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Fiji will cut its VAT rate from 15% to 12.5% effective August 1, 2025, maintaining zero-rate VAT on essential items and creating a taskforce to monitor prices.
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The budget includes a 5% allowance increase for social welfare recipients and pensioners, plus funding for free utilities, back-to-school aid, and subsidized transport for low-income households.
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To curb tax evasion and illicit activity, mobile wallet users must register with a Tax Identification Number when buying new SIM cards, with a six-month transition period.
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