PRIME Minister Voreqe Bainimarama says the 2016 National Budget is bold, imaginative and consolidates Government’s achievements and capitalises on the longest running periods of growth in the country’s history.
Mr Bainimarama shared his views during the 2015 Westpac Prime Minister’s Exporter of the Year awards in Nadi last Saturday where he said the new tax system would ensure equality and fairness among all levels of society.
“The centre piece of these changes is the reduction in our value added tax from 15 per cent to 9 per cent,” he said.
“It is a significant reduction in the tax every Fijian pays for the items they consume.
“Some of the exemptions that used to apply to certain goods have been abolished but that is more than made up with the 6 per cent reduction in VAT on everything Fijian families require.
“And low income earners still benefit from the other provisions that currently exist for them, like an expanded free medicine list for those earning less than $20,000 a year, plus subsidised electricity for households, who also enjoy free water.”
He urged affluent Fijians and especially businesses should make a bigger effort to pay no more than their fair share.
“There is still too much tax and revenue leakage and we intend to crack down on those companies and individuals who fail to meet their obligations. We have created one of the most generous tax regimes in the entire Pacific.
“So there is no excuse for those individuals and companies who are happy to reap the benefits but aren’t willing to pay their fair share.”
