MIRA warns it may lose technical staff after budget cuts

The Maldives Inland Revenue Authority (MIRA) has warned that challenges in retaining technical staff have intensified and that the authority may face a severe shortage of professionals if it continues to operate under the current budget.

The Finance Ministry allocated MVR 4.1 million to MIRA in the budget submitted to Parliament. The allocation reflects reductions of:

MIRA sent a letter to the Parliamentary Budget Review Committee expressing concern over the cuts. Senior officials were summoned before the committee on Saturday.

Commissioner General of Taxation Hassan Zareer told the committee that MIRA has continued to perform its duties despite existing challenges, but warned that the authority’s performance could deteriorate if staffing issues are not resolved.

He said staff turnover is high and that audit teams often lose members before completing ongoing work.

“Our audits take four to five years. By the second year, the entire audit team may have changed. Then we have to start the audit process again,” Zareer said.

He said the MVR 3 million removed from the budget represents the salaries of 43 positions that are mandatory but currently vacant.

“I cannot say how many staff members will remain next year. If this continues, MIRA may run out of technical staff,” he said.

Zareer said the Maldives Monetary Authority had recommended strengthening tax collection as a means to increase revenue, but this required retaining skilled staff.

He noted that the online tax system is maintained internally by MIRA employees, and losing them would make system maintenance difficult.

Zareer also said: