Capital Gains Tax (CGT)

What it is?

Capital Gains Tax (CGT) is a tax that is levied on profits or gains realized on the disposal of capital assets, at the rate of 10%, with effect from 1 May, 2011.
Capital Gains Tax is imposed and collected on a self-assessment basis and the vendor is liable for the tax. It is computed on the VAT Exclusive Price (VEP) of the capital asset.  It does not apply to trading stock or assets that are not Capital assets as per section 2 of Income Tax Act 2015.
Disposal includes any transaction whereby ownership of an asset is transferred from one person to another. For CGT purposes, a transfer is deemed to be made once the asset is:

  1. Sold, exchanged, transferred or distributed; or
  2. Cancelled, redeemed, relinquished, destroyed, lost, expired or surrendered.

Who it applies to? 

The tax applies on gains arising from disposal of capital assets, by Fiji residents, irrespective of whether the asset is located in Fiji or not.  However, for non-residents the tax only applies on gains arising from disposal of taxable assets that are Fiji assets.

Registration

The person, who is required to comply with the requirements of the Income Tax Act 2015, should firstly obtain a Taxpayer Identification Number (TIN).  Registration and sign up for TIN can be done online through our TPOS portal on Click here.

Requesting for CGT certificate online

CGT certificate can be applied online through our TPOS portal through the “Request” tile. The Turnaround time for all CGT certificate application is 3-7 days.
A user guide with step by step process on CGT application is available on this link.
Click here to view the document requirements to request for CGT certificate.

Filing of CGT returns

A person is automatically liable to file CGT return within one month after the disposal of the capital assets, except if the person has disposed shares listed on the South Pacific Stock Exchange (SPSE) and when the net gain is subject to Income tax.

Assets that are subject to CGT

The following are the capital assets that attract CGT upon disposal but subject to exemption and deferral provisions, as provided for in the Income Tax Act 2015:


  • Real property, structural improvement or an interest in real property

  • Lease of real property

  • Yachts

  • Ship and Boats

  • A membership interest in a company, security or other financial asset

  • Intangible assets e.g. goodwill

  • An interest in a partnership or trust

  • An airplane, helicopter or other aircraft

  • An option, right or other interest in an asset 

  • Does not include trading stock, or a business intangible.

Exempt Capital Gains

  • A capital gain made by a resident individual or Fiji citizen that does not exceed FJD$30,000;
  • A capital gain made by a resident individual or a Fiji Citizen on disposal of either the individual’s first residential property or principal place of residence. Refer to the Standard Interpretation Guideline for more details Click Here.
  • A capital gain made by a person on the disposal of shares listed on the South Pacific Stock Exchange;
  • A capital gain made on disposal of an asset that is used solely to derive exempt income excluding disposal of shares;
  • Any gain made by a person on the disposal of an interest in a company within section 2(c) of the definition “company”.
  • A capital gain made by a resident individual or a Fiji Citizen on disposal of his or her interest in a family home, provided that the disposal of the interest is by way of transfer to an existing joint tenant or tenant in common;
    1. The private company is listed on the South Pacific Stock Exchange within 24 months from the date of commencement of re-organization, restructure or amalgamation; and
    2. Where the private company is not listed with the South Pacific Stock Exchange in accordance with sub-paragraph (i), the gain from the re-organization, restructure or amalgamation of the private company shall be taxable under this Act; Refer to the Standard Interpretation Guidelines for additional information click here. 
  • A capital gain made by the trustee or beneficiary of a deceased estate on the disposal of an asset forming part of the estate that, if the gain had been made by the deceased on a disposal of the asset immediately before death, the gain would be an exempt capital gain to the deceased, but only when the asset is disposed of by the trustee or beneficiary within 2 years after the death of the deceased or within such further time as the CEO allows.
To refer to the Standard Interpretation Guideline for more details Click here.

