MIRA withdraws tax fraud prosecution against Kaani Hotels
Kaani Hotels communicated to MIRA that the inaccuracies in its tax returns were the result of calculation errors.
Maldives Inland Revenue Authority (MIRA) has withdrawn its prosecution against Kaani Hotels for alleged tax fraud and signed an instalment agreement with the company.
In a statement issued on the 11th of last month, MIRA alleged that four guesthouses operated by Kaani Hotels in K. Maafushi had included inaccurate information in their green tax, GST, BPT, and income tax returns filed with the authority between January 1, 2019, and September 30, 2022.
The Prosecutor General’s Office (PGO) had been requested to file charges against the company for tax fraud.
However, MIRA has now requested the withdrawal of the case.
Sources confirmed that MIRA asked the PGO not to proceed with criminal charges following discussions with Kaani Hotels. Details include:
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Kaani Hotels communicated to MIRA that the inaccuracies in its tax returns were the result of calculation errors.
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An agreement was reached to settle the outstanding taxes through an instalment plan over several months.
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The company agreed not to disclose the terms of the agreement to protect its private information.
Neither MIRA nor the Prosecutor General’s Office has commented on the matter.
The alleged tax fraud case involved Kaani Hotels and Tours Pvt Ltd and Asna Investments Pvt Ltd, both companies engaged in the guesthouse business. Directors of Kaani Hotels, Abdulla Nasheed and his wife Aminath Asima Saleem, were named in the case.
Nasheed also serves as the President of the National Hotels and Guesthouses Association (NHGA). Additionally, Aishath Razuna, who oversaw the company’s accounts, was implicated.
Kaani Hotels:
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Operates four city hotels in Maafushi with a total of 490 beds.
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Currently constructing a 350-bed hotel in AA. Ukulhas.
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Leased the largest lagoon in Vaavu Atoll for a resort development.
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Reported revenue of $4.1 million (MVR 64 million) during the first four months of last year.
