THE INCOME TAX ACT 1995

(Consolidated up to Finance Act 2024)

The internet version of this Act is for information purposes only.

The MRA takes no legal responsibility for any flaw,
inaccuracy, error or omission in this Act.
MRA THE INCOME TAX ACT 1995 2

THE INCOME TAX ACT 1995

(Consolidated Version)

ARRANGEMENT OF SECTIONS

PART I - PRELIMINARY

Section

1. Short title
2. Interpretation
3. Application of Act

PART II - LIABILITY TO INCOME TAX

4. Imposition of tax
4A. Unexplained wealth
5. Derivation of income
6. Income to be expressed in Mauritius currency
7. Exempt body of persons and exempt income 1*

PART III - PERSONAL TAXATION

8. Application of Part III

Sub-Part A - Gross Income

9. Income of a married woman

10. Income included in gross income
10A. [Gains from immovable property] Deleted
11. Emoluments received in arrears
12. Income received in anticipation
13. Valuation of trading stock
14. Transfer of trading stock with other assets or for inadequate consideration
15. Deemed income arising from expenditure or loss discharged
16. Apportionment of income on incorporation and disincorporation

[Sub-Part AA – Solidarity Income Tax] Repealed

16A. Small enterprise qualified under an approved scheme

16B. [Liability to Solidarity Income Tax] Repealed

Sub-Part AB – Solidarity Levy

16B. Interpretation
16C. Liability to solidarity levy

* Please refer to endnotes at Appendix 1 Page 2 of 491

MRA THE INCOME TAX ACT 1995 3

Sub-Part B - Allowable Deductions

17. Deduction in connection with employment

18. Expenditure incurred in the production of income
18A. Expenditure incurred by artists
19. Expenditure incurred on interest in the production of income
20. Losses
21. Bad debts and irrecoverable sums
22. Contributions to superannuation fund
23. Pensions to former employees
24. Annual allowance
25. [Investment allowance] Deleted2*
26. Unauthorised deductions

Sub-Part C – Personal Reliefs and Deductions for Individuals3*

27. Entitlement to Personal Reliefs and Deductions

Sub-Part D – Interest Relief for Individuals

27A. Interest relief

Sub-Part E - Other Reliefs and Allowances

27B. Relief for Medical or Health Insurance Premium

27C. Solar Energy Investment Allowance
27D. Deduction for household employees
27DA. Donation to charitable institutions
27DB. Contribution to approved personal pension schemes
27DC. Deduction for carer
27E. Rainwater harvesting system investment allowance
27F. Fast charger for electric car investment allowance
27G. Tax credit for employees
27H. Contribution to COVID-19 Solidarity Fund
27J. Contribution to National COVID-19 Vaccination Programme Fund
27K. Relief for adoption of animals
28 Angel investor allowance

PART IV - CORPORATE TAXATION

43. Application of Part IV

Sub-Part A - Companies, unit trust schemes,trusts collective

investment schemes, sociétés and Foundations

44. Companies
44A Alternative minimum tax
44B. Companies engaged in export of goods or manufacturing activities in a
freeport zone
44C. Companies engaged in banking activities

* Please refer to endnotes at Appendix 1 Page 3 of 491

MRA THE INCOME TAX ACT 1995 4

44D. Manufacturing companies engaged in medical, biotechnology or

pharmaceutical sector
44E. Higher Education Institution set-up in Mauritius
45. Unit Trust Schemes
45A. Collective investment schemes — year of assessment 2005-2006 and
subsequent years
46. Trusts
47. Sociétés
48. Protected cell company4*
48A Variable capital company
49. Companies in the freeport zone5*
49A. Foundations
49B. Small company qualified under an approved scheme
49C. Real Estate Investment Trust (REIT)
49D. Charitable institution
50. Insurance, shipping, aircraft and other business

Sub-Part AA - Advance Payment System6*

50A. Application of Sub-Part AA

50B. Advance Payment System
50C. Ascertainment of chargeable income
50D. Calculation of tax
50E. Return and payment of tax at end of income year
50F. Penalty for late payment of tax under APS

Sub-Part AB - Special levy on banks7*

50G. Interpretation
50H. Liability to special levy

Sub-Part AC - Solidarity levy on telephony service providers

50I. Interpretation
50J. Liability to solidarity levy

Sub-Part AD - Corporate Social Responsibility

50K. Interpretation
50L. CSR Fund
50LA. Contributions to Film Promotion Fund
50M. One-off charge on banks

Sub-Part AE – Corporate Climate Responsibility (CCR) Levy

50N. Interpretation
50O. Liability to CCR Levy

* Please refer to endnotes at Appendix 1 Page 4 of 491

MRA THE INCOME TAX ACT 1995 5

Sub-Part B - Gross Income

51. Income included in gross income

51A. [Gains derived by company] Repealed
52. Income received in anticipation
53. Valuation of trading stock
54. Transfer of trading stock with other assets or for inadequate consideration
55. Deemed income arising from expenditure or loss discharged
56. Apportionment of income on incorporation and disincorporation

Sub-Part C - Allowable Deductions

57. Expenditure incurred in the production of income

58. Expenditure incurred on interest in the production of income
59. Losses
59A Transfer of losses on takeover or merger.
59B. Offset and carry forward of investment tax credit
60. Bad debts and irrecoverable sums
61. Contributions to superannuation fund
62. Pensions to former employees
63. Annual allowance
64. Expenditure incurred on deep ocean water air conditioning
64A. [Additional investment allowance ] Deleted 8*
65. Expenditure incurred on water desalination plant
65A. Expenditure incurred on artwork
65B. Expenditure incurred on specialised software and systems
65C. Expenditure incurred to support artists
66. Donation to charitable institutions
66A. Donation to NGO
67. Investment in crèches 9*
67A. [Marketing and promotional expenses] Repealed
67B. [Contributions to sport clubs and sport training centres ] Deleted10*
67C. [Contributions to the National Solidarity Fund and Prime Minister’s Children’s
Fund ] Deleted 11*
67D. [Contributions to employees' share scheme ] Deleted12*
67E. [Investment in start-up companies ] Deleted 13*
67F. [Expenditure incurred in the setting up of social infrastructure] Deleted 14*
67G. [Contributions to the national ambulance services ] Deleted 15*
67H. Expenditure incurred by hotels on cleaning, renovation and embellishment
works
67J. Expenditure incurred for arbitration, conciliation or mediation under an
Alternative Dispute Resolution Mechanism
67K. Expenditure incurred on patents and franchises
67L. Expenditure incurred by manufacturing companies on products
manufactured locally by small enterprises
67M. Tax credit to medical, biotechnology or pharmaceutical companies
67N. Expenditure on international accreditation
67P. Market research and product development
67Q. Joint tertiary education with African universities
67R. Participation in approved films
67S. Tax credit on corporate nurseries
68. Unauthorised deductions

* Please refer to endnotes at Appendix 1 Page 5 of 491

MRA THE INCOME TAX ACT 1995 6

Sub-Part D - Deleted16*

69. [Investment tax credit ] Deleted

69A. [Special tax credit for investment in spinning companies] Deleted
70. [Tax credit to modernisation and expansion enterprises] Deleted
71. [Tax credit for exports] Deleted
72. [Limitation to tax credits] Deleted

PART V - INTERNATIONAL ASPECTS OF INCOME TAX

73. Definition of residence

73A. Companies treated as non-resident in Mauritius
73B. Premium visa
74. Income derived from Mauritius
74A Income derived outside Mauritius
75. Application of arm's length test
76. International arrangements
76A. Arrangements for assistance in the recovery of foreign tax
77. Credits in respect of foreign tax

PART VI - AGENTS, ABSENTEES AND

NON-RESIDENTS AND DECEASED PERSONS

78. Liability of principal not affected

79. Provisions applying to agents
80. Income tax paid on behalf of another person
81. Agents of incapacitated persons, companies and bodies of persons
81A. Tax liability of appointed person
82. Agents of absentees and non-residents
83. Deceased persons

PART VII - ANTI-AVOIDANCE PROVISIONS

84. Interest on debentures issued by reference to shares

85. Excess of remuneration or share of profits
86. Excessive remuneration to shareholder or director
86A. Benefit to shareholder
87. Excessive management expenses
88. Leases for other than an adequate rent
89. Rights over income retained
90. Transactions designed to avoid liability to income tax
90A. Controlled foreign company rule

PART VIII - RETURNS, COLLECTION AND PAYMENT OF TAX

91. Due date for payment of income tax

* Please refer to endnotes at Appendix 1 Page 6 of 491

MRA THE INCOME TAX ACT 1995 7

Sub-Part A - Pay As You Earn (PAYE) System

92. Application of Sub-Part A

93. Employer to withhold tax from emoluments
94. Registration of employers
95. Employee declaration
96. Tax to be withheld 17*
97. Direction not to withhold tax
98. Decision as to whether an amount is emoluments
99. Obligation of employer to withhold tax
99A. Registration of employees 18*
100. Payment of tax by employer
101. Penalty for late payment of tax by employer
101A. Penalty for failure to join electronic system 19*
102. Priority over tax withheld
103. Tax withheld deemed to be tax paid by employee
104. Non-disclosure of information by employer

Sub-Part B - Current Payment System (CPS)

105. Application of Sub-Part B

105A [Registration of persons under this Sub-Part] Repealed 20
*
106. CPS Statement and payment of tax
107. Calculation of chargeable income
108. Calculation of tax
109. Penalty for late submission of Statement of Income
110. Penalty for late payment of tax under CPS
111. Return and payment of tax at end of income year

Sub-Part BA –Deduction of tax at source 21*

111A. Interpretation
111B. Application of Sub-Part BA
111C. Payer to deduct tax
111D. Remittance of tax deducted
111E. Payer liable to pay tax
111F. Penalty and interest for late payment of tax
111G. Tax deducted deemed to be tax paid
111H. Direction not to deduct tax
111I. Obligation of payer to deduct tax
111J. Priority over tax deducted
111K. Statement to payee and to Director-General 22*

[Sub-Part BB – National Residential Property Tax ]23* Repealed

111L. [Interpretation] Repealed

111M. [Imposition of property tax] Repealed
111N. [Application of property tax] Repealed

* Please refer to endnotes at Appendix 1 Page 7 of 491

MRA THE INCOME TAX ACT 1995 8

Sub-Part BC - Tax on Winnings

111O. Interpretation
111P. Operator to deduct tax on winnings
111Q. Remittance of tax on winnings
111R. Penalty for late submission
111S. Penalty and interest for late payment
111T. Assessment and recovery of tax on winnings

Sub-Part BD – Presumptive Tax on Small Enterprise

111U. Interpretation
111V. Election to pay presumptive tax
111W. Penalty for late payment
111X. Assessment and recovery proceedings

Sub-Part BE – COVID-19 Levy

111Y. Interpretation
111Z. Liability to COVID-19 levy

Sub-Part C - Returns

112. Return and payment of tax by individuals

112A. Simplified return by self-employed individuals
113. Power to require returns
114. Time limit to require returns
115. Return by persons leaving Mauritius
116. Return of income by companies
116A. Doubt on interpretation or treatment
116B. Amended return
116C. Declaration by company not in operation
116D. Return of dividends by companies
117. Return of income in special circumstances
117A. Basis of assessment on commencement of business
118. Approved return date
118A. Return of income in respect of approved return date
119. Return in respect of a trust or a resident société
119A. Statement by société to associate and Director-General
120. Return in respect of the estate of a deceased person
121. Penalty for late submission of return of income
122. Penalty for late payment of tax
122A. Publication of names of companies not submitting returns
122B. Automatic tax claim in case of non submission of return
122C. Penalty for failure to submit return of income electronically 24
*
122D. Interest on unpaid tax 25*
122DA. Penalty for loss over claimed

* Please refer to endnotes at Appendix 1 Page 8 of 491

MRA THE INCOME TAX ACT 1995 9

Sub-Part D – Returns on Cash Basis for Small Enterprise

122E. Application to compute net income on cash basis

PART IX - GENERAL POWERS OF DIRECTOR-GENERAL

123. Power to require information

123A. Act or thing in respect of a period before 3 years of assessment preceding
that year of assessment
123B. Statement by company having annual turnover exceeding 100 million
rupees
123C. Submission of statement of assets and liabilities by individuals
123D. Statements of financial transactions or statements on life insurance
123E. Statement of winnings
123F. Statement of donation received
124. Obligation to furnish information
125. Production of books and records
126. Power of inspection
126A. Power to access computers and other electronic devices
127. Time limit to require information and production of books and records
128. Power to waive penalty
128A. Use of computer system

PART X - ASSESSMENTS, OBJECTIONS

AND REVIEW OF ASSESSMENTS

129. Director-General may make assessments

129A. Assessments on employers and payers
130. Time limit to make assessments
131. Special assessments
131A. Objection to assessments
131AA. Objection to claims
131B. Determination of objections
131C. Objection to determination of loss.
132. Time limit to amend assessments
133. [Penalty for non-payment of income tax assessed] Repealed 26
*
134. Representations to Assessment Review Committee
135. Conclusiveness of assessment

PART XI - RECOVERY OF TAX

136. Application of Part IVC of Mauritius Revenue Authority Act

137. Recovery of tax in arrears from emoluments
138. Recovery of tax by attachment
139. Recovery of tax by distress and sale
140. Contrainte
140A. Proceedings for temporary closing down of business
141. Privilege
142. Uninscribed privilege
143. Security
144. No limitation of action for recovery of tax

* Please refer to endnotes at Appendix 1 Page 9 of 491

MRA THE INCOME TAX ACT 1995 10

PART XIA - COLLECTION AND RECOVERY OF SOCIAL CHARGES

144A. Collection and recovery of social charges by Director-General

PART XII - OFFENCES

145. Offences relating to PAYE

146. Offences relating to CPS
146A. Offences relating to deduction of tax at source 27*
146B. [Offences relating to property tax] Repealed 28*
147. Offences relating to returns, books and records
148. Other offences
148A. [Prosecution by Commissioner] Repealed 29*
149. Compounding of offences
150. Tax payable notwithstanding prosecution

PART XIIA – NEGATIVE INCOME TAX

150A. Negative Income Tax allowance

PART XIIB – WAGE ASSISTANCE SCHEME

150B. Wage Assistance Scheme

PART XIIC – SELF-EMPLOYED ASSISTANCE SCHEME

150C. Self-Employed Assistance Scheme

PART XIID – FINANCIAL ASSISTANCE FOR PAYMENT OF

SALARY COMPENSATION 2021, 2022, 2023 AND 2024

150D. Financial assistance for payment of salary compensation 2021

15OE. Financial assistance for payment of salary compensation 2022
15OEA. Financial assistance for payment of salary compensation 2023
150EB. Financial assistance for payment of national minimum wage and
salary compensation 2024

PART XIIE – PRIME A L’EMPLOI SCHEME

150F Prime à l’emploi Scheme

PART XIIF – HOUSING LOAN RELIEF SCHEME30*

150G. Housing Loan Relief Scheme

* Please refer to endnotes at Appendix 1 Page 10 of 491

MRA THE INCOME TAX ACT 1995 11

PART XIII - MISCELLANEOUS

151. Ascertainment of income tax in certain cases

151A. Islamic financing arrangement
152. Refund of excess income tax
152A. Erroneous refund 31*
153. Keeping of books and records
154. Secrecy
155. Service of documents
155A. Admissibility of documents produced by computer
156. Validity of notice of assessment or determination
157. Waiver of tax
158. Remission of tax
159. Rulings
159A. Statement of Practice
160. Jurisdiction of Magistrate
161. Regulations
161A. Transitional provisions
162. Repeal and savings
163. Commencement

* Please refer to endnotes at Appendix 1 Page 11 of 491

MRA THE INCOME TAX ACT 1995 12

An Act

To amend and consolidate the law relating to income tax.

ENACTED by the Parliament of Mauritius as follows -

PART I - PRELIMINARY

1. Short title

This Act may be cited as the Income Tax Act 1995.

2. Interpretation

In this Act, unless the context otherwise requires -

"absentee" means -

(a) an individual who is, at the relevant time, not in Mauritius;

(b) a company which does not have a permanent place of business in

Mauritius at which it carries on business in its own name;

(c) a company not incorporated in Mauritius which is declared by the

Director-General to be an absentee by notice given to that company or to
its agent in Mauritius;

“accounting year”, in sections 50B, 50C and 50D, means a period of 12

months ending with the date of the annual balance of the accounts of a
company;32*

"agent" includes a person deemed by section 81, 82 or 83 to be an agent;

"allowable deduction" means -

(a) in the case of an individual, any expenditure, loss or allowance which

is deductible under Sub-Part B of Part III; or

(b) in any other case, any expenditure, loss or allowance which is

deductible under Sub-Part C of Part IV,

for the purpose of ascertaining net income;

"appropriate retiring age" has the meaning assigned to it in section 23;

"approved investment trust company" means a public company, approved

by the Director-General, the principal objects of which are to invest in the
securities of companies generally;

"approved return date" means a date approved by the Director-General

under section 118;

“APS” means the Advance Payment System referred to in Sub-Part AA of

Part IV;33*

* Please refer to endnotes at Appendix 1 Page 12 of 491

MRA THE INCOME TAX ACT 1995 13

“APS quarter” means the quarter referred to in section 50B;34*

“Assessment Review Committee” has the same meaning as in the

Mauritius Revenue Authority Act;35*

“associate” includes –

(a) a general partner or limited partner of a limited partnership; and

(b) a partner of a limited liability partnership;36*

"authorised mutual fund" means a collective investment scheme under the

Securities Act 2005;37*

“Authority” means the Mauritius Revenue Authority established under the

Mauritius Revenue Authority Act 2004;38*

“base value” means the cost to the owner of any fixed asset or other capital
expenditure incurred for the production of gross income after deducting
therefrom any amount allowed by way of annual allowance;39*

"benevolent association" means an association registered under the

Registration of Associations Act being an association whose main activity is
to provide benefits during sickness or infirmity, or in old age, or in
widowhood or for orphans;

“BEPS” means Base Erosion and Profit Shifting;40*

“Board” has the same meaning as in the Mauritius Revenue Authority Act
2004;41*

"body of persons" means any body corporate or unincorporate;

"business" includes any trade, profession, vocation or occupation,

manufacture or undertaking, or any other income earning activity, carried
on with a view to profit;

“carer” means any person employed by an individual to take care of his

father, mother, grandfather or grandmother;42*

"chargeable income" means -43*

(a) for the purposes of section 107, the amount of income ascertained in
accordance with that section;

(b) for the purposes of Sub-Part C of Part VIII –

(i) in the case of an individual, the amount remaining after

deducting from the net income, the personal reliefs and
deductions to which that individual is entitled; and

* Please refer to endnotes at Appendix 1 Page 13 of 491

MRA THE INCOME TAX ACT 1995 14

(ii) in any other case, the net income.

