Loading ...REGULATORY FRAMEWORK
Price Control
The legal basis for Tonga’s price controls was the 1988 and Wage Control Act, Cap.113. Controls were enforced by the Competent Authority Committee that is established within the Ministry of Labour, Commerce & Industries. Members included the Minister of Labour, Commerce & Industries as the Chairperson, Minister for Finance & Planning, Chief Executive Officer (MLCI), President of the Tonga Chamber of Commerce & Industries and the President of Tonga Small Business Association… Read more »
Consumption Tax (CT)
CT operates in a similar manner to Value Added Tax or Goods & Services Tax. A uniform rate of 15% is applied to imports and the supplies of Goods & Services. Businesses with an annual turnover that exceeds T$100,000 are required to be… Read more »
Custom Duty
The Industrial Incentives Development Scheme gives Custom Duty exemptions on a case by case basis to few industrial businesses that are eligible. (Please refer to notes on “Investment Incentives.” The scheme is being repealed in compliance with the WTO terms on Tonga’s accession…Read more »
Business Income Tax Rates
The business income tax rates are as follows… Read more »
Foreign Exchange Control
The National Reserve Bank of Tonga (NRBT) establishes the value of the Tongan Pa’anga daily by reference to a weighted basket of currencies of Tonga’s most important partners in foreign trade and payments transactions. The NRBT quotes daily buying and selling rates for the US dollar against the Tongan pa’anga. These rates generally form the basis of the commercial banks’ publicly quoted foreign exchange dealing rates… Read more »
