SUVA, June 30 (Xinhua) -- The Fijian government has taken bold decisions to cushion the impact of external price pressures on the cost of living by reducing the value-added tax (VAT) to 12.5 percent from 15 percent, which will come into effect from August 1.
Deputy Prime Minister and Minister for Finance Biman Prasad said this reduction in VAT will deliver tax relief of 250 million Fijian dollars (111.5 million U.S. dollars) to the people.
He said this was in addition to the 250 million Fijian dollars in relief provided through the continuation of zero-rated VAT on 22 essential items.
A total of 500 million Fijian dollars in VAT relief will be provided to Fijians. ■
