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…

Civil Court has Jurisdiction to Enforce Arbitral Award

The Maldives High Court, on 20 April 2017, quashed the Civil Court’s decision that the Civil Court can only proceed with enforcement of the arbitral award after the High Court makes a decision regarding the award. The initial case, which was filed…

BPT Return Exemption for Individuals and Deemed Partnerships

The Maldives Inland Revenue Authority has amended the Business Profit Tax Regulation exempting registered individuals and deemed partnerships who fulfill certain conditions from submitting a BPT return. Pursuant to Tax Ruling B-58, an individual or…

Micro Businesses Not Required to Submit Auditor’s Report

The Maldives Inland Revenue Authority has brought an amendment to the Business Profit Tax Regulation exempting micro businesses from submitting an auditor’s report with their BPT Return. Pursuant to Tax Ruling B-57, a micro business, which is categorically…

Goods Imported on Behalf of a Third Party Subject to GST

The MIRA has published a circular concerning the GST implications for businesses that import goods on behalf of a third party. The circular reminds GST registered businesses that importing goods on behalf of a third party shall be considered as a sale…

Agoda payments now subject to WHT

Maldives Inland Revenue Authority has issued a circular instructing taxpayers to pay withholding tax on payments made to all online travel agencies (OTAs), regardless of the arrangement agreed with the OTAs. As per the circular, the new rule comes into…

Guide on Managing Tax Audits

Tax audits conducted by the Maldives Inland Revenue Authority (MIRA) loom over virtually every business operating in the Maldives. The Examination of your accounts and financial affairs tends to be a time-consuming and arduous process which may remove…

High Court Confirms TAT Ruling on Third Party Payments

The High Court of Maldives has upheld the Tax Appeal Tribunal’s decision on a case which focused on the subjectivity of withholding tax on payments made by a person other than the taxpayer. On 23 November 2016, the High Court of Maldives upheld…

Tax Ruling issued on the GST treatment of imported goods

A Tax Ruling has been issued by the Maldives Inland Revenue Authority (MIRA) on 8 August 2016 clarifying the GST treatment of imported goods. The Ruling explains the GST treatment when goods are imported to Maldives under an import license (regardless…

MIRA to introduce Advance Pricing Agreements

The Maldives Inland Revenue Authority (MIRA) has announced that Advance Pricing Agreements (APAs) between taxpayers and MIRA will be introduced this year. This announcement was made by the Commissioner General of Taxation in his speech at the function…

Smart Start Internship Program

Welcome to the CTL Smart Start Internship Program. The program is mainly intended for students interested in pursuing a career in the practice of taxation or tax law. Students with interests in other areas also can participate in the program. The program…