Maldives Property Investment Taxes Explained | What You Owe and Where

The first layer to unravel is withholding tax. In the Maldives, any rental or service income paid to a non-resident is typically subject to a withholding tax at source. This mechanism ensures the government captures its due share before revenues ever reach your account. Depending on the structure of your agreement and the nature of the services, rates can vary, so it is vital to review your contract terms and anticipate the impact on projected yields.

Yet the plot deepens when you factor in double tax agreements (DTAs). The Maldives has negotiated DTAs with select jurisdictions to prevent the same income from being taxed twice. If your home country enjoys such a treaty, you may qualify for reduced rates or exemptions at the Maldivian level—and secure a tax credit once you report this income back home. The apply-and-claim process may involve specific forms, local certifications, and timely submissions, but the reward is a lower overall tax burden.

On the home-country front, your global earnings never sleep. Whether you reside in the United States, the United Kingdom, or across Europe, most tax authorities require you to declare overseas income. In the US, rental revenues flow onto Schedule E; in the UK, you’ll complete the SA108 form. Every jurisdiction has its own rules on allowable deductions—from property maintenance and management fees to depreciation—so precise record-keeping and professional guidance are indispensable.

Compliance may feel daunting, but it is the foundation of a resilient portfolio. The Maldives Inland Revenue Authority (MIRA) demands annual filings, proof of withheld amounts, and audit-ready records. Should you choose to operate through a special purpose vehicle or local management company, additional corporate returns and filings could apply. These layers of reporting, far from being mere bureaucracy, demonstrate credibility to lenders, partners, and regulators alike.