Calculate the tax adjustments in the Maldives based on the latest amendments to the GST, green tax, and airport taxes.
The **Maldives Government** passed several key amendments to the tax laws in October and November 2024, impacting businesses, tourists, and travelers. These amendments include changes to the **Tourism Goods and Services Tax (TGST)**, **Green Tax**, and **Departure Tax**.
The **seventh amendment to the GST Act** increases the **Tourism Goods and Services Tax (TGST)** from **16% to 17%**, effective **July 1, 2025**. This increase will impact businesses in the tourism sector, including resorts, hotels, and travel-related services.
Effective **November 5, 2024**, goods and services sold in cafes within tourist establishments (authorized by the Ministry of Tourism and operating exclusively for employees) will be subject to an **8% GST rate**.
Starting **January 1, 2025**, the green tax rates will be revised as follows:
The **second amendment to the Airport Taxes and Fees (ATF) Act** revises the departure tax and airport development fees for passengers departing from the Maldives, effective **December 1, 2024**. The revised fees based on travel class are:
A: You can use our **Maldives GST Calculator** to quickly calculate the GST on any product or service in the Maldives. Simply enter the amount and select the applicable GST rate, and the tool will show you the GST amount and the total cost after GST.
A: The GST rate in the Maldives typically stands at **6%** for most goods and services. However, there are certain exemptions and special rates. For example, **tourism services** may attract a higher rate of **12%**, and certain essential goods like food and medicine may be exempt or subject to lower rates.
A: To calculate GST in the Maldives, simply multiply the price of the product by the GST rate. For example, if a product is priced at **MVR 100**, and the GST rate is **6%**, the GST would be **100 * 6% = MVR 6**. The total price after GST would be **MVR 106**.
A: Yes! The Maldives GST calculator allows you to calculate GST for multiple items by entering each item’s price and applying the applicable GST rate to each one separately, or you can add the prices of the items together for a cumulative GST calculation.
A: The GST calculator is designed to handle the various tax rates in the Maldives. You can adjust the calculator to apply different rates such as **6%** for general goods or **12%** for tourism-related services, depending on the category of goods or services you're calculating for.
A: GST in the Maldives is a **consumption tax** that is levied on most goods and services. It was introduced to simplify the tax system by replacing multiple other taxes, promote economic growth, and generate revenue to fund government services such as infrastructure, healthcare, and public welfare.
A: GST is applicable to most goods and services in the Maldives, but there are exemptions and reduced rates for certain items. For example, essential items like **basic food products**, **medicine**, and **education services** may be exempt from GST or charged at a lower rate. Luxury goods and services may be taxed at higher rates, such as **12%** for tourism services.
A: As a business in the Maldives, you are required to charge GST on most goods and services you sell. You can claim back the GST paid on business purchases through **input tax credit**. Be sure to keep accurate records and file regular **GST returns** to stay compliant with Maldives tax laws. Businesses must also ensure they report the GST collected and paid accurately during their filing.
A: **e-Invoicing** in the Maldives is a system where businesses are required to generate electronic invoices for transactions exceeding certain thresholds. This system helps improve GST compliance, reduces fraud, and streamlines the tax filing process. Businesses are required to generate invoices through the official **GST portal** to ensure they are recognized by the tax authorities.
