Fiji: Proposed tax measures in 2025-2026 National Budget Summary
Fiji's Revenue and Customs Service published the 2025-2026 National Budget Summary.
Fiji's Revenue and Customs Service in June 2025 published the 2025-2026 National Budget Summary, proposing key tax measures:
- Amending the definition of "dividend" for capital gains tax relating to share buyback or similar transactions
- Increasing the nonresident withholding tax on insurance premiums to 3.75% (to align with corporate tax rate)
- Reducing the value added tax (VAT) rate to 12.5% from August 1, 2025
Additional incentives include:
- Expanded tax deductions for certain business donations and employment
- A 25% investment allowance for non-accommodation tour activities
- Tax exemptions for carbon trading income
For more information, contact a KPMG tax professional in Fiji:
Jonathan Fong | jfong2@kpmg.com.au