Parliament Accepts Bill to Repeal GST on Overseas Tour Operators with No Votes Against

The bill, which would refund tax collected on these sales since 1 October, has moved to the committee stage. MIRA still lists 31 October as the registration deadline for overseas suppliers.

By Maldives Today · Published 26 October 2026, 17:30 MVT

The People's Majlis chamber, with the presiding officer seated between the national flag and the Majlis flag and members at their desks in the foreground. — The People’s Majlis chamber during the sitting of 26 October, at which Parliament accepted the bill. (photo credit: People's Majlis)

The News

Parliament on 26 October accepted a government bill to repeal the goods and services tax (GST) on Maldives holidays sold by overseas tour operators, travel agents and booking platforms. No member voted against it.

The vote, taken at 11:57 after the bill’s preliminary debate, was 43 in favour, none against and no abstentions, according to the chamber’s voting record. Seventy-three members were present and 72 were eligible to vote, but 29 did not vote.

Members of both the governing People’s National Congress and the opposition Maldivian Democratic Party voted in favour, the record shows.

The bill, numbered 20/2026/B-31, is now at the committee stage, according to Parliament’s page for the bill. It must still clear committee review and a final vote, then be ratified and published in the Government Gazette before it takes effect.

Know More

Kolamaafushi MP Ibrahim Didi submitted the bill on behalf of the government. It received its first reading on 20 October, as Maldives Today reported.

It would amend the Goods and Services Tax Act (Law 10/2011) to stop collecting GST on inbound tourism products, and on agency and booking services, supplied by businesses without a permanent establishment in the Maldives. Those charges have applied since 1 October.

Under a transitional clause in the bill, any GST collected on these supplies between 1 October and the date the amendment takes effect must be returned. Suppliers would not have to meet their obligations under the current provisions for that period.

The bill also requires amendments to the GST regulations to be published within 90 days of the change taking effect.

Item	Detail
Bill	20/2026/B-31, amending Law 10/2011
First reading	20 October 2026
Accepted	26 October 2026, 43 votes to none
Current stage	Committee
Revenue at stake	MVR1,608.5 million, per the bill’s fiscal note

The fiscal note, citing the Maldives Inland Revenue Authority (MIRA), attributes MVR1,309.2 million of that revenue to foreign tour operators and MVR299.3 million to overseas travel agents. It says the revenue would not be received if the bill passes.

Step Back

The overseas-seller rules were introduced by the eighth amendment to the GST Act, ratified on 31 August. Travel agents and tour operators objected to them before and after they took effect. On 4 October, the Maldives Association of Travel Agents and Tour Operators said Tourism Minister Mohamed Ameen had confirmed the President’s decision to change the framework, as Maldives Today reported.

On 26 October, MIRA’s website still listed 31 October as the deadline to register overseas suppliers.

The government submitted two other tax bills at the 20 October sitting. The bill amending the Income Tax Act (20/2026/B-30) is also at the committee stage, according to Parliament’s record. The bill amending the Tax Administration Act (20/2026/B-32) remains at the first-reading stage, its page shows.

Tourism GST receipts totalled MVR8.12 billion between 1 January and 15 October, 1.8% less than in the same period of 2025, according to the Finance Ministry’s weekly fiscal report published on 20 October.