MIRA publishes guideline to offset unpaid state dues to SMEs against taxes

MALE, Maldives — The Maldives Inland Revenue Authority (MIRA) has published a guideline for offsetting money owed to small and medium-sized enterprises (SMEs) by state institutions and state-owned companies against taxes and other payments due to MIRA. MIRA said the main purpose of the guideline is to make it easier for SMEs to settle amounts they owe to the authority, in line with the government's decision to ease burdens on small and medium businesses. The tax relief for SMEs was announced by President Dr. Mohamed Muizzu on Saturday night at the award ceremony of this year's innovation fair, held at Balselo Nasandhura. Under the guideline, applications to offset dues must be submitted through MIRA's online portal, "MIRAconnect". Applications may also be submitted by email after filling out MIRA's Form 904, or the adjustment and refund request form. Applicants must provide full details of the money due from a state institution or state-owned company. If the money is owed by a state institution, the claim will be verified through the Finance Ministry; if it is owed by a state-owned company, verification will be done directly with that company. According to MIRA, the offset will first be applied against the principal amount unpaid to the authority, followed by fines and interest. If no principal amount is outstanding, the offset may also be applied to late payment surcharges. MIRA said the offset will be considered complete once the relevant state institution or state-owned company deposits the money to MIRA. The payment date recorded in MIRA's records will be the date the money is officially received by the authority.