The Board of Directors of Dhivehi Raajjeyge Gulhun Plc approved to pay out Maldivian Rufiyaa 2.07 per ordinary share as Interim Dividend for the financial year 2020, payable to all shareholders listed in the company’s register as at 4:00 pm on 11 August 2020. This information had been announced on the company’s official website for the shareholders’ information.

Section 55(a)(4) of the Income Tax Act (Law No. 25/2019), which came into effect on 01 January 2020, requires the Company to deduct 10% from any dividends paid to “Non-Resident” shareholders as defined in the Act. Section 55(c)(1) of the Act further states that if at the time of dividend payment it cannot be determined whether or not the shareholder who receives the payment is resident in the Maldives (as defined in the Act), it shall be deemed that the shareholder is not a resident in the Maldives; and requires the Company to deduct a non-resident withholding tax of 10% from any dividend paid to such shareholders.

Accordingly, in order to determine whether or not, a shareholder is resident in the Maldives as defined in the Act before paying out the interim dividend 2020, all shareholders are required to update their residency status as determined under Section 79(kk), 79(II) and 79(mm) of the Act by 14 December 2020 by;

1. Updating their residency status online through their infinity account in Maldives Security Depository (MSD); (log into infinity.mv, go to profile tab and select contact information page and update the residency status as applicable); or 
2. Submitting a completed “Shareholder Information Form” (as annexed with this announcement), which is also available here, to Dhiraagu Head Office, addressed to Investor Relations or via Email to [email protected].

Any dividends paid to shareholders will be calculated based on the declarations made by the shareholder on their tax residency status in accordance with the requirements as set out above. If any shareholder fails to declare their tax residency before the deadline of 14 December 2020 and in accordance with the requirements set out above, Dhiraagu will deduct 10% of the dividend payable to the shareholder and such amounts will be paid to Maldives Inland Revenue Authority (MIRA) as required by the Income Tax Act.

Hence shareholders are encouraged to declare their tax residency status in accordance with the requirements set out above. Attached with this Announcement for reference, please find Q&A relating to Withholding Tax imposed on Non-Residents in accordance with the Income Tax Act.


Shareholder Information Form
Frequently Asked Questions - English