Deductions And Allowances

Business and Self-Employed

Generally, deductions are allowed for any expense wholly and exclusively incurred for the purpose of the trade, business, profession, employment, or vocation of the taxpayer. Personal and capital expenses are not allowable for taxation purposes when determining a taxpayer’s final chargeable income.

Examples of Allowable Deductions:

  • Repairs and maintenance of fixed assets that are not capital in nature.
  • Legal fees incurred for debt recovery.
  • Parking meter fees (but not parking fines).
  • Utility bills for business premises (e.g., electricity, telephone, water).
  • Entertainment expenses for business purposes.
  • Accounting fees paid to registered tax agents.
  • Insurance premiums for company assets.
  • Bad debts written off after exhausting all recovery avenues.

Deductions and Allowances Effective from April 2020:

  • Tax depreciation write-off incentive up to $10,000.
  • Accelerated depreciation with a 100% write-off.
  • Losses on disposal of assets for tax purposes.
  • 150% tax deduction on interest paid or earned on corporate bonds.
  • Tax deduction for the reduction of commercial rent under COVID-19.
  • Tax deduction for salary and wages paid to quarantined/isolated employees under COVID-19 (attach details).
  • 150% deduction for extra FNPF paid to employees exceeding 5% and up to 10%.
  • Tax deduction on loans for medical purposes.
  • 150% tax deduction for donations to sports funds (must be registered with the Fiji National Sports Commission).
  • 150% tax deduction for hotels and resorts hiring local artists such as craftsmen, dancers, and musicians.

Example: Business Expenses for a Taxi Proprietor

  • Depreciation of the motor vehicle used as a taxi.
  • Repair and maintenance of taxis registered under the business name.
  • Fuel and oil.
  • Wheel tax and fitness.
  • Base fees.
  • Bank interest if the taxi is under mortgage.

Last Updated - July 25, 2025

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Deductions And Allowances

Business and Self-Employed

Generally, deductions are allowed for any expense wholly and exclusively incurred for the purpose of the trade, business, profession, employment, or vocation of the taxpayer. Personal and capital expenses are not allowable for taxation purposes when determining a taxpayer’s final chargeable income.

Examples of Allowable Deductions:

  • Repairs and maintenance of fixed assets that are not capital in nature.
  • Legal fees incurred for debt recovery.
  • Parking meter fees (but not parking fines).
  • Utility bills for business premises (e.g., electricity, telephone, water).
  • Entertainment expenses for business purposes.
  • Accounting fees paid to registered tax agents.
  • Insurance premiums for company assets.
  • Bad debts written off after exhausting all recovery avenues.

Deductions and Allowances Effective from April 2020:

  • Tax depreciation write-off incentive up to $10,000.
  • Accelerated depreciation with a 100% write-off.
  • Losses on disposal of assets for tax purposes.
  • 150% tax deduction on interest paid or earned on corporate bonds.
  • Tax deduction for the reduction of commercial rent under COVID-19.
  • Tax deduction for salary and wages paid to quarantined/isolated employees under COVID-19 (attach details).
  • 150% deduction for extra FNPF paid to employees exceeding 5% and up to 10%.
  • Tax deduction on loans for medical purposes.
  • 150% tax deduction for donations to sports funds (must be registered with the Fiji National Sports Commission).
  • 150% tax deduction for hotels and resorts hiring local artists such as craftsmen, dancers, and musicians.

Example: Business Expenses for a Taxi Proprietor

  • Depreciation of the motor vehicle used as a taxi.
  • Repair and maintenance of taxis registered under the business name.
  • Fuel and oil.
  • Wheel tax and fitness.
  • Base fees.
  • Bank interest if the taxi is under mortgage.

Last Updated - July 25, 2025

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