“charitable Foundation” has the same meaning as in the Foundations Act

2012;44*

"charitable institution" means an entity which is approved by the Director-

General under section 49D;45*

"charitable trust" has the same meaning as in the Trusts Act 200146*;

"child", in sections 27 , means - 47

*
(a) an unmarried child, stepchild or adopted child of a person;

(b) an unmarried child whose guardianship or custody is entrusted to the

person by virtue of any other enactment or of an order of a court of
competent jurisdiction;

(c) an unmarried child placed in foster care of the person by virtue of an

order of a court of competent jurisdiction;48*

“Child Day Care Centre” means such Child Day Care Centre as prescribed
under the Children’s Act 2020;49*

“CIS manager” means a person holding a CIS manager licence under the

Securities Act 2005;50*

“collective investment scheme” has the same meaning as in the Securities

Act 2005; 51
*
["Commissioner"] Definition deleted 52*

["Committee"] Definition deleted 53

*
"company"54* -

(a) means a body corporate, other than a local authority, incorporated in

Mauritius or elsewhere; and

(b) includes -

(i) a non-resident société;

(ii) a cell of a protected cell company;

(iii) a variable capital company, its sub-fund or special purpose

vehicle;

(iv) a Foundation;

* Please refer to endnotes at Appendix 1 Page 14 of 491

MRA THE INCOME TAX ACT 1995 15

(v) a trust; or a trustee of a unit trust scheme; but

(c) does not include a Land Area Management Unit;

"consideration" means the price in money or money's worth paid or given in

return for any benefit;

"CPS" means the Current Payment System referred to in Sub-Part B of Part

VIII;

[“CPS period”] Definition deleted;55*

“CPS quarter” means the quarter specified in section 106;56*

["CPS threshold"] Definition deleted;57*

"credit", in relation to foreign tax, means the amount deductible from

income tax under section 77;

“CSG” means CSG payable under the National Pensions Act;58*

“CSR programme” means a programme having as its objects the alleviation

of poverty, the relief of sickness or disability, the advancement of education
of vulnerable persons or the promotion of any other public object beneficial
to the Mauritian community;59*

"Current Payment System" means the system of payment of income tax

referred to in Sub-Part B of Part VIII;

"deep sea international trade" means any trade excluding fishing carried
out outside the territorial waters of Mauritius;

["dependent child" ] Definition deleted;60*

["dependent spouse"] Definition deleted;61*

“Director-General” means the Director-General of the Authority;62*

"disabled person" means a person suffering from permanent disablement;63*

"disincorporation", in sections 16 and 56, means the transfer of all the

assets and liabilities of a company to the persons who were shareholders of
that company;

"dividends"64*

(a) means a distribution authorised by the Board of Directors of a

company and made out of the retained earnings of the company, after
having made good any accumulated losses at the beginning of its
accounting period, either in cash or in shares to its shareholders; and
(b) includes a distribution under section 45(3), 45A(4), 46(4) and
49A(4);65* but

* Please refer to endnotes at Appendix 1 Page 15 of 491

MRA THE INCOME TAX ACT 1995 16

(c) does not include interest deemed to be dividends under section 84

and a benefit referred to in section 86A;66*

[ "earned income" ], Definition deleted;67*

“Economic Development Board” means the Economic Development Board

established under the Economic Development Board Act ;68*

"emoluments" -
(a) means any advantage in money or in money's worth referred to in
section 10(1)(a); and
(b) includes -
(i) a remuneration to the holder of any office and fees payable to
the director of a company;

(ii) an allowance under the National Assembly Allowances Act or

a pension under the National Assembly (Retiring Allowances)
Act;
(iii) a remuneration payable to a Mayor, Chairman of a District
Council or Chairman of a Village Council under the Local
Government Act 1989;
(iv) an allowance payable to an apprentice;

(v) an allowance under the Rodrigues Regional Assembly

(Allowances and Privileges) Act 2002;69*

"employee" means a person who receives or is entitled to receive

emoluments;70*

"employees' share scheme" means a scheme or fund established for the

benefit of the employees of an employer under the Companies Act 2001;71*

"employer" -
(a) means a person responsible for the payment of emoluments; and
(b) includes an agent of that person; but
(c) does not include a person employing only household employees;
["equity fund"];72*

"exempt income" means any income specified in the Second Schedule;

"exempt person" –73*

(a) means an employee whose emoluments in a month do not
exceed 30,000 rupees; but
(b) does not include a director or a member referred to in section
96(3);

* Please refer to endnotes at Appendix 1 Page 16 of 491

MRA THE INCOME TAX ACT 1995 17

“export of goods”74* includes -

(a) international buying and selling of goods by an entity in its own name,
whereby the shipment of such goods is made directly by the shipper in
the original exporting country to the final importer in the importing
country, without the goods being physically landed in Mauritius; and

(b) selling of aviation fuel to an airline;

“foreign source income”75* means income which is not derived from

Mauritius;
"foreign tax" means any tax of every kind and description imposed by the
law of another State;76*

"foreign vessel", in relation to item 9 of Sub-Part C of the Second Schedule,

means a ship registered in Mauritius and owned by -77*

(a) a body corporate incorporated in Mauritius which is not under the

effective control of citizens of Mauritius; or

(b) a body corporate which is incorporated outside Mauritius;

“Foundation” has the same meaning as in the Foundations Act 2012;78*

“gains”, in relation to gains from the sale or transfer of immovable property,

means the gains referred to in section 10A;79*

“GloBE Rules” means the Global Anti-Base Erosion Rules developed by the
Organisation for Economic Cooperation and Development/G20 Inclusive
Framework on BEPS which provides for a co-ordinated system of taxation
intended to ensure that large multinational enterprise (MNE) groups pay a
minimum level of tax on the income arising in each of the jurisdictions where
they operate;80*

“Government securities” has the same meaning as in the Public Debt

Management Act 2008;81*

"gross", in relation to an amount, means without any deduction from that

amount;

"gross income" means -

(a) the aggregate amount of all income -

(i) in the case of an individual, specified in Sub-Part A of Part III ;

or

(ii) in any other case, specified in Sub-Part B of Part IV,

other than exempt income; or

* Please refer to endnotes at Appendix 1 Page 17 of 491

MRA THE INCOME TAX ACT 1995 18

(b) the amount of income derived from a particular source without any
deduction from that amount;

["handicapped"] Definition deleted;82*

["health institution"] Definition deleted;83*

"hotel" means any building in which -

(a) not less than 9 bedrooms appropriately furnished together with

necessary amenities are set apart for letting; and

(b) one or more rooms are set apart and structurally built or adapted and
appropriately furnished for the preparation and sale to residents of
food and drinks for consumption;84*

"household employee" means any person employed by a person other than

a company, société, trust, trustee or other body of persons to work in his
private dwelling and the grounds attached thereto and includes a driver;

"ICT company" -

(a) means a company deriving at least 75 per cent of its gross income
from information and communication services as defined in the
Information and Communication Technologies Act 2001; but

(b) does not include public paid or mobile telecommunication network

and service including value added services and mobile internet;85*

“immigration officer” has the same meaning as in the Immigration Act;86*

"income tax" -87*

(a) means the income tax imposed by section 4; and

(b) includes –

(i)
Repealed;88*

(ii) the levy imposed by Sub-Part AB or Sub-Part AC of Part IV;89*

(iia) the CSR charge under Sub-Part AD of Part IV;90*

(iib) the one-off charge on turnover and book profit under section
50M;91*

(iic) the presumptive tax under Sub-part BD of Part VIII;92*

(iid) the CCR Levy charged under Sub-part AE of Part IV;93*

(iii) any penalty or interest imposed under this Act; but

* Please refer to endnotes at Appendix 1 Page 18 of 491

MRA THE INCOME TAX ACT 1995 19

(c) does not include any fine;

"income year", in relation to the income of any person, means the year in
which that income is derived by him;

"incorporation", in sections 16 and 56, means the transfer to a company of

all the assets and liabilities of a business in consideration of the issue of
shares in that company;

"industrial premises" means any building or structure, including any

extension thereto, used -

(a) for the purposes of a trade -

(i) carried on in a mill, factory or other similar premises;

(ii) consisting of the manufacture of goods or materials, or the

subjection of goods or materials to any process;

(iii) consisting of the storage of goods or materials which are to be

used in the manufacture of other goods or materials or are to
be subjected, in the course of a trade, to any process;

(b) for the purposes of a transport, dock or electricity undertaking;

(c) for the purposes of a hotel [containing not less than 6 bedrooms for the
accommodation of guests for reward]94*;

(d) for the provision of education or training;95*

(e) for the purpose of operating an aerodrome;

(f) for the welfare of workers employed in a trade or undertaking specified

in paragraphs (a) to (e); but

does not include -

(i) any building or structure in use as, or part of, a dwelling house
or used for any purpose ancillary to the purposes of a dwelling
house; or

(ii) any land, tree, plant, garden or earthworks;

["inter-crop season"]96* Definition repealed ;

"Land Area Management Unit" has the same meaning as in the Farmers
Service Corporation Act 1991;

"lease" means a tenancy of any duration, whether in writing or otherwise,

and includes a sublease or a contract of hire;

* Please refer to endnotes at Appendix 1 Page 19 of 491

MRA THE INCOME TAX ACT 1995 20

“limited liability partnership” has the same meaning as in the Limited

Liability Partnerships Act 2016;97*

“limited partnership” means a limited partnership registered under the

Limited Partnerships Act 2011;98*

"listed company" means a company the securities of which are listed on a
securities exchange;99*

"local authority" has the same meaning as in the Local Government Act
1989;

"loss" in sections 20 and 59 means the amount of the deficit where the
allowable deductions exceed the gross income in an income year;

"manufacture" -

(a) means the transformation of materials or semi-processed materials

into finished or semi-finished goods; and

(b) includes the –100*

(i) assembly of parts into a piece of machinery or equipment or

other product;

(ii) retreading of used tyres;

(iii) recycling activities;101*

"manufacturing company" -

(a) means a company which derives at least 75 per cent of its gross
income from manufacturing activities in Mauritius; but

(b) does not include -

(i) a company engaged in the manufacture of alcoholic drinks

or cigarettes and other tobacco products; or

(ii)102* a company engaged in carrying on the business of

restaurant;

["miller" ] Definition deleted;103*

"mineral" includes oil, clay, stone, gravel or sand;

"Minister" means the Minister to whom the responsibility for the subject of
finance is assigned;

“MNE Group” has the same meaning as in article 1.2.1 of the GloBE Rules as
approved by the Inclusive Framework on BEPS;104*

* Please refer to endnotes at Appendix 1 Page 20 of 491

MRA THE INCOME TAX ACT 1995 21

“National COVID-19 Vaccination Programme Fund” means the Fund

established under the Finance and Audit (National COVID-19 Vaccination
Programme Fund) Regulations 2020;105*

“national minimum wage” has the same meaning as in the National Wage
Consultative Council Act;106*

"net income" means the aggregate amount remaining after deducting from
the gross income all allowable deductions;

“NIC number” has the same meaning as in the Civil Status Act;107*

"non-citizen" means an individual who is not a citizen of Mauritius;

"non-resident"108* –
(a) for the purposes of sections 6(4)(b), 161A(1)(g) and items 4 and 5 of
Sub-Part B of Part II of the Second Schedule, and the Income Tax
(Foreign Tax Credit) Regulations 1996 in so far as they apply to a
bank holding a banking licence under the Banking Act 2004 -

(i) in the case of an individual, means a person –

(A) whose permanent place of abode is outside Mauritius;
and
[B] who is outside Mauritius at the time the services are
supplied;
(ii) in the case of any other person –

(A) means a person whose centre of economic interest is

located outside Mauritius; and

(B) includes a company incorporated in Mauritius in so far

as its banking transactions carried out through a
permanent establishment outside Mauritius are
concerned; but

[C] does not include a company incorporated outside

Mauritius in so far as its banking transactions carried
out through a permanent establishment in Mauritius are
concerned;
(b) in any other case, means a person who is not resident in Mauritius;

"non-resident trader" means a person who, being in Mauritius, carries on

business in Mauritius but has no permanent place of business or abode in
Mauritius;

“officer” has the same meaning as in the Mauritius Revenue Authority Act
2004;109*

* Please refer to endnotes at Appendix 1 Page 21 of 491

MRA THE INCOME TAX ACT 1995 22

"Official List" has the same meaning as in the Stock Exchange Act 1988;110*

"other income earning activity" means any activity from which income of a
kind specified under section 10(1)(c), (d) or 10(3) is derived;111*

"owner", in relation to a foreign vessel, has the same meaning as in the

Merchant Shipping Act 1986;

"pay" means pay, distribute, transfer, credit or deal with in the interest or on
behalf of any person and whether in money or money's worth;

"PAYE" means the Pay As You Earn (PAYE) System referred to in Sub-Part A
of Part VIII;

"person" shall be deemed to include a trust;

["personal reliefs and deductions"] Definition deleted;112*

"planter", for the purposes of -

(a) items 1 and 2 of Sub-Part C of Part II of the Second Schedule, means

any person or group of persons growing sugar cane in one or more
factory areas and includes any person acting as manager for that
person or group of persons; and113*

(b) section 59(3), means any person or group of persons, other than an
individual, engaged wholly or mainly in the growing of sugar cane in
one or more factory areas;

"premises" includes land or buildings;

“premium visa” means a visa issued by the passport officer under the
Passports Act to a non-citizen on the recommendation of the Economic
Development Board;114*

“protected cell company” has the same meaning as in the Protected Cell
Companies Act;115*

"qualified auditor" has the meaning assigned to it in the Companies Act,

1984;

“Qualified Domestic Minimum Top-up Tax” has the same meaning as in

article 10 of the GloBE Rules as approved by the Inclusive Framework on
BEPS;116*

“rainwater harvesting system” –117*

(a) means a system to capture, filter and store rainwater; and

(b) includes consultancy, design works, excavation works, gutters and

specialised water tanks in relation to the setting up of a rainwater
harvesting system;

* Please refer to endnotes at Appendix 1 Page 22 of 491

MRA THE INCOME TAX ACT 1995 23

"registered owner", in relation to items 9 and 10 of Sub-Part C of Part II of

the Second Schedule, means a person who has been registered as the owner
of a ship under the Merchant Shipping Act 1986;118*

“REIT” means a collective investment scheme or a closed-end fund

authorised as a REIT by the Financial Services Commission established
under the Financial Services Act;119*

"related company" has the meaning assigned to it by section 2(2) of

Companies Act 2001;120*

"relative", in relation to a person, means any other person connected with

him by -

(a) blood relationship as parent, grandparent, brother, sister, brother or

sister of a parent, nephew, niece or descendant;

(b) marriage, as his spouse or the spouse of a person married to that

other person or to a person specified in paragraph (a);

(c) adoption, as his child or as a child of a person specified in paragraph

(a) other than the adopted child of his nephew or niece;

(d) natural relationship, through a mother who has acknowledged her

child;

"rent" includes any premium or other consideration for a lease;

"resident" has the meaning assigned to it in section 73;

"retiring allowance" means a lump sum payment by way of a bonus,

gratuity or other allowance in respect of the full-time employment of a person
made on the occasion of his retirement from that employment;

"return date" means the last day of the period for which a return of income
is required to be made;

“Revenue Law”, in relation to section 76, has the same meaning as in the
Mauritius Revenue Authority Act;121*

“royalty” means payment of any kind received as a consideration for the

use of, or the right to use, any copyright of literary, artistic or scientific work
including cinematograph films, any patent, trademark, design or model,
plan, secret formula or process, or for information concerning industrial,
commercial or scientific experience;122*
["seaman"] Definition deleted;123*

“securities”, in item 7 of Sub-part C of Part II of the Second Schedule –

(a) has the same meaning as in the Securities Act; and
(b) includes virtual assets and virtual tokens; but
(c) does not include Treasury Bills and Bank of
Mauritius Bills;124*

* Please refer to endnotes at Appendix 1 Page 23 of 491

MRA THE INCOME TAX ACT 1995 24

"sell" includes transfer;

"share" –125*

(a) in relation to a company, includes an interest in the capital of the

company; and

(b) in relation to a collective investment scheme, means an interest in the

scheme as defined in the Securities Act 2005;

"shareholder" includes a member of a company whether or not the capital of

that company is divided into shares and, in sections 84, 85 and 86 includes
a person by whom or on whose behalf shares in the company have at any
time been held;

“SME Mauritius Ltd” has the same meaning as in the Small and Medium
Enterprises Act 2017;126*

“social contribution” means the social contribution payable under the

Social Contribution and Social Benefits Act 2021;127*

"société" -

(a) means a société formed under any enactment in Mauritius; and

(b) includes -

(i) a société de fait or a société en participation;

(iA) a limited partnership ;128*

(iB) a limited liability partnership;129*

(ii) a joint venture; or

(iii) a société or partnership formed under the law of a foreign
country;

“société commerciale” means a société commerciale within the meaning of

article 18 of the Code de Commerce;130*

"société de secours mutuels" means an association registered under the

Registration of Associations Act, whose main activity is to provide welfare
benefits;

“solar energy unit” –131*

(a) means a solar photovoltaic system; and

(b) includes a solar inverter, battery for storage of electricity and solar
charge controller;

* Please refer to endnotes at Appendix 1 Page 24 of 491

MRA THE INCOME TAX ACT 1995 25

[“solidarity levy” ] Definition deleted132*

[“start-up company” ] Definition deleted;133*

"Stock Exchange" means a securities exchange licensed under the

Securities Act 2005;134*

“special purpose vehicle” has the same meaning as in the Variable Capital
Companies Act 2022;135*

“sub-fund” has the same meaning as in the Variable Capital Companies Act
2022;136*

“superannuation fund” - *
137

“superannuation fund” –

(a) means a fund or scheme which is set up for the benefit of the
employees of an employer and is licensed or authorised under the
Private Pension Schemes Act 2012; and

(b) includes such other fund or scheme as the Director-General may

approve;

“Tax Account Number” means the Tax Account Number (TAN) allotted to a
person for the purposes of sections 99A and 105A;138*

"tax avoidance" includes, directly or indirectly -

(a) altering the incidence of income tax;
(b) relieving any person from liability to pay income tax;
(c) avoiding, reducing, or postponing any liability to pay income tax;

["tax incentive companies"] Definition repealed139*;

"taxpayer", in relation to an income year, means a person having a

chargeable income for that income year, whether on his own account or as
an agent;
“Top-up Tax” has the same meaning as in article 10 of the GloBE Rules as
approved by the Inclusive Framework on BEPS;140*
"trade" means any trade, adventure or concern in the nature of trade;
"trade union" means a trade union of employees registered under the
Industrial Relations Act;

[“Tribunal”] Definition deleted141*

"trust" means a trust recognised under the laws of Mauritius;142*

"trustee", in relation to a unit trust scheme, means the person holding
property as trustee in relation to the scheme;143*

* Please refer to endnotes at Appendix 1 Page 25 of 491

MRA THE INCOME TAX ACT 1995 26

"Unified Revenue Board" means the Unified Revenue Board established

under the Unified Revenue Act 1983;
"unit", in relation to a unit trust scheme, means a unit into which the
beneficial interest of the Unit Trust Fund for the scheme is divided;144*

"unitholder" means a person who holds a unit in a unit trust scheme;145*

"Unit Trust Fund" means the fund comprising the income and other
property held by the trustee for the scheme;146*

"unit trust scheme" has the same meaning as a unit trust in the Securities
Act 2005;147*
"venture capital fund" means a venture capital fund approved by the
Minister;
“virtual asset” has the same meaning as in the Virtual Asset and Initial
Token Offering Services Act 2021;148*
“virtual token” has the same meaning as in the Virtual Asset and Initial
Token Offering Services Act 2021;149*

"year" means a period of 12 months commencing on 1 July;150*

"year of assessment" means the year in and for which tax is payable under
section 4.

3. Application of Act

Sub-Part A of Part VIII, Part XI, sections 123 and 154(1) of this Act shall bind
the State.

PART II - LIABILITY TO INCOME TAX

4. Imposition of tax 151

*
(1) Subject to this Act, income tax shall, in and for every year -152*

(a) be paid to the Director-General by every person on all income,

other than exempt income, derived by him during the preceding
year; and

(b) be calculated on the chargeable income of the person, other

than a person referred to in sections 44B and 44C, at the
rate specified in Part I or Part IV of the First Schedule, as
the case may be;153*

(2) Where a non-resident individual derives income from Mauritius falling

under section 10 (1)(c), he shall pay income tax on the chargeable
income attributable to that income at the rate specified in Part IV of
the First Schedule.154*

* Please refer to endnotes at Appendix 1 Page 26 of 491

MRA THE INCOME TAX ACT 1995 27

(3) Notwithstanding the other provisions of this Act, a company forming

part of an MNE group which is liable to a Top-up Tax in a year, may
be required by the Director-General to compute and pay a Qualified
Domestic Minimum Top-up Tax in such form and manner as may be
prescribed.155*

4A. Unexplained wealth 156

*
(1) Notwithstanding section 154, where the Director-General has
reasonable grounds to suspect that a person has acquired
unexplained wealth of at least 2.5 million rupees in cash, he shall, in
accordance with the Financial Crimes Commission Act 2023, make a
written report to the Financial Crimes Commission specifying the full
name and address of the person and the sum of the unexplained
wealth.

(2) Notwithstanding section 4, where a report is made under subsection

(1), the sum specified in the report shall, subject to this section, not be
liable to income tax.

