Employment Taxation Scheme
The Employment Taxation Scheme (ETS) is an incentive made available to income tax payers who can claim the deduction in their Income Tax returns. The deduction is specifically related to the amount paid for training.
150% Tax Deduction
This provided to employers for the cost of employee training through accredited training providers.For this end-of-financial year claim, employers must submit the confirmation form or letter from the training provider that must have the following information:
- Confirm that the training provider (or institution) has an approval (registration or letter) from the Fiji Revenue & Customs Services (FRCS). (FRCS approval is required)
- Confirm that FNU has certified the trainer or institution
- Other relevant information like the number of people trained
The Fiji Hotel and Tourism Association (FHTA) and the Fiji Commerce & Employers Federation (FCEF) are working with FRCS on a form to make the claim simpler. It is recommended that any other training provider being used, be requested to provide this to enable employers to claim this 150% tax deduction as well.
150% is added to the cost of the training for the actual claim with the evidence of the training and its approval (accredited trainers & institutions).
Paternity & Family Care Leave
The 150% Tax deduction is also claimable for the amount of any salary or wages paid to an employee during the 5 working days that the employee took family care leave or the number of days taken for Paternity Leave. An example of the calculation is provided below:
| Employee | Leave | Total Leave Days Taken | Daily Rate | Total Leave Paid | Claimable Amount (150%) | |
| Entitlement | Taken | |||||
| Ben | 5 | 4 | 4 | $100 | $400 | $600 |
| John | 5 | 2 | 2 | $100 | $200 | $300 |
| Jane | 5 | 5 | 5 | $100 | $500 | $750 |
| Total Amount Claimable | $1,650 | |||||
FNU Training Levy Reminder
Members are reminded that 1% Training Levy is still applicable and should have received a reminder on this payment that was due by 31st March 2019.
Effective 1st January 2019, the 1 % levy payable by employers is now being directed into the following:
- 50% of the Levy goes to the Government Funded Medical Scheme.
- 40% of the Levy goes to Fund the Accident Compensation Commission Fiji (ACCF).
- 10% of the Levy goes to fund the FNU/NTPC Training Levy under the Grants Scheme 5 Guidelines.
- A maximum of 90% of your levy is grant claimable by employers (of the 10% portion only). If your levy is $10,000, your maximum claim is $900.
