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Issue No: 908; 3 July 2001
The Labour Party has filed a writ in the High Court against the Qarase regime's decision to reimpose value added tax on essential items. The elected government had removed the tax from 7 essential items. The items were tinned fish, flour/sharps, powdered milk, edible oil, rice, tea, and water and sewerage services. The Qarase regime reimposed the tax soon after usurping office. The decree reimposing the tax was published on 23 January. The Fiji Court of Appeal had declared the Qarase regime illegal, and stated that only those activities of the regime which were required for an orderly running of the government could be deemed legal. The elected Minister for National Planning, Dr. Ganesh Chand, has sworn an affidavit saying that the reimposition of the tax was not required for the orderly running of the caretaker government. He also stated that rising poverty was the major cause of social dissatisfaction, political unrest and instability in the country. Dr. Chand said that the reimposition of the tax by the unelected government has caused misery and distress. Poverty in Fiji is estimated to affect over a half of the households. Meanwhile the elected government is also considering suing the
Qarase regime for reversing the price control order on 17 additional items which
the elected government has gazetted. The 17 items were essential household
items. |
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People's Coalition Government - Fiji Islands |
