Cash Declaration Limit Changed

The Maldives Monetary Authority, on 17 January 2019, published the first amendment to the Regulation on Cross Border Currency Declaration Amount. The changes introduced now require passengers travelling with USD 20,000 or more, and are travelling…

MED Amends Import Regulations

On 28 March 2019, the third amendment to the Import, Export and Re-export of Goods Regulation was published in the Government Gazette. As per the amendment to the Regulation, enterprises that import, export and re export are now, no longer required…

MIRA Changes Rules on Imposing BPT on Director’s Remuneration

On 21 March 2019, the MIRA published Tax Ruling TR-2019/B69 which amends Tax Ruling TR-2018/B65 (Employment Under a Contract of Service). The ruling now classifies remuneration paid by a company to a director partnership to a partner, a trust or body…

Insight: Abdulla Shareef v MIRA

Summary What triggers the time of supply? Can MIRA make an assessment based on information that is not provided by the taxpayer? In the case of Abdulla Shareef v MIRA1, the Tax Appeal Tribunal, by unanimous decision, held that the MIRA’s Notice…

Construction Administration Regulation Published

On 11 March 2019, the “Construction Administration Regulation” was published in the Maldives Gazette. The Construction Administration Regulation, formulated under the Construction Act which was promulgated on 23 April 2017, largely deals with procedural…

Seminar on Recent Developments in BPT and WHT

CTL Strategies is conducting a full day seminar on Recent Developments in BPT and WHT. The seven-hour seminar is designed to give participants an in-depth understanding of the BPT and WHT regimes, including the recent updates to those regimes via Tax…

Online Payment Rules Amended for Certain Taxpayers

On 18 February, the MIRA published Tax Ruling 2019/A-18, which makes it mandatory for certain taxpayers to make payment of Goods and Services Tax, Withholding Tax, and Business Profit Tax, via the MIRAconnect online portal or MRTGS. The ruling makes…

Income Tax to be Introduced from 2020

President Ibrahim Mohamed Solih has announced that income tax will be levied from next year onwards. During the presidential address given to Parliament on 7 February 2019, the President announced that income tax will be levied on high income earners.…

Disputing a Tax Assessment

by Ali Naeem, Counsel The main concern of any business these days is whether it has fully complied with the tax laws.  Consequences of non-compliance can cost a lot in terms of money and other productive resources of the business. This is why…

Unsolicited Proposals Policy Introduced

On 28 January 2019, the President's Office of the Republic of Maldives published the Unsolicited Proposals Policy, which sets outs the procedures under which private sector parties can propose projects that align with the government's strategic development…

Tax Alert, 27 January 2019

This issue covers the most recent developments brought to the rules on Thin Capitalisation. Thin Capitalisation rules were initially introduced by the Maldives Inland Revenue Authority (MIRA) on 26 April 2018, via Tax Ruling TR-2018/B64. The new rules,…