Record Keeping Requirements

1. Records must be kept by all businesses and property investors

All businesses and property investors must keep records that correctly explain all transactions they enter as a business or investor.

2. Records must be retained for 5 years

Generally, records must be retained for at least 5 years after the end of the tax period to which they relate. Where there has been amended assessment or a tax audit, the record retention period is extended.

If a business ceases, records must still be retained for the 5-year period.

3. Records can be maintained in any of the official Vanuatu languages

Business records must be maintained in English, French, or Bislama.

4. All business records must be kept

Records include all source and underlying documents relating to transactions entered into by the person, including, invoices, purchase orders, delivery dockets, receipts, contracts, and Customs documentation.

5. The records that are kept must enable financial statements to be prepared

Records need to:

· enable the financial position of the person to be determined with reasonable accuracy at any time

· allow financial statements to be prepared

· be maintained in a manner so as to enable the person’s tax liability under the tax law to be readily ascertained.

6. Records can be kept outside Vanuatu

Records can be maintained outside Vanuatu but must be made available in Vanuatu if requested.