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Parliament of the Republic of Fiji Parliamentary Debates Daily Hansard Monday, 16Th November, 2015 [Corrected Copy]

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Parliament of the Republic of Fiji Parliamentary Debates Daily Hansard Monday, 16Th November, 2015 [Corrected Copy] PARLIAMENT OF THE REPUBLIC OF FIJI PARLIAMENTARY DEBATES DAILY HANSARD MONDAY, 16TH NOVEMBER, 2015 [CORRECTED COPY] C O N T E N T S Pages Minutes … … … … … … … … … … 277 Communications from the Chair … … … … … … … 277-278 Suspension of Standing Orders … … … … … … … … 278 Restoration of Bill in the Order Paper … … … … … … … 278-279 Presentation of Committee Report … … … … … … … 279-281 Debate on the 2016 Appropriation Bill 2015 … … … … … … 281-394 List of Speakers Pages 1. Hon. A. Sayed-Khaiyum 281 2. Hon. Dr. B.C. Prasad 281-307 3. Hon. R.S. Akbar 308-312 4. Hon. V.K. Bhatnagar 312-313 5. Hon. M.D. Bulitavu 313-318 6. Hon. CDR J.R. Cawaki 318-319 7. Hon. I. Delana 319-321 8. Hon. Roko T.T.S. Draunidalo 321-324 9. Hon. J. Dulakiverata 325-329 10. Hon. L. Eden 329-330 11. Hon. V.R. Gavoka 330-334 12. Hon. S.D. Karavaki 334-338 13. Hon. T.V. Kepa 338-343 14. Hon. Ratu K. Kiliraki 343-347 15. Hon. CDR S.T. Koroilavesau 347-350 16. Hon. F.S. Koya 350-356 17. Hon. Ratu I. Kubuabola 357-360 18. Hon. J.N. Kumar 360-361 19. Hon. P. Kumar 361-366 20. Hon. Dr. B. Lal 366-367 21. Hon. M.R. Leawerere 367-371 22. Hon. A.A. Maharaj 372-373 23. Hon. A. Nabulivou 373-374 24. Hon. O. Naiqamu 374-377 25. Hon. Ratu S.V. Nanovo 377-381 26. Hon. V. Nath 382-383 27. Hon. Capt. T.L. Natuva 383-388 28. Hon. N. Nawaikula 388-394 MONDAY, 16TH NOVEMBER, 2015 The Parliament resumed at 9.35 a.m. pursuant to adjournment. MADAM SPEAKER took the Chair and read the Prayer. (The Parliament observed a minute of silence in remembrance of the victims of acts of terror in France and Lebanon) PRESENT All Honourable Members were present, except the Honourable Prime Minister and Minister for iTaukei Affairs and Sugar, the Honourable Ratu S. Matanitobua and the Honourable Ratu N.T. Lalabalavu. MINUTES HON. LEADER OF THE GOVERNMENT IN PARLIAMENT.- Madam Speaker, I beg to move: That the Minutes of the sitting of Parliament held on Friday, 6th November, 2015 as previously circulated, be taken as read and be confirmed. HON. A. SUDHAKAR.- Madam Speaker, I beg to second the motion. Question put. Motion agreed to. COMMUNICATIONS FROM THE CHAIR MADAM SPEAKER.- I welcome all Honourable Members to the first day of Budget debates. Conduct of Parliament Proceedings I would like to thank the Whips for meeting last Friday and agreeing to the Batting Order, as well as working out the various speaking times which will enable us to complete the business before us. We have a full week ahead of us as we envisage completing the Second Reading by Tuesday evening, then moving into Committee of Supply which will conclude on Thursday evening, as well as the Third Reading of the 2016 Appropriation Bill, 2015. We will then debate the Consequential Bills as well as the Income Tax Bill on Friday. To enable the conduct of business to proceed smoothly, the Honourable Leader of Government in Parliament will be moving a procedural motion to allow us to make certain adjustments, as have been agreed to between the Whips. These require the limiting of breaks including lunch, which will be provided in the Big Committee Room for the whole of this week. 278 Restoration of Bill – Order Paper 16th Nov., 2015 Welcome – Members of the Public The Budget process is an integral role of any Parliament and so, I warmly welcome members of the public joining us in the gallery and those watching proceedings on television and the internet, and listening to the radio. Thank you for taking interest in your Parliament. SUSPENSION OF STANDING ORDERS HON. LEADER OF THE GOVERNMENT IN PARLIAMENT.- Madam Speaker, before I do so, through you, may I on behalf of all the Honourable Members, seek the House to applaud the effort of the Fijiana Team for their victory yesterday in New Zealand. (Acclamation) Madam Speaker, I beg to move: That under Standing Order 6, so much of Standing Orders 23, 34 and 46 be suspended to allow the following during the sitting period beginning Monday, 16th November, 2015 and ending Friday, 20th November, 2015: (a) Parliament is to sit beyond ordinary sitting times; (b) limiting lunch breaks to one hour to be determined by the Speaker so as not to unduly interrupt debate; and (c) in the event that the business for any given day is concluded earlier than anticipated, for business to be brought forward from the following sitting day. Thank you, Madam Speaker. HON. A. SUDHAKAR.- Madam Speaker, I beg to second the motion. HON. LEADER OF THE GOVERNMENT IN PARLIAMENT.