1998 SOUTHERN AFRICA ECONOMIC ... - National Treasury

M au r i t i u s
Ty p e A p p l i c a b i l i t y B e n e f i t s
Pioneer Status Enterprise Activities involving technology and skills • Corporate tax rate: 15 %
which are like ly to enhance industrial and • No customs duty, i m p o rt levy or sales tax
technological deve l o p m e n t .The applicant will on scheduled equipment or materials.
not be considered if the qualifying activity was • No tax on dividends
a l ready operational befo re 1 Ju ly 1993. • F ree repatriation of pro f i t s ,dividends and
Operators holding the Pioneer Status can c ap i t a l
e x p o rt their products or serv i c e s ,or sell
them locally.
O f f s h o re Business Conducting of business with non-residents • Complete freedom from exchange contro l .
and in currencies other than the Mauritian • No tax on capital gains
r u p e e.
• No tax on pro f i t
Activities include: o f f s h o re banking, o f f s h o re
• No withholding tax on dividends, i n t e re s t
i n s u r a n c e, o f f s h o re funds management,
and roy a l t i e s
international financial serv i c e s ,operation • Free repatriation of pro f i t s
h e a d q u a rt e r s ,international consultancy • No stamp duties or levies and no estate
s e rv i c e s ,shipping and ship management, • duty on the inheritance of share s
a i rcraft financing and leasing, international • Corporate tax rate of 15% as from Ju ly 1998.
licensing and franchising, international data • Companies re g i s t e red befo re Ju ly 1998 can
p rocessing and other information technology opt for the new rate of 15% or will be
s e rv i c e s ,o f f s h o re pension funds, international o rd e red to pay a rate between 0-35%
trading and assets management, and
international employment serv i c e s .
O f f s h o re companies usually take about
o n e - t wo weeks to set up, while international
companies take about one-two day s .
E x p o rt Service Zone P romotion of export-oriented service • Corporate tax rate: 15 %
c o m p a n i e s ,i. e. companies who offer • No tax on dividends
m a r keting services and expertise to the • Free repatriation of cap i t a l ,p rofits and
m a nufacturing sector. I n c l u d e s ,accounting d i v i d e n d s
f i r m s ,c o n s u l t a n c i e s ,translation wo r k s ,e t c. • No customs duty on office equipment
Hotel Management Service Applies to companies who provide services • 15% corporate tax (Hotel Management)
C e rtificate and to new hotels, or hotels which are expanding. and 5% corporate tax (Hotel Deve l o p m e n t )
Hotel Development Cert i f i c a t e
• Tax free dividends for 10 ye a r s
• F ree repatriation of pro f i t ,d i v i d e n d s
and capital subject to original investment
being re c e i ved “A” status from the Bank
of Mauritius
• Loans and ove rdraft at pre fe rential rates
• Exemption from customs duty on
i m p o rtation of equipment as per the
ap p roved list (Hotel Deve l o p m e n t )
F re e p o rt Transhipment and re - e x p o rt trade, e. g . • Zero tax on corporate profits and dividends
w a rehousing and storage; b reaking bulk; • No customs duties or sales tax on all
s o rt i n g ;g r a d i n g ; cleaning and mixing; l a b e l l i n g ; m a c h i n e ry, equipment and materials
packing and re p a c k i n g ;minor pro c e s s i n g ; i m p o rted into the Fre e p o rt zone for
simple assembly ;p aper and commission e x c l u s i ve use in the Fre e p o rt .
t r a d e ;m a r ke t i n g ;e x p o rt-oriented port-based • No customs duties or sales tax on all go o d s
a c t i v i t i e s ;e x p o rt-oriented airport-based destined for re - e x p o rt
s e rv i c e s ;f reight fo r w a rd i n g ;mail order • Reduced port-handling charges for all go o d s
b u s i n e s s ;quality control serv i c e s ;
destined for re - e x p o rt
t e l e m a r ke t i n g ;t r a n s h i p m e n t .
• Free repatriation of pro f i t s
100% fo reign ownership is permissible
• Possibility of selling a percentage of 20%
of total turnover on the local marke t
50