A Maldives room rate carries a 10% service charge, 17% TGST and Green Tax. TGST is charged on the service charge too, so the percentages come to 28.7%, not 27%.
How it is worked out
- Service charge is 10% of the room rate.
- TGST is 17% of the room rate plus the service charge.
- Green Tax is added last. It is a fixed amount per guest per day, with no TGST on it.
A worked example
| Room rate | USD 100.00 |
|---|---|
| Service charge 10% on 100.00 | USD 10.00 |
| TGST 17% on 110.00 | USD 18.70 |
| Green Tax, 2 guests x 1 night at 6.00 | USD 12.00 |
| Total | USD 140.70 |
What to watch for
- Green Tax is USD 6 per guest per day at guesthouses and hotels with up to 50 rooms on inhabited islands, and USD 12 at resorts and everywhere else.
- Children under 2, Maldivians and resident permit holders are exempt. Anything over-collected has to be refunded to the guest or paid to MIRA.
- Green Tax runs in 24-hour blocks from check-in. The check-out block counts if the guest stays 12 hours or more of it, so a late flight can add a day.
Doing this in Zitlin
Pick the Service Charge + TGST tax on your room types, add-ons and dishes, then set your Green Tax add-on to charge per guest per night. Each room then gets its own Green Tax line, and TGST prints as charged on the price plus the service charge. The desk corrects exempt guests and late check-outs by hand.
Frequently asked questions
Is TGST charged on the service charge in the Maldives?
Yes. MIRA's GST regulation taxes a service charge at the same rate as the supply it is charged on. On USD 100 that is USD 10 service charge and USD 18.70 TGST, a total of USD 128.70. Some travel guides show USD 127, which leaves the service charge untaxed.
What is the Green Tax rate?
USD 6 per guest per day at guesthouses and hotels with up to 50 rooms on inhabited islands, and USD 12 at resorts and other establishments, since 1 January 2025. No GST is charged on it.
Does Zitlin work this out on the invoice?
Yes. Zitlin charges TGST on top of the service charge and adds Green Tax per guest per night to room invoices. The desk corrects exempt guests and late check-outs. Invoicing is on the free plan.
Sources
Checked November 2026. This is a guide rather than tax advice, and rates change. Confirm yours with the Maldives Inland Revenue Authority (MIRA) or your accountant.