Regulation on Foreign Currency
The MMA’s new Regulation on Foreign Currency came into effect on 1 October 2024 introducing significant new rules and controls over incomes received in foreign currency and foreign currency transactions
Entries by Aminath Zaina Zahir
The New Foreign Investment Act Ratified
The new Foreign Investment Act (Act Number 11/2024) (the “Act”) was ratified on 3 September 2024 introducing significant new rules to the foreign investment framework of the Maldives. The Act will come into effect on 3 December 2024 and will repeal the Maldives Foreign Investment Act of 1979.
13th Amendment to the Tourism Act ratified into law
The 13th Amendment (the “13th Amendment”) to the Maldives Tourism Act (Act Number 2/99) (the “Act”) has been ratified by the President of the Republic of Maldives on 29 August 2024 introducing changes to the lease extension payment periods set out in the Act.
Third Amendment to Country-by-Country Reporting Regulation Published
The Third Amendment to the CbCR Regulation ends the temporary suspension of filing requirements for Constituent Entities that are not the UPEs of their respective MNE groups.
CTL Strategies ranked in the Chambers Global Guide 2024
CTL Strategies has been ranked in the Chambers Global Guide 2024, published by Chambers and Partners. This marks the firm’s fourth consecutive year of recognition in Chambers Global Guide within the General Business Law category.
Maldives Passions Pvt Ltd v MIRA [2023] SC 39
On 12 October 2023, the Supreme Court delivered its judgment in Maldives Passions Pvt Ltd v MIRA – a significant case concerning the parameters of the powers of the Tax Appeal Tribunal’s (“TAT”) to decide cases and order for re-audits.
MIRA issues Tax Ruling on Deductibility of Donations
On 14 January 2024, MIRA issued a Tax Ruling regarding allowable deductions related to donations. With the issuance of this Tax Ruling, effective from 1 March 2024, MIRA clarifies that only monetary donations made to State institutions or charitable organisations approved by the Commissioner General are eligible for deduction as donation expense.
Changes to Charter License Criteria and the GST Rules for Agents of Foreign Tourist Vessels
On 2 January 2023, the Ministry of Tourism published a new Regulation on Governing Foreign Tourist Vessels Cruising and Harbouring in Maldivian Waters. The new Regulation introduces passenger liner permits for vessels carrying 50 or more passengers with a duration not exceeding 7 days in the Maldives. Agents of such vessels are no longer required to register the vessel as a taxable activity for GST purposes.
Minimum Investment Thresholds for SEZs Revised
The Presidential Decree on Determining the Permitted Economic Activities and the Minimum Investment Threshold for Special Economic Zones was gazetted on 17 December 2023 revising the minimum investment threshold for special economic zones in Maldives.
The President Ratifies the New Companies Act
The new Companies Act has been gazetted on 27 December 2023 and will be effective on 1 January 2024. The new Act introduces substantial changes to the company law landscape in Maldives bringing major developments that impact companies in Maldives. New compliance and regulatory requirements are also introduced under the new Act.