The Travel Agents’ Association of New Zealand has welcomed the Fijian Government’s decision to exempt existing bookings from the new five per cent Tourism Services Tax, saying it provides much-needed certainty for Kiwi travellers.
The TST will now apply only to new bookings made on or after September 1, 2026.
Bookings made before September 1 will not attract the tax, even when the holiday or tourism service takes place after that date.
TAANZ chief executive Julie White described the decision as practical and sensible, particularly for New Zealanders who had already booked and paid for Fiji holidays.
“This gives Kiwi travellers the certainty they needed,” Ms White said.
“Those who made their bookings before 1 September can now travel knowing they will not face an unexpected additional tax on an existing booking.”
Ms White said TAANZ had never opposed Fiji’s right to introduce the tax, but had raised concerns about its proposed application to existing bookings, the short implementation period and uncertainty for travellers and the travel industry.
“We are therefore very pleased the Fijian Government has listened to the concerns raised by the tourism and travel sectors and adopted a practical transition approach,” she said.
Ms White said Fiji remained one of the most popular overseas destinations for New Zealand travellers, supported by strong aviation connections and close cultural and family ties.
“New Zealanders love travelling to Fiji. It is a destination people return to time and again for its people, hospitality, beaches and the ease of getting there from New Zealand,” she said.
TAANZ also acknowledged discussions between Government and tourism and travel industry representatives that led to the revised implementation arrangements.
“This is a good example of what can be achieved when government and industry listen to each other and work through the practical impacts of a policy,” Ms White said.
The five per cent TST will apply to qualifying tourism services and operators for new bookings from September 1 and is scheduled to remain in effect until August 31, 2027.
“Today’s announcement removes a significant area of uncertainty and is a positive outcome for travellers, travel businesses and Fiji’s tourism industry,” Ms White said.
