If you want to do business in Mauritius, this article will educate you on the tax laws for a GBC2 which is the most common company structure in Mauritius.
A GBC Category 2 entity may be used for trading and investment outside Mauritius, and may have restrictions to do business within the country. A GBC2 incorporated in Mauritius is not treated as a resident for tax purposes. Therefore, income accrued outside the country, from our research, but seek professional advice, is not subject to taxation. This ranks Mauritius as 1st when compared to corp. taxation rate internationally.
A GBC2 in Mauritius may be formed by one or more shareholders and one or more directors, who can be individuals or corporations. Secretary may not be required. Minimum paid up capital is US$1. The usual authorized amount may be US$ 100,000. Non-par value shares are allowed. Bearer shares are not allowed. Migration of domicile may be permitted.
Details of directors and shareholders may not be publicly disclosed. A GBC2 may be required to prepare, maintain and file accounts, which may not be publicly accessible. Audit may not be required. There may not be required to file annual returns. GBC2 may be subject to an annual business license fee and a filling accounts fee.
Thin capitalisation standards are not in effect. Thin capitalisation refers to any sort of restrictions on a business and the debt-to-asset ratios. Dividends received by a GBC2 company are tax exempt. Dividends are a distribution of a portion of a company profit, determined by the board, to a class of its shareholders. Dividends can be either stock, cash, or property. Capital Gains are not taxed in Mauritius. A capital gains tax is levied on the profits that a corporation or natural person realizes when they sell sells a capital asset for a price that is higher than the purchase price.
Mauritius does not levy withholding taxes on payments on dividends, interests, royalties or fees made by a GBC2 entity to a non-resident.
The valued added tax rate in Mauritius is 15.00%, which ranks Mauritius as 79th overall with regards to value added tax rate worldwide.
There is no known tax on wealth in Mauritius. There are no known inheritance, transfer or real property taxes in MU.
The above is not tax or legal advice for your particular tax obligations. We are able to refer you to an expert in Mauritius who will advise you. Want to work together? Click incorporate now if you are in a hurry, or press the free consultation button above.
It takes approximately 36 hours to file and prepare documents for a Mauritius Mixed (Civil and Common).
The corporate tax is approximately 0% which is 1 in the world.
Owners of a company in Mauritius are not allowed to carry back a loss .
The vat rate in Mauritius is 15% which ranks 78 in the world.