Maldives Thursday introduced withholding tax on booking commission paid to non resident online travel agencies.
Maldives Inland Revenue Authority (MIRA) said a 10 percent withholding tax would be charged for commission paid or payable to any non resident online travel agencies with effect from next year.
"In this regard, commission paid or payable to non-resident operators of online travel agencies (OTAs) would be subject to withholding tax, regardless of the payment arrangement between the OTA and the tourist establishment," the circular from MIRA read.
