Fiji has officially joined the Multilateral Convention on Mutual Administrative Assistance in Tax Matters (MAAC) following a signing ceremony in Paris, led by the country’s Minister for Finance, Commerce and Business Development, Esrom Immanuel. This significant move signifies Fiji’s robust commitment to tax transparency and international cooperation, positioning it as the 152nd jurisdiction to adhere to the convention.
The MAAC is recognized globally as the most comprehensive multilateral framework for tax cooperation, allowing jurisdictions to share information on various fronts—whether on request, spontaneously, or automatically—and also facilitating simultaneous tax examinations and assistance in recovering taxes. Minister Immanuel emphasized the landmark nature of the convention, stating it would not only yield substantial benefits for Fiji but also enhance collaborative efforts with the international community while reinforcing the island nation’s stance on transparency and fairness.
Moreover, the signing of the MAAC is a crucial step towards Fiji’s removal from the European Union’s list of non-cooperative jurisdictions, known as the EU Blacklist. This development promises to improve Fiji’s international reputation and strengthen its economic partnerships globally.
Following the signing, Fiji is set to complete the necessary domestic procedures to officially become a party to the MAAC, enabling it to leverage a unified legal tool for exchanging information with all other participating jurisdictions, including key financial centers.
Fiji’s commitment extends to the implementation of the Automatic Exchange of Financial Account Information (AEOI), reinforced by legislative reforms and confidentiality evaluations. Udit Singh, the Chief Executive Officer of the Fiji Revenue and Customs Service (FRCS), noted that joining the MAAC is a pivotal accomplishment, giving Fiji the legal framework needed for AEOI and Exchange of Information on Request (EOIR) to effectively combat tax evasion and avoidance.
With this landmark progression, Fiji remains steadfast in upholding international tax transparency standards and aims to make a meaningful contribution to the Global Forum’s efforts for a fair, transparent, and cooperative international tax system. Moreover, the ongoing collaboration with the Global Forum Secretariat and various international partners will be crucial to ensure the successful application of these international standards, ultimately enhancing compliance and increasing Fiji’s tax revenues.