(3) Where the Financial Crimes Commission does not institute action for
the confiscation of the sum specified in subsection (1), wholly or
partly, the Financial Crimes Commission shall inform the Director-
General, who shall as soon as is reasonably practicable, in respect of
any sum specified in the report and which is not subject to
confiscation, issue, notwithstanding section 123A, an assessment in
respect of that sum.

(4) In this section –

“Financial Crimes Commission” means the Financial Crimes

Commission established under the Financial Crimes Commission Act
2023.

5. Derivation of income

(1) Income shall be deemed to be derived by a person where-

(a) the income was derived from Mauritius, whether the person
was resident in Mauritius or elsewhere; or

(b) the income was derived at a time when the person was resident
in Mauritius, whether the income was derived from Mauritius
or elsewhere.

(2) Subject to the other provisions of this Act, income shall be deemed to
be derived by a person when -

(a) it has been earned or has accrued; or

* Please refer to endnotes at Appendix 1 Page 27 of 491

MRA THE INCOME TAX ACT 1995 28

(b) it has been dealt with in his interest or on his behalf, whether
or not it has become due or receivable.

(3) Income derived by an individual from outside Mauritius shall be

deemed to be derived by the individual when – 157*

(a) it is received in Mauritius by him or on his behalf; or

(b) it is dealt with in Mauritius in his interest or on his behalf.

6. Income to be expressed in Mauritius currency

(1) Income wherever derived, and expenses and losses, wherever

incurred, shall , subject to subsection (5), be expressed in terms of
Mauritius currency.158*

(2) Where income, expenditure or losses are expressed in terms of any

currency other than Mauritius currency, they shall be converted into
Mauritius currency at the exchange rate159* between Mauritius
currency and the other currency.

(3) For the purposes of subsection (2), the exchange rate shall be -
(a) where income is remitted to Mauritius or the amount of any
deduction is remitted from Mauritius during the income year in
which it is derived or incurred, as the case may be, the rate in
force at the date of the remittance; or
(b) where income or the amount of a deduction is not remitted
during the income year in which it is derived or incurred, as the
case may be, the rate in force at the end of that income year.

(4)160* Notwithstanding subsections(2) and(3) but subject to subsection (5),

any income tax payable by –

(a) a corporation holding a Global Business Licence under the

Financial Services Act; or

(b) a bank holding a banking licence under the Banking Act in

respect of its banking transactions with non-residents and
corporations holding a Global Business Licence under the
Financial Services Act,
shall be converted into Mauritius currency at the exchange rate in
force at the date on which payment of the tax is made to the Director-
General.

(5)161* Notwithstanding this section, where a corporation holding a Global

Business Licence under the Financial Services Act or any other
company with the approval of the Registrar of Companies162*,
prepares its financial statements in either US dollar, Euros, GB
pounds sterling, Singapore dollars, South African rands, Swiss

* Please refer to endnotes at Appendix 1 Page 28 of 491

MRA THE INCOME TAX ACT 1995 29

francs or such other foreign currency as may be approved by the

Director-General it shall submit -

(a) its APS Statement under section 50B; and

(b) its return of income under section 116,

and pay any tax specified therein in that currency.

7. Exempt body of persons and exempt income 163*

(1) Any body of persons specified in Part I of the Second Schedule shall
be exempt from income tax.

(2) Any income specified in Part II of the Second Schedule shall be

exempt from income tax.164*

(3) Except as otherwise provided for in this Act, nothing in this section
shall exempt from taxation, in the hands of a recipient any sum paid
to him, by way of emoluments, dividends, interest or otherwise,
wholly or partly by the exempt body of persons or persons or out of
income so exempt from taxation.

PART III - PERSONAL TAXATION

8. Application of Part III

This Part shall apply to individuals.

Sub-Part A - Gross Income

9. Income of a married woman

(1) All income derived by a married woman shall be liable to income tax
separately from the income of her husband in her own name.

(2) Any income derived by a married woman jointly with her husband
shall be deemed to be derived by them in such proportion as may be
declared by the couple in their tax returns.

(3) Where no declaration is made by the couple under subsection (2), the
income shall be deemed to be derived by them in equal proportion.

10. Income included in gross income 165

*
(1) Subject to the other provisions of this Act, the gross income of an
individual shall include –

* Please refer to endnotes at Appendix 1 Page 29 of 491

MRA THE INCOME TAX ACT 1995 30

(a) any advantage in money or in money’s worth which is -

(i) salary, wages, leave pay, fee, overtime pay, perquisite,

allowance, bonus, gratuity, commission or other reward
or remuneration in respect of or in relation to the office
or employment of that individual;

(ii) superannuation, compensation for loss of office, pension

(including any pension in respect of which a deduction is
allowed under section 23 or 62, as the case may be),
retiring allowance, annuity or other reward in respect of
or in relation to past employment or loss or reduction of
future income of that individual, whether receivable by
that individual or by any person who is or has been the
spouse or dependent of that individual;

(b) any gross income derived from any business;

(c) any rent, royalty, premium or other income derived from

property;

(d) any dividend, interest, charges, annuity or pension, (other than

a pension referred to in paragraph (a)(ii));

(e) basic retirement pension payable under the National Pensions

Act;

(f)166* any gross income, in money or money’s worth, derived from

the sale of immovable property in the course of any
business falling under paragraph (b); and

(g) any other income derived from any other source.

(2) For the purposes of subsection (1)(a), any advantage in money or in

money’s worth shall include -

(a) any rent allowance, housing allowance, entertainment

allowance, transport allowance, travelling allowance, travel
grant, commuted travelling allowance or reimbursement of
travelling expenses, petrol allowance, driver’s allowance or any
other allowance or sum by whatever name called;

(b) any reimbursement of the cost or payment of personal and

private expenses of the employee by the employer;

(c) any reimbursement of the cost or payment of passages, by sea,

air or land between Mauritius and another country on behalf of
the employee, his spouse and dependents; and

(d) any fringe benefits as may be prescribed.

* Please refer to endnotes at Appendix 1 Page 30 of 491

MRA THE INCOME TAX ACT 1995 31

(3) For the purposes of subsection (1)(b), gross income derived from a
business shall include -

(a) any sum or benefit, in money or money's worth, derived from

the carrying on or carrying out of any undertaking or scheme
entered into or devised for the purpose of making a profit,
irrespective of the time at which the undertaking or scheme
was entered into or devised;

(b) any sum or benefit derived from the extraction, removal or sale
of any mineral, tree or wood;

(c) any sum or benefit, in money or money's worth, derived from

the sale of any immovable property or interest in immovable
property, where the property was acquired in the course of a
business the main purpose of which is the acquisition and sale
of immovable property;

(d) any increase in the value of trading stock on hand at the time
of transfer by sale or otherwise of a business or on the
reconstruction of a company;

(e) any subsidy derived in the carrying on of a business; and167*

(f) any interest derived by a person from money lent through any
Peer-to-Peer Lending platform operated under a licence issued
by the Financial Services Commission under the Financial
Services Act.168*

[10A. Gains from immovable property] repealed 169

*
11. Emoluments received in arrears

Where arrears of emoluments earned in an income year are received by a

person in the following or any subsequent income year, those emoluments
shall be deemed to have been earned in the income year in which they are
received.

12. Income received in anticipation

Where income is derived by a person in any year by way of premium or

payment in advance or in any like manner by way of anticipation, the
Director-General may, on the written application of that person during the
following year, apportion that income between the income year and any
number of subsequent years not exceeding 5, and the part so apportioned to
each of those years shall be deemed to be income derived in that year.

13. Valuation of trading stock

(1) Where a person owns or carries on a business, the value of his trading
stock at the beginning and at the end of every income year shall be

* Please refer to endnotes at Appendix 1 Page 31 of 491

MRA THE INCOME TAX ACT 1995 32

taken into account in ascertaining whether or not he has derived

income during that year under section 10(1)(b).

(2) The value of the trading stock to be taken into account shall be
determined on such basis as may be prescribed.

14. Transfer of trading stock with other assets or for inadequate

consideration

(1) Subject to the other provisions of this Act, where any trading stock is
sold or otherwise transferred together with other assets, the part of
the consideration attributable to the trading stock shall be determined
by the Director-General, and the part of the consideration so
determined shall be deemed to be the price paid for the trading stock
by the purchaser.

(2) For the purposes of subsection (1), any trading stock which has been
transferred otherwise than by sale shall be deemed to have been sold,
and any trading stock so transferred and any trading stock which has
been sold for a consideration other than cash shall be deemed to have
realised the market price at the day on which it was so transferred or
sold, but where there is no market price, trading stock shall be
deemed to have realised a price determined by the Director-General.

(3) In this section "trading stock" includes any other property which, as
and when realised, produces income for the person under section
10(3)(c).170*

(4) Where any trading stock is sold or transferred without consideration

in money or money's worth or for a consideration that is less than its
market price or true value on the day of the sale or transfer -

(a) the trading stock shall be deemed to have been sold at and to
have realised the market price on the day of the sale or
transfer, but shall, where there is no market price, be deemed
to have been sold at and to have realised a price determined by
the Director-General;

(b) the price which under this section the trading stock is deemed
to have realised shall be taken into account in calculating the
gross income of the person selling or transferring the trading
stock;

(c) the person acquiring the trading stock shall, for the purpose of
calculating his net income, be deemed to have purchased the
trading stock at the price which under this section the trading
stock is deemed to have realised.

* Please refer to endnotes at Appendix 1 Page 32 of 491

MRA THE INCOME TAX ACT 1995 33

15. Deemed income arising from expenditure or loss discharged

(1) Where the amount of any expenditure or loss incurred by a person

has been taken into account in calculating his net income for an
income year, and the liability of the person in respect of that amount
is subsequently discharged in whole or in part, the amount so
discharged shall be deemed to be income derived in the year in which
the amount is discharged.

(2) For the purposes of this section, a liability in respect of expenditure or

loss shall be deemed to have been discharged to the extent to which
the person has been discharged from that liability without adequate
consideration in money or money's worth.

16. Apportionment of income on incorporation and disincorporation

(1) Where a business is transferred to a company on incorporation and

the persons who carried on that business prior to incorporation are
the shareholders in that company immediately after incorporation, the
Act shall have effect as if -

(a) the business had not ceased or been transferred on

incorporation; and

(b) at all times prior to incorporation the company had been

carrying on the business.

(2) Where a business is transferred by a company on disincorporation

and the persons who carry on that business after disincorporation
were the shareholders in that company immediately prior to
disincorporation, the Act shall have effect as if -

(a) the business has not ceased or been transferred on

disincorporation; and

(b) at all times prior to disincorporation that person or those

persons had been carrying on the business.

(3) Where incorporation or disincorporation takes place during an income

year, the gross income of the business for that income year shall be
apportioned between the company and the person carrying on the
business on the basis of the proportion of the income year before and
after incorporation or disincorporation.

16A. Small enterprise qualified under an approved scheme171*

(1) Notwithstanding the other provisions of this Act, but subject to this
section, any individual who sets up a new small enterprise on or after
2 June 2015 shall, where the small enterprise –172*

* Please refer to endnotes at Appendix 1 Page 33 of 491

MRA THE INCOME TAX ACT 1995 34

(a) (i) is registered under the repealed Small and Medium

Enterprises Development Authority Act on or after 2 June
2015; and

(ii) qualifies under a scheme referred to in section 5A of the

repealed Small and Medium Enterprises Development
Authority Act; or

(b) (i) is registered under the Small and Medium Enterprises Act
2017; and

(ii) qualifies under a scheme administered and managed by

SME Mauritius Ltd,

(2) The period of exemption under subsection (1) shall not exceed 8
succeeding income years from the income year –

(a) starting on 1 July 2016, for an enterprise required to submit a

CPS Statement under section 106;

(b) starting on 1 July 2015, for an enterprise not required to

submit a CPS Statement under section 106;or

(c) in which the individual start the activities relating to a project

under the scheme – 173*

(i) referred to in section 5A of the repealed Small and Medium

Enterprises Development Authority Act; or

(ii) administered and managed by SME Mauritius Ltd.

(3) Any unrelieved tax losses shall not be carried forward after the expiry
of the period referred to in subsection (2).

[Sub-Part AA – Solidarity Income Tax] Repealed 174 *

[Sub-Part AB – Solidarity Levy] Repealed *

175

Sub-Part B - Allowable Deductions

17. Deduction in connection with employment

(1) Any expenditure which is wholly, exclusively and necessarily incurred

by a person in performing the duties of an office or employment shall
be deductible from the gross income referred to in section 10(1)(a) in
the income year in which the expenditure is incurred.176*

* Please refer to endnotes at Appendix 1 Page 34 of 491

MRA THE INCOME TAX ACT 1995 35

(2) The Director-General may determine whether and to what extent an

allowance made to a person constitutes a reimbursement of
expenditure wholly, exclusively and necessarily incurred by that
person in performing the duties of his office or employment and the
allowance shall, to the extent so determined, be deductible from the
gross income referred to in section 10(1)(a) in the income year in
which the allowance is made.177*

(3) Where the Director-General is satisfied that the whole or part of any
advantage has necessarily to be provided by an employer for a person
for the performance of the duties of his office or employment, the
advantage, or part thereof, shall be deductible from the gross income
referred to in section 10(1)(a) in the income year in which the
advantage is provided.178*

(4)179* Deleted

(5)180*Deleted

18. Expenditure incurred in the production of income

(1) Any expenditure or loss shall be deductible from the gross income,
other than gross income specified in section 10(1)(a), of a person in
the income year in which it is incurred to the extent to which it is
exclusively incurred in the production of his gross income, other than
gross income specified in section 10(1)(a), for that income year.

(2) Any expenditure which satisfies the requirements of subsection (1), on

or in relation to -

(a) minerals, trees or wood which when realised, produces gross

income under section 10(1)(b); or

(b) immovable property, including the cost of acquisition, which

when realised, produces gross income under section 10(3)(c),
181
*
shall be deductible from the gross income, other than gross income
specified in section 10(1)(a), of a person in the income year in which
he derives the gross income specified in this subsection.

(3) Any expenditure, which satisfies the requirements of subsection (1),

incurred by a person on the repair of premises, machinery or plant, or
on rent, or on export duties, rates and taxes, other than income tax or
any other tax on income or profits, shall be deductible from his gross
income, other than gross income specified in section 10(1)(a), in the
income year in which the expenditure is incurred.

* Please refer to endnotes at Appendix 1 Page 35 of 491

MRA THE INCOME TAX ACT 1995 36

(4) An amount equal to 200 per cent of expenditure incurred by a person

in an income year and which satisfies the requirements of subsection
(1) shall be deductible from his gross income in that income year
where the expenditure is incurred on -

(a) emoluments payable in that income year in respect of the full-

time employment of a woman, other than a disabled person,
approved under the Prime à l’Emploi Scheme; or 182*;

(b) emoluments and training costs in respect of an employee

employed in any business set up in the Island of Rodrigues.
183
*
(4A) For the purpose of subsection (4)(a), the amount of the deduction with
respect to an employee shall be allowable for the period during which
a payment is made with respect to that employee under section
150F.184*

(4B) An amount equal to 300 per cent of the expenditure incurred by a

person in an income year and which satisfies the requirements of
subsection (1) shall be deductible from his gross income in that
income year where the expenditure is incurred on emoluments in
respect of a disabled person. 185*

(5) Subject to subsection (1) and section 26(1)(b) and (3), where any
expenditure or loss incurred by a corporation holding a Global
Business Licence under the Financial Services Act is not directly
attributable to either its income derived from Mauritius or its foreign
source income, the corporation shall forward, together with its return
of income which is required under this Act, a certificate from a
qualified auditor certifying that such expenditure or loss has been
apportioned in a fair and reasonable manner, after taking into
account any expenditure or loss incurred in the production of exempt
income.186*

(6)187*(a) Notwithstanding subsection (1) but subject to paragraph (b), any

solidarity levy under the Value Added Tax Act payable in an
income year shall be deductible from the gross income referred to
in section 10(1)(b) in that income year.

(b) Where a deduction under paragraph (a) has been allowed in an

income year and such solidarity levy under the Value Added Tax
Act is refunded in a subsequent income year, the deduction
allowed shall be withdrawn and the amount of the deduction so
withdrawn shall be deemed to be gross income of the person in
the income year in which the refund is made.

* Please refer to endnotes at Appendix 1 Page 36 of 491

MRA THE INCOME TAX ACT 1995 37

18A. Expenditure incurred by artists 188*

(1) Where a person is a member of the Mauritius Society of Authors
established under the Copyright Act, he may, instead of claiming a
deduction for expenditure incurred in the production of gross income
under section 18, opt to claim by way of deduction, an amount
equivalent to 50 percent of the gross income generated from his
artistic work other than a literary work.

(2) Subsection (1) shall not apply where the gross income generated from
the artistic work referred to in subsection (1) –

(i) constitutes emoluments under section 10(1)(a)(i); or

(ii) exceeds 500, 000 rupees.

19. Expenditure incurred on interest in the production of income

(1) Subject to the other provisions of this section, where in an income

year a person has incurred expenditure on interest in respect of
capital employed exclusively in the production of gross income
specified in section 10(1)(b),(c), or (d), as the case may be, he shall be
allowed, in that income year, a deduction in respect of the interest
from the gross income in the production of which the capital was
employed.

(2) The Director-General may require a person to support his claim for
deduction in respect of interest under subsection (1) by a certificate
from a qualified auditor certifying that the amount of interest claimed
has been incurred on capital employed exclusively in the production of
gross income specified in section 10(1)(b), (c) or (d).

(3) The Director-General may refuse to allow a deduction on expenditure

incurred as interest where he is satisfied that -

(a) the interest is payable to a non-resident who is not chargeable

to tax on the amount of the interest; or

(b) the interest is not likely to be paid in cash within a reasonable

time.

20. Losses 189

*
(1) Where a person satisfies the Director-General that he has in an
income year incurred a loss in the production of gross income
specified in section 10(1)(b), (c) and (d), that loss –

(a) shall not be deducted from or set-off against his gross income
specified in section 10(1)(a) for that income year; but

* Please refer to endnotes at Appendix 1 Page 37 of 491

MRA THE INCOME TAX ACT 1995 38

(b) may, subject to subsection (2), be set-off against his gross

income, other than gross income specified in section 10(1)(a),
derived in that income year, and any excess loss carried
forward for set-off against income derived in the 5 succeeding
income years.

(2) The time limit of 5 income years under subsection (1)(b) shall not
apply for the carry forward of any amount of loss that is attributable
to annual allowance claimed in respect of capital expenditure
incurred on or after 1 July 2006.

(3) Where the Director-General is not satisfied with a claim for loss made
by a person under this section, the Director -General shall determine
the quantum of the loss available for set-off or carry forward and shall
give notice of his determination to the person.190*

(4) Where loss available for set-off or carry forward has been determined
under subsection (3) and it is subsequently found that the loss
determined has been overstated, the Director-General may make
another determination of the quantum of loss and shall give notice of
his determination to the person referred to in subsection (3).191*

(5) Where any person is dissatisfied with a determination by the Director-

General under subsection (3) or (4), he may object to the
determination in the manner provided in section 131C.

(6) Any loss incurred by a person who qualifies for an exemption under
items 11, 11A, 13, 26 to 32 or 34 to 38 of Sub-part C of Part II of the
Second Schedule, during the period of exemption specified in the
respective items, shall be available for carry forward and deduction
under section 20 or 59, as the case may be.

21. Bad debts and irrecoverable sums

(1) Subject to subsection (3), a person who derives gross income specified
in 10(1)(b) in an income year may deduct the amount of a debt or sum
which is proved to have become bad and to have been actually written
off as a bad debt by the person in that income year.

(2) Subject to subsection (3), a person who derives gross income, other
than gross income specified in section 10(1)(b), may deduct any debt
or sum not received in an income year but which is deemed to be
derived in that income year and which is proved to have become
irrecoverable by the person.

(2A) (a) Subject to subsection (3), a person who derives interest from
money lent through any Peer-to-Peer Lending platform operated
under a licence issued by the Financial Services Commission
under the Financial Services Act in an income year may deduct
the amount of the debt or interest arising from such amount

* Please refer to endnotes at Appendix 1 Page 38 of 491

MRA THE INCOME TAX ACT 1995 39

lent and which is proved to have become bad from any interest
received from money lent through the same Peer-to-Peer
Lending platform.

