VAGST Act 2015

Link to law: http://www.palemene.ws/new/wp-content/uploads/01.Acts/Acts%202015/VAGST-Act-2015-Eng.pdf

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rangement of Provisions

PART 1
PRELIMINARY

1. Short title and commencement 2. Interpretation 3. Definition of “taxable
activity”
4. Definition of “fair market value”
5. Definition of “price” 6. Definition of “supply” 7. Application

PART 2
VALUE ADDED GOODS
AND SERVICES TAX

8. Imposition and liability for GST

PART 3
REGISTRATION
9. Application for registration 10. Registration 11. Obligations of a registered
person
12. Cancellation of registration 13. Deemed taxable supply on
cancellation of registration
PART 4
SUPPLIES
Division 1 - General rules

14. Mixed supplies 15. Time of supply 16. Place of supply of goods 17. Place of supply of services 18. Value of a supply 19. Value of a supply of imported
services

Division 2 - Special rules

20. Application of goods to private or exempt use
21. Second-hand goods 22. Rights, options, and vouchers 23. Lay-by sales

PART 5
IMPORTS
24. Time of import 25. Value of import

PART 6
INPUT TAX CREDITS
2 Value Added Goods and Services Tax 2015, No. 43
26. Allowance of an input tax
credit
27. Input tax credit for newly registered person

PART 7
POST-SUPPLY
ADJUSTMENTS

28. Post-supply adjustments

PART 8
GST PERIODS AND REFUNDS

29. GST periods 30. Net GST payable for a GST
period
31. Refunds 32. Diplomatic missions and
international agreements

PART 9
DOCUMENTATION AND
PROCEDURES

Division 1 - GST documentation

33. Tax invoices 34. Recipient - created tax
invoices
35. Commissioner may determine alternative arrangements
36. Credit and debit notes
37. GST documentation issued by or to agents
38. Requests for GST documentation
39. Maintenance of GST documentation
40. GST-inclusive pricing of taxable supplies to
unregistered persons

Division 2 - Procedures

41. GST returns 42. Due date for payment of GST 43. Collection of GST on imports 44. GST representatives of non-
residents
45. Assessment of recipient of a supply

PART 10
MISCELLANEOUS
46. Offences 47. Penal taxfor evasion 48. Tax avoidance schemes 49. Branches and divisions 50. Currency translation 51. Regulations and approved
forms
52. Repeal, transition and savings
Schedules

__________

2015, No. 43

AN ACT to impose and regulate collection of consumption tax
on goods and services and for related purposes.
[05th
November 2015]

BE IT ENACTED by the Legislative Assembly of Samoa in
Parliament assembled as follows:


2015, No. 43 Value Added Goods and Services Tax 3

PART 1
PRELIMINARY

1. Short title and commencement-(1) This Act may be cited
as the Value Added Goods and Services Tax Act 2015.
(2) This Act commences on the date of assent by the Head of
State except that provisions relating to “supply of imported
services” are to commence on a date nominated by the Minister.

2. Interpretation - In this Act, unless the context otherwise
requires:
“adjustment event” means an event specified in section 28(6);
“approved form” means the form approved under section 51;
“associate” has the meaning in the Income Tax Act;
“Commissioner” means the person appointed as such pursuant
to section 5 of the Tax Administration Act;
“Comptroller” has the meaning in the Customs Act;
“company” has the meaning in the Income Tax Act;
“consideration”, for the supply of goods and services to any
person:
(a) includes any payment made or any act or forbearance,
whether or not voluntary, in respect of, in response
to, or for the inducement of, the supply of any
goods and services, whether by that person or by
any other person; but
(b) does not include an unconditional gift to any non-profit
body.
“credit note” means a document that a supplier is required to
issue under section 36(1);
“creditable acquisition” in relation to a registered person
means:
(a) a taxable supply made to the person by another
registered person; or
(b) a taxable import made by the person.
“Customs Act” means the Customs Act 2014;
“customs control” has the meaning under the Customs Act;
“debit note” means a document that a supplier is required to
issue under section 36(2);


4 Value Added Goods and Services Tax 2015, No. 43

“deemed output tax” in relation to a registered person, means
output tax taken to be received by the registered person
under section 13(2), 20(2), 28(1) or 28(4);
“deemed taxable supply” means a taxable supply taken to
have been made by a person under section 13(1) or 20(1);
“exempt import” means an import listed in Schedule 1;
“exempt supply” means a supply listed in Schedule 2;
“fair market value” has the meaning in section 4;
“goods” means immovable property or tangible movable
property, but does not include money;
“goods and services tax” or “GST” means value added goods
and services tax imposed under section 8;
“Government” means the Government of Samoa;
“GST periods” means the periods specified under section 29;
“GST representative” means a person appointed as such under
section 44;
“hire purchase agreement” means a sale and purchase
agreement under which the price is paid by instalments
and each instalment includes an interest charge;
“import” means to bring goods, or cause the goods to be
brought, into Samoa from a place outside Samoa;
“importer” in relation to an import of goods, includes the
person who owns goods, or any other person for the time
being possessed of or beneficially interested in the goods,
or permitted to make a Customs entry in relation to the
goods under section 60 of the Customs Act;
“Income Tax Act” means the Income Tax Act 2012;
“input tax”, for a registered person:
(a) means -
(i) the GST paid for a creditable acquisition
by the person; or
(ii) an amount that is treated as input tax
paid by the person for the purposes of this Act;
but
(b) does not include any late payment interest or penalty
imposed under this Act or the Tax Administration
Act in respect of a creditable acquisition.
“input tax credit” means the credit for input tax allowed under
this Act;

2015, No. 43 Value Added Goods and Services Tax 5

“inventory” means anything produced, manufactured,
purchased, or otherwise acquired for sale or exchange, and
includes any raw materials or consumables used in the
production or manufacturing process, and livestock;
“invoice” means a document notifying an obligation to make a
payment and includes a tax invoice;
“late payment interest” means late payment interest imposed
under the Tax Administration Act;
“money” means:
(a) any coin or paper currency that is legal tender in
Samoaor any other country, other than a coin or
paper currency that is a collector’s piece;
(b) a bill of exchange, promissory note, bank draft, or
postal or money order; or
(c) whatever is supplied as payment by way of -
(i) a credit card or debit card; or
(ii) the crediting or debiting of an account.
“non-resident” has the meaning in the Income Tax Act;
“output tax” means:
(a) the GST received by a registered person on a taxable
supply made by the person;
(b) the GST payable by a registered person on a supply of
imported services made to the person; or
(c) an amount that is treated as output tax of the person.
“penalty” means penalty imposed under this Act or the Tax
Administration;
“person” means an individual, partnership, trust, company,
Government, or an international organisation;
“price” has the meaning in section 5;
“public authority” means:
(a) the Government;
(b) a Ministry designated under Schedule 1 of the
Ministerial and Departmental Arrangements Act
2003;
(c) a public body as defined in the Public Finance
Management Act 2001;
(d) a public office established under the Constitution, an
Act, or otherwise to independently perform duties
involving the exercise of Government functions.

6 Value Added Goods and Services Tax 2015, No. 43

“received”, in relation to a person, includes applied on behalf
of the person either at the instruction of the person or
under any law;
“recipient”, in relation to a supply, means the person or
persons to whom the supply is made;
“recipient-created tax invoice” means a recipient-created tax
invoice referred to in section 34 or 39(3);
“registered person” means a person registered under section
10, and includes a person who is required to apply for
registration but who has not done so within the time
specified in section 9;
“registration threshold” means the amount specified in section
9(2);
“revenue from the Government” means revenue received from
the Government (not being revenue received from any
other public authority) by any public authority for the
supply of outputs by that public authority; but does not
include:
(a) GST chargeable in accordance with the provisions of
this Act, on the supply of outputs by that public
authority;
(b) revenue collected by that public authority as agent on
behalf of the Government.
“resident” has the meaning in the Income Tax Act;
“services” means anything that is not goods or money;
“supplier”, in relation to a supply, means the person or
persons who made the supply;
“supply”, has the meaning in section 6;
“Tax Administration Act” means the Tax Administration Act
2012;
“tax fraction”, in relation to a taxable supply, means the
fraction computed under the formula:

r / (1+r),

where r is the rate of GST applicable to the supply as
determined under section 8;


2015, No. 43 Value Added Goods and Services Tax 7

“taxpayer identification number”, in relation to a person,
means the taxpayer identification number issued to the
person under the Tax Administration Act;
“tax invoice” means a document required to be issued under
section 33;
“taxable activity” has the meaning in section 3;
“taxable import” means an import of goods, other than an
exempt import;
“tax payable” means an amount of tax calculated pursuant to
section 30;
“taxable supply” means a supply, other than an exempt
supply, made in Samoa by a person in the course or
furtherance of a taxable activity, and includes a deemed
taxable supply;
“telecommunications services”:
(a) has the meaning in the Telecommunications Act 2005;
and
(b) for the purposes of this Act, includes -
(i) the related transfer or assignment of the
right to use capacity for such transmission,
emission, or reception; or
(ii) the provision of access to global or
local information networks; but
(c) does not include the supply of underlying writing,
images, sounds, or information.
“trust” has the meaning in the Income Tax Act;
“working days” does not include Saturday, Sunday or a public
holiday;
“zero-rated supply” means a supply listed in the Schedule 3.

