Audit finds $ 1.4 m unpaid taxes by former e-Visa operators

Monday, 27 October 2025 03:29 -     - {{hitsCtrl.values.hits}}

  • AG Dept. says no verified record of total revenue collected, cannot confirm earnings from e-Visa system
  • Revenues between Apr.-Aug. ‘24 routed to foreign bank accounts instead of official Govt. channels  

A special audit conducted by the Auditor General’s Department on the e-Visa system has revealed that companies involved in the project failed to pay more than $ 1.4 million in taxes due to the Inland Revenue Department.

According to the Auditor General’s report, GBS Technology Services and IVS Global-FZCO, operating under VFS VF Worldwide Holdings Ltd., collected the 2.5% Social Security Contribution Levy and 18% Value Added Tax from visa applicants between April and August 2024. 

However, the companies did not remit these amounts, $ 172,970 in SSCL and $ 1,245,390 in VAT, resulting in a total unpaid tax liability of $ 1,418,360.

The audit noted that the firms processed 373,991 visa applications during this period, earning at least $ 6.9 million in service-fee revenue. It also found that they generated an additional $ 1.8 million from visa-fee-waiver countries, where tourists were exempt from paying visa fees but were still charged a service fee. 

These collections, the report said, would not have occurred under the previous Electronic Travel Authorization (ETA) system.

The Auditor General’s Department further observed that all applicants, including those entitled to free visas, were required to pay a service fee of $ 18.50 under the new system. 

Under the former ETA arrangement, no such fee existed, and an approved proposal had recommended a nominal charge of only $ 1. The audit questioned the rationale behind this sharp increase, particularly for tourist and business visa categories designed to attract arrivals.

The report highlighted several other irregularities, including the failure to remit collected taxes, excessive and unjustified service fees, and the absence of a competitive bidding process. 

It said that GBS Technology Services & IVS Global- FZCO, a VFS VF Worldwide Holdings LTD-led consortium were selected without a formal tender, in violation of Government procurement rules, depriving the Department of Immigration and Emigration of the opportunity to obtain competitive rates.

The Auditor General’s Department also revealed that all visa-related revenues between April and August 2024 were routed to foreign bank accounts controlled by private operators instead of official Government channels. 

As a result, the Department had no verified record of the total revenue collected, making it impossible to confirm how much was earned through the e-Visa system. 

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