The Maldives Inland Revenue Authority (MIRA) has forwarded the owners of Kani Hotels, the leading guesthouse operator in the Maldives, to the Prosecutor General’s Office for prosecution on charges of alleged tax fraud. The allegations involve four guesthouses located in Maafushi: “Kaani Palm Beach,” “Kaani Grand Seaview,” “Kaani Village,” and “Kaani Beach.” The alleged tax evasion took place between January 2019 and September 2022.
The companies implicated in this case, Kaani Hotels and Tours Private Limited and Asna Investments Private Limited, along with directors Abdulla Nasheed and Aminath Asima Saleem, as well as Aishath Razna, who managed the business accounts, have all been referred for prosecution. MIRA claims that tax audits uncovered an additional $800,000 (13.3 million rufiyaa) owed by Kani Hotels.
Despite these allegations, Kaani Hotels is recognized as the highest tax contributor among guesthouse businesses. In the first four months of this year alone, the company reported earnings of $4.1 million (64 million rufiyaa). Abdulla Nasheed, owner of Kaani Hotels and president of the National Hotels and Guesthouses Association (NHGA), oversees an extensive operation with 490 beds across four hotels. The company is also expanding with a new 350-bed hotel under construction in Aa. Ukulhas and has ventured into resort development with “Bodufinolhu” in V. Atoll.
MIRA’s investigation revealed suspected discrepancies in Green Tax, GST, BPT, and Income Tax filings, suggesting intentional tax evasion. The findings indicate that Kani Hotels-related businesses failed to report all guest information to MIRA, particularly omitting data on guests booked through foreign tour operators and Free Independent Travelers (FIT).
