Inland Revenue to recover unpaid debts

The newly instituted Maldives Inland Revenue Authority (MIRA) has undertaken efforts to recover debts and monies owed to the government by various parties.

Commissioner General of Taxation Yazeed Mohamed told newspaper Haveeru that the debts include fees, royalties and rent from 45 different sectors.

While MIRA was working with relevant government authorities to recover the debts, Yazeed said “necessary measures” would be taken from 2011 onward if dialogue and other procedures fail.

The Commissioner General did not reveal the amount being sought by the government.

However, an audit report of the former Department of Inland Revenue released in October 2009 revealed that it had failed to collect over Rf1.1 billion (US$85.6 million) in unpaid taxes, fines and resort rent.

“As a result of the department’s inadequate efforts to collect unpaid taxes, as of 31 July 2009, the government has not received Rf117 million (US$9.1 million) in unpaid taxes and fines and none of these monies has been received as of 30 September 2009,” it reads.