Investing in Mauritius by creating a domestic company
If you wish to start a business on the island of Mauritius, a domestic company is the most appropriate solution, provided the necessary permits are obtained. The domestic company, which can subsequently be transformed into GBCL, benefits in all cases from a stable, solid and dynamic environment. The domestic company is the most common type in Mauritius; also, it makes it possible to conduct a commercial activity within the country and/or abroad. Its particularities are: Similarly to other types of businesses, it is governed by the “Companies Act 2001” and the “Business Registration Act 2002”. Incorporation of the company may occur in the absence of the shareholders. The name of the domestic company ends with “Limited” or “Ltd.”, referring to the limitation of the liabilities of the shareholders. with regards to their capital contribution to the company. No minimum capital required. No mandatory written Statute (Constitution). It is possible for investors to set up a domestic company to obtain an investor visa and, in such a case, the investor is required to pay 100,000 USD (approximately 89,500 euros) to the company’s current account. The investor may hold all the shares in the capital of the company. If the investor is a resident of Mauritius and has an annual turnover of less than Rs. 6,000,000 (approximately EUR 150,000), he is not required to appoint a Mauritian secretary or director. If the investor is not a resident of Mauritius, he must appoint at least one Mauritian director to be a member of the Board of Directors. 15%: this is the VAT on the turnover generated in Mauritius. Profits are taxed at only 15%. When the investor pays himself a salary, the latter will be exempt from Social Security contributions, however, it will be taxable at source, at 15%. Income exceeding Rs. 3,500,000 (approximately EUR 87,500) is taxed at 5 %. As a tax resident of Mauritius, the investor is exempt from capital gains taxes and inheritance taxes on its assets. Up to Rs. 6 000 000 (approximately EUR 150 000) of turnover generated abroad is exempt from VAT. Incorporation of the domestic company The investor or a professional representative can undertake the procedures to incorporate the domestic company at the Registrar of Companies, located in Port-Louis, the capital city of the island: Reservation of the name of the company is free and paid if the reservation of the name postponed (7 days maximum after incorporation), If the investor wants a “Constitution”, the document must be endorsed by a Mauritian lawyer, notary or solicitor who will issue a certificate of legality. Provide only original and signed documents Allow 2 to 3 working days between the submission of the complete application and the receipt of the certificate of incorporation. Documents to provide: Passport if the investor is a foreign national, National identity card if the director or shareholder is a citizen of Mauritius, Proof of residence of less than 3 months if the director is a Mauritian or a Mauritian resident Incorporation costs The costs amount to Rs. 3,200 + Rs. 200 for the “summary of the file”.
