The Samoan web-based monitoring tool T.I.M.S. (Tax Invoice Monitoring System) is currently in its production phase. The new system is a successful project between Data Tech International and the Government of Samoa to ensure a smooth and transparent tax collection platform.

The biggest benefit of the system, however, is its potential to completely crack down tax evasion in the country. TIMS is expected to increase tax compliance and battle the so-called “hidden economy.”

Most importantly, though, T.I.M.S. allows for fair competition and an atmosphere in which it will favor those who are 100% compliant. It will protect fair businesses from those who find ways to evade taxes and can, therefore, sell their products at significantly lower prices.

Lowering the Costs of Tax Collection and Auditing

The Tax Invoice Monitoring System provides many benefits, one of them a being non-expensive method for tax collection. Additionally, there are a few more methods that are supposed to help in wasting money unnecessarily.

Printing receipts for example. Each receipt will come out with a QR code that a customer can scan by simply using any QR scanner on Android or iOS-based phones. By scanning the code, the customer will receive a clear overview of what they purchased and how much VAT they paid for. This way, the customer will additionally verify every single receipt which will be forwarded to the tax authority.

Although paper-based in the present, digital receipts might be a possibility in the future, depending on how the situation develops. Moreover, T.I.M.S. comes with a CCA (Customer Compliance Award) program.

By scanning their receipts, customers will be able to take part in the lottery where vendors award them by offering different awards. This will indirectly impact the fact Samoans tend to rarely ask for receipts and will hopefully break this habit.

The Prime Minister of Samoa, Tuilaepea Aiono Sailele Malielegaoi also encouraged customers to ask for a receipt. Otherwise, they are merely helping non-compliant businesses break the law.

The group of businesses

The implementation process is expected to begin in July this year, and it will be rolled out in phases. Based on several criteria for selection, the first group of businesses come from various industries. Other businesses are expected to join within the next 12 months following the first rollout.

The whole process will be very transparent, and the businesses will be notified in time so to give them enough space to comply.

T.I.M.S. will be another effort of Data Tech International with one more of the Pacific Islands, followed by the success of Fiji, to embrace TaxCore as one standard electronic invoicing platform.