3. Definition of “taxable activity”-(1) In this Act, “taxable
activity” means:
(a) any activity which is carried on continuously or
regularly by any person, whether or not for a
pecuniary profit, and involves or is intended to
involve, in whole or in part, the supply of
goods and services to any other person
for a consideration; and includes any such activity


8 Value Added Goods and Services Tax 2015, No. 43

carried on in the form of a business, trade,
manufacture, profession, vocation, association, or
club; or
(b) without limiting paragraph (a), the activities of any
public authority.
(2) Anything done in connection with the commencement or
termination of a taxable activity is taken to be carried out in the
course or furtherance of that taxable activity.
(3) Despite subsections (1) and (2), for the purposes of this
Act, “taxable activity” does not include, in relation to any person:
(a) being an individual, any activity carried on entirely as
a private recreational pursuit or hobby; or
(b) not being an individual, any activity which, if it were
carried on by an individual, would be carried on
entirely as a private recreational pursuit or hobby;
or
(c) any engagement, occupation, or employment under any
contract of service or as a director of a company
except that ifa person, in carrying on any taxable
activity, accepts any office, any services supplied by
that person as the holder of that office is taken to be
supplied in the course or furtherance of that taxable
activity; or
(d) any engagement, occupation, or employment -
(i) pursuant to the Public Service Act 2004;
(ii) as a Judge, the Attorney General, the
Controller and Auditor General or the
Ombudsman;
(iii) pursuant to an appointment made by
the Head of State and evidenced by a warrant
or by an Order;
(iv) as a chairperson or member of board,
council, committee, or other body, that is
established by an enactment; or
(e) that part of an activity to the extent to which the
activity involves the making of exempt supplies.

4. Definition of “fair market value”-(1) In this Act, “fair
market value” of a supply, means:

2015, No. 43 Value Added Goods and Services Tax 9

(a) the price that the supply would fetch in an open market
transaction freely made at the time of supply
between persons dealing with each other at arm’s
length;
(b) if itis not possible to determine the fair market value of
a supply (“actual supply”) under paragraph (a), the
price that a similar supply would ordinarily fetch in
an open market transaction freely made at the time
of the actual supply between persons dealing with
each other at arm’s length, adjusted to take in
account of the differences between the similar
supply and the actual supply;
(c) if the fair market value of a supply cannot be
determined under paragraph (a) or (b), the price
that is an objective approximation of the price the
supply would fetch in an open market transaction
freely made at the time of supply between persons
dealing with each other at arm's length, as
determined by the Commissioner based on
generally accepted principles of valuation; or
(d) if a provision of this Act requires the fair market value
to be determined at a particular time for particular
goods or services held by a person, the value
worked out by reference to the fair market value of
a supply of those goods or services as determined
under this section, at that time.
(2) A supply is similar to another supply if it is the same as, or
closely resembles, the other supply taking account of the
character, quality, quantity, functionality, materials, or reputation
of the goods or services supplied.

5. Definition of “price”-(1) In this Act and subject to this
section, “price” of a supply means the total of the following
amounts:
(a) the amount in money paid or payable by any person,
directly or indirectly, for the supply;
(b) the fair market value of an amount in kind paid or
payable by any person, directly or indirectly, for
the supply;

10 Value Added Goods and Services Tax 2015, No. 43

(c) any taxes, duties, levies, fees, and charges (not
including GST) paid or payable on, or by reason of
the supply,
reduced by any discounts or rebates allowed and accounted for at
the time of supply.
(2) The price of a sale of goods under a hire purchase
agreement to which section 14 applies does not include any
amount payable for a supply of credit under the hire purchase
agreement.

6. Definition of “supply”-(1) In this Act:
“other forms of supply” includes;
(a) grant or subsidy made on behalf of the Government or
by any public authority (that payment is taken to
be consideration for a supply of goods or services
by the person to whom or for whose benefit the
payment is made in the course of furtherance of
that person’s taxable activity); or
(b) government supplies, including -
(i) a payment made by the Government to
or on behalf of the public authority in relation
to a payment for the supply of goods; or
(ii) an amount brought to account as a
revenue of the Government or a public
authority, from any person (including the
Government) by way of a charge, fee, impost,
levy, payment or rate, but not income tax,
customs tariff, excise tax, or stamp duty,
petroleum levy under the Petroleum Act, or any
foreign exchange levy.
“supply” means:
(a) supply of goods;
(b) supply of services;
(c) supply of imported services; or
(d) any other forms of supply specified under this section.
“supply of goods” means a sale, exchange, or other transfer of
the right to dispose of goods as owner, including under a
hire purchase agreement;


2015, No. 43 Value Added Goods and Services Tax 11

“supply of services”:
(a) means anything done that is not a supply of goods or
money, including the provision of utilities and the
grant, assignment, or surrender of any right; and
(b) includes, if a person bets any money on any horse race,
the amount of money so bet is taken to be for a
supply of services -
(i) by the holder of a totalisator licence
under the Betting (Totalisator Agency) Act
1990, in the case of money placed as a bet with
that licence holder; or
(ii) by the Totalisator Agency Board in the
case of money placed as a bet with the Board at
an office or agency of the Board, where that
amount of money is dealt with in terms of
sections 35 and 36 of the Betting (Totalisator
Agency) Act 1990; or
(iii) by the holder of a licence under section
16A of the Betting (Totalisator Agency) Act
1990 in the case of money placed as a bet with
that licence holder; but
(c) does not include an indemnity payment for any loss of
earnings received under a contract of insurance if
the supply of that contract of insurance is not
charged with GST or that payment is to indemnify
for any loss of earnings (being earnings within the
meaning of the Accident Compensation Act 1989).
“supply of imported services” means a supply of services that
satisfies the following conditions:
(a) the supply is made to a registered person;
(b) the supply is made by a person who is not a registered
person;
(c) the supply is not a taxable supply because the supply is
not made in Samoa;
(d) the supply would have been a taxable supply if it had
been made in Samoa;


12 Value Added Goods and Services Tax 2015, No. 43

(e) the registered person receiving the supply would not
have been entitled to a credit for the full amount of
input tax payable if the services had been acquired
by the person in a taxable supply.
(2) In this section:
“game of chance” includes bingo, as defined in section 2 of
the Gaming Act 1978;
“lottery” includes a lottery as defined in section 2 of the
Gaming Act 1978 and in section 2 of the National
Lotteries Act 1978;
“promoter” includes the National Lotteries Board established
by the National Lotteries Act 1978.
(3) The following are treated as supply of service:
(a) if a person pays an amount in money to participate in a
game of chance, or lottery, the amount is taken to
be for a supply of services by the person, society,
promoter, or organiser who conducts the game of
chance or lottery; or
(b) for the purposes of this Act (except for section 29) if a
registered person receives an indemnity payment
under a contract of insurance, to the extent it
relates to a loss incurred in making a taxable
supply, the payment is treated as a supply of
services performed on the day of receipt of that
indemnity payment by that registered person in the
course or furtherance of that person’s taxable
activity.
(4) In the definition of “other forms of supply”, a grant or
subsidy made on behalf of the Government or by any public
authority to:
(a) a person (not being a public authority) for that person’s
taxable activity; or
(b) a person for the benefit and on behalf of another for
that other person’s taxable activity:
(aa) includes -
(i) a suspensory loan or advance, when that
loan or advance becomes non-repayable
because conditions for non-repayment are
satisfied; and

2015, No. 43 Value Added Goods and Services Tax 13

(ii) a grant or subsidy, of a kind declared by
the Head of State by Order to be a taxable grant
or subsidy for the purposes of this subsection,
which but for the declaration, would be
excluded from this definition by virtue of
paragraph (b)(ii); but
(bb) does not include -
(i) a benefit under Part XII of the National
Provident Fund Act 1972;
(ii) a payment made to a person for the
personal use and benefit of the person or a
relative of the person; and
(iii) a payment of a kind declared by the
Head of State by Order not to be a taxable
grant or subsidy for the purposes of this
subsection.

7. Application-(1) This Act binds the Government.
(2) Subject to subsection (3), a provision in another Act
providing any exemptionon any matter or zero rating of supply
does not have legal effect unless the exemption or zero rating of
the supply is also provided under this Act.
(3) Subsection (2) does not apply to a provision in another Act
that is in force before the commencement of this Act.

PART 2
VALUE ADDED GOODS AND SERVICES TAX

8. Imposition and liability for GST-(1) Subject to this Act,
value added goods and services tax is imposed at the rate
specified in subsection (3) on the following:
(a) a taxable supply made by a registered person;
(b) a taxable import;
(c) a taxablesupply of imported services.
(2) The amount of GST payable for a taxable supply, taxable
import, or supply of imported services is computed by applying
the rate specified in subsection (3) to the value of the supply or
import.