(b) Where the amount of debt or interest cannot be fully relieved

under paragraph (a), the person may, subject to paragraph (c),
claim that the unrelieved amount of debt or interest be carried
forward and set off against interest received from money lent
through the same Peer-to-Peer Lending platform in the
succeeding income years.

(c) No time limit shall apply for the setting-off of any unrelieved
bad debt arising under paragraph (b).192*

(3) Any amount allowed as a deduction which is subsequently received by

the person on account of any bad or irrecoverable debt shall be
deemed to be gross income derived in the income year in which it is
received.

22. Contributions to superannuation fund

(1) Subject to this section, an employer may deduct any amount

irrevocably paid by him to provide - 193*

(a) a pension or retirement allowance to his employees and their

dependants under a superannuation fund; and

(b) for the medical expenses of his employees and their dependants
under a scheme approved by the Director-General.

(2) Notwithstanding section 18, where an amount paid by an employer

under subsection (1) is a lump sum payment in respect of past
services of employees, one-tenth of the payment shall be deductible in
the income year in which the payment is made and in each of the 9
succeeding years.

(3) No deduction shall be allowed under this section where the

superannuation fund under subsection (1)(a) is set up for the
principal purpose of providing tax benefits to selected employees and
their dependents.194*

23. Pensions to former employees

(1) Subject to subsection (2), the Director-General may, in the case of a

person deriving gross income specified in section 10(1)(b) allow a
deduction in respect of any amount which is not deductible otherwise
than under this section and which, in the opinion of the Director-
General, is reasonable in the particular circumstances of the case,
paid by the person in that income year by way of a pension to any

* Please refer to endnotes at Appendix 1 Page 39 of 491

MRA THE INCOME TAX ACT 1995 40

former employee in the business of that person, or to the surviving

spouse of that employee, in consideration of the past services of that
employee in that business of the person, where the Director-General is
satisfied that -

(a) the pension is receivable by the recipient -

(i) by virtue of any enactment;

(ii) as of right under a written document for a fixed period

or for life;

(iii) in the case of the surviving spouse, for a fixed period or

for life or until he or she remarries; or

(iv) on grounds which the Director-General determines to

be compassionate grounds; and

(b) except in the case of the death of the employee while in the
employment of the person, the employee did not retire from his
employment before attaining the appropriate retiring age.

(2) This section shall not apply where because of any relationship to or
with the employer or otherwise the former employee or the surviving
spouse had or has, in the opinion of the Director-General, any control
in relation to the payment of the pension by the person.

(3) For the purposes of this section -

"appropriate retiring age" means -

(a) not less than the age of 50;

(b) such earlier age as the Director-General considers reasonable,

having regard to the nature of the employment of the person or
service or the general terms of employment in the business or
occupation in which the person was employed;

(c) the age at which the person retired in the case of retirement on
the ground of serious illness or permanent disability; or

(d) the age at which a person ceased to be employed in any full-

time employment and the Director-General is satisfied that he
ceased to be so employed by reason of redundancy or other
similar circumstances.

24. Annual allowance

(1)195*Subject to the other provisions of this section, where, in an income

year, a person has incurred capital expenditure on –

* Please refer to endnotes at Appendix 1 Page 40 of 491

MRA THE INCOME TAX ACT 1995 41

(a) the acquisition, construction or extension of any –

(i) industrial premises;

(ii) clinics;

(iii) shops and shopping malls;

(iv) offices and showrooms;

(v) restaurants; or

(vi) entertainment premises;

(b) the acquisition of plant or machinery;

(c) agricultural improvement on agricultural land;

(d) scientific research;

(e) the setting up of golf courses;

(ea) the acquisition of patents;196*

(f) the acquisition or improvement of any other item of a capital

nature which is subject to depreciation under the normal
accounting principles;

(g) the acquisition of a solar energy unit; or 197*

(h) research and development, including innovation, improvement

or development of a process, product or service,198*

he shall be allowed a deduction of the capital expenditure so incurred

by way of an annual allowance in that income year and in each of the
succeeding years at such rate as may be prescribed.

(1A) Notwithstanding any other provision of this Act, where, in an income

year, a person has incurred capital expenditure on electronic, high
precision or automated machinery or equipment on or after 1 July
2020, he shall be allowed, in that income year, a deduction of that
capital expenditure, provided no deduction has been claimed under
subsection (1).199*

(2)200*Deleted

(3)201*No annual allowance shall be allowed under this section unless the
expenditure is incurred exclusively in the production of gross income;

* Please refer to endnotes at Appendix 1 Page 41 of 491

MRA THE INCOME TAX ACT 1995 42

(4)202* (a) The total amount of allowance claimed under this section shall
not exceed in the aggregate –

(i) in the case of a motor car, 3 million rupees;

(ii) in any other case, the amount of the capital expenditure

incurred.

(b) Paragraph (a)(i) shall not apply to a person carrying on the

business of tour operators and car rental.

(5) Subject to subsection (6) 203*, where, in an income year, a person sells
or otherwise transfers an asset in respect of which an allowance has
been allowed under this section at a price or for a consideration -

(a) in excess of the amount to which the value of the asset has
been reduced by the allowance, the excess to the extent of the
amount of the allowance granted shall be deemed to be the
gross income of the person in that income year; or

(b) which is less than the amount to which the value of the asset
has been reduced by the allowance, the difference shall be
allowed as a deduction from the gross income of the person in
that income year.

(6) 204
*Where a person sells or otherwise transfers plant, machinery,
industrial premises or any other asset of a capital nature to a relative
or to a related company and the plant, machinery, industrial premises
or asset sold or transferred is used by the relative or the related
company for the production of gross income, the sale or transfer shall,
unless the Director-General directs otherwise, be deemed to have been
made at a price equal to the base value of the plant, machinery,
industrial premises or asset at the date of sale or transfer.

(7)205*Notwithstanding any other provision of this Act where a company has

invested 60 million rupees or more or at least 20 per cent of the stated
capital of a spinning factory, whichever is the higher, during the years
2003 to 2008, it shall be allowed an investment tax credit by way of
deduction from its tax liability as follows –

(a) 15 per cent of the investment over 4 years; or

(b) 10 per cent over 6 years,

as from the year the investment was made, less any investment tax
credit it has been allowed in the past in respect of the same
investment.

(8) Notwithstanding any other provision of this Act, where a company has
invested 10 million rupees or more or at least 20 per cent of the stated
capital, whichever is the higher, of a weaving, dyeing or knitting of

* Please refer to endnotes at Appendix 1 Page 42 of 491

MRA THE INCOME TAX ACT 1995 43

fabrics factory during the years 2003 to 2008, it shall be allowed an

investment tax credit by way of deduction from its tax liability as
follows –

(a) 15 per cent of the investment over 4 years; or

(b) 10 per cent over 6 years,

as from the year the investment was made, less any investment tax
credit it has been allowed in the past in respect of the same
investment.

24A. Expenditure incurred on fast charger for electric car

Where, in an income year, a person incurs expenditure on a fast charger for

an electric car used in the production of his gross income, he may deduct
from his gross income, twice the amount of such expenditure in that income
year.206*

24B. Expenditure incurred on medical research and development207*

(1) Subject to subsection (2), where, in an income year, a person engaged

in medical research and development incurs expenditure on medical
research and development, he may deduct from his gross income twice
the amount of that expenditure in that income year provided the
research and development is carried out in Mauritius.

(2) Where a deduction has been claimed under paragraph (1), no

deduction shall be allowed in respect of the same expense under
section 24 or section 161A(55).

25. [Investment allowance ] Deleted208*,209*,210*

26. Unauthorised deductions

(1) Notwithstanding sections 18 and 19 but211* subject to the other

provisions of this section, no deduction shall be made in respect of -

(a) any investment, expenditure or loss to the extent to which it is

capital or of a capital nature;

(b) any expenditure or loss to the extent to which it is incurred in

the production of income which is exempt income;

(c) any reserve or provision of any kind;

(d) any expenditure or loss recoverable under a contract of

insurance or of indemnity;

(e) any expenditure incurred in providing business entertainment

or any gift;

* Please refer to endnotes at Appendix 1 Page 43 of 491

MRA THE INCOME TAX ACT 1995 44

(f) Repealed212*

(g) income tax, foreign tax, levy imposed in accordance with

section 114 of the Gambling Regulatory Authority Act or special
levy on banks in accordance with Part XB of the Value Added
Tax Act;213*

(h) any expenditure or loss to the extent to which it is of a private

or domestic nature;

(i) any sum which has been given, directly or indirectly as a

gratification for a corruption offence.214*

(2) Where the Director-General is satisfied that any expenditure of a

capital nature in relation to alterations or improvements to any
premises, machinery or plant, does not increase the capital value of
the premises, machinery or plant, or that the expenditure increases
the capital value by an amount less than the amount of the
expenditure, he may allow such deduction as he thinks fit.

(3) Where any expenditure or loss incurred by a person in the production

of his gross income and exempt income is not directly attributable to
the production of such income, that part of the expenditure or loss
attributable to the production of the exempt income shall be
disallowed in such proportion as may be prescribed215*.

(4) Deleted216*

Sub-Part C – Personal Reliefs and Deductions for Individuals217*

27. Entitlement to Personal Reliefs and Deductions218*

(1) No person shall be entitled to personal reliefs, deductions and

allowances under Sub-part C, D or E of Part III unless he is resident
in Mauritius in the income year in which the income is derived 219*.

(2) Subject to the other provisions of this section, every person shall, in
an income year, be entitled to a deduction in respect of his
dependents in accordance with the Third Schedule.220*

(2A) Where the person referred to in subsection (2) is –

(a) a retired person, who, in an income year, has gross income

other than specified income; or

(b) a person having a physical or mental disability,

* Please refer to endnotes at Appendix 1 Page 44 of 491

MRA THE INCOME TAX ACT 1995 45

he shall in an income year, in addition to the deduction specified in

subsection (2), be entitled to deduct from his net income in that
income year an additional amount of 50,000 rupees.221*

(3) Repealed 222

*
(4) Where, in an income year, a person claims a deduction in respect of a
dependent child, the spouse of that person shall not claim in that
income year any deduction in respect of dependent child.223*

(4A) Where, in an income year, a person claims a bedridden next of kin as

a dependent, no other person shall claim that bedridden next of kin as
a dependent in that income year.224*

(5) A person shall not be entitled to claim in an income year a deduction

in respect of his 225* -

(a) First dependent, where the net income and exempt income of
that dependent in that income year exceeds 110,000
rupees;226*

(b) Second dependent, where the net income and exempt income of
his second dependent in that income year exceeds 80,000
rupees;227*

(c) Third dependent, where the net income and exempt income of
his third dependent in that income year exceeds 85,000
rupees.228*

(d) Fourth dependent, where the net income and exempt income of
the fourth dependent in that income year exceeds 80,000
rupees.229*

(6) Subject to subsection (6B), where the net income and exempt income
of the first dependent, second dependent, third dependent and fourth
dependent do not exceed 110,000 rupees, 80,000 rupees, 85,000
rupees and 80,000 rupees, respectively, the net income of the
dependent or dependents shall be deemed to be, and shall be added
to, the net income of that person.230*

(6A) Where, in an income year, a person is entitled to a deduction in

respect of a dependent child who is pursuing a nonsponsored full-time
undergraduate or postgraduate course at a recognised tertiary
educational institution, he may claim an additional deduction under
item 2 of Part I of the Third Schedule per dependent up to a maximum
of 4 dependents.231*

(6B) Where, in an income year, a person claims a deduction in respect of a

dependent who is a bedridden next of kin, the benefits derived by the
bedridden next of kin under the National Pensions Act, in that income
year, shall 232* –

* Please refer to endnotes at Appendix 1 Page 45 of 491

MRA THE INCOME TAX ACT 1995 46

(a) be excluded in the calculation of the net income and exempt

income of the bedridden next of kin under subsection (5); and

(b) not be included in the net income of the person claiming the
deduction under this section.233*

(7) In this section –234*

“dependent” means –

(a) a spouse;

(b) a child under the age of 18; or

(c) a child over the age of 18 and who –

(i) is pursuing a full-time course at an educational

institution or a training institution; or

(ii) cannot earn a living because of a physical or mental

disability;

(d) a bedridden next of kin;235*

“bedridden next of kin”, in respect of a person, means the bedridden spouse, father,
mother, grandfather,grandmother, brother or sister of that person or of his spouse,
provided that the bedridden next of kin is –236*

(a) eligible to the carer’s allowance payable under the National

Pensions Act; and

(b) under the care of that person.

“retired person” means a person who attains the age of 60 at any time prior to
the first day of July of an income year in respect of which a claim for an additional
deduction is made under subsection (2A);

“specified income” means the gross income derived from emoluments

exceeding 50,000 rupees, specified in section 10 (1)(a)(i), or from any
business.

Sub-Part C [Personal Reliefs and Deductions ] Deleted237*

238
*
239
*
240
*
241
*
242
*

* Please refer to endnotes at Appendix 1 Page 46 of 491

MRA THE INCOME TAX ACT 1995 47

243
*
244
*
245
*
246
*
247
*
248
*
249
*
Sub-Part D – Interest Relief for Individuals250*

27A. Interest relief251*

(1) Subject to this section, every person shall, in an income year, be

allowed a relief by way of deduction from his net income in respect of
the amount of interest paid in that income year to –

(a) a bank or a non-bank deposit taking institution under the

Banking Act;

(b) an insurance company under the Insurance Act;

(c) the Sugar Industry Pension Fund;

(d) the Development Bank of Mauritius; or

(e) the Statutory Bodies Family Protection Fund,

on a housing loan secured by mortgage or fixed charge on immovable

property and used exclusively for the purchase or construction of his
house.

(2) The relief under subsection (1) shall apply in respect of a loan secured
by mortgage or fixed charge on immovable property.252*

(3) In the case of a couple where neither spouse is a dependent spouse,

the relief under subsections (1) and (2) shall at the spouses’ option be
divided equally for each spouse.253*
(4) No relief under subsection (1) shall be allowed –

(a) unless the person is resident in Mauritius in the income year in

which the income is derived;

(b) where the person or the spouse of the person *–

254

(i) is, at the time the loan is raised, the owner of a

residential building; or

* Please refer to endnotes at Appendix 1 Page 47 of 491

MRA THE INCOME TAX ACT 1995 48

(ii) benefits from any new housing scheme set up on or after

1 January 2011 by such competent authorities as may
be prescribed;

(c) where the income of the person, or the spouse of the person, as
the case may be, exceeds 4 million rupees in an income year.255*

(4A) For the purpose of subsection (1), the housing loan taken from –256 *
(a) the Development Bank of Mauritius shall be for its employees;

(b) the Statutory Bodies Family Protection Fund shall be for its
members.

(5) For the purposes of subsection (4)(c)-257*

“income” means the total of the net income and the income in respect of –
(a) dividends received from a resident company or co-operative
society registered under the Co-operatives Act; and

(b) interest -

(i) on a savings or fixed deposit account received from a bank

or non-bank deposit taking institution under the Banking
Act; and

(ii) received on Government securities and Bank of Mauritius

Bills.

Sub-Part E - Other Reliefs and Allowances 258*

27B. Relief for Medical or Health Insurance Premium

(1)259* Subject to this section, every person shall, in an income year, be

entitled to deduct from his net income the actual amount paid in that
income year as –

a) premium in respect of a medical or health insurance policy

contracted for himself and his dependent for whom he has claimed
a deduction under section 27; or
(b) contribution to an approved provident fund which has as its
main object the provision for medical expenses of himself and
his dependent in respect of whom he has claimed a deduction
under section 27.
(2) The relief under subsection (1) shall not exceed the amount specified
in Column 2 in Part II of the Third Schedule corresponding to the
category specified in Column 1 of that Schedule.

* Please refer to endnotes at Appendix 1 Page 48 of 491

MRA THE INCOME TAX ACT 1995 49

(3) No relief under subsection (1) shall be allowed where -

(a) the premium or contribution has been paid by the employer of
the person; or260*
(b) the premium is paid under a combined medical and life
assurance scheme.
27C. Solar Energy Investment Allowance *
261

(1) Subject to this section, where an individual has in an income year

invested in a solar energy unit, he shall be entitled to relief, by way of
deduction from his net income after deducting any amount under
sections 27, 27A, 27B, 27D, 27DA and 27DB of the amount invested
in that income year.262*

(2) In the case of a couple, where neither spouse is a dependent spouse,

the relief may, at the spouses’ option, be taken by one spouse or
divided equally for each spouse.

(3) Any unrelieved amount under subsection (1) in an income year may
be carried forward and deducted against the net income of succeeding
years.

27D. Deduction for household employees 263 *

(1) Subject to subsection (2), where, in an income year, a person employs
one or more household employees in respect of whom he has paid the
contributions payable under the National Pensions Act and the
National Savings Fund Act, he shall be entitled to deduct from his net
income for that income year the wages paid to the household
employees or 30,000 rupees, whichever is the lower.

(2) In the case of a couple, where both spouses employ household

employees, the deduction allowable to them under subsection (1) shall
not, in the aggregate, exceed 30,000 rupees.

27DA. Donation to charitable institutions264*

(1) Subject to this section, where, in an income year, an individual has

made a donation through electronic means to a charitable institution,
he shall be entitled to deduct from his net income for that income
year, the amount donated or 100,000 rupees, whichever is lower.265*

(2) No deduction shall be allowed under this section in an income year

where, in respect of that income year, the charitable institution has
failed to submit a return under section 123F, unless the individual
making the donation provides evidence that such donation has been
made.

* Please refer to endnotes at Appendix 1 Page 49 of 491

MRA THE INCOME TAX ACT 1995 50

27DB. Contribution to approved personal pension schemes266*

Where, in an income year, an individual has contributed to an individual

pension scheme approved by the Financial Services Commission under the
Insurance Act for the provision of a pension for himself, he shall be entitled
to deduct from his net income for that income year, the amount contributed
or 50,000 rupees, whichever is lower.

27DC. Deduction for carer267*

Where, in an income year, an individual employs one or more carers in

respect of whom he has paid the contributions payable under the Social
Contribution and Benefits Act 2021 and the National Savings Fund Act, he
shall be entitled to deduct from his net income for that income year the
wages paid to the carers or 30,000 rupees, whichever is lower.

27E. Rainwater harvesting system investment allowance *

268

(1) Subject to this section, where an individual has in an income year

invested in a rainwater harvesting system, he shall be entitled to relief,
by way of deduction from his net income, after deducting any amount
under sections 27, 27A, 27B, 27C, 27D, 27DA and 27DB of the
amount invested in that income year.269*

(2) In the case of a couple, where neither spouse is a dependent spouse,

the relief may, at the spouses’ option, be taken by one spouse or
divided equally for each spouse.

(3) Any unrelieved amount under subsection (1) in an income year may be
carried forward and deducted against the net income of succeeding
years.

27F. Fast charger for electric car investment allowance270*

(1) Subject to this section, where an individual has in an income year

acquired a fast charger for his electric car, he shall be entitled to
deduct from his net income, the expenditure incurred for the
acquisition of the charger.

(2) Where, in an income year, a person has claimed a deduction in

respect of a fast charger under section 24A, he shall not be entitled to
a deduction under this section in respect of the same charger.

(3) Any unrelieved amount under subsection (1) in an income year may be
carried forward and deducted from the net income of succeeding
years.

27G. Repealed271*

* Please refer to endnotes at Appendix 1 Page 50 of 491

MRA THE INCOME TAX ACT 1995 51

27H. Contribution to COVID-19 Solidarity Fund272*

(1) Subject to this section, where an individual has, in the income year
commencing on 1 July 2019 or 1 July 2020, made a contribution to the
COVID-19 Solidarity Fund, he shall be entitled to relief, by way of a
deduction from his net income, after deducting any amount under
sections 27, 27A, 27B,27D, 27DA and 27DB of the amount contributed
or donated in that income year.273*

(2) Any unrelieved amount under subsection (1) for an income year may be
carried forward and deducted against the net income of the income year
immediately following that income year up to a maximum of 2 income
years.

(3) In this section –

“COVID-19 Solidarity Fund” means the Fund referred to in the Finance

and Audit (COVID-19 Solidarity Fund) Regulations 2020.

