State Revenue Reaches MVR 2.42 Billion as Delayed Taxes Lift August Collections

State revenue collected by the Maldives Inland Revenue Authority reached MVR 2.42 billion in August 2026, rising 14 percent from the same month last year. However, the increase was driven partly by the timing of tax deadlines and the recovery of overdue payments, rather than growth across all revenue streams.

Collections under revenue categories included in the monthly forecast reached MVR 2.38 billion, compared with a projection of MVR 1.92 billion. This placed collections 24 percent above forecast.

A major reason for the stronger result was the extension of the deadline for the first interim income tax payment of 2026. The original deadline fell on a public holiday and was moved to 2 August, shifting payments that would ordinarily have been recorded in July into the following month.

MIRA had prepared its forecast on the assumption that 90 percent of these payments would be received in July. The extension therefore made August collections appear considerably stronger than initially projected.

Income tax revenue more than doubled from MVR 240.6 million in August 2025 to MVR 490.3 million this year. Corporate and non-individual income tax accounted for MVR 305.4 million, while MVR 72 million was collected as bank income tax. No bank income tax collection was recorded in August last year.

Payments relating to earlier deadlines also had a substantial effect. MIRA reported that 14.8 percent of August revenue came from past-due payments, equivalent to approximately MVR 358 million. Of the total monthly collection, 3.1 percent was secured through targeted efforts to recover outstanding dues.

This means the headline increase cannot be viewed entirely as revenue generated by economic activity during August. Part of it represents money owed from earlier periods entering the state’s accounts during the month.

Tourism Goods and Services Tax increased from MVR 683.1 million to MVR 787.1 million, despite tourist arrivals falling by 1.9 percent. MIRA attributed the increase mainly to the recovery of outstanding TGST payments, rather than higher visitor numbers.

Green Tax collections also rose to MVR 199.9 million. However, Departure Tax fell to MVR 144 million from MVR 165.1 million, while Airport Development Fee collections declined from MVR 167.7 million to MVR 146 million. The mixed movement shows that not every tourism-related revenue stream improved during the month.

GST remained the government’s largest revenue source, contributing MVR 1.25 billion, or 51.5 percent of the monthly total. While TGST increased, General Sector GST declined from MVR 479.2 million to MVR 459.5 million, meaning the overall improvement in GST was led by tourism-sector payments.

Non-tax revenue declined from MVR 364.6 million to MVR 336.8 million. This occurred despite higher Work Permit Fee payments and the collection of MVR 21.2 million as Lease Period Extension Fees, for which no revenue was recorded in August 2025.

MIRA recorded MVR 497 million through collection enforcement measures. Dunning accounted for MVR 302 million, while instalment plans generated MVR 104.94 million and dues clearance brought in MVR 77.3 million. The figures further show the importance of debt recovery to the month’s overall result.

Revenue collected between January and August reached MVR 25.14 billion, up approximately 11.5 percent from MVR 22.55 billion during the corresponding period of 2025.

The August figures indicate strong cash collection for the state, but the effect of shifted deadlines and overdue payments means the monthly increase does not, by itself, represent an equivalent improvement in current economic activity.