14 Value Added Goods and Services Tax 2015, No. 43

(3) The rate of GST is:
(a) for a taxable supply that is a zero-rated supply, zero
percent; or
(b) in any other case, 15%.
(4) The liability for GST:
(a) for taxable supply -
(i) arises at the time of supply; and
(ii) must be accounted for under section
42(1) to the Commissioner by the registered
person making the supply; and
(b) for taxable import -
(i) arises at the time of import; and
(ii) must be paid by the importer under
section 42(2);
(c) for imported services -
(i) arises at the time of supply; and
(ii) must be accounted for under section
42(1) to the Commissioner by the registered
person receiving the supply.
(5) Despite any other enactment, the GST payable by a
registered person for a taxable supply is recoverable by the person
from the recipient of the supply.

PART 3
REGISTRATION

9. Application for registration-(1) A person must apply to
the Commissioner for registration for GST:
(a) at the beginning of a 12 month period, if there are
reasonable grounds to expect that the total value of
taxable supplies to be made by the person in that
period will exceed the registration threshold;
(b) at the end of a 12 month period or a lesser period, ifin
that period, the total value of taxable supplies
made by the person exceeds the registration
threshold; or
(c) if the person is a public authority that has commenced
to undertake a taxable activity.


2015, No. 43 Value Added Goods and Services Tax 15

(2) The registration threshold is at least $130,000.
(3) In determining whether a person exceeds the registration
threshold for a period, the value of the following taxable supplies
is ignored:
(a) a taxable supply by way of the sale of a capital asset of
the taxable activity of the person;
(b) a taxable supply made solely as a consequence of the
person selling the whole or a part of the person’s
taxable activity or permanently ceasing to carry on
the person’staxable activity.
(4) In determining whether a person exceeds the registration
threshold, the Commissioner may have regard to the value of
taxable supplies made by an associate of the person.
(5) Despite subsection (1), a person who satisfies the
Commissioner that, on or after 1 January 1994:
(a) that person is carrying on a taxable activity; or
(b) that person intends to carry on a taxable activity from a
specified date,
may apply to the Commissioner for registration under this Act,
and provide the Commissioner with any further particulars, as the
Commissioner may require for the purpose of registering that
person.
(6) An application for registration under this section must:
(a) be in the approved form; and
(b) filed in the prescribed manner within 15 working days
of the person becoming required to apply for
registration.
(7) In this section:
“capital asset” means a tangible or intangible asset of a
taxable activity having a useful life of longer than one (1)
year, but does not include inventory;
“taxable supply made by a person” includes a supply of
imported services made to the person determined on the
assumption that the person is already a registered person.

10. Registration-(1) The Commissioner must:
(a) register a person who has applied for registration if
satisfied that the person is required to apply for
registration under section 9; or

16 Value Added Goods and Services Tax 2015, No. 43

(b) register the person, if satisfied that a person who is
required to apply for registration has not done so
within the period of 12 months specified in section
9; and
(c) issue to the person a GST registration certificate in the
approved form.
(2) If, in relation to a person, the Commissioner is satisfied of
the matters referred to in section 9(5), the Commissioner may:
(a) register the person; and
(b) issue to the person a VAGST registration certificate in
the approved form.
(3) The registration of a person under subsection (1) or (2)
takes effect from the beginning of the first GST period after the
person was required to apply for registration or such later time as
set out in the person’s GST registration certificate.

11. Obligations of a registered person-(1) A registered
person must display in a visible place:
(a) the original copy of its GST registration certificate at
the principal place at which the person carries on
its taxable activity; and
(b) a certified copy of the certificate obtained from the
Commissioner at every other place at which the
person carries on its taxable activity.
(2) A registered person must notify the Commissioner, in
writing, of any change in the name (including business name),
address, place of business, or nature of the taxable activity of the
person within 15 working days of the change occurring.

12. Cancellation of registration-(1) A registered person must
apply, in the approved form, for cancellation of the person’s
registration if:
(a) for a public authority, the carrying on of a taxable
activity has ceased; or
(b) subject to paragraph (c), for registered person under
section 9 -
(i) the person has ceased to make taxable
supplies; or


2015, No. 43 Value Added Goods and Services Tax 17

(ii) the person continues to make taxable
supplies but the annual value of those supplies
has fallen below the registration threshold,
unless the fall in value is reasonably expected
to be only temporary;
(c) for a registered person under section 9(5), the person
has ceased to carry on a taxable activity.
(2) An application under:
(a) subsection (1)(a) must be made within 15 working
days of the date on which the public authority
ceased to carry on a taxable activity;
(b) subsection (1)(b)(i) must be made within 15 working
days of the date on which the person ceased to
make taxable supplies; or
(c) subsection (1)(b)(ii) must be made within 15 working
days of the date on which the annual value of the
person’s taxable supplies ceased to exceed the
registration threshold;
(d) subsection (1)(c) must within 15 working days of the
date on which the person has ceased to carry on
thetaxable activity.
(3) The Commissioner must, by notice in writing, cancel the
registration of a person if:
(a) the person has applied for cancellation under
subsection (1)(a) and the Commissioner is satisfied
that the public authority has ceased to carry on a
taxable activity;
(b) the person has applied for cancellation under
subsection (1)(b)(i) and the Commissioner is
satisfied that the person has ceased to make taxable
supplies;
(c) the person has applied for cancellation under
subsection (1)(b)(ii), unless the Commissioner has
a reasonable expectation that the annual value of
the person’s taxable supplies is only temporarily
below the registration threshold; or


18 Value Added Goods and Services Tax 2015, No. 43

(d) the person has applied for cancellation under
subsection (1)(c) and the Commissioner is satisfied
that the person has ceased to carry on the taxable
activity;
(e) the person has not applied for cancellation but the
Commissioner is satisfied that the person is
required to apply for cancellation of registration
under subsection (1).
(4) The cancellation of a person’s registration takes effect
from the date set out in the notice of cancellation.
(5) A person whose registration is cancelled under this section
must:
(a) immediately cease to hold out that the person is a
registered person, including on any documentation
used by the person;
(b) file a final GST return and pay all GST due, including
the GST due as a result of section 14, within 15
working days after the date of cancellation of the
person’s registration; and
(c) immediately (but not later than 10 working days)
return the GST registration certificate and its
certified copies to the Commissioner.
(6) The cancellation of registration under this section does not
affect the liability of the person for any act done or omitted to be
done while being registered.

13. Deemed taxable supply on cancellation of registration-
(1) A person whose registration is cancelled is taken to have made
a taxable supply of any inventory on hand at the time the
registration is cancelled but only if the person was allowed an
input tax credit for the acquisition or import of the inventory, or
for the acquisition or import of goods that have been subsumed
into that inventory.
(2) The taxable supply under subsection (1) is taken to have
been made by the person immediately before the person’s
registration is cancelled and the person is taken to have received,
at that time, an amount of output tax equal to the amount of the
input tax credit allowed to the person on acquisition or import of
the inventory.

2015, No. 43 Value Added Goods and Services Tax 19

PART 4
SUPPLIES

Division 1 - General rules

14. Mixed supplies - In this Act, unless the context otherwise
requires:
(a) a supply of a particular kind that is ancillary or
incidental to a supply of another kind (“the
principal supply”) is treated as part of the principal
supply; or
(b) a supply of services that is ancillary or incidental to an
import of goods is treated as part of the import of
goods.

15. Time of supply-(1) Subject to this Act, a supply occurs on
the earlier of:
(a) the date on which the invoice for the supply is issued;
or
(b) the date on which any payment (including part
payment) for the supply is made.
(2) A supply between associates or by way of a gift occurs:
(a) for goods, on the date the goods are delivered; or
(b) for services, on the date the performance of the
services is complete.
(3) A supply of goods by means of a vending machine, meter,
or other device operated by a coin, note, or token occurs on the
date the coin, note, or token is taken from the machine, meter, or
other device by or on behalf of the supplier.
(4) If services are supplied:
(a) by way of a lease of goods; or
(b) progressively under an agreement or law that provides
for periodic payments,
the supply of services is treated as a series of separate, successive
supplies of services corresponding to the successive parts of the
period of the lease or agreement, or as determined by law, and
each successive supply is treated as occurring on the earlier of the
date on which the payment for that successive supply is due or
received.

20 Value Added Goods and Services Tax 2015, No. 43

(5) If, and to the extent that:
(a) goods are supplied progressively under an agreement
or law that provides for instalment or periodic
payments; or
(b) goods and services supplied directly in the
construction, major reconstruction, manufacture, or
extension of a building or an engineering work are
supplied under an agreement or law that provides
for instalment or periodic payments in relation to
the progressive nature of that construction,
manufacture, or extension,
the supply of goods or services is treated as a series of separate,
successive supplies of goods and each successive supply is treated
as occurring on the earlier of the date on which the payment for
that successive supply is due or received.
(6) If a public authority is treated to have supplied goods and
services under section 6(4), the supply is, to the extent that the
supply is brought to charge as revenue from the Government,
taken to occur in the taxable period in which the bringing to
charge applies.
(7) If the supply is treated to be made under section 6(3)(a),
the supply is taken to occur on the date on which the first drawing
or determination of a result of the game of chance or lottery
commences.