27J. Contribution to National COVID-19 Vaccination Programme Fund274*

(1) Subject to this section, where an individual has, during the income
year ending 30 June 2021, made a contribution to the National
COVID-19 Vaccination Programme Fund, he shall be entitled to a
relief by way of a deduction from his net income, after deducting any
amount under sections 27, 27D, 27DA and 27DB, of the amount
contributed or donated in that income year.

(2) Any unrelieved amount under subsection (1) for an income year may
be carried forward and deducted against the net income of the 2
income years immediately following that income year.

27K. Relief for adoption of animals *

275

(1) Subject to subsection (2), where in an income year, an individual has

adopted an animal from the Mauritius Society for Animal Welfare or
an NGO, he shall, for that income year, be entitled to a relief, by way
of a deduction from his net income, after deducting any amount under
sections 27, 27D, 27DA and 27DB, of an amount of 10,000 rupees for
each animal adopted.

(2) The total deduction under this section shall not exceed 30,000 rupees
in an income year.

(3) In this section –

“Mauritius Society for Animal Welfare” means the Mauritius Society

for Animal Welfare established under the Animal Welfare Act;

* Please refer to endnotes at Appendix 1 Page 51 of 491

MRA THE INCOME TAX ACT 1995 52

“NGO” means a non-Government organisation registered with the

Director-General on such terms and conditions as he may determine.

28. Angel investor allowance276*

(1) (a) Where an angel investor has, in an income year, invested a minimum
of 100,000 rupees to the seed capital of a qualifying start-up SME by
way of acquisition of shares, he shall be entitled to a relief, by way of a
deduction from his net income, of 50 per cent of the amount invested
in that income year.

(b) The relief under subsection (1) shall be subject to such terms and
conditions as may be prescribed.

(c) The total deduction under this subsection shall not exceed 500,000
rupees in an income year.

(2) (a) An angel investor together with his relatives shall not hold more than
25 per cent of the share capital of a qualifying start-up SME.

(b) The shares purchased under subsection (1) shall be held for at least
36 months from date of the acquisition, failing which the deduction
allowed under subsection (1) shall be clawed back and added as
taxable income in the income year in which the shares are disposed.

(c) The qualifying start-up SME shall, within 36 months of the disposal of
any shares acquired under subsection (1), inform the Director-General
accordingly.

(3) Any unrelieved amount under subsection (1) in an income year may be
carried forward and deducted against the net income of the 2
succeeding years.

(4) In this section –

“angel investor” means an investor meeting such eligibility criteria as

may be prescribed;

“qualifying start-up SME” means an SME set up on or after 1 July

2022 and meeting such eligibility criteria as may be prescribed.

PART IV - CORPORATE TAXATION

43. Application of Part IV

This Part shall apply to companies, unit trust schemes, trusts collective
investment schemes, sociétés and Foundations.277*

* Please refer to endnotes at Appendix 1 Page 52 of 491

MRA THE INCOME TAX ACT 1995 53

Sub-Part A - Companies, unit trust schemes, trusts collective

investment schemes, sociétés and Foundations278*

44. Companies 279

*
Subject to section 44B and 44C, every company shall be liable to income tax
on its chargeable income at the rate specified in Part IV of the First
Schedule.

[44A. Alternative minimum tax ] Repealed *

280

44B. Companies engaged in export of goods or manufacturing activities in a

freeport zone281*

(1) Where, in an income year, a company is engaged in the export of

goods, it shall be liable to income tax at the rate specified in Part II of
the First Schedule on the chargeable income attributable to that
export based on the formula set out in subsection (2).

(2) The formula referred in subsection (1) shall be –

axc
b
where –

a is the gross income derived from the export of goods in that

income year

b is the gross income derived from all the activities of the

company for that income year

c is the chargeable income of the company for that income year

(3) Where, in an income year, a freeport operator or private freeport

developer is engaged in the manufacture of goods meant for local
market in whole or in part, it shall be liable to income tax at the rate
specified in Part II of the First Schedule on his chargeable income,
provided that the freeport operator or private freeport developer
satisfies the conditions relating to the substance of its activities as
may be prescribed.282*

44C. Companies engaged in banking activities *

283

(1) Every bank shall be liable to income tax on its chargeable income at
the rate specified in Sub-part A of Part III of the First Schedule 284*.

(2) Repealed 285*.

286
(3) Repealed *.

* Please refer to endnotes at Appendix 1 Page 53 of 491

MRA THE INCOME TAX ACT 1995 54

287
(4) In this section *–

“bank” –

(a) has the same meaning as in the Banking Act; but

(b) does not include the Development Bank of Mauritius Ltd.

44D. Manufacturing companies engaged in medical, biotechnology or

pharmaceutical sector288*

(1) Where a manufacturing company –

(a) is engaged in medical, biotechnology or pharmaceutical sector;

and

(b) holds an Investment Certificate issued by the Economic

Development Board,

it shall, in an income year, be liable to income tax, on its chargeable

income at the rate specificied in Part II of the First Schedule, provided
the company -

(i) satisfies such conditions as may be prescribed in relation to the

substance of its activities; and

(ii) has not, in that income year, claimed a partial exemption under
Part II of the Second Schedule.

(2) The chargeable income referred to in subsection (1) shall not include
income derived from intellectual property assets.289*

44E. Higher Education Institutions set-up in Mauritius290*

Where a higher education institution registered under the Higher Education

Act is set up in Mauritius, it shall, in an income year, be liable to income tax
on its chargeable income at the rate specified in Part II of the First Schedule.

45. Unit Trust Schemes

(1) Every trustee of a unit trust scheme shall pay income tax on its
chargeable income at the rate specified in Part IV of the First
Schedule.291*

(2) Any gains derived by the trustee of a unit trust scheme on realisation
of any investments shall be deemed not to be income derived by the
trustee provided that at least 70 per cent of the gains -

(a) is not distributed as income to the unit holders but is credited

to the Unit Trust Fund of the scheme;

* Please refer to endnotes at Appendix 1 Page 54 of 491

MRA THE INCOME TAX ACT 1995 55

(b) is appropriated to meet realised losses; or

(c) is applied towards a capital purpose only.

(3) Any distribution to a unitholder out of the net income derived by the
unit trust schemes shall be deemed to be a dividend to a shareholder.

(4) This section shall not apply in respect of the year of assessment 2005-
2006 or subsequent years.292*

45A. Collective investment schemes - year of assessment 2005-2006 and

subsequent years 293*

(1) This section shall apply in respect of the year of assessment 2005-
2006 and subsequent years.

(2) Every collective investment scheme authorised under the Securities

Act 2005 shall pay income tax on its chargeable income at the rate
specified in Part IV of the First Schedule. 294*

(3) Any gains derived by such a scheme on the realisation of any

investments of the scheme shall be deemed not to be income derived
by the scheme 295* provided that at least 70 per cent of the gains -

(a) is not distributed as income to the participants in the scheme;

(b) is appropriated to meet realized losses; or

(c) is applied towards a capital purpose only.

(4) Any distribution to a participant in the scheme out of the net income
derived by the schemes shall be deemed to be a dividend to a
participant.

46. Trusts 296

*
(1) Subject to section 7 and subsections (2) and (3) of this section, every
trust shall be liable to income tax on its chargeable income at the rate
specified in Part IV of the First Schedule.297* .

(2) A trust 298

*
(a) of which the settlor is a non-resident or holds a Global
Business Licence under the Financial Services Act 2007 or
another trust which qualifies under this subsection; and

(b) (i) of which all the beneficiaries appointed under the terms
of the trust are, throughout an income year, non-
residents or holds a Global Business Licence under the
Financial Services Act 2007; or

* Please refer to endnotes at Appendix 1 Page 55 of 491

MRA THE INCOME TAX ACT 1995 56

(ii) which is a purpose trust under the Trusts Act 2001 and
whose purpose is carried out outside Mauritius,

shall be liable to income tax on its chargeable income at the rate

specified in Part IV of the First Schedule.299*

(3) Repealed 300 *

(4) Any distribution to a beneficiary of a trust shall be deemed to be a
dividend to the beneficiary 301*

(5) Deleted302*

(6) Deleted303*

47. Sociétés

(1) Subject to section 50L, no resident société shall be liable to income

tax.304*

(2) Subject to the other provisions of this Act, every associate of a

resident société shall be liable to income tax on his share of income
from that société.

(3) The net income of an associate from a resident société shall be

deemed to be the share to which he would have been entitled in the
income of the société during an income year if the income had been
wholly distributed among the associates.

(4) For the purpose of calculating the net income of an associate specified
in subsection (3), the associate shall be deemed -

(a) to have derived that part of the gross income of the société; and

(b) to have incurred that part of the allowable deductions of the

société,

which bear the same proportion to the gross income or allowable

deductions of the société as his share in the income of the société
calculated in accordance with subsection (3) bears to the income of
the société.

(5) Every associate of a société holding a Global Business Licence under

the Financial Services Act 2007 shall be liable to income tax in
respect of his share of income in that société at the rate of 15 per
cent.305*

* Please refer to endnotes at Appendix 1 Page 56 of 491

MRA THE INCOME TAX ACT 1995 57

(6) Notwithstanding subsection (1), a société referred to in subsection (5)

may, by notice in writing given simultaneously to the Director-General
and to the Commission established under the Financial Services Act
2007, opt to be liable to income tax at the rate of 15 per cent.306*

(7) A non-resident société shall -

(a) be liable to income tax as if the société were a company; and

(b) pay income tax on its chargeable income at the rate specified in
Part IV of the First Schedule.307*

48. Protected cell company308*

(1) Where a protected cell company has made an election under the
Companies Act to present separate financial statements in respect of
each of its cells, every cell of that company shall be deemed to be an
entity separate from the protected cell company and other cells of the
protected cell company and shall be liable to income tax in respect of
its own income.

(2) Subject to subsection (3), where a cell of a protected cell company

owes income tax under this Act, the Director-General may, for the
recovery of the income tax due, have recourse to cellular assets as well
as non-cellular assets of the protected cell company309*.

(3) Where a protected cell company has made an election under

subsection (1) to present separate financial statements in respect of
each of its cells, the Director-General shall not recover income tax due
by a cell from 310* –

(a) the cellular assets of another cell of the company; or

(b) the non-cellular assets of the protected cell company except where
such assets are directly attributable to that cell of the company.

48A. Variable capital company311*

(1) Where a variable capital company has made an election under section
24(1) of the Variable Capital Companies Act 2022 to present separate
financial statements for each of its sub-funds or special purpose
vehicles, each sub-fund or special purpose vehicle shall be deemed to
be an entity separate from the variable capital company and shall be
liable to income tax in respect of its own income.

(2) Notwithstanding section 11 of the Variable Capital Companies Act

2022 but subject to subsection (3), the Director-General may recover
any income tax due by a sub-fund or special purpose vehicle of a
variable capital company from the company or from that sub-fund or
special purpose vehicle 312*.

* Please refer to endnotes at Appendix 1 Page 57 of 491

MRA THE INCOME TAX ACT 1995 58

(3) Where a variable capital company has made an election under section
24(1) of the Variable Capital Companies Act 2022 to present separate
financial statements for each of its sub-funds or special purpose
vehicles, the Director-General shall not recover income tax due by a
sub-fund or special purpose vehicle from the assets of 313* –

(a) another sub-fund or special purpose vehicle; or

(b)
from the assets of the variable capital company where such assets
are directly attributable to another sub-fund or special purpose
vehicle of the company.
49. [Companies in the freeport zone] Repealed 314*

49A. Foundations 315

*
(1) Subject to subsection (2), every Foundation shall be liable to income
tax on its chargeable income at the rate specified in Part IV of the First
Schedule.

(2) Repealed316*

(3) Repealed317*

(4) Any distribution to a beneficiary of a Foundation shall be considered

to be a dividend to the beneficiary.

49B. Small company qualified under an approved scheme 318

*
(1) Notwithstanding this Act, but subject to this section, a small company
which qualifies under a scheme referred to in section 5A of the
repealed Small and Medium Enterprises Development Authority Act or
a scheme administered and managed by SME Mauritius Ltd shall be
exempt –319*

(a) from income tax in respect of income derived from the activities
relating to a project under a scheme referred to in section 5A of
the repealed Small and Medium Enterprises Development
Authority Act or a scheme administered and managed by SME
Mauritius Ltd; and320*

(b) from the requirements to deduct income tax under section

111C.

(2) The period of exemption under subsection (1) shall not exceed 8
succeeding years from the income year immediately ending after 1
July 2015 or from the income year in which the small company starts
its activity, whichever is the later.

(3) Any unrelieved tax losses shall not be carried forward after the expiry
of the period referred to in subsection (2).

* Please refer to endnotes at Appendix 1 Page 58 of 491

MRA THE INCOME TAX ACT 1995 59

(4) In this section –321*

“small company” means –

(a) a company incorporated under the Companies Act and registered

under the repealed Small and Medium Enterprises Development
Authority Act on or after 2 June 2015 or under the Small and
Medium Enterprises Act 2017;

b) a co-operative society set up on or after 2 June 2015 and

registered under the repealed Small and Medium Enterprises
Development Authority Act or under the Small and Medium
Enterprises Act 2017.

49C. Real Estate Investment Trust (REIT)322*

(1) Subject to this section, no REIT shall be liable to income tax, provided
it satisfies such conditions as may be prescribed.

(2) Subject to the other provisions of this Act, every beneficiary or

participant to a REIT, as the case may be, shall be liable to income tax
on his share of the distribution made by the REIT at the appropriate
rate specified in the First Schedule.

49D. Charitable institution323*

The Director-General may, for the purposes of this Act, approve as charitable
institution an entity which has objects that –

(a) are of a public character;

(b) do not yield any profits to its members;

(c) are exclusively for –

(i) the advancement of religion;

(ii) the advancement of education;

(iii) the relief of poverty, sickness and disability;

(iv) the protection of environment;

(v) the advancement of human rights and fundamental freedoms;

(vi) the promotion of any other public object beneficial to the

community; and

(d) are carried out either in or outside of Mauritius.

* Please refer to endnotes at Appendix 1 Page 59 of 491

MRA THE INCOME TAX ACT 1995 60

50. Insurance, shipping, aircraft and other business

(1) The net income of a company deriving income from insurance,

shipping or aircraft business shall be ascertained in such manner as
may be prescribed.

(1A) Notwithstanding the other provisions of this Act, but subject to

subsection (1B), the tax payable by a company deriving income from
life insurance business, shall be –

(a) the normal tax payable; or

(b) 10 per cent of the relevant profit,

whichever is the higher.324*

(1B) In this section –325*

“normal tax payable” means the tax payable on the net income
calculated under regulation 17 of the Income Tax Regulations 1996;

“relevant profit” means profit attributable to shareholders in respect of

an income year –

(a) as reduced by capital gain attributable to shareholders where

such gain has been credited to the income statement of the
company; and

(b) as increased by any capital loss attributable to shareholders

where such loss has been debited to the income statement of
the company

for that income year.

(2) The Minister may, by regulations, make provision for the

ascertainment of the net income of any other business.

Sub-Part AA - Advance Payment System 326

*
50A. Application of Sub-Part AA

(1) This Sub-Part shall apply to companies, unit trust schemes, collective
investment schemes, cells of a protected cell company, Foundations,
trusts other than trusts to which section 46(3) applies, non-resident
sociétés , any company falling under section 73A and any société
holding a Global Business Licence under the Financial Services Act
2007 which has opted to be liable to income tax under section 47(6)
327
*.

* Please refer to endnotes at Appendix 1 Page 60 of 491

MRA THE INCOME TAX ACT 1995 61

(2) Any reference made to a company under this Sub -Part shall be
construed to refer also to a unit trust scheme, collective investment
scheme, cells of a protected cell company, Foundation, trust other
than trust to which section 46(3) applies, non-resident société and
any société holding a Global Business Licence under the Financial
Services Act 2007 which has opted to be liable to income tax under
section 47(6) 328*.

50B. Advance Payment System

(1) Subject to subsection(2) every company329*shall submit electronically

to the Director-General, in respect of each APS quarter, an APS
Statement in such form as may be approved by the Director-General
and at the same time pay the tax in accordance with the APS
Statement, as follows –

Quarter Income for the period Due date for submission of APS
Statement and payment of tax
First 3 months commencing on the first within 3 months from the end of
day of the accounting year 330* the month in which the first
quarter ends 331*
Second 3 months immediately following within 3 months from the end of
the end of the first quarter the month in which the second
quarter ends
Third 3 months immediately following within 3 months from the end of
the end of the second quarter the month in which the third
quarter ends

(2)332* Where the APS quarter ends in the month of September, the due date
for submission of the APS Statement and payment of tax shall be 2
days, excluding Saturdays and public holidays, before the end of
December.

(2A) Where the APS quarter ends in the month of March, the due date for
submission of the APS Statement and payment of tax shall be 2 days,
excluding Saturdays and public holidays, before the end of June.333*

(3)334* Where a change in return date has been approved under section 118
and the period immediately following the old return date and ending
on the new return date is a period exceeding 12 months, an APS
statement shall be submitted in respect of the income year ending on
the new return date for every period of 3 months commencing on the
first day of that income year, the remaining period being covered in
the return required to be submitted under section 116.

(4)335* Notwithstanding subsection (1), a company shall not submit an APS

Statement in respect of an APS quarter where in the accounting year
immediately preceding the commencement of that APS quarter -

(a) the company’s gross income did not exceed 10 million rupees;or

* Please refer to endnotes at Appendix 1 Page 61 of 491

MRA THE INCOME TAX ACT 1995 62

336
*
(b) it had no chargeable income.

(5)337*Where a company has an approved return date falling in the month of

June and is required under this section to submit an APS Statement
for the third quarter of an accounting year, it may opt to submit an
APS Statement in respect of the fourth quarter.

(6)338*The due date for the submission of the APS Statement and payment of
tax under subsection (5) shall be 30 September following the end of
the quarter.

(7)339*Notwithstanding subsection (1) and subject to subsection (4), where a

company which has an approved return date falling in the month of
June submits an APS Statement under subsection (5), the due date
for submission of the APS Statement and payment of tax for the first
quarter of the succeeding accounting year shall be 31 January
following the end of that quarter.

50C. Ascertainment of chargeable income

The chargeable income of a company in respect of an APS quarter shall, at

the option of the company, be -

(a) deemed to be 25 per cent of the chargeable income of the company for
the accounting year ending on a date immediately preceding the
commencement of that quarter; or 340*

(b) the difference between -

(i) the gross income for that quarter; and

(ii) the allowable deductions for that quarter including any

allowable loss brought forward from the accounting year
immediately preceding that quarter or from the previous
quarter, as the case may be.

50D. Calculation of tax

(1) The income tax payable under section 50B shall be calculated on the
chargeable income ascertained under section 50C at the appropriate
rate applicable under Part II, III or IV of the First Schedule. 341*

(2) Repealed *
342

50E. Return and payment of tax at end of income year *

343

(1) Every company paying tax under this Sub -Part shall, at the end of an
income year, submit to the Director-General the return required to be
submitted under section 116.

* Please refer to endnotes at Appendix 1 Page 62 of 491

MRA THE INCOME TAX ACT 1995 63

(2) Where the amount of tax payable on the chargeable income in

accordance with the return referred to in subsection (1) exceeds the
sum of -

(a) the aggregate amount of any tax paid under this

Sub-Part excluding any penalty under section 50F; and

(b) any amount of tax withheld under Sub -Part BA,

the company shall pay the difference at the time the return is
submitted under section 116.
(3) Subject to subsection (4), where the amount of tax payable on the
income falling under this Sub-part exceeds the amount of any tax paid
in accordance with the APS Statement by more than 35 per cent of the
amount of tax payable, the company shall, at the time the return
under section 116 is submitted, pay, in addition to the difference
referred to in subsection (2), a penalty representing 25 per cent of the
amount in excess of the amount representing 35 per cent.

(4) The penalty under subsection (3) shall not apply where, in respect of
the APS quarter in an income year -
(a) the taxpayer has opted to compute his chargeable income in
accordance with section 50C(a); or
(b) where the amount in excess is solely attributable to income
derived in the period immediately following the end of the third
APS quarter of the income year.

