MIRA seeks prosecution of Kaani Hotels for tax fraud
The case surfaced on November 13, 2022, during a routine inspection by MIRA of guesthouses operating in Maafushi.
The Maldives Inland Revenue Authority (MIRA) has requested the Prosecutor General’s Office (PGO) to prosecute Kaani Hotels for alleged tax fraud.
According to MIRA, Kaani Hotels, which operates Kaani Palm Beach, Kaani Grand Seaview, Kaani Village, and Kaani Beach guesthouses in K. Maafushi, submitted false green tax, GST, Business Profit Tax (BPT), and income tax returns for the period between January 1, 2019, and September 30, 2022.
The investigation conducted by MIRA revealed:
-
Intentional actions to evade tax payments.
-
Non-disclosure of income from foreign tour operators and free independent travellers (FITs).
-
Omission of income generated from "extras," including airport transfers, restaurants, spas, and excursions, in tax returns.
Audits indicated that Kaani Hotels owed over $800,000 (approximately MVR 13.3 million) in unpaid taxes.
MIRA has filed cases against:
-
1-
Kaani Hotels and Tours Pvt. Ltd.
-
2-
Asna Investments Pvt. Ltd.
-
3-
Abdulla Nasheed, the President of the National Hotels and Guesthouses Association (NHGA), and his wife, Aminath Asima Salim, who are directors of the companies.
-
4-
Aishath Razuna, responsible for the business's accounts.
As part of the investigation, MIRA conducted searches at the company’s office, seized documents, and recorded statements.
Kaani Hotels operates:
-
Four guesthouses in Maafushi with a combined capacity of 490 beds.
-
A 350-bed hotel under construction in AA. Ukulhas.
-
An island in Vaavu Atoll leased for resort development.
The company recorded a revenue of $4.1 million (approximately MVR 64 million) in the first four months of this year.
The case surfaced on November 13, 2022, during a routine inspection by MIRA of guesthouses operating in Maafushi.