16. Place of supply of goods - A supply of goods occurs in
Samoa if:
(a) the goods are delivered or made available in Samoa by
the supplier; or
(b) where the delivery or making available involves
transportation, the goods are in Samoa when the
transportation commences.

17. Place of supply of services-(1) A supply of services
occurs in Samoa if the taxable activity of the supplier from which
the services are supplied is in Samoa.


2015, No. 43 Value Added Goods and Services Tax 21

(2) Despite subsection (1), a supply of services occurs in
Samoa if the recipient of the supply is not a registered person and:
(a) the services are physically performed in Samoa by a
person who is in Samoa at the time of supply;
(b) the services are directly related to immovable property
in Samoa;
(c) the services are radio or television broadcasting
services received at an address in Samoa;
(d) the services are electronic services delivered to a
person in Samoa at the time of supply;
(e) the supply is a transfer or assignment of, or grant of a
right to use, a copyright, patent, trademark, or
similar right in Samoa; or
(f) the services are telecommunications services and the
supply is initiated by a person in Samoa at the time
of supply, other than a supply initiated by -
(i) a supplier of telecommunications
services; or
(ii) a person who is global roaming while
temporarily in Samoa.
(3) For the purposes of subsection (2)(f), the person who
initiates a supply of telecommunications services is the person
who appears first in the following paragraphs:
(a) the person who -
(i) controls the commencement of the
supply;
(ii) pays for the services; or
(iii) contracts for the supply; or
(b) the person to whom the invoice for the supply is sent.
(4) In this section, “electronic services” means the
development or maintenance of, or access to, any of the following
when provided or delivered on or through a telecommunications
network:
(a) websites, web-hosting, or remote maintenance of
programs and equipment;
(b) software and its updating;
(c) images, text, and information;
(d) databases;
(e) self-education packages;

22 Value Added Goods and Services Tax 2015, No. 43

(f) music, films, and games, including games of chance;
(g) any broadcasts or events, including any political,
cultural, artistic, sporting, scientific broadcasts,
including broadcast television.

18. Value of a supply-(1) Subject to this Act, the value of a
supply is the price of the supply.
(2) If:
(a) no price is charged on a taxable supply made by a
registered person to an associate or the price is less
than the fair market value of the supply; and
(b) the recipient of the supply is not entitled to an input tax
credit for whole of the input tax payable in respect
of the supply,
the value of the supply is the fair market value of the supply
determined at the time of supply.
(3) Except as provided in this Act, if no price is charged for a
supply, the value of the supply is zero.
(4) If a taxable supply is made by a registered person without
a separate amount being identified as GST, the value of the supply
is computed using the following formula:

A - (A x B)

where -
A is the total amount charged for the supply; and
B is the tax fraction.
(5) If goods and services are, or are taken to be, supplied by
any public authority:
(a) pursuant to paragraph (b)(i) of the definition of “supply
of services” in section 6, the value ofthe supply is
an amount equal to any amount from time to time
paid by the Government to or on behalf of that
public authority for that supply; or
(b) pursuant to paragraph (b)(i) of the definition of
“supply of services” in section 6, the value of
the supply is an amount equal to any amount that is


2015, No. 43 Value Added Goods and Services Tax 23

from time to time brought to charge as revenue
from the Government in respect of the supply of
outputs by that public authority.
(6) If a supply of services is taken to be made within the
meaning of the definition of “supply of services” in section 6, the
value of the supply is so much of the amount in money a person
pays to participate in a game of chance or lottery, as represents
the total proceeds (after deducting the amount of all prizes paid
and payable in money) of the game of chance or lottery.

19. Value of asupply of imported services-(1) Subject to
subsection (2), the value of a supply of imported services:
(a) if the supplier and recipient are associates, is the fair
market value of the supply at the time of supply; or
(b) in any other case, is the price of the supply.
(2) If a registered person, liable for GST under section 8(1)(c)
for the supply of imported services, would have been entitled to a
credit for part of the amount of input tax payable if the person had
acquired the services in a creditable acquisition, the value of the
supply under subsection (1) is reduced by an amount equal to the
proportion of the input tax that would have been creditable.
(3) A registered person liable for GST under section 8(1)(c)
for a supply of imported services must prepare a recipient-created
tax invoice in the approved form for the supply.

Division 2 - Special rules

20. Application of goods to private or exempt use-(1) The
application of goods by a registered person to a private or exempt
use is deemed to be a taxable supply made by the person, but only
if the person has been allowed an input tax credit for the
acquisition or import of the goods.
(2) A taxable supply under subsection (1) is deemed to have
been made by the registered person at the time that the goods are
first applied to private or exempt use and the person is taken to
have received, at that time, an amount of output tax equal to the
amount of input tax credit allowed to the person in respect of the
acquisition or import of the goods.


24 Value Added Goods and Services Tax 2015, No. 43

(3) In this section, “exempt use” means the use of goods or
services to make an exempt supply.

21. Second-hand goods-(1) This section applies if the
following conditions are satisfied:
(a) a taxable supply of second-hand goods has been made
by a registered person who is a second-hand goods
supplier;
(b) the second-hand goods were purchased by the
registered person from a person who is not a
registered person;
(c) the supply of the second-hand goods to the registered
person would not have been an exempt or zero-
rated supply if the supplier of the goods to the
registered person was also a registered person;
(d) the supply of the second hand goods to the registered
person was not an import; and
(e) the second-hand goods were supplied by the registered
person in substantially the same state as they were
in when purchased by the registered person.
(2) If subsection (1) applies:
(a) the registered person is taken to have paid an amount
of input tax for the acquisition of the second-hand
goods equal to the tax fraction of the price paid for
the second-hand goods; and
(b) the registered person is allowed an input tax credit for
the deemed input tax under paragraph (a) in the
GST period in which the time of supply by the
registered person of the second-hand goods occurs.
(3) If a second-hand goods supplier receives second-hand
goods (“traded-in goods”) as part payment for a supply the
supplier makes to a person who is not registered, the fair market
value of the traded-in goods used to determine the price for the
supply is to be the same as the fair market value used to determine
the price paid by the dealer to purchase the traded-in goods.
(4) In this section:
“second-hand goods”means goods that have previously been
used by a person who is not a registered person;


2015, No. 43 Value Added Goods and Services Tax 25

“second-hand goods supplier” means a registered person
whose taxable activity principally involves the re-supply
of second-hand goods in substantially the same state as
they were in when purchased by the person.

22. Rights, options, and vouchers-(1) If:
(a) the supply of a right or option was a taxable supply;
and
(b) another supply (“subsequent supply”) is made on the
exercise of the right or option,
the price for the subsequent supply is limited to the additional
price, if any, given for the subsequent supply or in connection
with the exercise of the right or option.
(2) The issue of a voucher is not a supply if the voucher:
(a) entitles the holder to receive supplies of goods or
services up to a monetary amount on redemption of
the voucher; and
(b) is issued for an amount in money.
(3) If a voucher referred to in subsection (2) is redeemed for a
taxable supply by a registered person, the amount referred to in
subsection (2)(b) is treated as comprising the following two (2)
components:
(a) an amount as the price or part of the price for the
supply calculated as the amount referred to in
subsection (2)(b) reduced by the tax fraction of that
amount; and
(b) an amount as the GST or part of the GST payable for
the supply calculated as the tax fraction of the
amount referred to in subsection (2)(b).
(4) If:
(a) a registered person issues a voucher for no charge;
(b) the voucher entitles the holder to a discount on the
price of goods or services supplied by another
person; and
(c) the voucher is redeemed for a taxable supply,
the price of the supply includes the monetary value of the voucher
reduced by an amount equal to the monetary value multiplied by
the tax fraction.


26 Value Added Goods and Services Tax 2015, No. 43

(5) A registered person is entitled to an input tax credit in
respect of any amount paid to a supplier for the redemption by the
supplier of a voucher referred to in subsection (4).
(6) The amount of the input tax credit referred to in subsection
(5) is the amount paid to the supplier multiplied by the tax
fraction and the input tax credit is allowed in the GST period in
which the amount is paid to the supplier.
(7) A supply of telecommunications services through the use
of a phone card acquired in Samoa that can be used either in or
outside Samoa occurs at the time the phone calls are made with
the card.
(8) In this section:
“phone card”:
(a) means a card or similar item in whatever form it is
issued, including electronically, that entitles the
holder to receive telecommunications services up
to its face value; and
(b) includes a pre-paid Subscriber Identity Module
(“SIM”) card, a rechargeable card, or a similar
item.
“voucher”:
(a) means a voucher, stamp, token, coupon, or similar
article, including an article issued electronically,
that can be redeemed by the holder only for
supplies of goods or services; and
(b) includes a phone card; but
(c) does not include a postage stamp.

