The government of Maldives has appealed the ruling of Civil court ordering the Maldivian government to pay the taxes owed to the Maldivan state in the Dharumavantha Hospital development project, in High Court.
The government of Maldives has appealed the ruling of Civil court ordering the Maldivian government to pay the taxes owed to the Maldivan state in the Dharumavantha Hospital development project, in High Court.
The ruling was appealed at High Court by the Attorney General’s Office last week.
The 25-storey hospital development project worth USD 140 million (MVR 2.1 billion) was initiated during former President Abdulla Yameen Abdul Qayyoom’s administration, and was contracted to Chinese company, Chung Hwa.
Last year, the company filed a case at the Civil Court claiming that the Goods and Service Tax (GST) owed to the Maldivian state with regards to the project should be paid by the Maldivian government. After reviewing the case, the court ruled in favour of the Chung Hwa, and ordered the Maldivian government to reimburse the MVR 227,000 in taxes paid by the company.
As per the ruling, the agreement made between both parties does not include the GST owed to the government within the total value of the project. As such, the expense of GST falls onto the Maldivian government, said the court.
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