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Invest in Maldives

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CTL Strategies ranked in Chambers Global Guide 2024

CTL Strategies has been ranked in the Chambers Global Guide 2024, published by Chambers and Partners.

The new edition of the Global Guide highlighted CTL for its considerable market respect in tax  matters, and demonstrating strength in litigation and corporate services. Among responses received from interviewees, Chamber and Partners quoted that the firm is “able to handle complex matters and provide unbiased legal advice.”

Chambers and Partners is an independent research firm that operates in 200 jurisdictions and is commonly referred to as the “gold standard” in the legal profession. Chambers and Partners publishes rankings and information on the world’s top lawyers and law firms. In-depth interviews with lawyers, in-house counsel for clients, and independent experts were used to compile the rankings.

Recent Updates

Regulation on the Advertising of Establishments that Provide Services to Tourists in the Maldives

On 4 August 2025, the Ministry of Tourism and Environment (the “Ministry”) gazetted the Regulation on the Advertising of Establishments that Provide Services to Tourists in the Maldives (the “Regulation”). The Regulation came into force on the date on which it was gazetted.

The Regulation has been enacted to expand on the new advertising rules provided under Section 45-3 of the Maldives Tourism Act1 (the “Act”) introduced to the Act by the 15th Amendment to the Maldives Tourism Act2.

The key provisions of the Regulation have been summarised below.

Applicability and scope

The Regulation applies to all establishments that operate under a license or permit issued by the Ministry (and any such establishments that are being developed), as well as centres that provide sea or water sports services and excursion services.

The Regulation stipulates the rules applicable to activities carried out to directly or indirectly promote the services provided by a tourist establishment:

  • Through print media, electronic media, the internet or any other medium; and
  • In audio, visual, video or any other form.

Licensing requirement

As a general rule, tourist establishments can be advertised only after they have been licensed with the Ministry.

However, a tourist establishment under development can be advertised before it is licensed with the permission of the Ministry. Application forms for the Ministry’s permission can be submitted on a portal to be designated by the Ministry. The designated portal will list the supporting documents required for such an application.

General standards

The Regulation stipulates the following general standards applicable to the advertising of tourist establishments:

  1. Establishments can only be advertised as an establishment of the level and category specified in its registration documents and operating licence . (E.g., an establishment licensed to operate as a tourist hotel cannot be advertised as a tourist resort)
  2. The level and categorisation of establishments under development will be determined by the Ministry as follows based on the type of property on which the development is taking place:
    1. If the establishment is being developed on a property leased by the Ministry, as specified in the lease agreement.
    2. If the establishment is being developed on a property leased by a local council or a privately-owned property, as determined by the Ministry.
  3. Information that clearly reflects the level and category of the establishment under development must be included in its advertisement.
  4. The establishment must ensure the completeness and accuracy of information provided on:
    1. The establishment and the services provided at the establishment.
    2. The natural environment surrounding the establishment or of any area of the Maldives.
    3. The area surrounding the establishment and the services available in that area.
  5. The views, vision and information included in advertisements must be incorporated in compliance with the applicable laws and regulations of the Maldives.
  6. The advertising of tourist establishments must be in line with the responsibility to protect the natural beauty and environment of the Maldives.
  7. Information of environmentally vulnerable areas must be clearly stated in advertisements.
  8. Establishments that maintain wellness tourism practices must accurately and transparently disclose precise details and proof of such practices.

Digital advertising

The following additional standards are applicable to the digital advertising of tourist establishments:

  1. Social media advertisements must clearly indicate that they are advertisements (E.g., paid promotions must be specifically disclosed to be advertisements).
  2. False or inaccurate photos and videos cannot be used in advertisements.
  3. False or inaccurate online reviews, comments and ratings cannot be made or presented.
  4. Advertisements must clearly specify if it contains AI-generated content or content generated through machine learning.
  5. The contents of advertisements must be the promoter’s own content, or the promoter must ensure that such contents do not infringe the Copyright and its Related Rights Act 3.

