Maldives GST Update 2026: The Maldives has amended its GST framework to bring qualifying inbound tourism products and related agency and booking services supplied by foreign businesses within the Maldives tourism GST system. The provisions apply from 1 October 2026, with the current TGST rate at 17%.
The Maldives has officially changed the way Goods and Services Tax (GST) applies to international companies selling Maldives holidays.
On 31 August 2026, the Eighth Amendment to the Maldives Goods and Services Tax Act was ratified and published, establishing a new framework that brings certain foreign tour operators, overseas travel agents, online travel agencies (OTAs) and offshore booking platforms supplying Maldives tourism products within the Maldives GST system.
The most important date for the international travel trade is:
1 October 2026
For background, see our earlier guide to Maldives GST 2026 for foreign tour operators and travel agents.
From this date, qualifying inbound tourism products and related agency and booking services supplied by businesses without a fixed place of business in the Maldives will be subject to the Maldives’ 17% Tourism Goods and Services Tax (TGST).
For companies selling Maldives holidays internationally, this represents a significant change in taxation, contracting, pricing and compliance.
What Has Changed?
Historically, the Maldives GST framework was largely focused on taxable activities carried out within the Maldives.
The Eighth Amendment introduces a broader destination-based approach.
In simple terms, the tax treatment increasingly considers where the tourism product is consumed, rather than simply where the company selling it is established.
Therefore, being incorporated or operating outside the Maldives does not automatically place a business outside the Maldives GST framework when it sells qualifying Maldives tourism products.
Under the amended legislation, services can be treated as supplied in the Maldives where they involve:
- an inbound tourism product
- agency services relating to an inbound tourism product; or
- booking services relating to an inbound tourism product.
This can apply even where the supplier does not maintain a fixed place of business in the Maldives.
What Is an “Inbound Tourism Product”?
The Eighth Amendment defines an inbound tourism product as:
Accommodation, meals, transport or any other tourist activity in the Maldives.
This is an important definition because it potentially covers a large part of the traditional Maldives holiday package.
For example, a Maldives itinerary may include:
Resort accommodation + meals + domestic flight or seaplane + speedboat transfer + excursions or other tourism activities.
International businesses selling or arranging these products should therefore review whether their activities fall within the new GST framework.
Which Foreign Companies Could Be Affected?
The changes are particularly relevant to businesses outside the Maldives involved in selling or arranging Maldives tourism products, including:
- foreign tour operators
- overseas travel agencies
- online travel agencies
- offshore booking platforms
- companies packaging Maldives accommodation with transfers or other services
- agents providing booking services connected with Maldives tourism products.
The important point is that physical presence outside the Maldives does not by itself determine whether the transaction falls outside Maldives GST.
Businesses should examine the actual nature of the Maldives products they sell and their contractual relationships with Maldivian suppliers.
What Is the Maldives Tourism GST Rate?
The current Tourism Goods and Services Tax rate in the Maldives is:
Maldives GST for Foreign Tour Operators — Quick Summary
- Effective date: 1 October 2026
- Tourism GST rate: 17%
- Authority: Maldives Inland Revenue Authority (MIRA)
- Potentially affected: Foreign tour operators, travel agents, OTAs and booking-service providers
- Relevant products: Maldives accommodation, meals, transport and other tourist activities
- Action: Review GST registration, contracts, margins, pricing and accounting structure before implementation.
17% TGST
The Maldives Inland Revenue Authority (MIRA) confirms that the tourism-sector GST rate increased from 16% to 17% from 1 July 2025.
Under the Eighth Amendment, qualifying inbound tourism products and related agency and booking services supplied by persons without a fixed place of business in the Maldives become subject to this tourism GST rate from 1 October 2026.
This means international travel businesses selling Maldives products should not treat 1 October as simply an accounting deadline. Pricing, contracting and reservation systems may need to be reviewed beforehand.
Is GST Charged on the Entire Holiday Selling Price?
This is one of the most important provisions for foreign tour operators.
The Amendment establishes a specific method for determining the taxable value of an inbound tourism product supplied by a person without a fixed place of business in the Maldives.
