Mining & Groundwater

This incentive is available to a newly incorporated entity engaged in a new business established between 1 January 2018 to 31 December 2028 in the following areas;

Vanua Levu – included Taveuni, Rabi, Kioa and other islands generally included for governments administrative purpose as being in the Northern Division, Rotuma, Kadavu, Levuka, 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 licence.

Effective from 1 August 2021, the mining taxation In accordance with Part 6 of the Income Tax Act 2015, the company tax rate applicable to a contractor and sub-contractor under the Mining Act is 20%; and the rate of Non-resident Withholding Tax applicable to a subcontractor who is a non-resident person is 15%.

Water Extraction & Bottling Business

The income of entities involved in the extraction and bottling of water will be exempt from Income Tax for 7 years. This will be applicable to existing and new businesses.

 Provision – Increase in the water resource tax rate for extraction above 10 million liters per month from 18 cents per liter to 19.5 cents per liter.

Tax Exemptions Available

The income tax exemption is as follows;

  • capital investment from FJ $250,000 to FJ $1,000,000, for a period of 5 consecutive years; or
  • capital investment from FJ $1,000,000 to FJ $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) insofar as they are required for the 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.

Customs Concession

Concession code 252 on Companies or entities involved in mining industry will be extended to include companies involved in mining exploration.

Last Updated: August 2023