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The Laws of Fiji
Last Updated: 1 August 2023

[VAT 61] Recovery of tax61 

61
(1) 
[subs (1) rep Decree 50 of 2009 s 117 and Sch 4, effective 1 January 2015]
(2) Where a registered person has not paid the amount of the tax payable or any part thereof in the manner required by Part 7, the amount of tax for the time being unpaid to the Chief Executive Officer shall, in the application of the assets of the registered person, rank as follows—
  • (a)where the person is an individual, upon his or her bankruptcy or upon his or her making an assignment for the benefit of his or her creditors, the amount of the tax payable shall rank without limitation on amount, in priority to all other claims;
  • (b)where the person is a company, upon the liquidation of the company or upon the appointment of a receiver on behalf of the holder of any debentures given by the company secured by a charge over any property of the company or upon possession being taken on behalf of that debenture holder of that property, the amount of tax payable shall rank in priority over the claims of holders of debentures under any floating charge created by the company and be paid accordingly out of any property comprised in or subject to that charge;
  • (c)where a person is a body as defined in section 26, the amount of any tax payable shall rank ahead of any claims of holders of debentures under any floating charge created by the person and be paid accordingly out of any property comprised in or subject to that charge.
(3) Trustees in bankruptcy, assignees, administrators, executors, liquidators and receivers appointed and other like persons before distributing any assets under their control shall obtain a certificate from the Chief Executive Officer certifying that their requirements relating to tax, interest and penalties properly chargeable against the person, property, business or estate, as the case may be, have been satisfied. Distribution without such certificate shall render such persons personally liable for the tax and interest and penalties.
(4) For the purpose of this section, a floating charge shall include a charge that conferred a floating security at the times of its creation but has since become a fixed or specific charge.
(5) This section shall apply notwithstanding anything in any other Act.