 VAT return needs to be filed by Monday 1st March 2021.

If VAT is payable, then it also needs to be paid by Monday 1st March 2021.

2.

PENALTIES We prefer you to file and pay on time.

However, please be aware that penalties will be charged if you don’t.

3.

USE OUR DROP-BOX When our Vila counter is busy, save time - use our drop-box to safely file your VAT return and cheque payment.

4.
4.

PAYMENTS BY CHEQUE If your cheque is dishonoured by the bank a fee of VT7,500 is payable.

Late payment penalties may also ap- ply.

5.

VAT ON COVID-19 STIMULUS PACKAGE PAYMENTS Employee Stabilization Payments and the Small and Medium Enterprise grants that have been paid under the Covid-19 stimu- lus package of 2020 are NOT subject to VAT.

A person or entity who has included these payments in their VAT re- turns can request a reassessment by writing to, or by contacting our Taxpayer Services Section.
Vision Mission For the good of Vanuatu collect revenue, protect our borders and facilitate legitimate trade Vision We are Capable and Committed Customs & Revenue Administration for a modern Vanuatu Department of Customs and Inland Revenue Rue Carnot, PMB 9012, Port Vila, Vanuatu For all General Enquires contact: Tel: (+678)33091, VoIP 2317 Email: irtps@vanuatu.gov.vu Website: https://customsinlandrevenue.gov.vu 6.
ROAD TAX For further information, please contact the Taxpayer Services Office in Port Vila on telephone number 33091, Luganville office 33760 and Tanna office 88058.

Every motor vehicle owner using a public road is re- quired to have an annual road tax sticker.

A vehicle owner that paid road tax on a vehicle for the 2020 year (before 1 April 2020), is exempted from paying 2021 road tax fees.
To get the 2021 annual road tax sticker they are still required to present the roadworthy inspection certification at our public coun- ter.

A vehicle owner that did NOT make a road tax payment in 2020, is liable for a 2021 payment.

Road tax is due on or before the 31st of March.Therefore, payments made in April will attract a penalty of 25% and May, 50%.
7. BUSINESS LICENCE FEES A person or entity that paid the business li- cence fee (in part or in whole) in the period 1 January to 31 March 2020, and is renewing that licence, is exempted from paying a busi- ness licence fee for year ended 31 Decem- ber 2021.

You still need a licence, but no fee is re- quired.

A person or entity that did NOT pay a licence fee in 2020, needs to ap- ply for a 2021 licence and pay the appropriate fee.
Due to the delay in clarifying this matter, the due date for applying and paying the fee (if required) was extended to Monday 1st March 2021.

For now, 10% will be charged every month on the principal fee.

Business licence fees for Commercial Banks are reduced.

The rate of fee for Commercial Banks (Category F1 business licence) is reduced from 7% to 5% in respect of the 2020 and 2021 years.
Commercial Banks will be contacted by our Taxpayer Services Section to determine how prior overpayments will be treated.

Department of Customs and Inland Revenue Rue Carnot, PMB 9012, Port Vila, Vanuatu For all General Enquires contact: Tel: (+678)33091, VoIP 2317 Email: irtps@vanuatu.gov.vu Website: https://customsinlandrevenue.gov.vu 8.

TURNOVER TAX Turnover tax is not payable in respect of the 2020 and 2021 years.

No returns are required.


Those persons and entities that have paid turnover tax in 2020 and 2021 will be contacted by our Tax- payer Services Section to determine how those payments will be treated.

9.

LIQUOR LICENCES For further information, please contact the Taxpayer Services Office in Port Vila on telephone number 33091, Luganville office 33760 and Tanna office 88058.

All 2021 applications are expected to be lodged before 31st January.

Late payment penalty may apply after this date.

10.
10.

RENT TAX Rent Tax is payable this year 2021.

You have to file a rent tax return and make payment in 2021.

Rent tax is due twice a year.

The 1st chargeable period is 1 De- cember to 31 May.

Due date is 28th June.

The 2nd chargeable period is 1 June to 30 November.

Due date is 28th December.

11.

TAXPAYER IDENTIFICATION NUMBER (TIN) We are moving from CT numbers to TIN’s.

If you have a CT number it be- comes your TIN.


During 2021, we expect you to have in your receipting, tax invoices the word TIN.

This is a legal requirement.


3 Department of Customs and Inland Revenue Rue Carnot, PMB 9012, Port Vila, Vanuatu For all General Enquires contact: Tel: (+678)33091, VoIP 2317 Email: irtps@vanuatu.gov.vu Website: https://customsinlandrevenue.gov.vu For further information, please contact the Taxpayer Services Office in Port Vila on telephone number 33091, Luganville office 33760 and Tanna office 88058.
REMINDERS FROM INLAND REVENUE AUDIT SECTION Record Keeping All registered business and property in- vestors must keep records that correctly explain all transactions they enter as a business or investor.

it is important to keep sufficient records so that the Inland Revenue Audit Office can readily assess your TAX liability.

You must hold these records in English, French or Bislama for a five (5) years period.
The records can be maintained in Vanuatu or over- seas and it is your obligation to make it available upon our request as outlined by Section 8 of the Tax Administration Act (TA Act) No.

37 of 2018.
37 of 2018.

For VAT purposes, your records may include: - books of account (on paper or in computer) - till tapes - receipts - tax invoices - credit and debit notes - bank statements - invoices - motor vehicle logbooks - stock on hand records - vouchers - purchase order- delivery dockets- contracts- customs documents - accounting instruction manuals - sys- tem and program documentation which describes the accounting sys- tem.
If you fail to keep proper records, you are committing a Tax Offence under Section 94 of the TA Act No.

37 of 2018.

Penalties Under section 85 of the TA Act No.

37 of 2018, there are number of penalties that apply if taxpayer do not comply with their record keeping obligations.

The most significant is where a taxpayer fails to maintain or retain records.
In Section 85 (1) (a)(b)   “Where done deliberately or recklessly, they are liable to a penal- ty equal to 75% of the tax payable for the period on which the fail- ure happened.” “Where NOT done recklessly or deliberately, the penalty is re- duced to 20% of the tax payable for the period in which the failure happened.”