50F. Penalty for late payment of tax under APS

Where a company fails to pay any income tax due on or before the last day
on which it is payable under section 50B it shall be liable to pay to the
Director-General, in addition to the tax, a penalty of 5 per cent of the
amount of tax remaining unpaid.

Sub-Part AB - Special levy on banks344*

50G. Interpretation
In this Sub-Part -

“bank” -

(a) has the same meaning as in the Banking Act 2004; but

(b) does not include the Development Bank of Mauritius Ltd;

“book profit” means the profit computed in accordance with International

Financial Reporting Standards;

* Please refer to endnotes at Appendix 1 Page 63 of 491

MRA THE INCOME TAX ACT 1995 64

“levy” -

(a) means the special levy referred to section 50H; and

(b) includes any penalty and interest imposed under this Act;

“net interest income” means interest income less interest expense;

“operating income” means the sum of net interest income and other income
before deducting non-interest expense.

50H. Liability to special levy

(1) Subject to this section, every bank shall, in every year, be liable to pay
to the Director-General a special levy calculated by reference to its
book profit and its operating income derived during, or its chargeable
income in respect of, the preceding year at the appropriate rates
specified in subsection (2)345*

(2) The rates shall be in the year of assessment commencing on –346*

(a) (i) 1 July 2009 3.4 per cent on book profit; and
1.0 per cent on operating income

(ii) 1 January 2010 3.4 per cent on book profit; and

1.0 per cent on operating income

(iii) 1 January 2011 3.4 per cent on book profit; and

1.0 per cent on operating income

(iv) 1 January 2012 3.4 per cent on book profit; and

1.0 per cent on operating income

(b) 1 January 2013, 3.4 per cent on book profit and 1.0 per cent
on operating income;

(c) 1 January 2014 –347*

(i) with regard to its income derived from banking
transactions with non-residents and corporations
holding a Global Business Licence under the Financial
Services Act, 3.4 per cent on book profit and 1.0 per cent
on operating income;

(ii) with regard to its income derived from sources other

than from transactions referred in subparagraph (i), 10
per cent on the chargeable income;

(d) 1 January 2015 –348*

* Please refer to endnotes at Appendix 1 Page 64 of 491

MRA THE INCOME TAX ACT 1995 65

(i) with regard to its income derived from banking

transactions with non-residents and corporations
holding a Global Business Licence under the Financial
Services Act, 3.4 per cent on book profit and 1.0 per cent
on operating income;

(ii) with regard to its income derived from sources other

than from transactions referred in subparagraph (i), 10
per cent on the chargeable income;

(e) 1 July 2015, 1 July 2016, 1 July 2017 and 1 July 2018 –349*

(i) with regard to its income derived from banking

transactions with non-residents and corporations
holding a Global Business Licence under the Financial
Services Act, 3.4 per cent on book profit and 1.0 per cent
on operating income;

(ii) with regard to its income derived from sources

other than from transactions referred in
subparagraph (i), 10 per cent on the chargeable
income.

(f) Repealed 350

*
(3) The levy under subsection (1) shall be paid at the time the Bank
submits its return of income under section 116.

(4) Except where levy is computed on chargeable income, no levy shall be

paid in a year where in the preceding year -351*

(a) the bank incurred a loss; or

(b) the book profit of the bank did not exceed 5 percent of its
operating income.

Sub-Part AC - Solidarity levy on telephony service providers 352

*

50I. Interpretation

In this Sub-Part –

“operator” -

(a) means a provider of public fixed or mobile telecommunication

networks and services; and

(b) includes information and communication services such as value

added services and mobile internet; but

* Please refer to endnotes at Appendix 1 Page 65 of 491

MRA THE INCOME TAX ACT 1995 66

(c) does not include a provider engaged exclusively in the provision of

internet services or internet telephony services or international long
distance services as referred to in the Information and
Communication Technologies Act;

[“book profit”] Definition deleted 353*

“accounting profit” means the profit derived by an operator from all its
activities and computed in accordance with the International Financial
Reporting Standards;354*

“levy” -

(a) means the solidarity levy referred to in section 50J; and

(c) includes any penalty and interest imposed under this Act;

“turnover” means the gross receipts derived by the operator from all its
activities.

50J. Liability to solidarity levy

(1) Subject to this section, every operator shall be liable to pay to the
Director-General a solidarity levy calculated by reference to its
accounting profit and turnover in respect of the preceding year at the
rate specified in subsection (2).355*

(2)356*The levy under subsection (1) shall be calculated at the rate of 5 per
cent of the book profit and 1.5 per cent of the turnover of the operator
in respect of each of the years of assessment commencing on 1 July
2009, 1 January 2010, 1 January 2011, 1 January 2012, 1 January
2013, 1 January 2014, 1 January 2015, 1 July 2015, 1 July 2016, 1
July 2017, 1 July 2018 and 1 July 2019.

(2A) The levy under subsection (1) shall be calculated at the rate of 5 per
cent of the accounting profit and 1.5 per cent of the turnover of the
operator in respect of the year of assessment commencing on 1 July
2020, 1 July 2021, 1 July 2022 and 1 July 2023.357*

(2B) The levy under subsection (1) shall be calculated at the rate of 5 per
cent of the accounting profit and one per cent of the turnover of the
operator in respect of the year of assessment commencing on 1 July
2024 and in respect of every subsequent year of assessment 358*.

(2C) For the purpose of subsection (1), where the operator has incurred a
loss in a year, the levy shall be calculated at the rate of one per cent of
its turnover 359*.

(3) The levy under this section shall be paid at the time the operator
submits its return of income under section 116.

* Please refer to endnotes at Appendix 1 Page 66 of 491

MRA THE INCOME TAX ACT 1995 67

(4) Repealed 360*

Sub-Part AD - Corporate Social Responsibility *

361

50K. Interpretation362*

In this Sub-Part -

"company" has the same meaning as in section 2 but does not include 363
*
(a) a company holding a Global Business Licence under the Financial
Services Act;

(b) a bank holding a banking licence under the Banking Act, in respect of
its income derived from its banking transactions with -

(i) non-residents; or

(ii) corporations holding a Global Business Licence under the

Financial Services Act;

(c) an IRS Company referred to in the Investment Promotion (Real

Estate Development Scheme) Regulations 2007;

(d) a non-resident société, a Foundation, a trust or a trustee of a unit trust

scheme;364*

(e) a company issued with a certificate as a freeport operator or private

freeport developer under the Freeport Act, in respect of income derived
from export; and365*

(f) a REIT;366*

“CSR” means Corporate Social Responsibility.

“société” – *
367

(a) means a société formed under any enactment in Mauritius; and

(b) includes –

(i) a société commerciale;

(ii) a société de fait or a société en participation;

(iii) a limited partnership; or

(iv) a société or partnership formed under the law of a foreign

country;

* Please refer to endnotes at Appendix 1 Page 67 of 491

MRA THE INCOME TAX ACT 1995 68

50L. CSR Fund368*

(1) Subject to subsection (1A), every company, in every year, set up a CSR
Fund equivalent to 2 per cent of its chargeable income of the preceding
year.369*

(1A) Subsection (1) shall not apply to a company with respect to an income
year where, for the preceding income year, the company has elected to
pay a presumptive tax under section 111V.370*

(2) (a) An amount equal to the percentage of the CSR Fund, as specified
in the following table, shall be remitted to the Director-General –
371
*

Percentage to be remitted to
the Director-General
CSR Fund set up on or after 1 January At least 50%
2017 up to 31 December 2018

CSR Fund set up on or after 1 January At least 75%

2019

(b) The remainder shall be used by the company –

(i) in respect of a CSR Fund set up before 1 January 2019,

to implement a CSR Programme in accordance with its
own CSR Framework;

(ii) in respect of a CSR Fund set up on or after 1 January

2019, to implement a CSR Programme or finance a non-
governmental organisation implementing a CSR
Programme in the priority areas of intervention as
specified in Part A and Part AA of the Tenth Schedule.372*

(3) No CSR money shall be spent by a company in respect of the activities

specified in Part B of the Tenth Schedule.

(4) The amount referred to in subsection (2)(a) shall be remitted to the

Director-General as follows – 373*

(a) in the case of a company required to submit an APS Statement

under Sub-part AA –

(i) for the first three quarters, 25 per cent for each of the
quarters together with the APS Statement required to be
submitted under section 50B; and

(ii) for the last quarter, 25 per cent at the time the company
submits its annual return under section 116;

* Please refer to endnotes at Appendix 1 Page 68 of 491

MRA THE INCOME TAX ACT 1995 69

(b) in the case of a company which is not required to submit an

APS Statement under section 50B(4), together with its annual
return under section 116 or 119.

(5) Where, in respect of a year of assessment,the Director-General has

reason to believe that money has not been spent in respect of a CSR
Fund as specified in subsection (2)(b), he may raise an assessment
under section 129.374*

(6) Any amount unspent under subsection (2)(b) shall be remitted to the
Director-General, together with the company’s annual return under
section 116 or 119.

(7) Subject to subsection (7A), the Authority as soon as is practicable,

remit any sum collected under subsections (2)(a) and (6) to the
Accountant-General for onward remittance of 200 million rupees to
the Solidarity Fund.375*

(7A) For the period starting on 1 July 2024 and ending on 30 June 2025,
the Authority shall, as soon as is practicable, pay an amount of one
billion rupees from the sum collected under subsections (2)(a) and (6)
to the Consolidated Fund after deducting the amount referred in
subsection (7).376*

(7B) In case the amount referred to in subsections (2)(a) and (6), after
deducting the amount referred to in subsection (7), is more than one
billion rupees, the remaining amount shall be remitted to the National
Social Inclusion Foundation.377*

(7C) In case the amount referred to in subsections (2)(a) and (6), after
deducting the amount referred to in subsection (7), is less than one
billion rupees, the difference shall be credited in the Consolidated
Fund for the period starting on 1 July 2025 and ending on 30 June
2026.378*

(8) This Sub-part shall apply to a resident société, other than a resident
société holding a Global Business Licence under the Financial
Services Act, as it applies to a company, and its net income shall be
deemed to be its chargeable income and any distribution of its net
income shall, for the purpose of this Subpart, be deemed to be
dividends.

(9) Repealed 379

*
(10) Subject to subsection (11), the amount to be remitted to the Director-
General under subsection (2) may be reduced by an amount not
exceeding 25 per cent of the CSR Fund set up on or after 1 January
2019 where the company intends to use such an amount to finance a
CSR programme which has started before 1 January 2019 and which
is in accordance with the guidelines set by the National Social
Inclusion Foundation.380*

* Please refer to endnotes at Appendix 1 Page 69 of 491

MRA THE INCOME TAX ACT 1995 70

(11) The amount to be remitted to the Director–General shall only be

reduced where the company receives the prior written approval of the
National Social Inclusion Foundation.

(12) Notwithstanding any other provisions of this Act, any amount of CSR
payable under this Sub-part shall not be reduced by any credit which
may be available under this Act.

(13) Notwithstanding the other provisions of this Act, this Sub-part shall
also apply to the exempt income of a company under items 11,11A,
13, 26, 28 to 32 and 34 to 38 of Part II of Sub-part C of the Second
Schedule and any other items in the Second Schedule as may be
prescribed and that exempt income shall be included in its chargeable
income for the purpose of this Sub-part.381*

(14) For the purpose of subsection (1), where a freeport operator or private
freeport developer is engaged in the sale of goods on the local market,
CSR fund shall be calculated using the formula set out below –

a x c x 2 per cent
b

where –

a is the gross income derived from sale of goods on the local

market for the preceding year

b is the gross income derived from all the activities of the freeport
operator or private freeport developer for the preceding year

c is the chargeable income for the preceding year382*

(15) Nothing in this section shall prevent the functions of the National
Social Inclusion Foundation from being performed by the National
CSR Foundation for so long as the National CSR Foundation is in
existence.383*

(16) In this section 384*–

“Solidarity Fund” has the same meaning as in section 150F(1).

50LA. Contributions to Film Promotion Fund 385

*
(1) The Director-General shall, as soon as practicable, remit into the Film
Promotion Fund –

(a) the tax paid yearly under this Act by film production and film
studio companies and their employees;

(b) the tax withheld periodically under this Act by film production
companies; and

* Please refer to endnotes at Appendix 1 Page 70 of 491

MRA THE INCOME TAX ACT 1995 71

(c) such percentage of the total income tax paid yearly to the
Director-General, as may be prescribed.

(2) In this section –

“Film Promotion Fund” means the Film Promotion Fund established

under section 28A of the Economic Development Board Act 2017.

50M. [One-off charge on banks] Repealed *

386

Sub-Part AE – Corporate Climate Responsibility (CCR) levy387*

50N. Interpretation388*

For the purpose of this Sub-part –

“CCR” means Corporate Climate Responsibility;

“chargeable income” has the same meaning as in section 2 and in the case of
an insurance company paying tax under section 50(1A)(b), shall be the
relevant profit as defined in subsection 50(1B);

“company” includes a société;

“turnover” means gross income, including any exempt income, derived by a

company from all its sources.

50O. Liability to CCR Levy389*

(1) Subject to this Sub-part, every company shall, in every year, be liable to pay
to the Director-General a CCR Levy equivalent to 2 per cent of its chargeable
income.

(2) The levy under subsection (1) shall be paid in respect of the year of
assessment commencing on 1 July 2024 and in respect of every subsequent
year of assessment as follows –

(a) in the case of a resident société, together with its annual return under
section 119; and

(b) in any other case together with the company’s annual return under
section 116.

(3) No CCR Levy shall be payable by a company under subsection (1) with
respect to a year of assessment, where the turnover of the company for that
year of assessment does not exceed 50 million rupees.

(4) This Sub-part shall apply to a resident société as it applies to a company,

and its net income shall be deemed to be its chargeable income and any
distribution of its net income shall, for the purpose of this Sub-part, be
deemed to be dividends.

* Please refer to endnotes at Appendix 1 Page 71 of 491

MRA THE INCOME TAX ACT 1995 72

Sub-Part B - Gross Income

51. Income included in gross income

Subject to the other provisions of this Act, the gross income of a company
shall include the income referred to in section 10(1)(b), (c), (d) and (g).390*

51A. [Gains derived by company] Repealed *

391

52. Income received in anticipation

The provisions of section 12 shall apply in all respects to a company as they

apply to an individual.

53. Valuation of trading stock

The provisions of section 13 shall apply in all respects to a company as they

apply to an individual.

54. Transfer of trading stock with other assets or for inadequate

consideration

The provisions of section 14 shall apply in all respects to a company as they

apply to an individual.

55. Deemed income arising from expenditure or loss discharged

The provisions of section 15 shall apply in all respects to a company as they

apply to an individual.

56. Apportionment of income on incorporation and disincorporation

The provisions of section 16 shall apply in all respects to a company as they

apply to an individual.

Sub-Part C - Allowable Deductions

57. Expenditure incurred in the production of income

The provisions of Sections 18, 24A, 24B, 27DA, 27H and 27J shall apply in all
respects to a company as they apply to an individual.392*

58. Expenditure incurred on interest in the production of income

The provisions of section 19 shall apply in all respects to a company as they

apply to an individual.

* Please refer to endnotes at Appendix 1 Page 72 of 491

MRA THE INCOME TAX ACT 1995 73

59. Losses 393

*
(1) Where a company satisfies the Director-General that it has, in an
income year incurred a loss, it may deduct that loss in computing its
net income for that income year.

(2) Where the amount of loss cannot be fully relieved under subsection
(1), the company may, subject to subsection (3), claim that the
unrelieved amount of the loss be carried forward and set-off against
its net income derived in the following 5 income years, subject to such
conditions as may be prescribed.

(3) The time limit of 5 years referred to in subsection (2) shall not apply
for the carrying forward of any amount of loss that is attributable to –

(a) annual allowance claimed in respect of capital expenditure

incurred on or after 1 July 2006;

(b) a deduction claimed under sections 64, 65 and 161A(55).394*

(4) Where the Director -General is not satisfied with a claim for loss made
by a person under this section, the Director-General shall determine
the quantum of the loss available for set - off or carry forward and
shall give notice of his determination to the person.395*

(5) Where loss available for set-off or carry forward has been determined
under subsection (4) and it is subsequently found that the loss
determined has been overstated, the Director-General may make
another determination of the quantum of loss and give notice of his
determination to the person referred to in subsection (4).396*

(6) Where any person is dissatisfied with a determination by the Director-

General under subsection (4) or (5), he may object to the
determination in the manner provided in section 131C.

59A. 397
*Transfer of loss on takeover or merger 398*
(1) *Notwithstanding the other provisions of this Act, where – 400*
399

(a) a company takes over another company engaged in

manufacturing activities;

(b) 2 or more companies engaged in manufacturing activities merge

into one company;

(c) a company takes over, or acquires the whole or part of the

undertaking of another company and the Minister has deemed
such a take-over or transfer of undertaking to be in the public
interest,

* Please refer to endnotes at Appendix 1 Page 73 of 491

MRA THE INCOME TAX ACT 1995 74

any unrelieved loss of the acquiree may be transferred to the acquirer

in the income year in which the takeover or merger takes place, on
such conditions relating to safeguard of employment or on such other
terms and conditions as may be approved by the Minister.

(2) Any unrelieved loss transferred under subsection (1) shall be deemed
to be incurred by the acquirer in the income year in which the loss is
transferred and shall be available for set-off against the net income of
the acquirer.
(3) *Where,
401
at any time before the expiry of 3 years from the date of the
takeover or merger, more than 50 per cent of the number of employees
of the acquiree taken over by the acquirer or of the employees of both
the acquiree and the acquirer, as the case may be, are made
redundant, any loss transferred under subsections (1) and (3A) shall
be withdrawn and the amount of the loss so withdrawn shall be
deemed to be the gross income of the acquirer in the income year in
which the employees are made redundant.

(3A)402*Notwithstanding section 59(2), where there is a change in the

shareholding of more than 50 per cent in a manufacturing company or
in a company facing financial difficulty which has accumulated
unrelieved losses, the losses may be carried forward, provided the
Minister is satisfied that the conditions relating to safeguard of
employment or other conditions that the Minister may impose are
complied with.

(4) For the purposes of this section -403*

“acquiree” means a company of which the assets and liabilities have
been acquired by another company through a takeover or merger;
“acquirer” means a company which has acquired the assets and
liabilities of another company by means of a takeover or merger.

59B. Offset and carry forward of investment tax credit 404

*
A company to which sections 24(7) or (8) apply may –

(a) in respect of the investment tax credit referred to in sections 24(7) or

(8) carry forward the investment tax credit for a period of 6
consecutive years from the income year in which the investment was
made;

(b) offset the investment tax credit against past tax liability but no refund
will be made in respect of tax already paid or 30 per cent of assessed
tax paid on objection, without prejudice, however, to such amount
being carried forward and offset by that company against income tax
payable as from 1 September 2016;

(d) offset the investment tax credit against the past tax liability if the
amount to be paid is still currently under dispute, provided that those
sections shall not apply to a company which has a dispute pending
before any court or other judicial or quasijudicial body that may

* Please refer to endnotes at Appendix 1 Page 74 of 491

MRA THE INCOME TAX ACT 1995 75

involve the application of those sections unless the company

withdraws or otherwise abandons such dispute.

60. Bad debts and irrecoverable sums

(1) Subject to subsection (3), a company which derives gross income

specified in section 10(1)(b) in an income year may deduct -

(a) the amount of a debt or sum which is proved to have become

bad and to have been actually written off as a bad debt by the
company in that income year; and

(b) in the case of a bank, the amount of any irrecoverable loan due
by -

(i) a small enterprise or a medium enterprise registered

under the repealed Small and Medium Enterprises
Development Authority Act or under the Small and
Medium Enterprises Act 2017; and 405*

(ii) a company in liquidation in respect of which winding- up

procedures have started.406*

(2) Subject to subsection (3), a company which derives gross income,

other than gross income specified in section 10(1)(b), may deduct any
debt or sum not received in an income year but which is deemed to be
derived in that income year and which is proved to have become
irrecoverable by the company.

(3) Any amount allowed as a deduction under subsections (1) and (2)
which is subsequently received by the company shall be deemed to be
gross income derived in the income year in which it is received.

