Mauritius company registration

DOING BUSINESS IN MAURITIUS IN 2022

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Effective 1 January 2019, the Mauritius government abolished the Category 2 Global Business License (GBC2) company, and introduced a new entity, called the Authorized Company (AC). Furthermore, Category 1 Global Business License (GBC1) companies are now simply known as the Global Business Company (GBC).

Compare different Mauritius entities Non-resident company GBC Investment fund CIS fund Limited Liability Partnership
Locally known as Authorized company (AC) Global Business Company (GBC) Investment fund Collective Investment Scheme LLP
Best use of entity? Global trading Holding Company Asset management Portfolio Investments Professional services
License required before invoicing global customers? Yes (Authorized Company License) Yes (GBC license) Yes Yes No
How soon can you invoice Clients/sign sales contracts? 1 month 1 month 6 months 6 months 1 month
How soon can your Firm hire staff? Local staff not allowed 1 month 1 month 1 month 1 month
How soon can you sign a lease agreement? Local lease not allowed 1 month 1 month 1 month Immediately
How long to secure corporate bank account numbers? 2 months 2 months 3 months 3 months 2 months
How long to secure company registration/tax numbers? 3 weeks 3 weeks 3 weeks 3 weeks 2 weeks
How long to secure license certificate? 1 month 1 month 5 months 5 months Not required
Mauritius corporate tax rate on annual net profits? (foreign sourced income) 0% 3% 3% 3% 0%
Mauritius corporate tax rate on annual net profits? (locally sourced income) local trading not allowed 15% 15% 15% 0%
Limited liability entity? Yes Yes Yes Yes Yes
Resident director required? No Yes (at least 2) Yes (at least 2) Yes (at least 2) Yes (at least 2)
Company secretary legally required? Recommended Yes Yes Yes Yes
Management Company required Yes Yes Yes Yes Yes
Minimum/recommended paid up share capital? US$1 US$1 5% of funds raised from investors Depends on license applied for US$1
Our recommended corporate bank account location? ABC Bank MCB Bank One Mauritius Afrasia Bank ABC Bank
VAT payable on sales to local customers? NA 15% 15% 15% 15%

See full table

Accounting and tax considerations Non-resident company GBC Investment fund CIS fund Limited Liability Partnership
Statutory corporate tax payable? (foreign sourced income) 0% 3% 3% 3% 0%
Statutory corporate tax payable? (locally sourced income) local trading not allowed 15% 15% 15% 0%
Legally tax exempt in Mauritius if no locally sourced income? Yes No No No Yes
Must file an annual tax return? Yes Yes Yes Yes No
Must file annual financial statements? Yes (financial summary) Yes Yes Yes Yes (statement of income)
Must always appoint an auditor? No Yes Yes Yes No
Can have access to Access to Mauritius DTAAs? No Yes Yes Yes No
Withholding tax on dividends to foreign shareholders? None None None None None
Entity registration considerations Non-resident company GBC Investment fund CIS fund Limited Liability Partnership
Resident director/partner/manager/legal representative required? No Yes Yes Yes Yes
Management Company required Yes Yes Yes Yes Yes
Appointment of a local company secretary required? No but Recommended Yes Yes Yes Yes
Minimum number of shareholders/partners? 1 1 1 1 2
Minimum number of directors/managers? 1 2 2 2 1
Minimum/recommended paid up share capital? US$1 US$1 5% of funds raised from investors Varies across licenses US$1
Can secure a financial services license? No Yes Yes (required) Yes (required) Yes
Must appoint a local custodian? No No Can be required Can be required No
Shelf companies available? No No No No No
Must sign an office lease agreement during incorporation? No No No No No
Can easily convert to a PLC / limited company? Yes Yes Yes Yes No
Public register of entities? Yes Yes Yes Yes Yes
Can have preference shareholders/partners? Yes Yes Yes Yes Yes
Can bid for Government contracts? Yes Yes Yes Depend on license Yes
Recommended to secure Mauritius residence for business owner? No Yes Yes Yes Yes
Government grants available? No Yes Yes Yes Yes

Good entity for trademark registration? Yes
Can secure an import and export license? Yes
Monthly VAT reporting to the Government always required? No
Sponsorship by a local citizen required? No
Temporary physical office solutions available? Yes
You need a local resident as bank signatory? No
Can be wholly foreign owned? Yes
The entity will likely be regulated by? Financial Services Commission
Shareholders & directors documents to be attested/translated? Yes
Each foreign director needs a personal income tax number? No
Foreign non-resident director needs a residence visa? No
Maximum number of staff allowed? No maximum number
Expatriate to local staff ratio? None
Other useful information Mauritius Substance Requirements
What will be included in my customer sales invoice? Click link
This country has signed free trade agreements? Yes, 46 Double Taxation Agreements signed
This country is a member of WIPO/TRIPS? Yes
This country is a member of the ICSID? Yes
Average custom duties incurred? 1.48% (2018 data)
Government foreign investment approval required? No
Average monthly office rental? (US$ per sq. m) US$20 (2017 data)
Minimum statutory monthly salary? MUR9,000 (US$245)
US$ deposit interest rate? (1-year average) 3% (2017 data)
Overseas remittance currency controls? None
Group HQ tax incentives? No
Security deposit to be kept with Government? No
Can secure trade finance? Yes
Maximum shareholding for foreigners? 100%
Banking considerations
Multi-currency bank accounts available? Yes
Corporate visa debit cards available? Yes
Quality of e-banking platform? Good
Crowd funding available in this country? Yes

Mauritius business setup summary

  • Problems with Mauritius company formation

    1. Mauritius is working hard to overhaul its poor global reputation as a tax haven jurisdiction. Consequently, there has been a considerable increase in procedures, bureaucracy, and substance requirements from Mauritian authorities;
    2. In its efforts to overhaul its global reputation, Mauritius has made a register of shareholders and directors available to the general public;
    3. Effective 1 July 2019, the Mauritius Government issued the Income Tax (Amendment No. 2) Regulations 2019, requiring all Mauritius entities to fulfil economic substance requirements by i) employing local staff ii) leasing a physical office and iii) conducting core income-generating activity in the country and iv) incurring a minimum expenditure proportionate to its level of activities;
    4. Although Mauritius has been working hard to overhaul its international reputation, the country is still globally viewed as an island tax haven jurisdiction. Clients establishing a Mauritius offshore company can attract additional scrutiny from tax authorities and banks;
    5. The tourism industry is partially closed to foreign investors looking for a business registration in Mauritius. For instance, foreigners cannot have a majority stake in a hotel with less than 100 rooms. They also need to make an initial investment of at least US$300,000 to open a restaurant in Mauritius;
    6. Additional registrations required for trade license and data protection office will delay the engagement by 6 weeks;

    Vulnerability to external shocks

    1. The island country is extremely dependent on tourism for its economic well-being, which makes it more vulnerable to external changes and shocks;
    2. While labor is easily available, it is difficult to get professionals in Mauritius, which is why there is a lot of untapped potential which can delay the speed of development and growth in the country;
    3. The legally tax-exempt Mauritius GBC2 license was abolished on January 1, 2019. An authorized company license will be given out instead.

Healy Consultants Group PLC does not recommend our Clients establish a business in Mauritius, due to the poor business environment provided by the Mauritius Government and Financial Services Commission to multi-national organisations. Healy Consultants Group PLC instead recommends our Clients establish their businesses in these reputable zero tax jurisdictions.

Contact us

For additional information on our services, please contact our in-house country expert, Mr. Kunal Fabiani, directly:
client relationship officer - Kunal