Further to the announcement made in the 2016/2017 Budget Speech, the Income Tax (Amendment of Schedule) (No.2) Regulations 2016 (the “Regulations”) were made on 31 October 2016 and gazetted on 5 November 2016. The salient changes brought about were as follows:

 

1. Individuals acting as Asset / Fund Managers

 

1.1 The emoluments of an individual acting as Asset / Fund Manager will be exempted from Income Tax for a period of 5 income years as from the income ear in which the employee was granted any one of the certificate mentioned in 1.1.1, provided that:

1.1.1. The individual obtains either an Asset Manager Certificate, a Fund Manager Certificate or an Asset and Fund Manager Certificate from the FSC:

1.1.2. The individuals manages assets of more than USD 100 million

1.1.3. The Corporation employing the individual is licensed by the FSC.

 

2. Corporations holding Global Headquarters Administration Licence

 

2.1. Corporations that have been issued with a Global Headquarters Administration Licence on or after 1 September 2016 will benefit from an 8-year income tax holiday on its income provided that:

2.1.1. Income is derived from activities covered under that licence; and

2.1.2.The corporation satisfies the minimum employment criteria and the substance requirements as specified by the

 

3. Corporations which would benefit from 5-year income tax holiday

 

3.1 Corporations issued with the following licences on or after 1 September 2016 will benefit from a 5 year income tax holiday:

3.1.1. Global Treasury Activity Licence
3.1.2. Global Legal Advisory Licence
3.1.3. Investment Banking Licence
3.1.4. Overseas Family Office (Single) Licence
3.1.5.Overseas Family Office (Multiple) Licence

3.2. FSC.In order to benefit from the tax holiday, the corporations will have to meet the below conditions:

3.2.1. Income is derived from activities covered under that licence; and
3.2.2. The corporation satisfies the minimum employment criteria and the substance requirements as specified by the FSC

 

4. Investment in Mauritius by foreigners

4.1. A non-citizen individual or a company wholly owned by a non-citizen who invests more than USD25 million in Mauritius on or after 1 September 2016, subject to meeting the terms and conditions approved by the Board of Investment, will benefit from a tax holiday of 5 years as from the income year the investment was made.

4.2. Exemption will be void should investment amount fall under USD 25 million at any time during the first 5 years.