News

VAT changes being monitored

August 2, 2025 7:44 am

A joint task force is on the ground carrying out price surveillance and monitoring after the new 12.5% Value Added Tax came into effect.

Fijian Competition and Consumer Commission Chief Executive Senikavika Jiuta says that her team is closely monitoring pricing and flagging any unfair practices while ensuring that businesses adhere strictly to these new guidelines.

Jiuta states they are collaborating with the Price Monitoring and Enforcement Task Force to ensure that all towns and cities are covered.

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FCCC chief advises the public that for certain traders, the price on the shelf may not reflect the VAT reduction due to high inventory volume.

However, the price in their point of sale should be reflected with 12.5 percent and not 15 percent.

“If you see that 15 percent is still on your receipts, please let us know and reach out to our offices. So just a reminder to consumers, please note that for items that are already zero VAT rated, zero VAT rated, there won’t be any price changes because this is just a continuation from the last budget announcement. So you won’t see any price changes for basic food items.”

Deputy Prime Minister and Minister for Finance, Professor Biman Prasad, says the reduced VAT will allow people to save money and redirect it toward other essential needs.

He describes this as a positive start to the tax reduction initiative, which is intended to ease the cost of living.

However, Professor Prasad expressed hope that businesses will implement fair and transparent pricing in response to the VAT changes.

He hopes good sense will prevail and businesses will be honest with their customers.

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