 

Deferral of Recognition of Capital Gain

For the purpose of CGT, no capital gain is taken to arise on the disposal of Capital Assets by the transferor in any of the following cases:


  1. Disposal of an asset between spouses (including a de-facto spouse) as part of a divorce settlement or under an agreement to live apart.

  2. Disposal of an asset by reason of the transmission of the asset on the death of a person to an executor or beneficiary of the person’s estate.

  3. Transfer of a principal place of residence, first residential property, an interest in a capital asset, or shares in a company, by reason of love and affection between spouses (including a de-facto spouse), siblings, parents to children and vice versa, and grandchildren to grandparents and vice versa and any other individuals.
  4. Disposal of an asset by reason of loss, destruction or compulsory acquisition of the (referred to as the “replaced asset”) if the consideration for the disposal is reinvested by the recipient in an asset of a like kind (referred to as a “replacement asset”) within one year of the disposal or within such further period as the CEO allows.


However, the transferee may be liable for CGT should it be disposed at a gain at a later date.

Re-Organisation

Deferral rule for the recognition of a gain on the transfer of assets between resident individuals and partnerships to transferee companies and between group companies under section 88 of the Income Tax Act 2015. Refer to the Standard Interpretation Guidelines for additional Information.

Sale Subject to Income Tax

There are situations in which income tax may be imposed on the sale of real property rather than capital gains tax. It is important to understand that only one of these taxes either capital gains tax or income tax will be applicable to the disposal of the real property, not both. For income tax to be applicable in place of capital gains tax, the disposal must fall under sections 17 or 18 of the Income Tax Act 2015.

Consequences on Failure to Comply

Failure to submit CGT returns and make necessary payments will render you liable for penalties. CGT returns lodged late will attract late lodgement penalty of 20% on the amount of CGT payable. CGT paid late will attract late payment penalty of 25% on the amount of CGT payable.

Further Information

For more information, please contact our Customer Service Centre by calling our toll-free number 1326 or email us at info@frcs.org.fj, or visit any of our nearest FRCS offices.

Last Updated - February 5, 2026

Back to Top

Capital Gains Tax (CGT)

What it is?

Capital Gains Tax (CGT) is a tax that is levied on profits or gains realized on the disposal of capital assets, at the rate of 10%, with effect from 1 May, 2011.
Capital Gains Tax is imposed and collected on a self-assessment basis and the vendor is liable for the tax. It is computed on the VAT Exclusive Price (VEP) of the capital asset.  It does not apply to trading stock or assets that are not Capital assets as per section 2 of Income Tax Act 2015.
Disposal includes any transaction whereby ownership of an asset is transferred from one person to another. For CGT purposes, a transfer is deemed to be made once the asset is:

  1. Sold, exchanged, transferred or distributed; or
  2. Cancelled, redeemed, relinquished, destroyed, lost, expired or surrendered.

Who it applies to? 

The tax applies on gains arising from disposal of capital assets, by Fiji residents, irrespective of whether the asset is located in Fiji or not.  However, for non-residents the tax only applies on gains arising from disposal of taxable assets that are Fiji assets.

Registration

The person, who is required to comply with the requirements of the Income Tax Act 2015, should firstly obtain a Taxpayer Identification Number (TIN).  Registration and sign up for TIN can be done online through our TPOS portal on Click here.

Requesting for CGT certificate online

CGT certificate can be applied online through our TPOS portal through the “Request” tile. The Turnaround time for all CGT certificate application is 3-7 days.
A user guide with step by step process on CGT application is available on this link.
Click here to view the document requirements to request for CGT certificate.

Filing of CGT returns

A person is automatically liable to file CGT return within one month after the disposal of the capital assets, except if the person has disposed shares listed on the South Pacific Stock Exchange (SPSE) and when the net gain is subject to Income tax.

