Latest
Updates
Changes to the requirements to qualify as a MIRA Registered Auditor
On 11 July 2019, the MIRA published Tax Ruling 2019/B70 which amends Tax Ruling 2018/B63 (Submission of Financial Statements and Appointment of Auditors). While this amendment brought about some changes to specified criteria under requirements to be fulfilled…
MED publishes Regulation on Dissolution Procedures of Non-Compliant Companies
On 18 June 2019, the “Regulation on Dissolution Procedures for Companies to be Dissolved by Decision of the Registrar of Companies” was published in the Government Gazette.
The Regulation, which was formulated pursuant to the Fourth Amendment to…
Tribunal Makes a Landmark Decision on WHT on Interconnection Charges and Computer Software Payments
On 26 April 2019, the Tax Appeal Tribunal has set a landmark precedent on the application of Section 6 on Interconnection Charges and similar types of payments, and payments made for the use of certain types of Computer Software utilized in the Telecommunications…
Management Services Subject to WHT Only if Rendered After Commencement of the BPT Act: High Court
The High Court of Maldives, on 26 April 2019, struck down the Tax Appeal Tribunals decision regarding the interpretation of Section 6 of the Business Profit Tax Act, stating that Withholding Tax may be applied only on payments for services that are rendered…
Tribunal Declares MIRAs Decision Invalid, Orders Re-audit
On 15 May 2019, the Tax Appeal Tribunal decided, by way of majority decision, in favor of the Appellant, Maldives Passions Private Limited and ordered the MIRA to re-audit the taxable periods under dispute in the appeal case.
The Tribunal, with a majority…
Constitution Amended Prohibiting Ownership of Land by Foreigners
On 23 April 2019, the fourth amendment to the Constitution of the Republic of Maldives was published in the Government Gazette, amending Article 251 of the Constitution.
The amendment, changes Article 251(a) and 251(b) and repeals Chapter 15 of the…
BPT Treatment of Director's Remuneration
by Madeeh Ahmed, Senior Tax Advisor
The MIRA recently issued a tax ruling (TR-2019/B69 issued on 21 March 2019) which has changed its position on how director's remuneration is treated under the BPT Act in the hands of the recipient, and what constitutes…
CTL Strategies Conducts Seminar on Recent Developments in BPT and WHT
A seminar on “Recent Developments in BPT and WHT” was conducted by CTL Strategies on Saturday, 13 April 2019.
The seminar held at hotel Jen was attended by senior executives and accounting executives from tourist establishments, and major and medium…
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…