You pay no income tax on the first MVR 60,000 of taxable pay a month; above that, rates rise from 5.5% to 15%. If you are Maldivian, 7% of your basic salary also goes into your pension, and your employer adds another 7%.
Your employer takes both from your pay before you receive it. The tax is called Employee Withholding Tax (EWT) and is run by the Maldives Inland Revenue Authority (MIRA). Tax on salaries began on 1 April 2020 under the Income Tax Act (Law 25/2019).
Income tax bands for 2026
MIRA's monthly bands for employee withholding tax are below (MIRA). Each rate applies only to the part of your pay that falls inside its band.
| Taxable pay a month | Tax rate |
|---|---|
| Up to MVR 60,000 | 0% |
| Over MVR 60,000, up to 100,000 | 5.5% |
| Over MVR 100,000, up to 150,000 | 8% |
| Over MVR 150,000, up to 200,000 | 12% |
| Over MVR 200,000 | 15% |
The yearly bands are the same figures times twelve: tax-free up to MVR 720,000, then 5.5%, 8%, 12% and 15% above MVR 2,400,000 (MIRA). MIRA works out tax by splitting income across the bands and applying each band's rate.
MIRA's pages show these bands in October 2026. The latest amendment to the Income Tax Act, Law 11/2026 of 31 August 2026, deals with withholding tax on non-resident contractors, not salaries.
What counts as taxable pay
Your taxable pay is your total pay minus your own contribution to the Maldives Retirement Pension Scheme. Total pay includes salary, wages, allowances and benefits, whether paid in cash or not.
Your employer must put a value on non-cash benefits that are not exempt and add them to your pay. MIRA publishes a separate guide on valuing these benefits.
Who withholds it
Your employer works out the tax every month, takes it from your pay and pays it to MIRA. The return (form MIRA 601) and the payment are due by the 15th of the following month, online through MIRAconnect (MIRA).
An employer must register an employee for income tax once their pay averages more than MVR 60,000 a month over 12 months. The same applies if it exceeds MVR 60,000 in two months in a row. The employer must then also register every employee averaging MVR 30,000 a month (MIRA).
Foreign workers and income tax
MIRA's withholding rules apply to employees with no exception for nationality. Residents are taxed on income from anywhere in the world; temporary residents and non-residents are taxed only on income from the Maldives (MIRA).
You are resident if your permanent home is in the Maldives, or you are here for more than 183 days in a 12-month period (MIRA). A foreigner who meets that test is a temporary resident if they stay under the Immigration Act and are not married to a Maldivian.
Pension contributions
Maldivian employees pay 7% of their basic salary into the Maldives Retirement Pension Scheme (MRPS), and their employer pays another 7% (Pension Office). That makes 14% in total. The scheme is set up under the Pension Act (Law 8/2009).
- It is compulsory for local employees aged 16 to 65 and their employers.
- It is optional for foreign employees working in the Maldives and for the self-employed.
- Contributions are worked out on basic salary only, not allowances.
- An employer can choose to pay more than 7%, but no more than 7% can be taken from your salary.
- Your employer collects your share and deposits both shares for you.
The money builds up in your Retirement Savings Account. You can draw it as a pension from age 65, or from 55 if you qualify for early retirement (Pension Office). The Pension Office charges an administration fee, currently 0.5% on savings before retirement and reviewed every year.
You can check your account on the Pension Office's Koshaaru portal or mobile app. The Pension Office is on 1441 and [email protected].
Working out your take-home pay
Take-home pay is your total pay minus your pension contribution and minus the tax on what is left. These examples use the rates above.
| Example | Pension (7% of basic) | Taxable pay | Tax | Take-home |
|---|---|---|---|---|
| Maldivian, basic MVR 15,000 plus MVR 5,000 allowances | MVR 1,050 | MVR 18,950 | MVR 0 | MVR 18,950 |
| Foreign worker not in the scheme, MVR 90,000 | MVR 0 | MVR 90,000 | MVR 1,650 | MVR 88,350 |
| Foreign worker not in the scheme, MVR 160,000 | MVR 0 | MVR 160,000 | MVR 7,400 | MVR 152,600 |
In the third example the tax is 5.5% of MVR 40,000, plus 8% of MVR 50,000, plus 12% of MVR 10,000. In the first example, the employer also pays MVR 1,050 into the worker's pension account.
For pay by job, see advertised pay.
Questions people ask
How much is salary tax in the Maldives?
Nothing on the first MVR 60,000 of taxable pay a month. Above that, 5.5% up to MVR 100,000, 8% up to MVR 150,000, 12% up to MVR 200,000 and 15% on the rest.
Do foreigners pay income tax in the Maldives?
Yes. MIRA's withholding rules make no exception for nationality, so your employer withholds tax on pay above the monthly threshold in the same way. Temporary residents and non-residents are taxed on their income from the Maldives.
How much is the pension contribution in the Maldives?
7% of basic salary from the employee and 7% from the employer. It is compulsory for Maldivian employees aged 16 to 65 and optional for foreign workers.
Is pension deducted before tax?
Yes. MIRA calculates withholding tax on your pay after your own pension contribution is taken off.
Tax rules can change with each budget. Check your own case with MIRA or the Pension Office before you rely on these figures.
Sources
- Maldives Inland Revenue Authority: How to compute Employee Withholding Tax
- Maldives Inland Revenue Authority: Individuals overview and tax rates
- Maldives Inland Revenue Authority: Employee Withholding Tax overview
- Maldives Inland Revenue Authority: Am I required to register my employees
- Maldives Inland Revenue Authority: How to file the EWT return and pay
- Maldives Inland Revenue Authority: Am I a tax resident
- Income Tax Act 25/2019 (Dhivehi), Government Gazette
- Law 11/2026, 2nd amendment to the Income Tax Act (Dhivehi), Government Gazette, 31 August 2026
- Maldives Pension Administration Office: Maldives Retirement Pension Scheme
- Maldives Pension Administration Office: MRPS questions and answers
Checked on 7 Oct 2026. Rules and fees change: check with the official office for your own case. Something out of date? Tell us.