ATOR Urges Maldives to Exempt Russian Tour Operators from 17% Tax

AOR sent a letter to the Maldivian authorities regarding a tax for Russian tour operators.

Consensus

ATOR sent an official letter to the Maldives Ministry of Tourism and Aviation.
The new 17% GST tax on goods and services applies to foreign tourism service providers, including those without a local presence.
The tax is effective from October 1.
Russian tour operators already pay taxes in Russia on their margins.
ATOR considers the new tax mechanism unacceptable due to double taxation.
ATOR requested that the Maldives exclude Russian tour operators' margins from the tax scope.
ATOR asked the Russian Minister of Economic Development, Maxim Reshetnikov, to conduct consultations with Maldives.
The tax may reduce the competitiveness of Maldives as a tourist destination and decrease tourism flow.

The tax applies to foreign operators selling or reselling tourism services on the islands, requiring registration in the local GST system. — kommerstant
The tax is calculated on the difference between the amount received from tourists and the cost of the tourism product purchased from a GST-registered supplier. — vedomosti
Having a local receiving company (DMC) does not exempt a Russian tour operator from registration. — vedomosti
The tax is effective from October 1. — vesti
The tax applies to profit of foreign tour operators, and the tax authority would need access to Russian financial records for verification. — kommerstant
The 17% GST rate does not automatically lead to a price increase in tours. — vedomosti