What Is GST in the Maldives?
Goods and Services Tax (GST) in the Maldives is administered by the Maldives Inland Revenue Authority (MIRA). There are two GST rates applicable to businesses operating in the country:
- 6% for general goods and services
- 16% for tourism-related goods and services
If your business supplies goods or services in the Maldives, you need to understand your GST obligations before your first filing deadline arrives.
Who Must Register for GST?
You are required to register for GST if your annual turnover exceeds MVR 1,000,000 (approximately USD 65,000). Once registered, you must file GST returns and remit any tax collected to MIRA on a regular basis.
Even if your turnover is below the threshold, voluntary registration can be beneficial if you want to reclaim input tax credits from business expenses.
GST Return Filing Deadlines
GST returns must be filed monthly or quarterly, depending on your business category:
| Business Type | Filing Frequency | Deadline | |---|---|---| | Tourism (resorts, guesthouses, liveaboards) | Monthly | 28th of the following month | | General businesses | Quarterly | 28th of the month following the quarter |
Missing these deadlines triggers automatic penalties. MIRA charges 1% per month on any outstanding tax, compounding over time.
How to File a GST Return with MIRA
- Log in to the MIRA online portal at mira.gov.mv
- Select your business entity and the relevant tax period
- Enter your total taxable supplies for the period
- Enter your input tax (GST paid on business purchases)
- Calculate net GST payable (output tax minus input tax)
- Submit the return and complete payment via bank transfer or online gateway
- Save your confirmation receipt for your records
If you are using accounting software like Odoo, your GST totals can be extracted from the tax report automatically, saving significant manual effort.
Common GST Mistakes to Avoid
1. Mixing tourism and general GST rates Resorts and guesthouses sometimes misclassify services between the 6% and 16% rate buckets. Food sold to guests at a resort always falls under the 16% tourism rate, even if you also sell to staff at the general rate.
2. Missing input tax claims Many businesses forget to claim GST paid on purchases. Keep all supplier invoices and ensure your supplier is GST-registered before claiming input credit.
3. Late registration If your turnover crosses the MVR 1,000,000 threshold mid-year, you are required to register within 30 days. Late registration penalties can accumulate quickly.
4. Currency conversion errors Foreign currency transactions must be converted to MVR at the exchange rate on the date of supply. Using incorrect rates is a common audit trigger.
What Happens If You Miss a Filing?
MIRA can issue:
- Penalty notices (automatic 1% per month on outstanding tax)
- Estimated assessments if you fail to file — MIRA will estimate your liability and charge accordingly
- Legal action for repeated non-compliance
It is far more cost-effective to file on time, even if you cannot pay in full. Filing late with payment is better than not filing at all.
How Metamorphosis MV Can Help
Our accounting team handles GST registration, monthly/quarterly filing, and MIRA correspondence on behalf of businesses across Malé and the atolls. We also integrate Odoo ERP with your GST workflow so returns are generated automatically from your transaction data.
Contact us to discuss how we can take GST compliance off your plate.