Timo Geldenhuys: Fiscal Advantage is one of the key drivers of why foreigners continue to invest in Mauritius.

The government has been proactive in setting these fiscal benefits to investors coming in and it is one of the main reasons why the Foreign Direct Investments (FDI) flowing into Mauritius are largely supported by the property industry.

It starts with your personal income tax. The Income Tax rate, compared to most of our key markets, is very low. Mauritius has a top income tax rate of 15%. Through Covid-19 there have been a couple of temporary adjustments around that in order to assist in the recovery of the economy. As a result, the top earners will pay around 25% of income tax.

If you base yourself in Mauritius as a fiscal resident and qualify for fiscal residency, (spend more than 183 days per annum in Mauritius), some of the benefits are as follow :

• There are no dividends tax so if you get paid your dividends in Mauritius you pay 0% tax. That is a key driver for why many captains of industry and successful businessmen choose Mauritius as a residential and fiscal location.
• There is no capital gains tax. We have seen a steady increase in terms of property appreciation over the years. I always say that Mauritius is a medium to long-term property investment destination, and at the end of the day when you sell that property, you pay zero capital gains tax.

 These are just a few of the advantages that are available, but the key ones I wanted to point out.

There is no Inheritance Tax in Mauritius. That’s important because your beneficiaries are not going to be taxed on the assets that you hold in Mauritius in the future and hence it gives you peace of mind.

Those are the main fiscal benefits of Mauritius. There is a myriad of other benefits that our advisors and service providers who specialize in the sphere can advise on and we would be happy to point you in the right direction.

If you have any questions about this topic, please contact us at Mauritius Sotheby’s International Realty.