Use of establishment name

An establishment may only use its name in advertisements after the name has been registered, and in line with the following rules:

  1. If the establishment is developed on a specific island, the advertisement must state the name of the establishment stated on its operating licence along with the name of the island and atoll.
  2. If the establishment is developed on an inhabited island or a specific area of an island, the advertisement must state the name of the establishment such that tourists will know and understand the name of the atoll, island and ward in which it is located.

Administrative actions and fines

Licensed tourist establishments and tourist establishments under development will be subject to the following administrative actions and fines in the event of a breach of the Regulation.

  1. The Ministry must first issue an order in writing to the promoter for the removal of the advertisement within 24 hours, with details of how it breaches the Regulation.
  2. If the promoter does not comply with such an order, the Ministry has the discretion to impose fines as follows:
    1. Impose a fine not exceeding MVR10,000 in connection with first-time breaches of the Regulation;
    2. Impose a fine not exceeding MVR50,000 in connection with the second breach of the Regulation; and
    3. Impose a fine not exceeding MVR100,000 in connection with the third breach of the Regulation.
  3. The Ministry has the discretion to impose MVR100,000 for each subsequent breach of the Regulation by a promoter after their third breach, without the need for the Ministry to first serve a written order requiring the advertisement to be removed.

MIRA Publishes Second Amendment to the Instalment Policy

On 25 March 2025, the Maldives Inland Revenue Aut00hority (“MIRA”) published the 2nd Amendment to the Instalment Policy 1 (the “Amendment”), introducing significant changes to the criteria and conditions for granting instalment plans to delinquent taxpayers. The amendment particularly focuses on refining the conditions for multiple or concurrent instalment agreements and establishes stricter conditions for instalment plans related to tax liabilities arising from investigations.

The key changes introduced via the Amendment are summarised below.

Limitation on simultaneous agreements
Under the new Amendment, taxpayers are now restricted to a single instalment agreement at a time for each tax type, a reduction from the previous allowance of two concurrent agreements. However, the Commissioner General retains the discretion to permit multiple instalment plans for taxpayers who have demonstrated a history of compliance by consistently making regular payments under instalment agreements. In exercising this discretion, the Commissioner General will take into account the time and specific circumstances.

Eligibility criteria
MIRA has repealed the condition that previously prevented taxpayers from requesting instalment plans for amounts previously subject to such arrangements.

Submission process
The amended policy now mandates MIRA 905 Form (Request for Installment Plan) to be submitted either through the MIRA website or MIRA Connect.

Commitment payment deadline
Prior to the Amendment, the policy granted a fixed 10-day period within which the required commitment payment must be made in order to qualify for an instalment plan. However, the Amendment has revised this provision. While still retaining the 10-day maximum timeframe, the amended policy now grants MIRA the discretion to specify even shorter deadlines for the commitment payment.

Requesting for instalment in relation to Investigation related assessed tax:
The Amendment has introduced a new provision in relation to making payments under an instalment plan for amounts assessed after an investigation. The new provision requires taxpayers to pay twice the standard commitment payment amount within half the usual specified period if the instalment is in relation to an amount assessed after an investigation.

Multiple instalment plans
The Amendment introduces a new provision on granting multiple instalments. If a taxpayer wishes to include a defaulted amount, for which an instalment plan had been previously granted but not fully paid, as part of a new instalment agreement for the same tax account, the taxpayer will be required to pay an additional 50% of that defaulted amount, on top of the regular commitment payment. Furthermore, this percentage requirement increases for each subsequent reinstatement of the same defaulted amount across multiple instalment plans.

These changes are expected to encourage more responsible payment practices while providing options for those facing financial difficulties.

Effective Date
The 2nd Amendment to the Instalment Policy came into effect on 25 March 2025.

Update

CTL Strategies ranked in Chambers Global Guide 2024

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