State revenue observes 25.4% drop in August 2021

According to the latest updates from Maldives Inland Revenue Authority (MIRA), state earned a total of MVR1.27 billion in August 2021.

Moreover, the taxation and revenue authority notifies that the state earned a total of 36.92 million in USD.

State earnings for the review month observed a decline of 25.4% in comparison with the same month in 2020. As per MIRA, this decline is reflected in the drop in the collection of Income Tax in the review period.

Due to the Covid-19 impact, the reported profitability for the tax year 2020 declined significantly which in turn drove down the Income Tax collection.

In addition to this, the revenue earned to state in August 2021 is also 3.0% below initial projections for the month.

MIRA reports this decline comes due to the drop in Income Tax collection along with the decline in GGST, Airport Development Fee and Airport Service Charge collections.

Revenue compositions confirm 53.8% of the total came through GST and 24.0% came through Income Tax with another 5.9% from Green Tax. Meanwhile, revenue earned in USD include 63.6% of the total coming from TGST, 13.4% from Green Tax and 5.9% each from Airport Development Fee and Airport Service Charge.

Furthermore, the tax revenue total for August 2021 stood at MVR1,108.3 million (MVR1.1 billion) and the non-tax revenue total stood at MVR165.4 million.