23. Lay-by sales-(1) A supply of goods under a lay-by
agreement occurs on the date the goods are delivered to the
purchaser and the output tax payable for the supply is treated as
received on that date.
(2) If a lay-by agreement is cancelled and the seller retains
any amount paid by the purchaser or recovers any amount owing
by the purchaser under the agreement:
(a) the cancellation of the agreement is a supply of
services by the seller at the time of cancellation;
and


2015, No. 43 Value Added Goods and Services Tax 27

(b) the value of the supply -
(i) if the seller is a registered person at the
time of cancellation, is the amount retained or
recovered by the seller reduced by an amount
equal to the amount retained or recovered
multiplied by the tax fraction; or
(ii) in any other case, is the amount retained
or recovered by the seller.
(3) In this section, “lay-by agreement” means a purchase
agreement for goods under which:
(a) the price is payable by at least one additional payment
after the payment of a deposit;
(b) delivery of the goods takes place at any time after
payment of the deposit; and
(c) ownership of the goods is transferred by delivery.

PART 5
IMPORTS

24. Time of import-(1) An import of goods occurs:
(a) if the goods are under Customs control, on the date on
which the goods are entered for use in Samoa or
otherwise cease to be under Customs control as
determined under the Customs Act; or
(b) in any other case, on the date the goods are brought
into Samoa.
(2) In this section, “entered”, in relation to an import of goods,
has the same meaning as “entry” under the Customs Act.

25. Value of import-(1) Subject to subsection (2), the value
of an import of goods is the sum of the following amounts:
(a) the customs value of the goods as determined under the
Customs Act, whether or not any duty is payable
on the import;
(b) to the extent not included under paragraph (a), the cost
of services treated as part of the import of the
goods under section 14(1)(b), including the cost of
freight or insurance in transporting the goods to
Samoa;

28 Value Added Goods and Services Tax 2015, No. 43

(c) the amount of any import duty, excise tax, levy, or
other fiscal charge (other than GST), or any fee or
other charge payable for the import.
(2) When goods are re-imported after being exported for the
purpose of undergoing repair, renovation, or improvement, the
value of the import is the amount of the increase in value of the
goods as a result of the repair, renovation, or improvement if:
(a) the form or character of the goods has not changed;
and
(b) ownership of the goods has not changed since the
goods were exported.

PART 6
INPUT TAX CREDITS

26. Allowance of an input tax credit-(1) Subject to this Act,
a registered person is allowed a credit for the input tax imposed
on a creditable acquisition by the person to the extent that the
acquisition was for the purpose of making taxable supplies as
determined at the time of the acquisition.
(2) Subject to subsection (3), an input tax credit is allowed in
the GST period in which the input tax is paid.
(3) If, at the time a registered person files a GST return for a
GST period in which an input tax credit would otherwise be
allowable under this Act, the person does not hold the
documentation referred to in subsection (4), the input tax credit is
not allowed in that GST period but instead is allowed in the first
GST period in which the person holds the documentation.
(4) The documentation required for the purposes of subsection
(3) is:
(a) for a creditable acquisition that is a taxable import,
a bill of ladingand all of the documents required
under section 64(1) of the Customs Act, relevant to
the import;
(b) for a creditable acquisition that is a taxable supply, the
tax invoice for the taxable supply to which the
acquisition relates;
(c) for an input tax credit allowed for input tax allowed
under section 28(2), the debit note; or

2015, No. 43 Value Added Goods and Services Tax 29

(d) for an input tax credit allowed under section 28(3), a
copy of the credit note.

27. Input tax credit for newly registered person-(1) Subject
to this Act, a registered person may claim, in the first GST return
filed by the person after being registered, an input tax credit
determined under this section and section 26 for the input tax paid
for the goods held at the date of registration for the purpose of
making taxable supplies, if:
(a) at the end of the last day before the date of the person’s
registration, the person held the goods as
inventory;
(b) the inventory was acquired by the person in a
creditable acquisition;
(c) the acquisition occurred no more than four (4) months
prior to the date of registration; and
(d) the person can provide documentary evidence
satisfactory to the Commissioner that input tax has
been paid on the acquisition.
(2) Section 26(3) does not apply to an input tax credit allowed
under this section.

PART 7
POST-SUPPLY ADJUSTMENTS

28. Post-supply adjustments-(1) If:
(a) an adjustment event occurs to a taxable supply; and
(b) the GST properly chargeable for the supply exceeds
the GST actually accounted for by the supplier,
the excess is taken to be output tax received by the supplier in the
GST period when the event occurred.
(2) If:
(a) subsection (1) applies; and
(b) the supplier has issued a debit note,
the recipient is allowed an input tax credit for the additional GST
specified in the debit note in the GST period when the debit note
is received.
(3) Subject to subsection (5), if:
(a) an adjustment event occurs to a taxable supply; and

30 Value Added Goods and Services Tax 2015, No. 43

(b) the GST actually accounted for by the supplier exceeds
the GST properly chargeable for the supply,
the supplier is allowed an input tax credit for the amount of the
excess in the GST period when the event occurred.
(4) If:
(a) subsection (3) applies; and
(b) the supplier has issued a credit note,
the additional GST specified in the credit note is deemed to be
output tax received by the recipient in the GST period when the
credit note is received.
(5) If the recipient of a supply to which subsection (3) applies
is not a registered person, an input tax credit is not allowed under
that subsection until the supplier has repaid the excess GST to the
recipient of the supply, whether in cash or as a credit against any
amount owing to the supplier by the recipient.
(6) The following are adjustment events for the purposes of
this section:
(a) the cancellation of a supply;
(b) a fundamental alteration in the nature of a supply;
(c) a change in the price of a supply;
(d) the return of the whole or part of the goods the subject
of a supply to the supplier.

PART 8
GST PERIOD AND REFUNDS

29. GST Periods-(1) The Commissioner must determine the
GST period of a registered person in either of the following
category:
(a) Category (A): with GST periods of two (2) months
ending on the last day of January, March, May,
July, September and November in any year; or
(b) Category (B): with GST periods of two (2) months
ending on the last day of February, April, June,
August, October and December in any year.
(2) Despite subsection (1), the Commissioner:
(a) may transfer a person who fails to comply with this
Act to a special category specified as category (C);
and

2015, No. 43 Value Added Goods and Services Tax 31

(b) must determinethe GST period for a registered person
in category (C) that is less in duration than that
specified in the categories in subsection (1).

30. Net GST Payable for a GST Period - The net GST
payable by a registered person for a GST period is computed
according to the following formula:

(A+B)-C
where:
A is the total output tax received or deemed to have
been received by the person in the period in respect
of taxable supplies made by the person;

B is the total GST that the registered person is liable
for under section 8 for supplies of imported
services made to the person during the period; and

C is the total input tax credit allowed to the person
for the period under this Act.

31. Refunds - If, for any GST period, component “C” of the
formula in section 30 exceeds component “(A + B)” for the
period, the Commissioner must credit to the registered person the
excess amount, subject to this Act.

32. Diplomatic missions and International Agreements-(1)
The Commissioner may, on application and subject to conditions,
refund all or part of the GST paid to a taxable supply pursuant to
and to the extent required under the Diplomatic Privileges and
Immunities Act 1978.
(2) The application under subsection (1) must be:
(a) made in the approved form and in the prescribed
manner; and
(b) accompanied by any supporting documentation as the
Commissioner may require including but not
limited to -
(i) evidence that the GST for which the
refund is sought was paid; and


32 Value Added Goods and Services Tax 2015, No. 43

(ii) evidence of the applicant’s entitlement
to make an application under subsection (1).

PART 9
DOCUMENTATION AND PROCEDURES

Division 1 - GST documentation

33. Tax invoices-(1) A registered person making a taxable
supply to another registered person must, within 28 days from the
time of supply, issue that other person with the original tax
invoice, in the approved form, for the supply.
(2) It is not required to provide a tax invoice for a supply that
is not required if the price is less than $20 or instead another
prescribed price.
34. Recipient-created tax invoices-(1) The Commissioner
may determine that a recipient or class of recipients may issue a
recipient-created tax invoice in relation to certain taxable supplies
or class of taxable supplies, if:
(a) the supplier and the recipient agree that the supplier
will not issue a tax invoice for any taxable supply
to which this subsection applies;
(b) the document is in the approved form; and
(c) the original invoice is provided to the supplier and a
copy is retained by the recipient.
35. Commissioner may determine alternative arrangements - The Commissioner may:
(a) in particular circumstances, determine alternative
arrangements for the issuing of tax invoices if the
Commissioner considers that it is impractical to
require a tax invoice under this section; and
(b) impose any condition of the arrangement necessary to
maintain compliance.
36. Credit and debit notes-(1) If:
(a) a registered person (referred to as “the supplier”) has
made a taxable supply to another registered person
(referred to as “the recipient”);

2015, No. 43 Value Added Goods and Services Tax 33

(b) the supplier has issued an original tax invoice in
respect of the supply to the recipient; and
(c) the amount shown on the tax invoice as the GST
actually charged for the supply exceeds the GST
properly chargeable for the supply,
the supplier must provide the recipient with a credit note, in the
approved form, for the supply.
(2) If:
(a) a registered person (referred to as “the supplier”) has
made a taxable supply to another registered person
(referred to as “the recipient”);
(b) the supplier has issued an original tax invoice in
respect of the supply to the recipient;
(c) section 30 applies to the supply; and
(d) the GST properly chargeable in respect of the supply
exceeds the amount shown on the tax invoice as
the GST actually charged,
the supplier must provide the recipient with a debit note, in the
approved form, in respect of the supply.

