Mauritius offers a simple and business-friendly tax system with a flat 15% corporate and personal income tax rate. The country follows a territorial tax regime, meaning individuals are only taxed on Mauritius-sourced income or foreign income remitted to the country. With no gift, inheritance, or wealth taxes, Mauritius provides an attractive environment for both residents and businesses. Strong anti-avoidance measures, a wide network of Double Tax Treaties (DTTs), and adherence to international transparency agreements reinforce its reputation as a compliant and investment-friendly jurisdiction.
Mauritius’ Tax System overview
| Corporate Income Tax: | 15% |
| Personal Income Tax: | 15%, progr. |
| Gift Tax: | None |
| Inheritance Tax: | None |
| Wealth Tax: | None |
Legal System
The legal system in Mauritius is based on the French Napoleonic Code and English Common Law.
Territorial Taxation Regime
Mauritius applies the tax principle of territoriality for individuals, and income tax is levied on Mauritian source income only, and foreign sourced income which is remitted to Mauritius.
Corporate Income Tax
Corporations incorporated in Mauritius, and foreign corporations with centrally managed or controlled from Mauritius, are taxed on their worldwide income at 15%.
Personal Income Tax (PIT)
Mauritius resident individuals are taxed on Mauritius local source income at progressive rates up to 15%. A solidarity tax of 25% will apply on income over MUR 3MM.
Anti-Avoidance Rules
Mauritius has General Anti-Avoidance Rules. Mauritius does not have specific Transfer Pricing and Thin Capitalization rules. Mauritius has Controlled Foreign Corporation (CFC) rules for corporations.
Controlled Foreign Corporations (CFCs)
A CFC is a non-resident corporation which is more than 50% owned by a Mauritian resident corporation, directly or indirectly, and which has a tax rate of 50% or less than the applicable rate in Mauritius. CFC rules apply where the tax authorities determine that the undistributed income of the CFC arises from “non-genuine” arrangements entered into for tax purposes. If the CFC rules are applied, the undistributed income of the CFC is imputed to the Mauritius resident shareholder.
Double Tax Treaties (DTTs)
Mauritius has DTTs with Barbados, Botswana, Congo, Cyprus, Egypt, Kuwait, Luxembourg, Madagascar, Malaysia, Malta, Mozambique, Namibia, Oman, Qatar, Rwanda, Senegal, Singapore, South Africa, Sri Lanka, Uganda, United Arab Emirates, United Kingdom, Zambia, and Zimbabwe.
Foreign Investment Protection
Mauritius has agreements with a number of jurisdictions for the protection of foreign investments that provide for international arbitration in the event of nationalization or expropriation, including with Barbados, Burundi, Congo, Egypt, Kuwait, Luxembourg, Mozambique, Senegal, South Africa, Switzerland, Tanzania, United Arab Emirates, the United Kingdom, and Zambia.
OECD Multilateral Convention
Mauritius is a signatory to the Multilateral Convention on Mutual Administrative Assistance in Tax Matters. The Convention requires signatories to exchange information “on request,” and authorizes spontaneous and automatic exchange.
Common Reporting Standard (CRS)
Mauritius has signed the Multilateral Competent Authority Agreement (MCAA) for the automatic exchange of financial account information under CRS, has implemented domestic enabling legislation, and has a number of activated relationships.
FATCA
Mauritius has a FATCA Model 1 IGA with the United States for the automatic exchange of account information.
