THE interim Government has made amendments to the Income Tax Act to allow a 10-year exemption to the Apollo group of hospitals.
Fiji Islands Revenue and Customs Authority acting chief executive Jitoko Tikolevu said there was duty concession on specialised equipment brought into the country for the hospital.
He said the authority had not established how much would be lost from the exemption or how much gained from the investment.
"There's also a duty concession for specialised equipment," he said.
"We haven't really done the loss or revenue. It was a government decision.
"It was done because it is a specialised hospital and most of our people are going off-shore for specialised medical treatment. With this hospital our people will no longer have to go to Australia, New Zealand and India for special treatment.
"The hospital will pay VAT on consumption of local expenses, medical supplies and food. That is a revenue gain for the Government."
Mr Tikolevu said work on the Apollo group of hospitals was started in Fiji in 1999.
"The hospital is the first of its kind. It is a big plus for Fiji. It will boost the ICT industry. There will also bea call centre."
He said the exemption was a government decision which FIRCA simply implemented.
The permanent secretary in the Prime Minister's Office, Parmesh Chand, said it was a major project.
Mr Chand said the project had strong linkages to tourism and was a significant investment.