MIRA recovers MVR 3.5 billion in six months, but outstanding dues remain at MVR 14.5 billion

The state tax agency, Maldives Inland Revenue Authority (MIRA), recovered MVR 3.5 billion in outstanding revenue during the first six months of this year, while the total outstanding amount stood at MVR 14.5 billion at the end of June, according to newly released statistics.

MIRA collected MVR 2.09 billion in the first quarter of the year, followed by MVR 1.39 billion in the second quarter. The agency said recoveries were made through payment reminders, notices and other communications. In addition, MVR 14.18 million was recovered through bank account freezes and MVR 21.45 million through the public disclosure of tax defaulters.

As of June last year, unpaid taxes amounted to MVR 8.26 billion, including MVR 1.95 billion in Income Tax, MVR 1.56 billion in TGST, MVR 3.60 billion in GGST and MVR 1.15 billion in other taxes. Non-tax revenue outstanding stood at MVR 6.25 billion, including MVR 5.97 billion in resort land rent and MVR 271 million in other non-tax dues.

The total outstanding amount includes MVR 3.76 billion owed by state-owned companies. MIRA waived MVR 1.26 million in fines for government companies in the second quarter.

MIRA’s 2024 strategic plan outlines several measures to reduce unpaid revenue, including reshaping tax collection processes and lowering outstanding tax to 15 percent annually. The plan also aims to reduce non-tax arrears to 10 percent per year. MIRA said it is working to improve service quality and make tax payments easier, with electronic invoicing set to be implemented by the end of this year. By 2028, the authority aims to increase self-service capacity across its online platforms.