Former Deputy Prime Minister and National Federation Party leader, Prof. Biman Prasad, has called on Opposition MP Jone Usamate to engage with the Fijian public transparently regarding taxation matters. In a recent statement, Prof. Prasad urged Usamate to reflect on the tax policies from his time as a minister in the Bainimarama government.
He highlighted that during Usamate’s tenure from 2011 to 2015, the Value Added Tax (VAT) was maintained at 15 percent, while many citizens were subjected to tax rates as high as 25 percent. From January 2016 to March 2022, VAT was significantly reduced to 9 percent for all goods and services, yet no basic food items were exempt from this tax.
Prof. Prasad also pointed out additional taxation measures instituted during that period, including a 10 percent Environment and Climate Adaptation Levy (ECAL) and a 6 percent Service Turnover Tax (STT). “These are the facts,” he asserted, emphasizing the importance of a fact-based dialogue on taxation.
Acknowledging the importance of public debate in any democracy, Prof. Prasad insisted that such discussions must be grounded in truth and integrity. He expressed his readiness to have a debate on tax policy and the realities impacting everyday Fijians, reinforcing the idea that transparency is essential for informed public discourse on economic policy.
“The people of Fiji deserve clarity and honesty when it comes to discussions about taxation,” Prof. Prasad concluded, reiterating that “Fijians deserve the truth.” This call for transparency in governance is crucial as Fiji looks to enhance its economic policies for the benefit of all citizens.