Where the customer pays money for the product, the legislation essentially calculates the taxable value by reference to the consideration received from the customer, after reducing it by consideration payable to a Maldives GST-registered person in relation to that inbound tourism product, with the applicable GST then taken into account.
This provision is particularly important for businesses purchasing Maldives services from registered local suppliers and reselling those services internationally.
Foreign companies should therefore carefully review:
Customer Selling Price → Amount Payable to Maldives GST-Registered Supplier → Remaining Taxable Value → Applicable TGST
The precise treatment will depend on the transaction and contractual structure, and companies should obtain professional tax advice where necessary.
Important: Foreign Suppliers Cannot Set Off Input GST
Another significant provision specifically affects suppliers without a fixed place of business in the Maldives.
Under the new amendment, where such a person supplies an inbound tourism product, input tax cannot be set off against that person’s output tax.
This makes the structure of contracts, supplier payments, margins and pricing particularly important for foreign operators.
GST Registration Requirements
The amended GST Act also revises the registration provisions.
Persons supplying tourism goods and services specified under Section 15 fall within the registration requirements.
The legislation provides a 30-day registration period for persons who meet the relevant conditions following commencement of the amendment, while persons commencing qualifying taxable activities subsequently must apply within the applicable statutory period.
Foreign businesses selling Maldives tourism products should therefore not wait until their first post-October booking to consider compliance.
They should assess their position before the new charging provisions take effect.
Example: Overseas Tour Operator Selling a Maldives Holiday
Assume an overseas tour operator sells a Maldives holiday package containing a resort stay, transfers, meals and activities. Operating and collecting payment outside the Maldives does not automatically place the transaction outside the Maldives GST framework.
Customer selling price − relevant consideration payable to qualifying Maldives GST-registered suppliers = amount relevant to the applicable taxable-value calculation. The actual calculation must follow the legislation and MIRA regulations.
Example provided for general explanation only. Actual GST treatment depends on the transaction and contractual structure.
What Should Foreign Tour Operators Do Before 1 October 2026?
International companies selling Maldives holidays should begin a structured review now.
1. Identify Maldives Transactions
Review every Maldives product sold by the company, including accommodation, meals, transfers, excursions and other tourism services.
2. Review Your Contracting Structure
Identify who contracts with:
- the resort
- the Maldives DMC
- the traveller
- the transport provider; and
- other tourism suppliers.
The contractual chain may be highly relevant to the GST treatment.
3. Identify GST-Registered Maldives Suppliers
Determine which Maldives suppliers involved in the transaction are registered for GST and ensure documentation is properly maintained.
4. Review Markups and Margins
Foreign tour operators should model the effect of the new GST rules on their existing margins.
A package that remains profitable under the current commercial structure may produce a different result once the new rules apply.
5. Review Contracts for Winter 2026/27
This is particularly important.
Many Maldives winter contracts and bookings may already have been negotiated before the new GST framework takes effect.
Businesses should review:
- existing confirmed bookings
- quotations
- prepaid bookings
- cancellation and amendment terms
- tax clauses
- net versus gross rates; and
- contracts covering travel after 1 October 2026.
6. Update Booking and Accounting Systems
Systems may need to distinguish between:
- Maldives tourism products
- amounts payable to Maldives GST-registered suppliers
- agency or booking services
- taxable values; and
- GST collected and payable.
7. Follow MIRA’s Implementing Regulations
The Amendment requires necessary regulatory changes arising from the new law to be formulated and published in the Government Gazette within 30 days.
Foreign operators should therefore closely monitor further guidance from the Maldives Inland Revenue Authority.
Why Is the Maldives Introducing This Change?
The reform implements what is commonly known as the destination principle.
The underlying concept is straightforward:
When tourism products are consumed in the Maldives, the tax system should be able to capture the relevant value associated with that Maldives tourism transaction—even when part of the commercial activity takes place overseas.
The Government’s 2026 budget documentation had already identified fuller implementation of the destination principle as a measure expected to allow TGST to be collected from tourism services provided by offshore travel agents and booking platforms.
