# Maldives parliamentary tax penalty amendments

> Live situation record from CLSTR: https://clstr.news/situations/maldives-parliamentary-tax-penalty-amendments
> Updated: 2026-08-25T13:46:58.000Z. Sources: 2. Developments: 2.

The Maldives Parliament’s Economic Affairs Committee has approved amendments to the Tax Administration Act to increase penalties for tax-related offenses. The proposed changes seek to classify the intentional failure to file tax returns as tax evasion and expand the definition of evasion to include providing incorrect information or inaccurate financial statements.

Under these provisions, the maximum prison sentence for intentional tax evasion would increase from one year to two years. For failing to submit a tax return, the amendment proposes replacing house arrest with imprisonment for one to six months, alongside potential fines of up to MVR 50,000. Additionally, the daily charge for late tax payments would double from 0.05 percent to 0.1 percent. The bill requires full parliamentary approval and ratification before implementation.

## Timeline

### 2026-08-25: Maldives Parliament Committee approves harsher tax evasion penalties

Maldives' Economic Affairs Committee has unanimously approved amendments to increase prison terms for tax evasion to two years and double daily penalties for late tax payments.

2 sources. https://clstr.news/cluster/maldives-parliament-committee-approves-harsher-tax-evasion-penalties

### 2026-08-22: Maldives Parliament committee approves fines for black-market rate reporting

The Maldives Parliament's Finance Committee approved amendments to fine media and businesses up to MVR 500,000 for reporting black-market foreign exchange rates.

2 sources. https://clstr.news/cluster/maldives-parliament-committee-approves-fines-for-black-market-rate-reporting

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Cite as: Maldives parliamentary tax penalty amendments. CLSTR, https://clstr.news/situations/maldives-parliamentary-tax-penalty-amendments