Maldives MPs Support Tax Amendment to Close Appeal Loopholes and Ensure Fairness

Members of the Maldivian Parliament (Majlis) have stated that an amendment to the Tax Administration Act, which seeks to define conditions for paying 100% of the disputed amount before filing an appeal with the Tax Appeal Tribunal, will establish fairness in the tax system. The bill was introduced by Funaadhoo MP Mohamed Mamdhooh on behalf of the government. MPs noted that while small and medium enterprises comply with tax laws, some large businesses exploit the lengthy appeals process to avoid paying taxes. They argued that this practice is an injustice to the general public. The amendment stipulates that in cases where a taxpayer appeals an assessment made under Article 39 of the act, the appeal can only be filed after paying 50% of the amount in dispute or, in specific cases detailed in the bill, 100% of the disputed amount. Some MPs called for further study before the bill is passed.