MIRA Files Tax Fraud Charges Against Kaani Hotels Officials

The Maldives Inland Revenue Authority (MIRA) has submitted charges of tax fraud against senior officials of Kaani Hotels, a prominent local tourism brand, to the Prosecutor General’s Office.  

The allegations pertain to fraudulent tax practices related to four guesthouses operated by Kaani in Kaafu Atoll Maafushi: Kaani Palm Beach, Kaani Grand Sea View, Kaani Village, and Kaani Beach. The charges cover the period from January 2019 to September 2022.  

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MIRA is seeking prosecution against Abdulla Nashid and Asima Saleem, directors of Kaani Hotels and Tours Pvt Ltd and Asna Investment Pvt Ltd, as well as Aishath Razna, who managed accounts for the businesses. According to MIRA, audits revealed that Kaani Hotels owed MVR 13.3 million in taxes, which had not been paid.  

MIRA stated that its investigation was prompted by inconsistencies in the company’s green tax, Goods and Services Tax (GST), Business Profit Tax (BPT), and income tax submissions. The inquiry revealed discrepancies, including the omission of information on guests booked through foreign tour operators and Free Independent Travelers (FIT).  

Kaani Hotels is a leading contributor among local guesthouse operators, generating USD 4.1 million in revenue during the first quarter of 2024 alone. The company operates 490 beds across its four guesthouses and is expanding its portfolio, with a 350-bed hotel under construction in Alif Alif Atoll Ukulhas. Additionally, Kaani has been awarded Bodufinolhu sandbank in Vaavu Atoll for resort development.  

Abdulla Nashid, owner of Kaani Hotels, is also the President of the National Hotels and Guesthouse Association.