Overview of Compliance Improvement Plan 2021

Overview of Compliance Improvement Plan 2021

Compliance improvement activities planned for this year includes;

1. Providing taxpayer facilitation and assistance in fulfilling income tax obligations

  • Carrying out a nation-wide income tax awareness program 
  • Conducting training and information sessions on new income tax return preparation 
  • Providing income tax return filing assistance for small businesses
  • Promoting voluntary registration of income earners

2. Carring out targeted registration programs for the following sectors;

  • Foreign businesses operating in Maldives
  • Real-estate
  • Transportation
  • Professional service
  • Fisheries

3. Undertaking initiatives to mitigate the negative effects of COVID-19 on tax compliance

  • Increasing facilitative activities to assist taxpayers affected by COVID-19 crisis
  • Expediting registration & de-registration process
  • Securing compliance of key taxpayers
  • Prioritizing COVID-19 focused intelligence gathering and risk assessments

4. Carrying out compliance interventions to treat risks of year 2018 & 2019

  • Conducting industry specific risk assessments on; tourism, construction, wholesale and retail, information and communication, education and health industry
  • Engaging with medium risk taxpayers to rectify compliance issues
  • Carrying out risk-based audits of high-risk taxpayer
  • Conducting criminal investigation of goods and services tax (GST) fraud and serious noncompliers
  • Prioritizing mitigation of international tax risks
  • Undertaking risk-based arrears management

5. Other compliance improvement activities

  • Simplifying the tax procedures
  • Proposing amendments to tax laws to policymakers
  • Expanding taxpayer facilitation activities
  • Initiating pilot audits of income tax - Introducing cash refund program
  • Publication of compliance treatment outcomes

Additionally, we will continue our routine programs of detecting and deterring non-compliance through our risk assessments and treatment strategies. 

 

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