Maldives Capital Gains Tax Guide: 0% CGT 2026
The Maldives does not impose a separate capital gains tax (CGT). Gains from the sale of all assets — including real estate, shares, securities, cryptocurrencies, and personal property — are not subject to any capital gains tax for either residents or non-residents. Here is how capital gains taxation works in the Maldives in 2026.
Capital gains taxation in the Maldives is straightforward: there is none. The Maldives has no separate capital gains tax, and gains on the disposal of assets are not treated as ordinary income for most taxpayers. The only exception is for businesses that deal in assets as part of their trade — such gains may be treated as business income subject to BPT at 15%. For individuals and passive investors, all capital gains are completely tax-free. Property transfer costs →
Real-world example: An individual buys a residential property in Malé for MVR 5,000,000 and sells it 2 years later for MVR 7,000,000. Gain: MVR 2,000,000. CGT: MVR 0. An investor buys shares in a Maldivian company for MVR 1,000,000 and sells for MVR 3,000,000. CGT: MVR 0. A cryptocurrency investor trades Bitcoin for a profit of MVR 500,000. CGT: MVR 0. Compare this to India (LTCG 10% above INR 1L, STCG 15%), Sri Lanka (10-30% depending on asset), and UAE (0% but with corporate tax on gains for businesses). The Maldives offers a true 0% CGT environment. Investment income →
Capital Gains Tax Rates
- Real estate: 0% — no CGT on gains from property sales regardless of holding period
- Shares and securities: 0% — gains on sale of shares, bonds, and other financial instruments are tax-free
- Cryptocurrency: 0% — gains on crypto assets are not subject to CGT (may be business income if trading as a business)
- Personal assets: 0% — gains on sale of personal property, vehicles, collectibles
- Business assets: Gains on disposal of business assets may be treated as ordinary business income and subject to 15% BPT
The 0% CGT applies to both residents and non-residents. There is no distinction based on holding period, asset type, or taxpayer status. The Maldives is one of the very few jurisdictions with a complete absence of capital gains taxation.
Business vs. Investment Distinction
While passive capital gains are tax-free, there is an important distinction for business activities:
- Passive investment: Buying and holding assets for appreciation — gains are capital in nature, 0% tax
- Property development business: A company or individual regularly buying, developing, and selling property — profits are business income subject to 15% BPT
- Securities trading business: A company whose business is trading securities — gains are business income subject to 15% BPT
- Incidental gains: One-off gains by non-dealers are capital in nature and tax-free
MIRA provides guidance on distinguishing between capital gains (tax-free) and business income (BPT-liable) based on frequency, intention, and organization of the activity.
Exemptions and Reliefs
Since the base rate is 0%, there are no specific exemptions or reliefs needed. Key points:
- No holding period: Unlike countries that require a minimum holding period for reduced rates, the Maldives has 0% CGT from day one
- No primary residence exemption needed: All property sales are tax-free regardless of use
- No reinvestment relief needed: No requirement to reinvest proceeds to defer tax
- Non-residents: Same 0% rate applies — non-residents pay no CGT on Maldivian assets
Do non-residents pay CGT in the Maldives?
No. Non-residents selling Maldivian assets (real estate, shares, etc.) pay 0% CGT, the same as residents. There is no additional withholding or reporting requirement for non-residents on capital gains.
Is CGT on shares really 0%?
Yes. The Maldives does not tax capital gains on shares, bonds, or securities for any taxpayer — resident or non-resident, listed or unlisted. This makes the Maldives an ideal jurisdiction for holding and trading investments.
How are property gains reported?
For individuals, no reporting is needed for capital gains on property. However, the property transfer itself must be registered with the relevant authorities, and a transfer tax (based on square footage, not gain) is paid at the time of registration.