Assets that are subject to CGT

The following are the capital assets that attract CGT upon disposal but subject to exemption and deferral provisions, as provided for in the Income Tax Act 2015:


  • Real property, structural improvement or an interest in real property

  • Lease of real property

  • Yachts

  • Ship and Boats

  • A membership interest in a company, security or other financial asset

  • Intangible assets e.g. goodwill

  • An interest in a partnership or trust

  • An airplane, helicopter or other aircraft

  • An option, right or other interest in an asset 

  • Does not include trading stock, or a business intangible.

Exempt Capital Gains

  • A capital gain made by a resident individual or Fiji citizen that does not exceed FJD$30,000;
  • A capital gain made by a resident individual or a Fiji Citizen on disposal of either the individual’s first residential property or principal place of residence. Refer to the Standard Interpretation Guideline for more details Click Here.
  • A capital gain made by a person on the disposal of shares listed on the South Pacific Stock Exchange;
  • A capital gain made on disposal of an asset that is used solely to derive exempt income excluding disposal of shares;
  • Any gain made by a person on the disposal of an interest in a company within section 2(c) of the definition “company”.
  • A capital gain made by a resident individual or a Fiji Citizen on disposal of his or her interest in a family home, provided that the disposal of the interest is by way of transfer to an existing joint tenant or tenant in common;
    1. The private company is listed on the South Pacific Stock Exchange within 24 months from the date of commencement of re-organization, restructure or amalgamation; and
    2. Where the private company is not listed with the South Pacific Stock Exchange in accordance with sub-paragraph (i), the gain from the re-organization, restructure or amalgamation of the private company shall be taxable under this Act; Refer to the Standard Interpretation Guidelines for additional information click here. 
  • A capital gain made by the trustee or beneficiary of a deceased estate on the disposal of an asset forming part of the estate that, if the gain had been made by the deceased on a disposal of the asset immediately before death, the gain would be an exempt capital gain to the deceased, but only when the asset is disposed of by the trustee or beneficiary within 2 years after the death of the deceased or within such further time as the CEO allows.
To refer to the Standard Interpretation Guideline for more details Click here.

 

Deferral of Recognition of Capital Gain

For the purpose of CGT, no capital gain is taken to arise on the disposal of Capital Assets by the transferor in any of the following cases:


  1. Disposal of an asset between spouses (including a de-facto spouse) as part of a divorce settlement or under an agreement to live apart.

  2. Disposal of an asset by reason of the transmission of the asset on the death of a person to an executor or beneficiary of the person’s estate.

  3. Transfer of a principal place of residence, first residential property, an interest in a capital asset, or shares in a company, by reason of love and affection between spouses (including a de-facto spouse), siblings, parents to children and vice versa, and grandchildren to grandparents and vice versa and any other individuals.
  4. Disposal of an asset by reason of loss, destruction or compulsory acquisition of the (referred to as the “replaced asset”) if the consideration for the disposal is reinvested by the recipient in an asset of a like kind (referred to as a “replacement asset”) within one year of the disposal or within such further period as the CEO allows.


However, the transferee may be liable for CGT should it be disposed at a gain at a later date.

Re-Organisation

Deferral rule for the recognition of a gain on the transfer of assets between resident individuals and partnerships to transferee companies and between group companies under section 88 of the Income Tax Act 2015. Refer to the Standard Interpretation Guidelines for additional Information.

Sale Subject to Income Tax

There are situations in which income tax may be imposed on the sale of real property rather than capital gains tax. It is important to understand that only one of these taxes either capital gains tax or income tax will be applicable to the disposal of the real property, not both. For income tax to be applicable in place of capital gains tax, the disposal must fall under sections 17 or 18 of the Income Tax Act 2015.

Consequences on Failure to Comply

Failure to submit CGT returns and make necessary payments will render you liable for penalties. CGT returns lodged late will attract late lodgement penalty of 20% on the amount of CGT payable. CGT paid late will attract late payment penalty of 25% on the amount of CGT payable.

Further Information

For more information, please contact our Customer Service Centre by calling our toll-free number 1326 or email us at info@frcs.org.fj, or visit any of our nearest FRCS offices.

Last Updated - February 5, 2026

Back to Top