61. Contributions to superannuation fund

The provisions of section 22 shall apply in all respects to a company as they

apply to an individual.

62. Pensions to former employees

(1) Subject to subsection (2), the Director-General may, in the case of a

company deriving gross income specified in section 10(1)(b) allow a
deduction in respect of any amount which is not deductible otherwise
than under this section and which, in the opinion of the Director-
General, is reasonable in the particular circumstances of the case,
paid by the company in that income year by way of a pension to any
former employee in the business of the company, or to the surviving
spouse of that employee, in consideration of the past services of that
employee in that business of the company, where the Director-General
is satisfied that –

* Please refer to endnotes at Appendix 1 Page 75 of 491

MRA THE INCOME TAX ACT 1995 76

(a) the pension is receivable by the recipient -

(i) by virtue of any enactment;

(ii) as of right under a written document for a fixed period

or for life;

(iii) in the case of the surviving spouse, for a fixed period or

for life or until he or she remarries; or

(iv) on grounds which the Director-General determines to

be compassionate grounds; and

(b) except in the case of the death of the employee while in the
employment of the company, the employee did not retire from
his employment before attaining the appropriate retiring age.

(2) This section shall not apply where -

(a) the employee was or is a director of the company and was not
in the full-time employment of the company; or

(b) in any other case, because of any relationship to or with the

employer or otherwise the former employee or the surviving
spouse had or has, in the opinion of the Director-General, any
control in relation to the payment of the pension by the
company.

63. Annual allowance

The provisions of section 24 shall apply in all respects to a company as they

apply to an individual.

64. Expenditure incurred on deep ocean water air conditioning 407

*
(1) Where, in an income year, a company incurs expenditure on deep
ocean water air conditioning, it may deduct, from its gross income,
twice the amount of such expenditure incurred in that income year.

(2) The deduction under subsection (1) shall be allowed for 5 consecutive
income years starting as from the year in which the expenditure is
incurred.

64A. [Additional investment allowance ] repealed 408

*

65. Expenditure incurred on water desalination plant 409*

(1) Where, in an income year, a company incurs expenditure for the

acquisition and setting up of a water desalination plant, it may

* Please refer to endnotes at Appendix 1 Page 76 of 491

MRA THE INCOME TAX ACT 1995 77

deduct, from its gross income, twice the amount of such expenditure
incurred in that income year.

(2) Where a company claims a deduction in respect of a water

desalination plant under this section, it shall not be entitled to annual
allowance in respect of that plant under section 63.

65A. Expenditure incurred on artwork 410

*
(1) Notwithstanding section 57 but subject to this section, where a
company which is not a dealer in artwork incurs in an income year
expenditure on the acquisition of an artwork for display in a
conspicuous place on its business premises, it shall be allowed, in
that income year, a deduction from its gross income in respect of the
expenditure incurred.

(2) Subsection (1) shall apply where the artwork is acquired from an artist
who is a member of the Mauritius Society of Authors established
under the Copyright Act.

(3) The deduction under subsection (1) shall not, in the aggregate, exceed
500,000 rupees over a period of 3 consecutive income years.

(4) Where the artwork in respect of which a deduction is allowed under

subsection (1) is not displayed during or sold within a period of 3
years from the date of acquisition, the expenditure allowed shall be
deemed to be the gross income in the year in which it is sold or ceases
to be displayed, as the case may be.

65B. Expenditure incurred on specialised software and systems411*

(1) Subject to subsection (2), where, in an income year, a company incurs

expenditure for the acquisition of specialised software and systems, it
may deduct, from its gross income, twice the amount of such
expenditure incurred in that income year.

(2) Where a company claims a deduction in respect of specialised software

and systems under this section, it shall not be entitled to annual
allowance in respect of the expenditure under section 63.

(3) In this section –

“specialised software and systems” means such software and systems

as may be prescribed.

65C. Expenditure incurred to support artists412*

(1) Notwithstanding section 57 but subject to this section, where, in an

income year, a company incurs expenditure to support the work of a
professional in the Arts, it may deduct, from its gross income of that
income year, twice the amount of such expenditure.

* Please refer to endnotes at Appendix 1 Page 77 of 491

MRA THE INCOME TAX ACT 1995 78

(2) In this section –

“expenditure” means any expenditure which would be allowable to a

professional in the Arts in accordance with sections 18 and 26;

“professional in the Arts” has the same meaning as in the Status of

the Artist Act 2023.

66. Donation to charitable institutions *

413

(1) Subject to subsection (2), where in an income year, a company has

made a donation through electronic means to a charitable institution
which is involved in –

(a) supporting persons with health issues and disabilities;

(b) protection or rehabilitation of street children; or

(c) animal welfare and protection,

it shall be allowed, in that income year, a deduction from its gross

income of an amount representing thrice the amount of such donation.

(2) The amount of deduction allowed under subsection (1) shall not exceed
one million rupees in an income year.

66A. Donation to NGO414*

(1) Subject to subsection (2), where in an income year, a company has

made a donation through electronic means to an NGO which is
involved in –

(a) combatting drug abuse;

(b) prevention of gender-based violence; or

(c) poverty alleviation,

it shall be allowed, in that income year, a deduction from its gross

income of an amount representing thrice the amount of such
donation.

(2) The amount of deduction allowed under subsection (1) shall not
exceed one million rupees in an income year.

(3) In this section –

“NGO” means a Non-Government Organisation registered with the

Director-General on such terms and conditions as he may determine.

67. Investment in crèches 415

*
(1) (a) Notwithstanding section 57, where, in an income year, a
company incurs capital expenditure on a crèche or the cost of

* Please refer to endnotes at Appendix 1 Page 78 of 491

MRA THE INCOME TAX ACT 1995 79

setting up a Child Day Care Centre for the benefit of its

employees, it may be allowed a deduction from its gross income
of twice the amount of such expenditure in that income year 416*.

(b) Where a company claims a deduction in respect of a crèche or

Child Day Care Centre under this section, it shall not be entitled
to annual allowance in respect of that crèche or Child Day Care
Centre under section 63 417*.

67A. [Marketing and promotional expenses] repealed 418*

67B. [Contributions to sports clubs and sports training centres ] repealed 419*

67C. [Contributions to the National Solidarity Fund and Prime Minister’s Children’s
Fund ] repealed 420*

67D. [Contributions to employees' share scheme ] repealed 421*

67E. [ Investment in start-up companies ] repealed *

422

67F. [Expenditure incurred in the setting up of social infrastructure]

repealed423*

67G. [Contributions to the national ambulance services ] repealed

67H. Expenditure incurred by hotels on cleaning, renovation and

embellishment works

Notwithstanding section 57, a company operating a hotel may, in an income

year, deduct from its gross income an amount equal to 150 per cent of any
expenditure incurred in that income year on cleaning, renovation and
embellishment works in the public realm.424*

Note: No section 67I. exists in the Finance Act No.13 of 2019.

67J. Expenditure incurred for arbitration, conciliation or mediation under an

Alternative Dispute Resolution Mechanism425*

(1) Notwithstanding section 57 but subject to this section, where, in an

income year, a company makes an application for arbitration,
conciliation or mediation for the settlement of a dispute before a
recognised arbitration institution in Mauritius and has incurred
expenditure in respect of filing fees, it shall in that income year be
allowed a deduction of an amount equivalent to 150 per cent of the
expenditure so incurred from its gross income.

(2) For the purpose of subsection (1) –

“filing fee” means the payment required to be made on filing a

request for arbitration, conciliation or mediation;

* Please refer to endnotes at Appendix 1 Page 79 of 491

MRA THE INCOME TAX ACT 1995 80

“recognised arbitration institution” includes the Mauritius

International Arbitration Centre (MIAC), MCCI Arbitration &
Mediation Centre (MARC) or the Mediation Division of the Supreme
Court of Mauritius.

67K. Expenditure incurred on patents and franchises426*

(1) Where, in an income year, a company incurs –

(a) expenditure for the acquisition of patents and franchises; and

(b) costs to comply with international quality standards and norms,

it may deduct, from its gross income, twice the amount of such expenditure
incurred in that income year.

(2) Where a company claims a deduction in respect of patents and

franchises under this section, it shall not be entitled to annual
allowance in respect of those patents and franchises under
section 63.

67L. Expenditure incurred by manufacturing companies on products

manufactured locally by small enterprises427*

(1) Where a manufacturing company whose annual turnover exceeds 100

million rupees in an income year incurs any expenditure on the direct
purchase of products manufactured locally by small and medium
enterprises whose turnover does not exceed 100 million rupees, it shall
be allowed, in that income year, an additional deduction of the amount of
expenditure so incurred.428*

(2) The deduction allowable under subsection (1) shall be –429*

(a) 10 per cent of the amount of expenditure incurred during the period
starting on 1 July 2021 and ending on 30 June 2022; and

(b) 25 per cent of the amount of expenditure incurred as from 1 July

2022.

67M. Tax credit to medical, biotechnology or pharmaceutical companies430*

(1) Subject to this section, where a manufacturing company engaged in

medical, biotechnology or pharmaceutical sector has incurred in an
income year capital expenditure for the acquisition of patents, it
shall be allowed a tax credit by way of deduction from the income
tax otherwise payable by it of an amount equal to 100 per cent of
the expenditure so incurred.

(2) Subject to subsection (3), where the deduction under subsection (1)
in respect of an income year exceeds the amount of income tax

* Please refer to endnotes at Appendix 1 Page 80 of 491

MRA THE INCOME TAX ACT 1995 81

otherwise payable for that income year, the excess may be carried
forward to the following income year.

(3) No deduction under subsection (2) in respect of an expenditure shall

be carried forward beyond a period of 5 consecutive income years
starting from the income year in which the expenditure was made.

(4) Where a tax credit under subsection (1) has for any income year
been allowed and within 5 years following that income year –

(a) the company ceases to be engaged wholly or mainly in the

qualifying activity; or

(b) the company sells or otherwise transfers the patent,

an amount equal to the tax credit or the proportionate part of the

tax credit allowed under this section shall be included in the
income tax payable by the company in the income year in which the
cessation, sale or transfer takes place.

(5) The tax credit allowed under this section shall be in addition to the
allowances to which the company is entitled under section 63.

(6) No tax credit shall be allowed under this section to a company where
a deduction under section 67K has been claimed.

67N. Expenditure on international accreditation431*

Where a company is registered as a health institution under the Private Health

Institutions Act, it may, in an income year, deduct from its gross income twice
the amount of any direct expenditure incurred in that income year relating to
international accreditation.

67P. Market research and product development432*

(1) Subject to subsection (2), where, in an income year, a manufacturing

company having an annual gross income derived from exports of goods
not exceeding 500 million rupees, incurs expenditure on market
research and product development, it may deduct, from its gross
income, twice the amount of such expenditure incurred in that income
year 433*.

(2) Where a company claims a deduction under this section, it shall not be
entitled to annual allowance in respect of that expenditure under
section 63.

67Q. Joint tertiary education with African universities 434*

(1) Where, in an income year, a higher education institution registered

under the Higher Education Act enters into contract with an African

* Please refer to endnotes at Appendix 1 Page 81 of 491

MRA THE INCOME TAX ACT 1995 82

University to provide joint tertiary education for the final year of a

course in Mauritius, it may deduct from its gross income, twice the
amount of any expenditure incurred in that income year on costs so
incurred in connection for the conclusion of the contract with the
African University.

(2) In this section –

“costs” –

(a) includes marketing cost, cost of hiring consultants and such

other costs as the Economic Development Board may approve;
but

(b) does not include any cost of a capital nature.

67R. Participation in approved films435*

A company incorporated in Mauritius may, in an income year, deduct from

its gross income, twice the amount of any expenditure incurred in the
financing, sponsorship, marketing or distribution of a film provided that the
film –

(c) has been approved under the Film Rebate Scheme under the Economic
Development Board Act; and

(d) after post-production, is made up of at least 90 per cent of the

principal photography of Mauritius, as certified by the Economic
Development Board.

67S. Tax credit on corporate nurseries436*

(1) Subject to this section, where a company has incurred in an income

year, capital expenditure in respect of a crèche or the cost of setting up a
Child Day Care Centre for the benefit of its employees, it shall be allowed
a tax credit by way of deduction from the income tax otherwise payable
by it in that income year of an amount equal to 25 per cent of the
expenditure so incurred.

(2) Subject to subsection (3), where the deduction under subsection (1) in
respect of an income year exceeds the amount of income tax otherwise
payable for that income year, the excess may be carried forward to the
following income year.

(3) No deduction under subsection (2) in respect of an expenditure shall be

carried forward beyond a period of 5 consecutive income years starting
from the income year in which the expenditure was made.

(4) Where a tax credit under subsection (1) has, for any income year, been
allowed and within 5 years following that income year –

* Please refer to endnotes at Appendix 1 Page 82 of 491

MRA THE INCOME TAX ACT 1995 83

(a) the company ceases the operation of the crèche or the Child Day
Care Centre; or

(b) the company sells or otherwise transfers the crèche or the Child
Day Care Centre,

an amount equal to the tax credit or the proportionate part of the tax
credit allowed under this section shall be included in the income tax
payable by the company in the income year in which the cessation, sale
or transfer takes place.

(5) The tax credit allowed under this section shall be in addition to the
allowances to which the company is entitled under section 63 and the
deduction under section 67.

68. Unauthorised deductions

The provisions of section 26 shall apply in all respects to a company as they

apply to an individual.

Sub-Part D [ Tax Credits ] – deleted437*,438*,439*,440*

PART V - INTERNATIONAL ASPECTS OF INCOME TAX

73. Definition of residence *

441

(1) For the purposes of this Act, "resident", in respect of an income year,
when applied to -

(a) an individual, means a person who -

(i) has his domicile in Mauritius unless his permanent

place of abode is outside Mauritius;

(ii) has been present in Mauritius in that income year, for a

period of, or an aggregate period of, 183 days or more; or

(iii) has been present in Mauritius in that income year and

the 2 preceding income years, for an aggregate period of
270 days or more;442*

(b) a company, means a company which -

(i) is incorporated in Mauritius; or

(ii) has its central management and control in Mauritius;

(c) a société -

* Please refer to endnotes at Appendix 1 Page 83 of 491

MRA THE INCOME TAX ACT 1995 84

(i) means a société which has its seat or siège in Mauritius;

and

(ii) includes a société which has at least one associate or

associé or gérant resident in Mauritius;

(d) a trust, means a trust -

(i) where the trust is administered in Mauritius and a

majority of the trustees are resident in Mauritius; or

(ii) where the settlor of the trust was resident in Mauritius

at the time the instrument creating the trust was
executed;

(da) a Foundation, means a Foundation which – *

443

(i) is registered in Mauritius; or

(ii) has its central management and control in Mauritius;

(e) any other association or body of persons, means an association

or body of persons which is managed or administered in
Mauritius.

(2) Where a person wishes to be certified as a resident in Mauritius in

respect of an income year, he should apply to the Director-General for
a Tax Residence Certificate.444*

(3) The Tax Residence Certificate under subsection (2) shall be issued
within a period of 7 days from the date of the application, provided
that the person has submitted the return required to be submitted
under section 112 or 116, as the case may be, and paid such service
fee as may be prescribed.445*

73A. Companies treated as non-resident in Mauritius 446*

(1) Notwithstanding section 73, a company incorporated in Mauritius

shall be treated as non-resident if it is centrally managed and
controlled outside Mauritius.

(2) A company referred to in subsection (1) shall submit a return of

income as required under section 116.

73B. Premium visa

(1) Notwithstanding sections 5, 73 and 74 but subject to subsection (2),

where an individual holding a premium visa derives income for work
performed remotely from Mauritius, that income shall be deemed to be
derived by him in Mauritius when it is remitted in Mauritius.

* Please refer to endnotes at Appendix 1 Page 84 of 491

MRA THE INCOME TAX ACT 1995 85

(2) Where a holder of a premium visa spends money in Mauritius through

the use of his foreign credit or debit card, the amount so spent shall
be deemed not to have been remitted in Mauritius.

(3) Where a holder of a premium visa deposits money in a bank account

in Mauritius, he shall be liable to income tax on such deposits unless
a declaration is made to the effect that the required tax has been paid
on that income in his country of origin or residence.

(4) Repealed447*

74. Income derived from Mauritius

(1) Subject to subsection (2), income derived from Mauritius shall include -

(a) emoluments derived from any office or employment, the duties

of which are performed wholly or mainly in Mauritius, whether
such emoluments are received in Mauritius or not;

(aa) directors’ fees and any other similar payments derived by any
person in his capacity as a member of the board of directors of
a company which is resident in Mauritius, whether the services
are performed in, or from outside, Mauritius;448*

(b) annuity, pension including a pension in respect of past services

referred to in sections 23 and 62;

(c) income derived from any business carried on wholly or partly in

Mauritius;

(d) income derived from any contract wholly or partly performed in

Mauritius;

(e) income derived by a person in his capacity as owner of any

immovable property in Mauritius;

(f) income derived from investment in shares in a company

resident in Mauritius, debentures or other securities in
Mauritius;449*

(g) income derived by a person from money lent by him -

(i) in Mauritius; or

(ii) outside Mauritius to -

(A) a resident, other than a resident banking

company, except where the money lent is used by

* Please refer to endnotes at Appendix 1 Page 85 of 491

MRA THE INCOME TAX ACT 1995 86

the resident for the purpose of a business carried

on by him outside Mauritius through a fixed
establishment outside Mauritius; or

(B) a non-resident, if the money lent is used by the

non-resident for the purpose of a business, other
than the business of money-lending, carried on by
him in Mauritius through a permanent
establishment in Mauritius;

(h) premium or other like payment which is derived from property

in Mauritius; and 450*

(i) income derived directly or indirectly from any other source in

Mauritius[; and].

[(j)] 451
* deleted
(2) Where by reason of -

(a) the manufacture, production, or purchase of goods in one

country and their sale in another;

(b) successive steps of production or manufacture in different

countries;

(c) the making of a contract in one country and its performance in

another; or

(d) any other cause,

the source of any income, other than income referred to in subsection

(1)(e), is not exclusively in Mauritius, that income shall be apportioned
between its source in Mauritius and its source elsewhere, or
attributed to one of such sources to the exclusion of the other, in such
manner as the Director-General thinks fit, having regard to the nature
and relative importance of the source of that income, and the income
so apportioned or attributed to a source in Mauritius shall be
regarded as derived from Mauritius.

(3) For the purposes of subsection (1)(g), "money lent" includes -

(a) any money advanced, deposited or otherwise let out, whether

on current account or otherwise; and

(b) any credit given, including the forbearance of a debt, whether

on current account or otherwise.

* Please refer to endnotes at Appendix 1 Page 86 of 491

MRA THE INCOME TAX ACT 1995 87

74A. Income derived outside Mauritius452*

(1) Notwithstanding section 74(2) but subject to subsection (2), where in an

income year, a person who carries business outside Mauritius has an
employee performing work remotely from Mauritius, any gross income
attributable to the work performed by that employee in Mauritius shall
be reckoned as income derived by that person from Mauritius in that
income year.

(2) Subsection (1) shall not apply where –

(a) the employee is a holder of a premium visa; and

(b) the core business activities of the person are outside Mauritius.

75. Application of arm's length test

(1) This section shall apply to any case where -

(a) any business or other income earning activity carried on in

Mauritius or from Mauritius -453*

(i) is controlled by a non-resident; or

(ii) is carried on by a non-resident company or by a

company in which more than one half of the shares are
held by or on behalf of a non-resident; or

(b) in the carrying on of any business or other income earning

activity in Mauritius or from Mauritius any person controlling
that business or activity, by reason of his relationship or
otherwise with any other person, is not in the opinion of the
Director-General at arm's length with that person with respect
to any commercial or financial transaction; and454*

(c) it appears to the Director-General that the business or other

income earning activity in Mauritius or from Mauritius
produces no net income or less than the amount of net income
which in the opinion of the Director-General might be expected
to be derived from that business or activity.455*

(1A) For avoidance of doubt, subsection (1) shall apply to all business or
income earning activities carried out in Mauritius or from Mauritius
since the commencement of this Act.456*

(2) Where the conditions specified in subsection (1) are satisfied, the net
income of any person carrying on a business or other income earning
activity in Mauritius or from Mauritius shall be the amount which the
Director-General determines would have been derived from that

* Please refer to endnotes at Appendix 1 Page 87 of 491

MRA THE INCOME TAX ACT 1995 88

business or activity, had all its commercial and financial transactions

and relations been wholly at arm's length.457*

(3) The Minister may make such regulations as he thinks fit for the
purposes of this section.

