Tag: increase

GST from telecommunication services comes into effect

A six percent Goods and Services Tax (GST) on telecommunication services come into effect as of 12:00 a.m. today, May 1, 2014.

The eleventh amendment bill to the Goods and Services Tax Act, allowing the collection of a 6 percent taxation on telecommunication services, was published in the Government Gazette on March 25.

The tax applies to all communication services except for postal services provided by a postal service provider registered with the relevant Government authority or State institution, according to the Maldives Inland Revenue Authority (MIRA) website.

The tax for telephones will be included in the telephone bills, or added to the top-up vouchers.

The introduction of telecom GST was an initiative taken by the new government to increase revenue.

The State’s principal tax collector, MIRA estimates to gain MVR 110 million through Goods and Services Tax this year, reported local media Sun Online.

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9.7% increase in tourists arrivals for first quarter of 2014

At the end of first quarter of 2014 tourist arrivals to the Maldives saw an increase of 9.7% compared with the same period of 2013, reaching a total of 321,561, reported the Ministry of Tourism on Tuesday.

Europe was the leading market generator taking account of 51.3% of all arrivals to the Maldives with a sum total of 321,561 tourists during the first quarter of the 2014, the report stated.

Asia and the Pacific recorded an impressive growth rate of 24.4% at the end of first quarter of 2014 bringing in additional 26,606 tourists to reach a total of 135,839. This region accounted for 42.2% of arrivals to the Maldives at the end of first quarter of 2014.

According to the Ministry, the Chinese market was increased by 24% with an additional 16,960 tourists compared with the same period of 2013.

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Parliament passes amendments to increase child support payments

Parliament has passed amendments to increase the amount of money for child support to MVR 2,000 (US$130) as part of the Family Regulation.

Amendments proposed to article 65 state that that a father who has more than one child must pay MVR 1,000 (US$65) per child per month as child support until the children reaches the age of 18.

According to the amendments, a father who has one child is required to pay MVR 2,000 per month until the child turns 18.

Amendments proposed to article 63 (a) also state that MVR 2,000 per month must be provided during iddah – a period of waiting undertaken by a woman after a divorce.

Previously, the Family Regulation stated that MVR 500 (US$32) should be provided to women during iddah, and MVR 250 (US$16) should be provided as child support, local media reported.

In accordance to article 55 of the Family Act, if a father does not have the financial means to support his children, the court will discuss the issue with the relatives of children in order to make them responsible for the child’s upbringing should they agree.

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February tourist arrivals to the Maldives increase by 25 percent on 2012

Tourist arrivals for February have increased by over 25 percent compared to the same month in 2012.

Figures from the Ministry of Tourism Arts and Culture reveal that an increase of 21,493 tourists visited the Maldives last month compared to February last year.

Tourism Minister Ahmed Adheeb told local media in February that he was confident the Maldives would reach one million tourist arrivals in 2012.

Despite the Ministry’s aim, January saw a 7.6 percent drop compared to the same month in 2012 – the first time the Maldives had seen a decrease in January arrivals in three years.

The Asian market – which holds a 43.7 percent share of the overall tourist market – increased by 106.8 percent in February compared to the same month last year.

China, which has the largest share of the market for a single country, saw an increase from just 12,237 tourist arrivals in February 2012 to a total of 33,592 in 2013.

The 174.5 percent increase from Chinese tourists could be attributed to Chinese New Year, which was held in February this year as opposed to January in 2012.

Despite the continuing rise in the Asian market, Europe – which holds the largest share of the tourism market at 51.6 percent – fell by 6.2 percent in February 2013.

Arrivals from the United Kingdom also continued to fall last month from 9,006 in February 2012 to 7,745 in 2013 – a 14 percent decrease.

Tourists from Italy, which has the second largest share of the European market after the UK at 7.5 percent, fell by 12 percent in February compared to the same month in 2012.

Whilst arrivals from southern, western and northern Europe continued to fall, the eastern and central European market grew by 22.9 percent from 9,376 in 2012 to 11,519 in 2013.

Political turmoil

Despite the sharp rise in tourist arrivals last month, February 2012 saw unusually low tourist arrivals following the political instability that took place on February 7, 2012, when former President Mohamed Nasheed was removed from power.

Following widespread media coverage of the country’s political unrest, Maldives Association of Tourism Industry (MATI) released a statement claiming that resorts had registered 500 cancellations in the first week following the change of government.

One Shanghai-based travel agent, Sun Yi, told Minivan News she was faced with many cancellations just two days after the events of February 7.

”It has seriously affected our business. Many guests cancelled the Maldivian holiday package which used to be very popular,” she explained, adding that her company had suspended plans to hold a commercial event at a Maldives resort this spring.

“Quite a lot of Chinese customers are very concerned of this situation. Some of them are hesitant to make reservations now,” said Emy Zheng, a Chinese national working at Villuxa Holidays.

‘Cup noodle’ scandal

Meanwhile, calls for a tourism boycott to the Maldives exploded across Chinese social media networks earlier this month, after allegations of discrimination against guests from China at one resort became widely circulated.

On March 1, dismissed Chinese employees of the Beach House Iruveli resort – formerly Waldorf Astoria – posted allegations on the Chinese forum Tianya that guests from the country were receiving inferior treatment to Europeans, despite paying the same prices.

The staff alleged that this discrimination extended to removing kettles from the rooms of Chinese guests, to prevent them making instant noodles in their rooms and thereby forcing them into the resort’s restaurants.

By Sunday, the employees’ post had been forward over 91,000 times across the Chinese blogosphere, according to one report from the International Herald Tribune, and sparked calls for a Chinese tourism boycott of the Maldives in Chinese media.

One Bejing-based travel agent specialising in the Maldives told the South China Morning Post that many Chinese tourists had started cancelling their plans to visit the country.

Minister of Tourism Ahmed Adheeb said no formal complaints had been received by Maldivian authorities over alleged discrimination at the country’s resorts.

However, Adheeb asked that in future, any tourists who had such complaints about their treatment file such concerns with the tourism ministry and other relevant authorities rather than through the press and social media.

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