The Maldives Inland Revenue Authority (MIRA) reported that total revenue collection for January 2025 stood at MVR 3.34 billion, reflecting a 7.7% decline compared to the same period last year. The drop was largely attributed to lower collections in Bank Income Tax and Corporate Income Tax, exacerbated by an extended deadline for Corporate Income Tax due to a public holiday.
Despite the overall decline, January’s revenue exceeded forecasts by 5%, driven by higher-than-expected collections in Goods and Services Tax (GST), Corporate Income Tax, Work Permit Fees, and Green Tax. Additionally, a 2% increase in tourist arrivals contributed to stronger tourism-related revenue.
USD revenue collection for January reached USD 125.49 million. The largest contributors to total revenue were GST, which accounted for 47.7% of collections, followed by Income Tax at 35.8%, Airport Development Fee at 3.5%, Departure Tax at 3.4%, Green Tax at 3.2%, and Tourism Land Rent at 2.0%. In terms of USD revenue, Tourism Goods and Services Tax (TGST) made up the highest share at 55.1%, followed by Income Tax at 23.0%, Airport Development Fee at 6.0%, Departure Tax at 5.9%, Green Tax at 5.6%, and Tourism Land Rent at 3.4%.
The revenue decline in January was partially offset by an increase in timely GST collections and higher Airport Taxes and Fees, following a rate hike per flying class implemented in December 2024. Additionally, MIRA recovered 11% of the total revenue through dues recovery efforts.
MIRA’s data also highlighted the impact of offsets claimed by taxpayers for advance tax payments and cash refunds issued for excess payments. These adjustments were already reflected in the total revenue collection figures.
A comparison of revenue collection from 2021 to 2025 shows fluctuations in tax and non-tax revenues. While the overall revenue for January 2025 remains lower than in 2024, it is higher than in 2021 and 2022. With tourism performance exceeding projections and businesses making timely tax payments despite the extended Corporate Income Tax deadline, MIRA’s revenue collection could see further recovery in the coming months.
