Mauritius offshore companies

For a smooth business set up process, Healy Consultants Group PLC will cooperate with our registered agents in Mauritius, licensed by the FSC to provide the services of a management company under Section 77(1) of the FSA. Clients that wish to setup tax efficient companies in Mauritius have two options: setup a GBC1 or an authorized company. While the second is the classic offshore company; the first is a tax resident company that can benefit from an 80% exemption of corporate income tax. Both entities are optimal solutions for Clients involved in international trading and holding activities.

Advantages

  1. Authorized companies and GBC1 companies pay a corporate income tax of 0% and 3% respectively on their global income, much lower than the 15% tax imposed on other resident companies;
  2. Furthermore, both companies are also exempt from paying i) withholding tax on earning interest and dividends remitted abroad; and ii) capital gains tax;
  3. While an authorized company is only allowed to do business outside of Mauritius, GBC1 companies that have been approved by the Mauritius FSC may trade with local companies;
  4. GBC1 companies can also take advantage of Mauritius double-taxation avoidance treaties as they are considered tax resident companies;
    It is mandatory for an authorized company to file a return of its income with the Mauritius Revenue Authority;
  5. GBC1 and authorized companies are optimal structures for Clients that are seeking privacy, as company records are not available to the public.

Disadvantages

  1. Mauritius is still considered as a tax haven country, therefore companies incorporated in the island may attract additional scrutiny from tax authorities and banks;
  2. GBC1 companies are required to appoint two resident directors that must be actively involved in the management of the company, and may be frequently required to provide additional evidence that are managed from Mauritius;
  3. Furthermore, GBC1 companies must i) have a local bank account; and ii) submit audited financial statements to the Mauritius FSC;
  4. Both GBC1 and authorized companies are required to appoint a local company secretary/authorized agent, who must have been pre-approved by the Mauritius FSC;
  5. Authorized companies are not allowed to be involved in the following activities:
    • Banking;
    • Financial services;
    • Insurance;
    • Company formation services.
  6. Furthermore, authorized companies are not allowed to trade with local customers in Mauritius.

Table of Comparison between GBC1 and GBC2

 GBC1GBC2
Corporate structuring considerations
Minimum number of shareholders?11
Wholly foreign-owned?YesYes
Minimum number of directors?21
Corporate director allowed?NoYes
Resident director required?YesNo
Resident company secretary or authorized agent required?YesYes
Business activities considerations
Legally tax exempt in Mauritius?NoYes
Corporate income tax?0%3%
Can trade with local customers?YesNo
Can do business within Mauritius?YesNo
Can open a local corporate bank account?YesYes
Can open bank account overseas?Only 2nd accountYes
Can rent local office?YesYes
Can hire staff in Mauritius?YesYes
Allowed to own shares in Mauritius companies?YesNo
Can apply for immigration visa?YesYes
Fees and timelines
Shelf companies available?YesYes
Total engagement timelines?10 weeks9 weeks
Draft invoiceView invoice PDFView invoice PDF

Contact us

For additional information on our services, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Simon Guidecoq, directly:
client relationship officer - Simon