The reform therefore represents a structural change rather than simply another increase in the TGST rate.
What Does This Mean for Maldives DMCs?
The new framework may also make the relationship between foreign tour operators and established Maldives destination management companies increasingly important.
A Maldives DMC can provide local contracting, reservations, transfers, resort coordination, destination support and operational infrastructure within one established destination-side relationship.
For international partners, the question is therefore no longer simply:
“What is my Maldives hotel rate?”
The more important question may become:
“What is the most efficient, compliant and commercially sustainable way to structure my Maldives business?”
Working with an established Maldives DMC can simplify destination operations, although every foreign company’s GST obligations should still be assessed according to its own contractual and commercial structure.
Selling Maldives Holidays? Your Local Structure Now Matters More
The GST changes make destination-side contracting, documentation and operational structure increasingly important. Lets Go Maldives works with international tour operators and maintains direct relationships across the Maldives tourism industry.
Partner With Lets Go Maldives or discuss your Maldives business with our team.
Frequently Asked Questions
Do foreign tour operators have to pay GST in the Maldives?
Under the Eighth Amendment to the Goods and Services Tax Act, qualifying inbound tourism products and related agency and booking services supplied by persons without a fixed place of business in the Maldives are brought within the Maldives tourism GST framework.
The relevant charging provision applies from 1 October 2026.
What is the Maldives TGST rate in 2026?
The Maldives Tourism Goods and Services Tax rate is 17%.
When does the new GST treatment for foreign tourism businesses begin?
The amendment itself was ratified and published on 31 August 2026. The provision applying TGST to qualifying inbound tourism products and related agency and booking services supplied by persons without a fixed place of business in the Maldives applies from 1 October 2026.
Does the law apply only to Booking.com-style OTAs?
No. The scope is broader than large online booking platforms.
It can be relevant to foreign tour operators, overseas travel agencies and other businesses supplying qualifying inbound Maldives tourism products or related agency and booking services.
What counts as an inbound Maldives tourism product?
The legislation defines an inbound tourism product as accommodation, meals, transport or any other tourist activity in the Maldives.
Can being based overseas automatically exempt a tour operator?
No.
The new provisions specifically address inbound tourism products supplied by persons who do not have a fixed place of business in the Maldives.
Should foreign tour operators change their Maldives prices?
Businesses should first review their contracts, supplier structure, taxable value, margins and GST obligations.
The commercial impact will differ depending on how the Maldives product is contracted and sold.
Where can companies obtain official information?
Companies should refer directly to the Maldives Inland Revenue Authority (MIRA), the Goods and Services Tax Act and its amendments, MIRA regulations, rulings and official guidance.
A Major Change for the International Maldives Travel Trade
The Maldives has built one of the world’s most internationally distributed tourism industries.
A holiday may be consumed entirely in the Maldives while being marketed, packaged, booked and paid for thousands of kilometres away.
The Eighth Amendment represents an important shift in how the Maldives approaches that economic reality.
From 1 October 2026, foreign companies selling qualifying Maldives tourism products will need to look beyond resort rates and availability.
Tax structure, contracting, compliance and destination partnerships will become increasingly important parts of selling the Maldives successfully.
For foreign tour operators, travel agencies and travel companies planning to grow their Maldives business, now is the time to review their operating structure rather than waiting until the new rules begin to affect transactions.
Official source: Maldives Inland Revenue Authority (MIRA), Eighth Amendment to the Goods and Services Tax Act, published 31 August 2026.
Disclaimer: This article provides general information for travel-industry partners and should not be treated as tax, accounting or legal advice. Businesses should consult MIRA and/or a qualified Maldives tax adviser regarding their individual obligations.
Official Sources
- Maldives Inland Revenue Authority (MIRA)
- Goods and Services Tax Act
- Eighth Amendment to the Goods and Services Tax Act
- MIRA GST guidance and regulations
Last reviewed: 31 August 2026
Disclaimer: This article is provided for general information for international travel-industry partners. It does not constitute legal, tax or accounting advice. Businesses should review their individual circumstances with MIRA and/or a qualified Maldives tax professional.