The Consumer Council of Fiji is urging businesses to comply with the recent reduction in Value Added Tax (VAT) from 15% to 12.5%, warning that any misrepresentation of VAT details on receipts is illegal. Chief Executive Seema Shandil has highlighted concerns that some traders have either removed the VAT percentage from their pricing or have not adjusted their prices despite the lower rate, which undermines public trust.
Shandil emphasized that consumers have the right to know the exact amounts they are paying, and any businesses found violating the law will face potential penalties or prosecution. The Council’s stance follows its earlier findings that some food establishments had unjustifiably raised prices prior to the VAT reduction, thus negating the benefits intended for consumers.
This issue is part of broader efforts by regulatory bodies, including the recently established National Price Monitoring Taskforce, to ensure that consumers genuinely benefit from tax relief. As seen with the collaboration between the Consumer Council, the Fiji Commerce and Employers Federation, and the Ministry of Finance, there is a collective commitment to monitor and enforce compliance among traders.
Encouragingly, these developments signal a positive step toward enhancing consumer rights and protecting the public from unethical pricing practices. As the government and regulatory agencies enforce these measures, there is hope that Fijian consumers will see the financial relief expected from tax reforms, contributing to a stronger, more transparent marketplace. This not only aims to stabilize prices but also improves public trust in the economic system amidst ongoing challenges.
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