Fiji taxation
p. 33 · Read in the full issue
protests
By Ken Mcgregor
Several firms trading in Fiji, includ ing the big Island traders, W. R.
Carpenter and Burns Philp, are vigorously protesting to the Fiji Minister of Finance, Mr. H. P.
Ritchie, at an increase from five to 15 per cent, on dividends from company profits earned in Fiji and sent overseas.
Mr. Ritchie announced the in creases in presenting the Fiji budget in November. They apply to divi dends payable from November 21.
The companies take the view that nevertheless this is retrospective taxa tion—that it taxes hundreds of thousands of dollars they have used to develop their enterprises instead of having sent it out of the country as dividends.
Mr. Ritchie told PIM: “The gov ernment’s present view is that there is no retrospectivity in the new measure”.
The argument is likely to be a noisy one. One of the companies, it is understood, was contemplating bringing big amounts of cash to Australia when the surprise an nouncement was made.
Other tax increases in the budget mean higher prices for petrol, spirits (but not beer), cigarettes and motor cars. With these increases, and the taxation on dividends. Fiii expects to raise an extra 5F1.29 million in 1970.
Mr. H. P. Ritchie.