Maldives Employer Registration & Payroll Tax Guide 2026
Maldives Employer Registration & Payroll Tax Guide 2026
(Tax Withholding, Pension Contributions & Payroll Compliance — Powered by Formix)
Employers in the Maldives must not only comply with labour laws but also register for and manage local payroll taxation and contributions under the Income Tax Act and pension regulations. This guide outlines the key compliance requirements for 2026.
Employer & Employee Tax Registration
Under the Maldives Income Tax Act, employers must register themselves and their employees within a specified timeframe once remuneration is first paid in the Maldives. Registration typically must occur within 30–60 days of starting business or employment.
Employee Withholding Tax (EWT)
Maldives uses an Employee Withholding Tax (EWT) system, where employers deduct tax from employees’ salaries before payment and remit it to the Maldives Inland Revenue Authority (MIRA). Employers must register with MIRA for this purpose and file periodic reports.
The progressive EWT bands commonly applied (monthly remuneration) are roughly:
0% for MVR ≤ 60,000
5.5% for MVR 60,001–100,000
8% for MVR 100,001–150,000
12% for MVR 150,001–200,000
15% for remuneration above MVR 200,000
Maldives Retirement Pension Scheme (MRPS)
Both employers and employees contribute to the Maldives Retirement Pension Scheme. The employer contributes 7% of wages, and the employee also contributes 7%, totaling 14% of pensionable earnings.
Payroll Reporting & Deadlines
Employers must remit:
EWT deductions and pension contributions monthly, typically by the 15th of the following month
Annual reporting thereafter, in line with MIRA requirements Employers must maintain payroll records for at least five years.
GST & Business Tax Registration
Maldives imposes a Goods and Services Tax (GST) on businesses whose operations exceed certain thresholds. Standard GST rates include about 8% for general goods/services and 16% for tourism‑related services.
Compliance Risks
Non‑remittance of tax or pension contributions can lead to penalties, interest, and audits by MIRA.
Formix Advantage:
Formix is the best payroll, tax and payroll compliance partner in the Maldives. We handle tax registration, EWT withholding, pension contributions, remittances, and reporting so your business stays fully compliant without administrative burden.