Maldives Inland Revenue Authority MIRA has requested the Prosecutor General's Office to file charges against the owners of Kaani Hotels for tax fraud.
The hotel chain operates four guest houses in Kaafu Maafushi including "Kaani Palm Beach", "Kaani Grand Sea View", "Kaani Village", and "Kaani Beach".
The owners of the hotel chain are being charged with intentional tax fraud.
MIRA has alleged that during the tax period between 01st January 2019 to 1st September 2022, the four guest houses included false information in their tax returns intending to commit tax evasion.
MIRA said that the tax returns filed by the business related to Kani Hotels do not include the details of all the guests coming to the business.
The investigation revealed that the information and income of guests coming through foreign tour operators and as free independent travelers (FITs) were not reported.
It also said that in addition to accommodation income, the majority of income from "extras" services provided by the business such as airport transfers, restaurants, spas, and excursions have not been included in the returns filed by these entities.
The tax audits have revealed that Kani Hotels owes $800,000 (MVR 13.3 million) more.
