Global Daily Tax News, Tax Breaks Announced In PNG's 2026 Budget, (Dec 2, 2025)

Papua New Guinea has announced tax relief policies for households, in its newly released 2026 Budget.

Budget 2026 announces that the goods and services tax (GST) waiver for 13 essential commodities will be extended until the end of 2026, for: rice, flour, tinned fish, tinned meat, chicken, biscuits, noodles, tea, coffee, cooking oils, and health-related products produced from soap, women's hygiene products, and baby diapers.

Further, the Government confirmed a permanent increase to the personal tax-exempt threshold to PGK20,000 (USD4,655.30), as well as an increase to the stamp duty exemption for property purchases to PGK700,000.

Despite the tax relief measures, the Government expects to bring down the fiscal deficit, mainly due to improved tax administration, including through the redrafting of the Income Tax Assessment Act and the allocation of significantly increased funding to the tax agency as well as to the customs agency.