iCalculator™ MV: Maldives Tax Calculators

Welcome to iCalculator™ MV, your comprehensive suite of free tax calculators for Maldives. iCalculator™ has provided free tax calculators for Maldives since 2019. Since those early days we have extended our resources for Maldives to includes Tax Guides, Tax Videos and enhanced the tax calculators and supporting tax information. The Maldives Tax Calculator and salary calculators within our Maldives tax section are based on the latest tax rates published by the Tax Administration in Maldives. In this dedicated Tax Portal for Maldives you can access:

Maldives Tax Calculator 2023/24

The Maldives Tax Calculator below is for the 2023 tax year, the calculator allows you to calculate income tax and payroll taxes and deductions in Maldives. This includes calculations for

1. Employees in Maldives to calculate their annual salary after tax.
2. Employers to calculate their cost of employment for their employees in Maldives.

Discover the Maldives

The Maldives, a tropical paradise in the Indian Ocean, is composed of 26 atolls, which are made up of more than 1,000 coral islands. It is located southwest of Sri Lanka and India, making it a significant point of maritime routes in the Indian Ocean. The Maldives is renowned for its stunning white-sand beaches, crystal-clear waters, and vibrant coral reefs, offering a serene escape for tourists from around the globe.

Economically, the Maldives has experienced significant growth over the past decades, primarily fueled by the tourism sector. Tourism is the backbone of the Maldivian economy, contributing a substantial portion of the country's GDP and employment. The nation's natural beauty, with its idyllic islands and exclusive resorts, attracts visitors seeking luxury, relaxation, and adventure activities such as snorkeling and diving in its rich marine environments.

Fishing is another critical sector of the Maldivian economy, reflecting the country's traditional reliance on its abundant marine resources. Tuna fishing, in particular, is significant for both domestic consumption and export, with Maldivian tuna being valued on international markets for its sustainable fishing methods.

The Maldives also focuses on diversifying its economy through sectors like agriculture, though limited by the country's geographical characteristics, and financial services. Efforts are underway to enhance sustainable practices across all economic activities, particularly in tourism, to preserve the country's pristine natural environment.

Culturally, the Maldives boasts a rich heritage influenced by its Indian, Sri Lankan, Arab, and African connections. This diversity is reflected in the Maldivian cuisine, music, and arts. The local language, Dhivehi, and the practice of Islam play central roles in Maldivian society, shaping the everyday life and festivals of its people.

Challenges such as climate change, with rising sea levels posing a threat to the low-lying islands, and economic diversification remain critical for the Maldives. The government and international community are actively engaged in addressing these challenges to ensure the sustainable development and resilience of this island nation.

For more information on neighboring countries and their economic profiles, visit Sri Lanka and India.

Tax overview of the Maldives

The Maldives tax system is unique and tailored to its economic structure, predominantly centered around tourism and services. The country implements a relatively simple and efficient tax regime, which includes taxes such as Goods and Services Tax (GST), Business Profit Tax (BPT), and personal income tax, among others, designed to accommodate the significant influx of tourists and business investments.

Goods and Services Tax (GST) is a major component of the tax system in the Maldives, applied to most goods and services, including those related to tourism, which is the backbone of the Maldives economy. The GST is structured to ensure that the tourism sector contributes significantly to government revenues, reflecting the sector's pivotal role in the nation's economic development.

The Business Profit Tax (BPT) applies to companies and individuals engaged in business activities in the Maldives, with the objective of taxing profits generated from all economic activities. This tax encourages transparency and compliance while ensuring that businesses contribute their fair share to the national economy.

In addition to GST and BPT, the Maldives does not impose a personal income tax on salaries or wages, which is part of its strategy to attract skilled professionals and maintain a competitive business environment. However, there are other forms of direct and indirect taxes, including property-related taxes and import duties, which are levied to support public expenditure.

The Maldivian government also offers various tax incentives and exemptions to promote investment in specific sectors, such as renewable energy, fisheries, and agriculture, aiming to diversify the economy and reduce dependence on tourism.

Tax administration in the Maldives is streamlined and digitalized, facilitating easy compliance and payment processes for taxpayers. The Maldives Inland Revenue Authority (MIRA) is responsible for tax collection and enforcement, ensuring that the tax system supports the country's economic goals while being fair and efficient.

For businesses and individuals operating in the Maldives, understanding the local tax regime is crucial for effective financial planning and compliance. The tax system's design reflects the Maldives' commitment to maintaining a vibrant economy and sustainable development.

For more insights and resources on tax management in the Maldives, visit our tax hub, featuring the latest tax tools and comprehensive tax information.