VAT Calculator Maldives

VAT Calculator Maldives – Current GST Rate is 6%

The standard VAT Rate is 6%. Now you can calculate the vat bill with our Maldives Vat Calculator

Utilize the Maldives VAT calculator to swiftly calculate or eliminate tax from both services and goods in the normal GST rate of 66%. If you’re a tourist resident or business owner Our calculator can help you remain tax-compliant in just a few seconds.

Current VAT/GST Rates in the Maldives

Type	Rate	Applies To
General Goods and Services Tax (GST)	6%	The majority of domestic goods and services
Tourism Goods and Services Tax (TGST)	12%	Services related to tourism: Hotels, resorts, excursions
Green Tax	$6/night	Taxes are imposed to visitors staying in guesthouses and tourist resorts.

How to Calculate GST in the Maldives

Add GST

Formula: GST = Base Amount x (GST Rate / 100) Total = Base Amount + GST

Example:

Base Amount = 25,000 MVR
GST = 25,000 x 6% = 1,500 MVR
Total = 26,500 MVR

Eliminate GST (From pricing that is GST-inclusive)

Formula: GST = Total Amount – (Total Amount x (100 / (100 + GST Rate))) Base = Total Amount – GST

Example:

Total Amount = 26,500 MVR
GST = 26,500 – (26,500 x 100 / 106) = 1,500 MVR
Base = 25,000 MVR

History of VAT/GST in the Maldives

Introduced by Maldives Inland Revenue Authority (MIRA)
Start Date: October 2, 2011
Initial Rate: 3.5%
Increased To:
- 6% for General GST in 2012
- 8% for TGST in 2013
- 12% for TGST in 2014 (current)

The tourism industry is the vitality in the Maldivian economy which is heavily impacted by the TGST and Green Tax revenues.

Maldives VAT Rules & Registration

Businesses have to register for GST in the event that their annual revenue is greater than one million dollars in MVR.
Businesses in the tourism industry are required to register regardless of the amount they earn.
Registered companies must collect and pay GST every month to MIRA.

VAT Exempt Products & Services in the Maldives

While the majority of services and goods are tax-exempt, the following items are exempt or non rated:

Food items of the basic food chain: milk, eggs sugar and fruits, oil
Diesel, fuel gas and power that is used to cook
Baby items: baby food and diapers

Important: This item need registration, but they are to be 0% rated as GST.

What is the Green Tax in the Maldives?

Six dollars per night costs every visitor staying in:
- Resorts
- Guesthouses
- Hotels
Exemptions are available to Maldivian Nationals and Residents Permit Holders.

FAQs Maldives VAT (GST) Simplified

Q Which is currently the rate of GST within the Maldives?
A: 6% for general goods and services, and 12percent on tourism-related services.

Q: Are it true that the Maldives free of tax?
A The answer is no. There’s no personal income tax for foreigners however, the tax on remittances (3 3 percent) is applicable to expatriates.

Q: Will visitors must pay taxes in the Maldives?
A: Yes, which includes the 12% TGST and the Green Tax of $6 per night.

Q: Are residents who have a permit excluded from Green Tax?
A: Absolutely, Residents and Maldivians holders are exempt from Green Tax..

What tax rates apply to companies based in the Maldives? A: Businesses that earn greater than 500,000 MVR/year pay 15 percent, whereas those who earn foreign income pay 5%.