37. GST documentation issued by or to agents-(1) If:
(a) a taxable supply is made by or to an agent on behalf of
a principal; and
(b) both the agent and principal are registered persons,
any tax invoice, credit note, or debit note, required to be issued by
or to the principal may be issued by or to the agent, using the
name, address, and taxpayer identification number of the agent.
(2) If:
(a) a taxable supply is made by or to an agent on behalf of
a principal; and
(b) the principal (other than the agent) is a registered
person,
any tax invoice, credit note, or debit note required to be issued by
or to the principal may be issued by or to the agent, but using the
name, address, and taxpayer identification number of the
principal.


34 Value Added Goods and Services Tax 2015, No. 43

(3) If a taxable supply is made by or to an agent on behalf of a
principal, any tax invoice, credit note, or debit note required to be
issued is to be issued to either the agent or principal but not both.
(4) A tax invoice, credit note, or debit note issued by or to an
agent under this section is treated as issued by or to the principal
for the purposes of this Act.

38. Requests for GST documentation-(1) A registered
person who, for any reason, has not been issued with an original
tax invoice, credit note, or debit note as required under this Act
may make a written request (“written request”) to the supplier to
issue the document.
(2) The written request must be made:
(a) for a tax invoice, within 60 days from the date of
supply; or
(b) for a credit note or debit note, within 60 days from the
date of the adjustment event to which the credit
note or debit note relates.
(3) A registered person receiving a request under subsection
(1) must comply with the request within 14 days of receiving the
request.

39. Maintenance of GST documentation-(1) A registered
person may issue only one original tax invoice for a taxable
supply, or one original credit note or debit note for an adjustment
event, but a copy clearly marked as such may be provided to a
registered person who claims to have lost the original.
(2) A person must not issue a tax invoice, credit note, or debit
note other than in the circumstances specified in this Act.
(3) The following documents must be maintained for the
period and in the manner specified in the Tax Administration Act
by a registered person for the purposes of this Act:
(a) original (or copies issued under subsection (1)) of all
tax invoices, credit notes, and debit notes received
by the person;
(b) a copy of all tax invoices, credit notes, and debit notes
issued by the person;
(c) documentation relating to imports and exports of goods
by the person; and

2015, No. 43 Value Added Goods and Services Tax 35

(d) recipient-created tax invoices in respect of supplies
made to the person.
(4) The documents referred to in subsection (3)(b) must be
maintained in chronological order.

40. GST-inclusive pricing of taxable supplies to
unregistered persons-(1) Despite section 5(1)(c), the registered
person must:
(a) when making a taxable supply to a person who is not a
registered person, state the price for the supply as
inclusive of GST;
(b) display a sign in a prominent location on the business
premises, or disclose prominently on its invoices
that taxable supplies are made inclusive of GST;
and
(c) disclose prominently on its invoice for a supply that the
supply is a taxable or exempt supply and, if a
taxable supply, the amount of GST charged.
(2) A tourism publicity material for use outside of Samoa may
display the price of relevant goods and services as exclusive of
GST if the material also clearly states that the price displayed is
subject to tax.

Division 2 - Procedures

41. GST returns-(1) A registered person must, for each GST
period and in the approved form and prescribed manner, file a
GST return within 15 working days after the end of that GST
period.
(2) Despite subsection (1), the Commissioner may determine
an alternative filing date for a non-profit body or any particular
case if the Commissioner is satisfied that it is necessary to meet
their circumstances.

42. Due date for payment of GST-(1) The net GST payable
by a registered person for a GST period, as computed under
section 30, is payable by the due date for filing the GST return for
that period.


36 Value Added Goods and Services Tax 2015, No. 43

(2) The GST payable by an importer in respect of a taxable
import is payable at the time of import.

43. Collection of GST on imports-(1) The Comptroller:
(a) must -
(i) collect GST payable under this Act on
an import of goods at the time of import; and
(ii) at that time, obtain the name and tax
identification number (if any) of the importer,
the customs declaration, and invoice values for
the import; and
(b) may exercise any power conferred on the Comptroller
by the Customs Act as if the reference to import
duty in that Act includes a reference to GST
payable on a taxable import under this Act.
(2) Unless the contrary intention appears, the provisions of the
Customs Act relating to the import, transit, coastwise carriage,
and clearance of imported goods, and the payment and recovery
of import duty, apply, with necessary adaptations, to the GST
payable on a taxable import.

44. GST representatives of non-residents-(1) This section
applies to who:
(a) is required to apply for registration under section 9;
and
(b) does not carry on a taxable activity through a fixed
place in Samoa.
(2) A non-resident to whom this section applies must:
(a) appoint a GST representative in Samoa; and
(b) if required to do so by the Commissioner, lodge
security with the Commissioner pursuant to the
Tax Administration Act.
(3) The GST representative is responsible for doing all things
required of the non-resident under this Act, including applying for
registration, the filing of GST returns, and the payment of GST.
(4) The registration of a GST representative is to be made in
the name of the non-resident they represent.



2015, No. 43 Value Added Goods and Services Tax 37

(5) A person may be a GST representative for more than one
non-resident but must have a separate registration for each non-
resident they represent.
(6) A person must not be appointed as a GST representative
unless the person is aregistered tax agent under the Tax
Administration Act.

45. Assessment of recipient of a supply-(1) If a registered
person has, in consequence of misrepresentation or fraud by the
recipient of a supply, incorrectly treated the supply as:
(a) an exempt supply; or
(b) a zero-rated supply,
the Commissioner may assess the recipient of the supply for
payment of the GST due for the supply, and any late payment
interest and penalty imposed as a result of the incorrect treatment
of the supply.
(2) The Commissioner must serve notice of an assessment
under subsection (1) on the recipient setting out the following:
(a) the reason for the assessment under subsection (1);
(b) the GST, late payment interest, and penalty payable
under the assessment;
(c) the date on which the GST payable under the
assessment is due, which must be at least thirty
days after the date on which the notice is served;
(d) the time, place, and manner of objecting to the
assessment.
(3) For this section, the Commissioner:
(a) may recover the whole or part of the GST due for the
supply, including any late payment interest and
penalty from the registered person who made the
supply;
(b) must credit the amount recovered from -
(i) the recipient of the supply against the
liability of the supplier for that supply; and
(ii) the supplier against the liability of the
recipient of the supply; and
(c) must not recover more than the total amount of GST,
late payment interest, and penalty payable in
relation to the supply.

38 Value Added Goods and Services Tax 2015, No. 43

(4) A supplier who pays GST, late payment interest, or
penalty referred to in subsection (1) may recover the amount from
the recipient of the supply.
(5) Nothing in the Tax Administration Act limits the power of
the Commissioner to amend an assessment, including a self-
assessment, of the registered person making the supply to give
effect to subsection (3).

PART 10
MISCELLANEOUS
46. Offences-(1) A person commits an offence who:
(a) fails to apply for registration under section 9; or
(b) fails to notify the Commissioner of any of the changes
of circumstances under section 11(2); or
(c) knowingly issues any tax invoices showing any amount
charged as tax where -
(i) no amount of tax is charged for any
supply to which the tax invoice applies; or
(ii) the amount shown as being charged as
tax is in excess of the amount properly so
charged under this Act; or
(iii) the supply for the tax charged will not
take place; or
(d) knowingly represents to any person, in writing or in
other manner, that any amount is charged as tax if
either -
(i) no amount of tax is charged for any
supply to which the representation refers; or
(ii) the amount represented as being
charged as tax is not the amount properly so
charged under this Act; or
(e) knowingly issues a duplicate tax invoice contrary to
this Act; or
(f) being a registered person, fails to provide another
registered person with a tax invoice under this Act;
or


2015, No. 43 Value Added Goods and Services Tax 39

(g) knowingly issues any tax invoice under this Act which
is in any material aspect erroneous or incomplete;
(h) knowingly makes any statement or declaration on any
matter under this Act, which is erroneous or
incomplete in any material aspect; or
(i) receives, acquires possession of, or deals with any
goods, or accepts the supply of any services, if that
person knows or has reason to believe that the tax
on the supply of the goods or the services has been
or will be evaded; or
(j) applies for cancellation of registration when still
required to be registered;
(k) fails to display their GST registration certificate
pursuant to section 11(1);
(l) fails to apply for cancellation of registration pursuant to
section 12;
(m) fails to state tax inclusive prices under section 40;
(n) being a non-resident, fails to appoint a GST
representative under section 44.
(2) A person convicted of an offence under subsection (1)(b)
or (e) is liable:
(a) on first or second conviction for the offence, to a fine
not exceeding 10 penalty units; or
(b) on third or subsequent conviction for the offence, to a
fine not exceeding 30 penalty units for each
offence.
(3) A person convicted of an offence under subsection (1)(f) is
liable:
(a) on first conviction for the offence, a fine not exceeding
5 penalty units;
(b) on second conviction for the offence, to a fine not
exceeding 7 penalty units;
(c) on third or subsequent conviction for the offenceto a
fine not exceeding 10 penalty units.
(4) A person convicted for an offence under subsection (1)(m)
is liable:
(a) on first conviction of the offence, to a fine not
exceeding 5 penalty units; and

40 Value Added Goods and Services Tax 2015, No. 43

(b) for second or subsequent conviction of the offence, a
fine not exceeding 10 penalty units.
(5) A person convicted for an offence under this Act for which
no penalty is provided is liable:
(a) on first conviction for the offence, a fine not exceeding
50 penalty units;
(b) on second or subsequent conviction for the offence, to
a fine not exceeding 100 penalty units.

