Mauritius, located between Asia and Africa, is an efficient, regulated global financial centre. The island offers a wide range of double taxation and investment promotion and protection agreements. It is not subject to exchange controls, provides access to the LCIA-MIAC Arbitration Centre and has its highest court of Appeal as the Privy Council, thus making it the ideal strategic gateway for foreign investment into Africa.
Over the years, Mauritius has built its reputation as a reliable and trusted international financial centre (IFC) of substance and is recognised as such by international institutions. Mauritian efforts to follow international best business practices and sustainable development have been acknowledged by international agencies such as the Organization for Economic Cooperation and Development, the Financial Action Task Force and the World Bank.
The Mauritius Income Tax Act (ITA) was amended to enact the CRS, and the Mauritius Revenue Authority (MRA) is the competent authority to administer the process. Under CRS, financial institutions (FIs) will need to report accounts held by non-residents to the MRA, which will be used for eventual exchange with other jurisdictions.
Mauritius signed a tax information exchange agreement (TIEA) and a Model 1 Intergovernmental Agreement (IGA) with the US in December 2013. The Mauritius IGA follows a Reciprocal Model 1A approach whereby all reporting Mauritius financial institutions would be called to disclose information on reportable accounts substantially owned by US citizens and residents to the Mauritius Revenue Authority (MRA) for onward submission to the IRS. The agreements have now been incorporated in the local regulatory framework in regulations made under s76 of the Income Tax Act, cited as the Agreement for the Exchange of Information Relating to Taxes (United States of America – FATCA Implementation) regulations 2014 (Mauritius FATCA regulations).
Mauritius is a well-positioned platform for investment and doing business in Africa, the Middle East and Asia and is also internationally recognised for its governance framework, ease of doing business and investor-friendly environment.
- Recognised IFC of substance – on the OECD’s whitelist
- Sound legal and regulatory framework
- Economic and political stability
- Presence of international banks and audit firms
- Ease of doing business and investor friendliness
- Absence of foreign exchange control
- Highly qualified and bilingual professionals (in English and French)
- Network of investment promotion and protection agreements
- Network of double taxation avoidance agreements
- Member of regional trading blocs (SADC, COMESA, IOC, IOR, as well as qualifies for benefits under AGOA and EPA for the US and EU markets, respectively)