Look for smarter, fairer ways to grow revenue — Opposition
August 27, 2025 9:38 pm | Posted in Business News | Share now TwitterFacebook
By Terence Malapa.
The Opposition has declared it will oppose any government initiative to introduce income tax, saying, “Fix the system first, before asking our people to sacrifice more.”
This comes as the government consulted with the private sector during the Revenue Forum.
The dialogue, held yesterday, brought together government representatives, employers, employees, and private sector stakeholders to discuss ways of broadening Vanuatu’s revenue base.
Leader of the Opposition and head of the Union of Moderate Parties (UMP), Alatoi Ishmael Kalsakau, said: “The people of Vanuatu are already struggling with the high cost of living. Introducing income tax will only increase the financial burden on ordinary families. We must look for smarter, fairer ways to grow revenue rather than punishing hardworking ni-Vanuatu with another tax.”
Mr. Kalsakau added that the government should instead focus on tightening revenue collection from existing taxes, improving compliance measures, and ensuring large corporations contribute their fair share. “It is unacceptable that while small entrepreneurs and workers are being asked to pay more, some big players continue to exploit loopholes. Fix the system first, before asking our people to sacrifice more,” he said.
The consultation session saw heated exchanges between government officials and private sector representatives, many of whom doubted whether Vanuatu’s administrative systems are ready to manage income tax fairly and efficiently.
Officials at the Ministry of Finance and Economic Management (MoFEM) said consultations will continue.
The Opposition, however, has vowed to mobilise public opinion against any proposed measure. “The UMP and our allies will stand firmly with the people on this issue,” Kalsakau said. “We cannot and will not support a tax that undermines livelihoods and threatens the very foundation of our fragile economy.”