- Madam Speaker, and Honourable Members, this motion is purely procedural and as we know, the significance of the Budget debate and as has been agreed to in principle by the Business Committee and the Party Whips, the changes are necessary to enable us to complete the business before the House for this entire week. I, therefore, commend this motion to the House. Question put. Motion agreed to. RESTORATION OF BILL IN THE ORDER PAPER HON. LEADER OF THE GOVERNMENT IN PARLIAMENT.- Madam Speaker, I beg to move: That pursuant to Standing Order 97, that a Bill for an act to revise, simplify and consolidate the laws relating to the Income Tax Bill, 2015 (Bill No. 22 of 2015), be restored to the Order Paper at the stage it had reached in the previous session. HON. A. SUDHAKAR.- Madam Speaker, I beg to second the motion. 16th Nov., 2015 Presentation of Committee Report 279 HON. LEADER OF THE GOVERNMENT IN PARLIAMENT.- Madam Speaker and Honourable Members, again this motion is purely procedural and has been agreed to by the Business Committee, I therefore, commend this motion to the House. MADAM SPEAKER.- Honourable Members, the floor is open for comments but I must remind everyone that debate should not be on the merits of the Bill but only on whether or not the Bill should be restored to the Order Paper. Question put. Motion agreed to. PRESENTATION OF COMMITTEE REPORT Standing Committee on Justice, Law and Human Rights – Income Tax Bill HON. A. SUDHAKAR.- Madam Speaker, the Committee on Justice, Law and Human Rights is ready to present its Report on the Income Tax Bill, 2015 (Bill No. 22 of 2015). Madam Speaker, please allow me to make brief comments and observations regarding the Bill. Madam Speaker, income tax forms a major part of the country’s revenue, whether it is Company Tax, Business Tax or Personal (Pay As You Earn) Tax, they all contribute to Government’s coffers from which, among other things, the Government provides essential services to the people and builds infrastructure via which these services are provided. No matter how much we may dislike the idea of paying taxes, we will all appreciate that the schools we gain education in, the hospitals we are treated at, the roads we travelled on and the security forces which protect us from interference are all funded by tax money. The sectors from which tax is to be collected and the mechanisms which enable the authorities to collect it must be clearly defined and demarcated. It, therefore, becomes necessary to enact laws which direct us to the areas from which taxes are to be collected and also provide formulae and mechanisms to collect revenue for the progress of the entire nation. This Bill hopes to achieve all that. The Income Tax Bill (Bill No. 22 of 2015) was referred to the Standing Committee on Justice, Law and Human Rights by this honourable Parliament on 27th August, 2015 for scrutiny with instructions to return a report in the November session of Parliament. I, on behalf of the Committee as its Chairperson, present that report today. The Income Tax Bill addresses some of the many different aspects of taxation such as Income Tax, Social Responsibility Tax, Presumptive Income Tax, Withholding Tax, Shipping Income Tax, Company and Business Tax, Capital Gains Tax, Fringe Benefit Tax, Mining Tax, et cetera. Taxes touch the lives of each and every individual in one way or another. The Committee, therefore, ventured into hearing submissions from as many sectors as possible from around the country in the timeframe given. The Committee started consultation in Suva with its first meeting on 31st August, 2015. Thereafter, the Committee toured the Western Division, hearing submissions which included Rakiraki, Ba, Lautoka, Nadi and Sigatoka. The following week the Committee travelled to the Northern Division and heard submissions in Nabouwalu, Labasa and Savusavu. The Committee also visited the Namosi Joint Venture Mining Operations to supplement information on Mining Tax. The Committee was also fortunate to hear Professor Lee Burns, the chief draftsman of the Bill, who attended the session on 2nd November, 2015 to brief the Committee on the various aspects of the Bill and to answer the queries which the Members had. 280 Presentation of Committee Report 16th Nov., 2015 Madam Speaker, this Report examines and takes into consideration the written submissions received and oral evidence heard at the Committee’s public hearings. The amendments, which appear in red colour in the text of the Bill for ease of reference, have been the result of many days and nights of hard work by the Committee and the Secretariat Staff in consultation with the experts from Fiji Revenue and Customs Authority and where drafting aspects were concerned in consultation with the drafters from the Solicitor General’s Office. On behalf of the Honourable Members of the Committee, I would like to express my sincere gratitude and appreciation to all those organisations and individuals, who made submissions and/or attended public hearings.
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