A taxpayer is any person chargable to tax. A "person":
Means all: natural persons (sole proprietors, employees, professionals, etc); legal persons (companies, trusts, etc); and bodies of persons, corporate or not, (partnerships, joint ventures, associations, etc).
What is a taxable income?
Taxable income is the total of ‘the residual income’ of the taxpayer derived during a tax year from all sources less the loss, if any, brought forward from a prior year.
What is a tax year?
The tax year is the period of 12 months beginning on the 1st of January of any year.
What are prescribed rates?
Rates passed by the Parliament, from time to time, and contained in the Income Tax Rates Act.
What is a capital gain/loss?Capital gain/loss is a gain/loss arising out of: ? The disposal of capital asset; ? Exchange rate fluctuations in respect of transactions involving foreign currency.What is a disposal?
Basically, disposal is a change of ownership of a property.
What constitutes salaries and wages income?
Salaries and Wage Income (S&WI) is the income derived by employees in respect of services rendered by them to their employers.
What Is VAGST?
VAGST is a tax on consumption. It is charged and accounted for at a rate of 15 percent.
Who Collects VAGST?
VAGST is collected for the Government by persons who have registered with the Ministry for Revenue -Inland Revenue Services.
Who Must Register For VAGST?
Anyone who is conducting a taxable activity in Samoa and their annual turnover exceeds $78,000 must register for VAGST.
What Is A Taxable Activity?
A taxable activity is a business in the broadest sense. Included as taxable activities are
(1) Ordinary businesses (2) Trades and professions (3) Public authorities (4) Activities of non-profit bodies.
A taxable activity may exist without a profit being made.
What Is A Taxable Period?
The taxable period is the length of time covered by the return
What Is The Accounting Basis For VAGST?
The standard basis of accounting used for VAGST is that it is only included on amounts where payment has been made or received during the taxable period.
What Must I do As A Registered Person?
• Records: you must keep sufficient records so Inland Revenue can readily assess your VAGST liability.
• Returns: you must complete a VAGST return and send it to Inland Revenue by the 21st of the month following the end of your taxable period.
• Tax Invoices: when you supply goods and services to a registered person you must provide them within 28days.
• Debit and Credit Notes: you must provide debit and credit notes where required.
• Change of Status: you must advise Inland Revenue in writing within 21 days of ceasing all taxable activities, or of any change in status.
• Retained Assets: you must account for VAGST on assets from a taxable activity that you keep when you cease to be registered.
How Often Do I Account For VAGST?
You account for VAGST by preparing a VAGST return at the end of each taxable period.
How Do I Get A VAGST Return Form?
You can pick up your VAGST return from the Inland Revenue Offices in Apia or Savaii, or you can ask Inland Revenue to mail your return to your post office box. Go to Contacts for details.
How Do I Complete My Return?
• When you receive your return form, there will be some details already printed in the top panels. These are:
(1) the period the return covers
(2) when the return and payment are due
(3) your registration number
(4) your name and address
I’ve Completed My Return – What Now?
Mail or deliver your completed return to Inland Revenue by their specified due date and your returns will result in tax payable, a credit, or a nil balance.
What Is A Notice Of Assessment?
A notice of assessment explains an assessment made by Inland Revenue.
What Is A Default Assessment?
If you do not file a return by the due date Inland Revenue will assess how much tax you owe and send you an assessment. This default assessment will be valid until the outstanding return is filed.
What Is Tax Invoice?
A tax invoice is issued by a registered person at any time they make a taxable supply to another registered person and is used to verify the claim for any VAGST paid on purchases or expenses.
What Are Taxable Supplies?
Taxable supplies are any goods or services provided by (or to) a registered person in the course of conducting a taxable activity in Samoa
Where Do Taxable Supplies Take Place?
Taxable supplies are supplies that take place in Samoa.
What Are Zero-Rated Supplies?
What Are Exempt Supplies?
Exempt supplies are goods and services which are not subject to VAGST.