Incentives to List on SPX

Listed below are some of the incentives currently in place for listing on SPX. The incentives indicate a firm commitment from the Government of Fiji in aiming to create a vibrant stock market.

The current incentives are:

No tax on consequential gains arising from listing on SPX

Income including any gain from sale of shares that may arise from reorganisation, reconstruction, or amalgamation of a private company for the purposes of listing or as part of a listing process on SPX, prior to listing, or after listing will be exempt from any taxes. The private company must be listed with the SPX within 24 months from the date of commencement of reorganisation, reconstruction or amalgamation.

Reduced corporate tax rate

Starting from Tax Year 2023, entities that list on the SPX will enjoy a reduced corporate tax rate of 10% for the first 7 years. This incentivised tax rate reduces the newly listed entities corporate tax liability by up to 50%, allowing more funds to be reinvested into the business or paid out to shareholders as dividends.

Tax deduction on financial advisory costs

Advisory costs being incurred in the process of listing will be 150% tax deductible. These include investment advisory fees, legal and accounting fees, underwriting fees and other costs related to listing e.g. printing.

Tax-free dividends

Dividends you receive from your company as a shareholder will be tax free.

Tax-free gains from trading

There is no capital gains tax applicable on gains derived from disposal of shares in SPX listed entities. Income tax is also not applicable on gains derived by resident shareholders from trading of shares.