TAX FREE REGIONS

This incentive is available to a newly incorporated entity engaged in a new business established in the following areas;

Vanua Levu – included Taveuni, Rabi, Kioa and other islands generally included for Government administrative purpose in the Northern Division, Rotuma, Kadavu, Lomaiviti, Lau and Nausori Lautoka region (from Nausori Airport side of the Rewa River (excluding township boundary) to the Ba side of the Matawalu River.

Any company may apply to the Minister for Economy in a prescribed form for an operating license.

TAX EXEMPTIONS AVAILABLE

The income tax exemption is as follows:

• Capital investment from FJ$250,000 toFJ$1,000,000, for a period of 5 consecutive years; or
• Capital investment from FJ$1,000,001 toFJ$2,000,000, for a period of 7 consecutive years; or
• Capital investment above FJ$2,000,000 for a period of 13 consecutive years.
• Benefits under the Tax-Free Region
• Duty concession on the importation of raw materials, machinery and equipment (including parts and materials) required for the initial establishment of the business at rates of Free Fiscal, Free Import Excise and VAT applicable.
• Additional 5 years of income tax exemption is available to any company granted a license and having indigenous Fijian landowner equity of at least 25 percent.

EXPORT INCOME DEDUCTION

A 60% export income deduction is currently available to exporters. The agriculture, fisheries and forestry businesses are further incentivised with a 90% export income deduction. This incentive is available till 31 December 2025.

COLD STORAGE FACILITY

1. A person is allowed a deduction for 200%of the amount of expenses incurred for the construction of a cold storage facility in—
   • agriculture areas for agriculture purposes; or
   • rural and maritime areas for agriculture or fishing purposes.
2. In addition to sub regulation (1), a person shall be granted a 10% investment rebate when the construction of a cold storage facility is completed.
3. In this regulation, “cold storage facility” refers to a permanent structure, room or building mechanically cooled by refrigeration machinery that is used for agriculture or fishing purposes.