47. Penal tax in case of evasion-(1) This section applies:
(a) to a registered person who -
(i) evades; or
(ii) attempts to evade; or
(iii) does any act with intent to evade; or
(iv) makes default in the performance of
any duty imposed upon that person under this
Act or the regulations with intent to evade,
the payment of any amount of tax payable; or
(b) to a registered person who -
(i) causes; or
(ii) attempts to cause; or
(iii) does any act with intent to cause; or
(iv) makes default in the performance of
any duty imposed upon that person under this
Act or the regulations with intent to cause,
the input credit to the person to be in excess of the amount properly
so to be credited that person.
(2) A person to whom this section applies shall be charged, by
way of penalty for any act under subsection (1), with additional tax
not exceeding an amount equal to three (3) times the amount of the
deficient tax.
(3) The penal tax is:
(a) to be assessed by the Commissioner; and
(b) treated to be tax of the same nature as the deficient tax
to which it relates, and is taken to be payable in
and for the same taxable period as that deficient
tax.


2015, No. 43 Value Added Goods and Services Tax 41

(4) In this section:
“deficient tax” means tax referred to under subsection (1)(a)
or input credit (other than the proper input credit) referred
to under subsection (1)(b);
“penal tax” means the additional tax referred to in subsection
(2).

48. Tax avoidance schemes-(1) Despite anything in this Act,
if the Commissioner is satisfied that:
(a) a tax avoidance scheme has been entered into or
carried out;
(b) a person has obtained a tax benefit in connection with
the scheme; and
(c) having regard to the substance of the scheme, it would
be concluded that a person, or one of the persons,
who entered into or carried out the scheme did so
for the sole or dominant purpose of enabling the
person referred to in paragraph (b) to obtain the tax
benefit,
the Commissioner may determine the GST liability of the person
who obtained the tax benefit as if the scheme were void.
(2) The Commissioner must, when a determination is made,
issue an assessment giving effect to the determination.
(3) A determination must be made within six (6) years from
the last day of the GST period to which the determination relates.
(4) In this section:
“determination” means a determination made under
subsection (1);
“tax avoidance scheme” means a course of action, and an
agreement, arrangement, promise, plan, proposal, or
undertaking, whether express or implied, and whether or
not legally enforceable, where one of the main purposes of
a person in entering into it is the avoidance or reduction of
any person’s GST liability,
any scheme if one of the main purposes of a person in entering
into the scheme is the avoidance or reduction of any person’s
GST liability;


42 Value Added Goods and Services Tax 2015, No. 43

“tax benefit” means:
(a) a reduction in the liability of a person to pay GST;
(b) an increase in the entitlement of a person to an input
tax credit;
(c) an entitlement to a refund;
(d) a postponement of a liability for the payment of GST;
(e) an acceleration of an entitlement to an input tax credit;
(f) any other advantage arising because of a delay in
payment of GST or an acceleration of the
entitlement to an input tax credit;
(g) anything that causes a taxable supply, taxable import,
or supply of imported services not to be a taxable
supply, taxable import or supply of imported
services; or
(h) anything that gives rise to an input tax credit
entitlement for an acquisition or import that is used
or is to be used other than in making taxable
supplies.

49. Branches and divisions-(1) A registered person (“first
person”) who carries on a taxable activity in another branch or
division may apply in writing to the Commissioner:
(a) to register the branch or division as a separate
registered person (“second person”); or
(b) to cancel the registration of the branch or division.
(2) The Commissioner must, on the application of the first
person:
(a) register the branch or division under the name of the
second person if satisfied the branch or division -
(i) maintains an independent system of
accounting; and
(ii) can be separately identified by the
nature of the activities carried on, or the
location of the branch or division; or
(b) cancel the registration of the branch or division
effective from the last day of the GST period
of the branch or division during which that


2015, No. 43 Value Added Goods and Services Tax 43

application was made, and the taxable activity
carried on by that branch or division is then to be
treated as carried on by the first person.
(3) If a branch or division is separately registered under
subsection (2), the first person is not treated as carrying on the
taxable activity carried on by that branch or division.
(4) The Commissioner must cancel the separate registration of
a branch or division if a registration of the person first is
cancelled.
(5) If a branch or division separately registered under this
section defaults in doing anything required to be done under this
Act, the liability for the doing of that thing is reverted to the first
person.
(6) Despite subsection (1) to (5), for the purposes of sections
15 and 19 this section is deemed not to have applied, and any
placement or direction made under sections 15 and 19 for the first
person, for the purposes of this Act, applies equally to each
branch or division separately registered pursuant to this section.

50. Currency translation-(1) An amount taken into account
under this Act must be expressed in tala.
(2) If any amount is expressed or paid in a currency other than
tala:
(a) for import of goods, the amount is converted into tala
at the exchange rate applicable under the Customs
Act for the purposes of computing the import duty
payable on the import; or
(b) in any other case, the amount is converted into tala at
the Central Bank of Samoa mid-exchange rate
applying between the foreign currency and tala on
the date of the supply.

51. Regulations and approved forms-(1) The Head of State,
acting on the advice of Cabinet, may make regulations to give
effect to the provisions or for the purposes of this Act, and in
particular to make the following regulations:
(a) to prescribe rules for particular types of supplies and
for input tax credits;


44 Value Added Goods and Services Tax 2015, No. 43

(b) to prescribe fees for the purposes of this Act, subject to
the approval of the Revenue Board established
under the Public Finance Management Act 2001;
(c) to provide matters required under this Act to be
prescribed;
(d) to amend a Schedule.
(2) The Commissioner may approve forms for the purposes of
this Act.

52. Repeal, transition and savings-(1) The Value Added
Goods and Services Tax Act 1993, and any subordinate
legislation made under that Act are repealed (“repealed
legislation”).
(2) At the commencement of this Act:
(a) the repealed legislation continues to apply to the supply
in Samoa of goods and services, and to the
importation of goods into Samoa, prior to the
commencement of this Act;
(b) a person registered under the repealed legislation
continues and is treated as if the person is
registered under section 9, with the same GST
period as the taxable period allocated under the
repealed legislation;
(c) any forms and documents used in relation to the repealed
legislation may continue to be used under this Act
and all references in those forms and documents to
provisions of and expressions appropriate to the
repealed legislation are taken to refer to the
corresponding provisions and expressions of this
Act;
(d) if the period of a successive supply referred to in
section 15 begins before and ends after the
commencement of this Act, the supply is treated as
having been made continuously and uniformly
throughout that period and the price for that supply
is apportioned accordingly.
(3) Subsection (2)(d) does not apply to the supply of a
warranty in relation to goods or a service if the value of the
warranty has been included in the price of the goods or service.

2015, No. 43 Value Added Goods and Services Tax 45

(4) Subject to subsection (5), in calculating the amount of the
net GST payable for a GST period which contains the
commencement date, the registered person may claim an input tax
credit on VAGST paid for a creditable acquisition.
(5) A registered person is not allowed an input tax credit
under subsection (4) on VAGST paid for a creditable acquisition
if the person would not have been allowed an input tax credit if
the creditable acquisition had occurred after the commencement
date.
(6) Regulations may be made under section 50, within six (6)
months after the commencement of this Act, to provide for saving
or transitional matters relating to this Act, and the regulations may
apply retrospectively from the commencement of this Act.
(7) In this section, “VAGST” means value added goods and
services tax imposed by sections 9 or 13 of the Value Added
Goods and Services Tax Act 93.


SCHEDULE 1
(Section 2)

EXEMPT IMPORTS

1. The following are exempt imports:
(a) an import by a passenger or a member of a crew of
aship or aircraft of the following -
(i) goods of a non-commercial nature of an
aggregate value of up to two hundred dollars
(AUD $200);
(ii) not more than 200 cigarettes or 250
grams of other tobacco products provided the
total tobacco does not exceed 250 grams;
(iii) a combination of the goods set out in
sub-paragraph (ii) with a total weight of 250
grams;
(iv) spirituous liquor exempted pursuant to
section 36(3) of the Liquor Act 2011;


46 Value Added Goods and Services Tax 2015, No. 43

(v) other goods not exceeding $500 tala in
value;
(b) an import of goods as stores of a ship or aircraft, being
goods required for the use of the passengers and
crew of the ship or aircraft when on board and
while the ship or aircraft is in international traffic
in such quantities as approved by the
Commissioner;
(c) an import of goods in a single consignment on which
the total GST and other taxes payable do not
exceed two hundred dollars (AUD $200);
(d) an import of goods to the extent GST is exempted by
the Diplomatic Privileges and Immunities Act
1978;
(e) an import of goods under an international aid project,
subject to a Memorandum of Understanding;
(f) an import of services under any international aid
project or donated from overseas for the purposes
of international aid, if the Minister has made a
determination to exempt such imports from GST;
(g) an import of goods, if a supply of those goods in
Samoa would be an exempt or zero-rated supply;
and
(h) any aircraft that does not exceed 15,000kg in weight
and falls under code items 8802.4010 and
8802.4090 of the First Schedule of the Customs
Tariff Act 1975.

