The Travel Agents’ Association of New Zealand (TAANZ) has welcomed confirmation from the Fijian Government that the new 5 percent Tourism Services Tax (TST) will apply only to new bookings made on or after 1 September 2026.
Bookings made before 1 September will not attract the new tax, even where the holiday or tourism service takes place after that date.
TAANZ Chief Executive Julie White says the decision is practical, sensible and very good news for New Zealand travellers, particularly those who have already booked and paid for their Fiji holidays.
“This gives Kiwi travellers the certainty they needed. Those who made their bookings before 1 September can now travel knowing they will not face an unexpected additional tax on an existing booking,” said White.
“TAANZ has been very clear that our concern was never about Fiji’s right to introduce the tax. Our concern was the way it would apply to existing bookings, the short implementation timeframe and the uncertainty this was creating for travellers and the travel industry.
“We are therefore very pleased the Fijian Government has listened to the concerns raised by the tourism and travel sectors and adopted a practical transition approach.”
Fiji remains one of New Zealanders’ most popular international holiday destinations, supported by strong aviation links, close cultural and family connections, and a longstanding relationship between the two countries.
“New Zealanders love travelling to Fiji. It is a destination people return to time and again for its people, hospitality, beaches and the ease of getting there from New Zealand,” she said.
“Providing certainty around existing bookings is important for maintaining that confidence. It allows travellers to look forward to their holiday rather than worrying about whether the cost may change after they have already booked and paid.”
TAANZ also acknowledged the constructive engagement between the Fijian Government, tourism industry representatives and international travel industry partners as the implementation issues were worked through.
“This is a good example of what can be achieved when government and industry listen to each other and work through the practical impacts of a policy,” said White.
“We appreciate the engagement from our industry colleagues in Fiji and Australia, and the willingness of the Fijian Government to respond to the concerns that were being raised.”
For bookings made from 1 September 2026, the TST will apply to qualifying tourism services and operators in accordance with Fiji’s Tourism Services Tax Act 2026. The tax is scheduled to operate until 31 August 2027.
“Today’s announcement removes a significant area of uncertainty and is a positive outcome for travellers, travel businesses and Fiji’s tourism industry,” said White.
“Fiji remains very much open for business, and we expect it will continue to be a firm favourite with New Zealand travellers.”
