MIRA files tax fraud case against Hope Travels

The Maldives Inland Revenue Authority (MIRA) has filed a case against Hope Travels, operated by Hope Holdings, alleging tax fraud involving undeclared income and unregistered business activities.

Hope Holdings, which provides speedboat ferry services to Shaviyani and Noonu atolls, is accused of intentional tax evasion. MIRA stated that while the partnership was registered for GST, its Hope Travels activity was not registered for a significant period.

According to MIRA, investigations revealed that 89 per cent of the total income from the business was not included in the GST returns submitted. The business allegedly failed to report MVR 54 million in income and over MVR 3 million in GST.

In addition, MIRA said the company’s income tax returns for 2020 and 2021 did not include MVR 29 million as taxable income.

The case has been filed against the Hope Holdings business and two individuals: Shahid Ibrahim Manik, a partner in the business, and Mohamed Ali, a leading businessman.

MIRA said it had searched the company’s office and summoned individuals in connection with the case on criminal offence charges.

The authority said the matter falls under its Tax Crime Mitigation Strategy, which outlines procedures for addressing offences such as tax fraud and deliberate misreporting.

Under the Tax Administration Act, it is an offence to intentionally evade payment of due taxes or to knowingly assist another person in committing such offences.