Implication of GST increase on Islamic finance offered by private companies
Pursuant to the sixth amendment to the Goods and Services Tax (GST) Act, the rate of tourism sector GST and general sector GST will increase to 16% and 8% respectively from the 1st January 2023. As such, the Maldives Inland Revenue Authority (MIRA) has released a circular on the 24th November 2022 informing that GST must be charged at the new rates if the 'time of supply' of a transaction occurs on or after the 1st January 2023. MIRA also advised to take the necessary action to bring any system changes beforehand that may be required to charge GST at the new rates, and to have a ready arrangement to display the prices of goods and services inclusive of the new rates.
Goods and Services Tax (GST) , Implication , Islamic finance
Muneeza, A. (2022). Implication of GST increase on Islamic finance offered by private companies. Islamic Finance News, 19(49), 16.