When certain conditions are met, EWT is imposed on remuneration (salaries, wages, directors fee, etc.) earned by individuals. The EWT mechanism ensures that individuals who earns, remuneration from a sole employer as the only income of the year, pays an amount as tax to MIRA which is not less than the actual amount of tax payable by that person for that tax year, without having to file a tax return by that individual.
| Remuneration subject to withholding tax [Tax brackets] (per month) | Tax rate |
| Not exceeding MVR 60,000 | 0% |
| More than MVR 60,000 but not exceeding MVR 100,000 | 5.5% |
| More than MVR 100,000 but not exceeding MVR 150,000 | 8% |
| More than MVR 150,000 but not exceeding MVR 200,000 | 12% |
| More than MVR 200,000 | 15% |
Your employer will register you under the ITA where you are required to register based on your remuneration. Even if your employer is not required to register you, you may have to register under the ITA if you have other sources of income.