Mauritius

INTRODUCTION

Mauritius is a sub-tropical volcanic island situated in the Indian Ocean, 1,500 miles off the South East Coast of Africa. The population of the island is approximately 1.1 million comprised of people of Indian, African, European and Chinese origin. Although English is the official language, due to its past history as a colony of both France and Britain, the population is largely bilingual in English and French.

Mauritius is one of the few countries with a hybrid legal system based on English and French law. The procedural law both in criminal and civil litigation is mainly English whilst the substantial law is mainly based on the French Napoleonic code. The Company Law is modelled on the English law. The highest court of appeal is the Privy Council in England.

GLOBAL BUSINESS COMPANIES

There are two types of company available as tax planning vehicles. The first of these is the Category 1 GBC. The advantage offered by the GBC 1 Company is that it may be structured to be tax resident in Mauritius (taxed at 15%) and may thereby access the taxation treaties signed by Mauritius with Belgium, Botswana, China, Cyprus, France, Germany, India, Indonesia, Italy, Kuwait, Lesotho, Luxembourg, Madagascar, Malaysia, Mozambique, Namibia, Nepal, Oman, Pakistan, Russia, Singapore, South Africa, Sri Lanka, Swaziland, Sweden, Thailand, U.K, Zimbabwe. This makes it extremely attractive to invest in one of these countries through a Mauritius GBC1 Company as taxation treaties provide that profits can then be withdrawn from that country either without the imposition of withholding tax or subject to a substantially reduced rate of withholding tax. However, GBC1 companies are tax resident in Mauritius and to take advantage of the tax treaties must be managed in Mauritius. They must also file audited accounts each year and are costly to run. Please contact us for further information on pricing etc.

In contrast a Category 2 GBC is modelled on the BVI International Business Company (IBC). So long as a GBC2 does not trade in Mauritius it will not be liable to taxation there. GBCs must maintain a registered office and an authorised and licensed registered agent in Mauritius. We provide this service as standard and we also provide a mailing address service, again as standard. There is no requirement to file financial statements, but a company must keep records to accurately reflect its financial affairs.

GBC2 companies pay a flat annual filing fee of US$200 upon incorporation and thereafter each May or November dependent upon which half of the year a company was incorporated. There are fines for late payment.

INCORPORATION TIMESCALE/NAMES

Suffixes such as Limited, Ltd, Incorporated, Inc, SA or most others are permitted. Allowing for time differences, names can be checked and reserved instantly and incorporation takes place on the same day. Certain words are prohibited or subject to licensing requirements such as “Royal”, “Trust”, “Bank” and “Insurance”. Even using courier services it can take 2-3 weeks to receive documentation from Mauritius. Because of this it is our practice to try and keep a number of “Stock” or “Shelf” companies available for instant transfer once we have received completed application forms and payment.

FEES FOR MAURITIUS COMPANIES

We charge £700 to incorporate a category 2 GBC. This includes the first year’s registered office and registered agent fees and all government fees. Thereafter there is an annual fee (due on the anniversary of formation) of US$595 again including registered office, registered agent and government fees.

We can help and advise you in respect of the opening and management of bank accounts and the provision, if required, of company officers or managers.

HOW TO ORDER

Simply call us on 01952 270270 or send an email to:

ymf@arcorporatesecretaries.co.uk

Whilst every effort has been made to ensure that the details contained herein are correct and up-to-date, this information does not constitute legal or other professional advice. We do not accept any responsibility, legal or otherwise, for any error or omission. Prices are subject to change.