25 Oct 2006

Tonga's income tax bill puts more pressure on tight cashflows

7:07 am on 25 October 2006

Public consultations on Tonga's Income Tax Bill 2006 has revealed that the bill needs more revision, if it is to be accepted by the public and the House.

The Income Tax Bill which the government hopes will become a law in force by 1 July 2007 proposes to increase taxes for businesses.

Farmers, fishermen and small traders would also need to pay taxes and the bill proposes a new turnover tax on companies.

The Matangi Tonga online reports the bill also removes personal tax exemptions.

Public consultations on the bill end this week.