2. In this Schedule: “international aid”:
(a) means any assistance in the form of goods or services
provided to the Government of Samoa by any
foreign state, organisation or person; and
(b) includes any assistance for any government project, or
any other project or purpose approved by the
Minister;
“international traffic”, in relation to a ship or aircraft, means
any operation of the ship or aircraft except as between two
(2) places in Samoa.

2015, No. 43 Value Added Goods and Services Tax 47

SCHEDULE 2
(section 2)

EXEMPT SUPPLIES

1. The following are exempt supplies:
(a) a supply of financial services;
(b) a supply of donated goods or services by a non-profit
body;
(c) the supply to passengers of transport services by buses
and taxis, but excluding any arrangements to hire
buses or taxis for the exclusive use of a customer
or customers for a determined period of time or for
an agreed journey;
(d) the charge imposed for departing from Samoa under
the Civil Aviation Act 1998;
(e) the interconnection fees between resident suppliers of
telecommunication services;
(f) the carriage of passengers by ships within Samoa;
(g) supplies of goods and services for an overseas funded
aid project if an agreement or Memorandum of
Understanding expressly provides that the supplies
be exempt, excluding supplies to or by
subcontractors or other suppliers to the head
contractor.

2. A supply that is both a zero-rated supply under Schedule 3
and an exempt supply under this Schedule is treated only as a
zero-rated supply for the purposes of this Act.

3. In this Schedule:
“donated goods or services” in relation to a non-profit body,
means goods or services that are gifted to the body and
that are intended for use in carrying out the purposes of
the body;
“financial services” means:
(a) the granting, negotiating, and dealing with loans,
credit, credit guarantees, and any security for


48 Value Added Goods and Services Tax 2015, No. 43

money, including management of loans, credit, or
credit guarantees by the grantor;
(b) transactions concerning money, deposit and current
accounts, payments, transfers, debts, cheques, or
negotiable instruments, excluding debt collection
and factoring;
(c) transactions relating to financial derivatives,
forward contracts (except forward commodities
contracts), options to acquire financial instruments,
and similar arrangements;
(d) transactions relating to shares, stocks, bonds, and other
securities, other than custody services;
(e) the management of investment funds;
(f) the provision or transfer of ownership of a life
insurance contract or the provision of re-insurance
of the insurance contract;
(g) the provision, or transfer of ownership, of an interest in
a scheme for the payment or granting of benefits
by a benefit fund, provident fund, pension fund,
superannuation fund, retirement annuity fund, or
preservation fund;
(h) a supply of credit under a hire purchase agreement, if
the credit for the goods is provided for as a
separate charge and the charge is disclosed to the
recipient of the goods; or
(i) the arranging of any of the services in paragraphs (a) to
(h).
“non-profit body” means a society, association, or
organisation, whether or not incorporated, that is carried
on for charitable or religious purposes and none of the
income or assets of which confers, or may confer, a
private benefit on any person.


2015, No. 43 Value Added Goods and Services Tax 49

SCHEDULE 3
(section 2)

ZERO-RATED SUPPLIES

PART 1 - EXPORTS

1. Subject to clause 2, the following are zero-rated supplies:
(a) an export of goods;
(b) a supply of goods as consumable stores for use outside
Samoa on an aircraft or ship going to a destination
outside Samoa;
(c) a supply of goods in the course of repairing,
renovating, modifying, or treating temporarily
imported goods if the goods are -
(i) wrought into, affixed to, attached to, or
otherwise form part of the temporarily
imported goods; or
(ii) consumable stores that become
unusable or worthless as a direct result of being
used in the repair, renovation, modification, or
treatment process;
(d) a supply of services directly in connection with
temporarily imported goods;
(e) a supply of services for use or consumption outside
Samoa as evidenced by documentary proof
acceptable to the Commissioner;
(f) a supply of telecommunications services if -
(i) the supply is made by a resident
telecommunications supplier to a non-resident
telecommunications supplier; or
(ii) the person who initiates the supply
(including when the person initiates the supply
on behalf of another person) does so while
physically located outside Samoa;
(g) a supply of international transport services, including
the insurance and arranging of insurance and
transport of passengers and goods;

(1
)
50 Value Added Goods and Services Tax 2015, No. 43

(h) a supply of goods or services for and to the Head of
State;
(i) a supply of goods to the Gambling Control Authority
established under the Casino and Gambling
Control Act 2010;
(j) a supply of educational services;
(k) a supply of medical goods or services provided in
hospitals;
(l) a supply of water;
(m) a supply of totalisator betting facilities; and
(n) the licensing of casinos;
(o) the supply of electricity under the Electric Power
Corporation Act 1980.

2. A supply of goods is not a zero-rated supply under clause 1(a)
or (b) if:
(a) the goods have been or will be re-imported into Samoa;
or
(b) the goods are not exported within 28 days from the
date of supply or a longer period determined by
the Commissioner.

3. A supply of goods is not a zero-rated supply under clause 1(a)
if the goods have been supplied under the Customs approved
secure export scheme and there is not evidence as required by
the Comptroller that the goods have been exported within 28
days of the time of supply.

4. Section 16(3) of the Act applies for the purposes of clause 1(f)
in determining the person who has initiated a supply of
telecommunications services.

5. In this Part:
“ancillary transport services”:
(a) means stevedoring services, lashing and securing
services, cargo inspection services, preparation of
customs documentation, container handling
services, and the storage of transported goods or
goods to be transported; but

2015, No. 43 Value Added Goods and Services Tax 51

(b) does not include any services supplied directly in
connection with an aircraft or ship that is
temporarily imported goods.
“consumable stores”means:
(a) goods for consumption by passengers or crew on board
an aircraft or ship; or
(b) goods that are necessary to operate or maintain an
aircraft or ship, including fuel and lubricants, but
excluding spare parts or equipment.
“educational services” means those services provided by
primary schools, secondary schools or colleges and
tertiary institutions approved by the Minister;
“export”in relation to goods:
(a) means the delivery of the goods to, or the making
available of the goods at, an address outside Samoa
as evidenced by documentary proof acceptable to
the Commissioner; and
(b) includes the supply of goods under the Customs
approved secure exports scheme by a supplier
licensed under the Customs Act to operate a
Customs approved secure exports scheme.
“hospital”:
(a) means any hospital or institution administered by the
Ministry of Health pursuant to the Ministry of
Health Act 2006 in which any medical, dental,
pharmaceutical or nursing services is provided;
and
(b) includes all clinics, dispensaries, outpatient
departments, services, offices and undertakings
maintained in connection with or incidental to that
hospital or institution.
“international transport services” means the services
(excluding ancillary transport services) of transporting
goods or passengers by sea or air:
(a) from a place outside Samoa to another place outside
Samoa, including, if relevant, any part of the
transport that takes place across the territory of
Samoa;


52 Value Added Goods and Services Tax 2015, No. 43

(b) from a place outside Samoa to a place within Samoa as
the final destination for the transportation; or
(c) from a place within Samoa as the place where the
transportation commenced to a place outside
Samoa.
“non-resident telecommunications supplier” means a supplier
of telecommunications services who is a non-resident;
“resident telecommunications supplier” means a supplier of
telecommunications services who is a resident;
“temporarily imported goods” means goods temporarily
imported into Samoa under the Customs Act;
“totalisator betting facilities” means:
(a) betting services on races held whether within or
outside of Samoa;
(b) the carrying on of the business or occupation of
bookmaking;
(c) conducting the game of lotto or any other similar
services provided by the Totalisator Agency Board
under the Betting (Totalisator Agency) Act 1990.
“water” means the supply of water by the Water Authority
under the Samoa Water Authority Act 2003 excluding
provision of services by the Water Authority under private
contract, such as the drilling of bores or the installation of
pipes.

PART 2 - OTHER ZERO-RATED SUPPLIES

The following supply is a zero-rated supply:
(1) A supply of goods or services as part of the transfer of a
taxable activity, or a part of antaxale activity, as a going concern
by a registered person to another registered person if:
(a) all the goods or services necessary for the continued
operation of the taxable acitivity or part of the
taxable activity are supplied to the transferee;
(b) the transferor carries on the taxable activity until the
date of transfer;
(c) the transferee will not carry on the taxable activityto
make exempt supplies and will not use the goods
or services for private use; and


2015, No. 43 Value Added Goods and Services Tax 53

(d) the transferor and transferee agree in writing, on or
before the date of the transfer, that the transfer will
be treated as a transfer of an taxable activity or part
of a taxable activity as a going concern for the
purposes of this Act.

__________
The Value Added Goods and Services Tax Act 2015
is administered by the Ministry for Revenue.