76. International arrangements458*

(1) The Minister may enter into arrangements with the government of a
foreign country -

(a) with a view to affording relief from double taxation in relation to

foreign tax imposed by the laws of that country and taxes of
every kind and description covered under the arrangement; 459*

(b) for the exchange of information with a view to assisting -

(i) in the determination of credits and exemptions in

respect of taxes of every kind and description, and
foreign tax, covered under the arrangement; or 460*

(ii) in the prevention of fraud;

(iii) Repealed461*

(c) with a view to assisting in the administration of the laws in

relation to taxes of every kind and description, and foreign tax,
covered under the arrangement;462*

(d) for the purpose of alternative dispute resolution with a view to

resolving cross-border tax disputes; or463*

(e) with a view to implementing internationally agreed standards to

prevent base erosion and profit shifting.464*

(2) Notwithstanding this Act or any other enactment but subject to the
other provisions of this section, an arrangement entered into under
subsection (1) shall have effect in relation to taxes of every kind and
description covered under the arrangement and according to its tenor.
465
*

(3) An arrangement under subsection (1) may contain provision in

relation to foreign tax and taxes of every kind and description covered
under the arrangement- 466*

(a) for relief from tax;

(b) for assessing the income derived from sources in Mauritius by

non-residents;

* Please refer to endnotes at Appendix 1 Page 88 of 491

MRA THE INCOME TAX ACT 1995 89

(c) for determining the income to be attributed to non-residents

and their agencies, branches, or establishments in Mauritius;

(d) for determining the income to be attributed to residents who

have special relationships with non-residents;

(e) for relief from tax for periods before the commencement of this
Act or before the making of the arrangement;

(f) as to income which is not itself subject to double taxation; and

(g) for exchange of information in respect of any person not

resident in Mauritius.467*

(4) An arrangement under subsection (1) may at any time be amended or

revoked by a subsequent arrangement, and the subsequent
arrangement may contain such transitional provision as appears to
the Minister to be necessary or expedient.

(5) Where an arrangement is made under subsection (1), the obligations

as to secrecy imposed under any Revenue Law shall not prevent the
Director-General from disclosing to an officer authorised by the
government with which the arrangement is made such information as
is required to be disclosed under the arrangement.468*

469
(5A) For the implementation of an arrangement under subsection (1) – *

(a) the Director-General may require any person to –

(i) establish, maintain and document such due diligence

procedures as the Director-General may determine;

(ii) provide the Director-General with information of a

specified description;

(iii) maintain such records in such form and in such manner

as the Director-General may determine;470*

(b) any information required under subparagraph (ii), in respect of

such period as the Director-General may determine, shall be
provided to the Director-General at such time and in such form
and manner as he may determine.

(5B) (a) The Director-General may issue directions, instructions or

guidelines to any person to ensure compliance with any
arrangement made pursuant to this section.471*

(b) Any person who fails to comply with any direction, instruction
or guideline shall commit an offence.

* Please refer to endnotes at Appendix 1 Page 89 of 491

MRA THE INCOME TAX ACT 1995 90

(6) The Minister may make such regulations as he thinks fit to give effect
to any arrangement entered into under this section and to implement
internationally-agreed measures to address the tax challenges arising
from the digitalisation of the economy.472*

76A. Arrangements for assistance in the recovery of foreign tax 473*

The Minister may enter into arrangements with the Government of a
foreign country for the purposes of providing assistance in the collection
and recovery of foreign tax in the same manner as is provided under Part XI.

77. Credits in respect of foreign tax

(1) Where a taxpayer derives income which is subject to foreign tax, the
amount of foreign tax so paid shall be allowed as a credit against
income tax payable in Mauritius in respect of that income.

(2) The credit in respect of foreign tax shall, in the case of a dividend,
include credit for any foreign tax imposed on the profits out of which
that dividend is directly or indirectly paid.

(3) The Minister may, by regulations, provide for the implementation of

the provisions of this section and for the granting of credit for foreign
tax in such manner and on such conditions as he thinks fit.

(4) No credit shall be allowed under this section in respect of foreign

source income where –

(a) the person has claimed a partial exemption in respect of that

income under Part II of the Second Schedule;474*

(b) the foreign source income is subject to tax under section

44C.475*

PART VI - AGENTS, ABSENTEES AND NON-RESIDENTS

AND DECEASED PERSONS

78. Liability of principal not affected

(1) Nothing in this Act relating to an agent shall be construed so as to

release the principal from liability to make returns and pay income
tax, and the principal and agent shall be jointly and severally liable for
the income tax.

(2) Where 2 or more persons are liable as agents in respect of the same
income tax, they shall be jointly and severally liable for it.

79. Provisions applying to agents

Subject to this Act, every agent shall -

* Please refer to endnotes at Appendix 1 Page 90 of 491

MRA THE INCOME TAX ACT 1995 91

(a) be answerable for the doing of all such things as are required to be
done under this Act in respect of the income derived by him in his
representative capacity, or derived by the principal by virtue of the
agency, and for the payment of income tax on it;

(b) in respect of that income, make returns and be liable on that income
but in his representative capacity only, and each return and tax
liability shall be separate and distinct from any other;

(c) be authorised and required to retain out of any money or other

property received by him in his representative capacity so much as is
sufficient to pay the income tax which is or will become payable in
respect of that income;

(d) not make any payment of income to a non-resident or absentee or

transfer out of Mauritius any sum for the purpose of making any such
payment, unless and until arrangements have been made to the
satisfaction of the Director-General for the payment of any income tax
which is or will become payable in respect of that income;

(e) be personally liable for the income tax payable in respect of the
income to the extent of any amount that he has retained, or should
have retained under paragraphs (c) and (d);
(f) be indemnified for all payments which he makes under this Act or for
any requirement of the Director-General;

(g) where another agent pays an amount for which they are jointly liable,
be liable to pay to that agent his proportionate share of the amount so
paid;

(h) for the purpose of ensuring the payment of income tax, be liable, to
the extent provided in paragraph (e), in respect of attachable property
of any kind vested in him or under his control or management or in
his possession to the same measures which the Director-General may
enforce against the property of any taxpayer in respect of income tax.

80. Income tax paid on behalf of another person

Every person who, under this Act, pays income tax for or on behalf of any
other person may recover it from that other person as a debt in any court of
competent jurisdiction or may retain or deduct it out of money at any time in
his hands belonging or payable to that other person.

81. Agents of incapacitated persons, companies and bodies of persons

(1) Every person who has the possession, control or disposal of any
income derived by an incapacitated person shall be deemed to be the
agent of the incapacitated person in respect of that income.

* Please refer to endnotes at Appendix 1 Page 91 of 491

MRA THE INCOME TAX ACT 1995 92

(2) Every secretary, manager or other principal officer of a company,

société or other body of persons shall be deemed to be the agent of the
company, société or other body of persons in respect of income derived
by it.

(3) Repealed 476

*
(4) Every trustee shall be deemed to be the agent of a trust in respect of
income derived by that trust.

(5) Every trustee or manager of a unit trust scheme shall be deemed to be

the agent of that unit trust scheme.
(6) For the purposes of this section -

"incapacitated person" means a minor or a person suffering from

mental or physical disability; and

"manager", in relation to a unit trust scheme, has the same meaning

as in the Unit Trust Act 1989.

81A. Tax liability of appointed person 477

*
(1) Where an administrator, executor, receiver or liquidator is appointed
to manage or wind up the business of any company, the appointed
person shall -

(a) give notice of the appointment to the Director-General, within

15 days of the date of the appointment, in such manner and in
such form as may be approved by the Director-General;

(b) before disposing of any asset of the company, set aside such
sum out of the asset as appears to the Director-General to be
sufficient to provide for any income tax that is or may become
due and payable by the company; and

(c) do everything that is required to be done by a company under

this Act.

(2) Any appointed person who, without reasonable cause or justification,

fails to comply with any of the requirements of subsection (1) shall be
personally liable to pay any income tax that is or may become due and
payable and shall commit an offence.

82. Agents of absentees and non-residents

(1) Notwithstanding the fact that there may be another agent in Mauritius
who shall continue to be liable as agent, but subject to this Act -

* Please refer to endnotes at Appendix 1 Page 92 of 491

MRA THE INCOME TAX ACT 1995 93

(a) every person who carries on business in Mauritius on behalf of

a principal who is an absentee shall be deemed to be the agent
of that principal in respect of all income derived from that
business and shall be liable to income tax on it, whether or not
any income derived by the principal is received by him;

(b) where a non-resident derives chargeable income from Mauritius

from the business of shipping, the master of any ship and the
captain of any aircraft shall be deemed to be the agent of that
non-resident in respect of all income derived from the carriage
of passengers, cargo or mail by that ship or aircraft and shall
be liable to income tax on it, whether or not any income derived
by the non-resident is received by him;

(c) every person who in Mauritius collects or receives or in any way

has the possession, control or disposal of any income derived
by an absentee shall be deemed to be the agent of the absentee
in respect of that income.

(2) Where a non-resident sells goods -

(a) by himself while in Mauritius; or

(b) through a person who is in Mauritius,

and the goods are in Mauritius or are to be brought into Mauritius for
the purpose or in pursuance or consequence of the sale, the non-
resident shall be deemed to have sold the goods in the course of
carrying on business in Mauritius, whether the contract of sale is
made in or outside Mauritius.

(3) Where goods are sold by a non-resident through a person who is in

Mauritius, that person shall be deemed to be the agent of that non-
resident in respect of all income derived from the business carried on
in Mauritius by the non-resident and shall be liable to income tax on
it, whether or not any income derived by the non-resident is received
by him.

83. Deceased persons

(1) Where a taxpayer dies, every person specified in subsection (3), shall,
subject to subsections (2), (4), (5) and (6), be liable to income tax on all
income derived by the taxpayer in his lifetime in the same manner in
which the taxpayer would have been liable had he remained alive, and
shall be deemed to be an agent of the deceased taxpayer.

(2) The income tax payable in accordance with subsection (1) shall be
reduced by -

(a) 50,000 rupees; or478*

* Please refer to endnotes at Appendix 1 Page 93 of 491

MRA THE INCOME TAX ACT 1995 94

(b) an amount equivalent to half of any lump sum payable under

any enactment on the death of the taxpayer by way of death
gratuity or in commutation of pension or from a
superannuation fund,

whichever is the higher.

(3) The persons specified for the purposes of subsection (1) shall be -

(a) an heir who accepts the succession of the deceased simply

("purement et simplement") or under benefit of inventory;

(b) a surviving spouse;

(c) a universal legatee;

(d) an executor;

(e) a notary acting as liquidator of the succession of the deceased;

(f) where there is no person specified in paragraph (a), (b) or (c), a

legatee or donee; and

(g) where he is vested with the vacant succession of the deceased,

the Curator of Vacant Estates.

(4) Where a person specified in subsection (3) has distributed the whole of
the estate of the deceased taxpayer and thereafter a change occurs in
the rate of income tax, he shall not be liable for any additional income
tax resulting from the change.

(5) A person specified in subsection (3)(a), (b) or (f) shall not be liable
under subsection (1) to any income tax in excess of his share in the
estate of the deceased taxpayer.

(6) Nothing in this section shall affect the rights of a person specified in
subsection (3) over or against any heir, surviving spouse or legatee.

PART VII - ANTI-AVOIDANCE PROVISIONS

84. Interest on debentures issued by reference to shares

Where a company has issued debentures to its shareholders or any class of

shareholders, and the amount of the debentures issued to each shareholder
has been determined by reference to the number, the nominal value or the
paid-up value of the shares in that company or in any other company,
whether or not that other company is being or has been wound up, that were
held by or on behalf of the shareholder at the time the debentures were
issued or at any earlier time, the interest paid by the company on the
debentures so issued shall not be an allowable deduction and shall be

* Please refer to endnotes at Appendix 1 Page 94 of 491

MRA THE INCOME TAX ACT 1995 95

deemed to be a dividend received from the company by the shareholders or

class of shareholders of the company.

85. Excess of remuneration or share of profits

(1) Subject to subsection (3), where -

(a) a taxpayer carries on any business or other income earning

activity and employs a relative, or, being a company, employs a
relative of a director or shareholder of the company, to perform
services in connection with the business or activity;

(b) a taxpayer carries on business or other income earning activity

as an associate with any person, whether or not any other
person is a member of the société; and

(i) a relative of the taxpayer is employed by the société to

perform services in connection with the business or
activity; or

(ii) where one of the associates is a company, a relative of a

director or shareholder of the company is employed by
the société to perform services in connection with the
business or activity; or

(c) a taxpayer carries on business or other income earning activity

in association with a relative or with a company of which a
director or shareholder is a relative of the taxpayer or, being a
company, carries on business or other income earning activity
in association with a relative of a director or shareholder of the
company, whether or not any other person is a member of the
société,

and the Director-General is of opinion that the remuneration, salary,

share of profits or other income payable to or for the benefit of that
relative or company under the contract of employment or on the terms
of the société exceeds the amount which is reasonable, having regard
to the nature and extent of the services rendered, the value of the
contributions made by the respective associates by way of services or
capital or otherwise, and any other relevant matters, the Director-
General may apportion the net income of the business or other income
earning activity, without deducting any amount payable to that
relative or company, between the parties to the contract of
employment or the associates or any of them in such shares and
proportions as he considers reasonable, and the amounts so
apportioned shall be deemed to be income derived by the persons to
whom those amounts are so apportioned and by no other person.

(2) Subject to subsection (3), where any sum paid or credited by a

company, being or purporting to be remuneration for services

* Please refer to endnotes at Appendix 1 Page 95 of 491

MRA THE INCOME TAX ACT 1995 96

rendered by a person who is a relative of a director or shareholder of

the company, is apportioned to that company in accordance with
subsection (1), the amount so apportioned to the company shall be
deemed to be a benefit referred to in section 86A 479* received by that
person as a shareholder of the company.

(3) This section shall not apply to a contract of employment or an

agreement to form a société where -

(a) the contract or agreement is in writing and signed by all

parties;

(b) no associate and no person employed under the contract or

agreement was a minor at the date on which the contract was
signed;

(c) the contract or agreement is binding on the parties for a term of

not less than 3 years and cannot be terminated by any party
before the expiry of that term;

(d) each party to the contract has a real and effective control of the
remuneration, salary, share of profit, or other income to which
he is entitled under the contract; and

(e) the remuneration, salary, share of profits or other income

payable to a relative or to a company of which a director or
shareholder is a relative is not of such an amount that the
transaction constitutes a gift or other disposition of property
without adequate consideration in money or money's worth.

86. Excessive remuneration to shareholder or director

Where any sum paid or credited by a company, being or purporting to be

remuneration for services rendered by a person who is a shareholder or
director of the company, exceeds the amount which in the opinion of the
Director-General is reasonable, the amount of the excess shall not be an
allowable deduction and shall be deemed to be a benefit referred to in section
86A received by that person as a shareholder of the company.

86A. Benefit to shareholder 480

*
Where a benefit of any nature, whether in money or money’s worth, other
than payment of dividend, is made by a company to any shareholder or a
relative of the shareholder, the value of that benefit, to the extent that it
exceeds the payment, if any, made therefor, shall be deemed to be income
referred to in section 10(1)(g) and received by the shareholder or the relative
of the shareholder, as the case may be.

* Please refer to endnotes at Appendix 1 Page 96 of 491

MRA THE INCOME TAX ACT 1995 97

87. Excessive management expenses

(1) Subject to subsection (2), where a person carries on any business or

other income earning activity and the Director-General is of the
opinion that any management expenses incurred by him exceed the
amount which is reasonable, having regard to the nature and extent of
the management services rendered, the amount of the excess shall not
be an allowable deduction.

(2) This section shall not apply to the extent that the income of the
taxpayer concerned is adjusted under section 84, 85 or 86.

(3) For the purposes of this section, "management expenses" means any
emoluments, fee, rent, commission, charge or other administration
expense incurred in the general management of a business or other
income earning activity.

88. Leases for other than an adequate rent

(1) Where property owned by a person, by 2 or more persons whether

jointly or in undivided ownership or by a société is leased to a relative
of any of those persons or any associate of the société or to a related
company, or where property owned by a company is leased to a
shareholder or a relative of a shareholder or to any other person, and
the rent is not an adequate rent for the property or the lease makes no
provision for the payment of rent, there shall be deemed to be payable
under the lease a rent that is equal to an adequate rent for the
property, and that rent shall be deemed to be income derived by the
lessor -
(a) where a rent is payable under the lease, in respect of the
periods for which the rent is so payable; or

(b) where no rent is payable under the lease, in respect of such

periods as the Director-General determines.

(2) The rent deemed to be payable under subsection (1) shall be deemed
to accrue from day to day during the period in respect of which it is
payable, and shall be apportioned accordingly.

(3) For the purposes of this section, "adequate rent" means the amount of
rent which the Director-General determines to be adequate for the
period for which the determination is made.

89. Rights over income retained

Where a person sells property or any right to income to a relative and retains
or obtains the power to enjoy income arising from that property or from that
right or retains or obtains the right to dispose of or direct or control the
disposition of that income or of that property or right, the income shall be
deemed to be income derived by the transferor and by no other person as if
the sale had not taken place.

* Please refer to endnotes at Appendix 1 Page 97 of 491

MRA THE INCOME TAX ACT 1995 98

90. Transactions designed to avoid liability to income tax

(1) This section shall apply where any transaction has been entered into
or effected and that transaction has, or would have had but for this
section, the effect of conferring a tax benefit on a person, hereinafter
referred to as relevant person, and having regard to -

(a) the manner in which the transaction was entered into or

carried out;

(b) the form and substance of the transaction;

(c) the result in relation to the operation of this Act that, but for
this section, would have been achieved by the transaction;

(d) any change in the financial position of the relevant person that
has resulted, will result, or may reasonably be expected to
result, from the transaction;

(e) any change in the financial position of any person who has, or
has had, any connection, whether of a business, family or other
nature, with the relevant person, being a change that has
resulted or may reasonably be expected to result from the
transaction;

(f) whether the transaction has created rights or obligations which

would not normally be created between persons dealing with
each other at arm's length under a transaction of the kind in
question; and

(g) the participation in the transaction of a corporation resident or

carrying on business outside Mauritius,

the Director-General may conclude that the person, or one of the

persons, who entered into or carried out the transaction, did so for the
sole or dominant purpose of enabling the relevant person, either alone
or in conjunction with other persons, to obtain a tax benefit.

(2) Where subsection (1) applies the Director-General shall assess the
liability to tax of the relevant person-

(a) as if the transaction or any part thereof had not been entered
into or carried out; or

(b) in such other manner as the Director-General considers

appropriate to counteract the tax benefit which would otherwise
be obtained.

* Please refer to endnotes at Appendix 1 Page 98 of 491

MRA THE INCOME TAX ACT 1995 99

(3) For the purposes of this section -

"tax benefit" means the avoidance or postponement of the liability to

pay income tax or the reduction in the amount thereof;

"transaction" includes a transaction, operation or scheme whether or

not such transaction, operation or scheme is enforceable, or intended
to be enforceable, by legal proceedings.

90A. Controlled foreign company rule481*

(1) (a) Subject to subsection (2), where a resident company carries on

business through a controlled foreign company and the
Director-General considers that the non-distributed income of
the controlled foreign company arises from non-genuine
arrangements which have been put in place for the essential
purpose of obtaining a tax benefit, that income shall be deemed
to form part of the chargeable income of the resident company.

(b) For the purpose of paragraph (a) –

(i) an arrangement or a series thereof shall be regarded as

non-genuine to the extent that the controlled foreign
company would not own the assets or would not have
undertaken the risks which generate all, or part of, its
income if it were not controlled by a company where the
significant people functions,which are relevant to those
assets and risks, are carried out and are instrumental
in generating the controlled company’s income;

(ii) “tax benefit” means the avoidance or postponement of

the liability to pay income tax or the reduction in the
amount thereof.

(2) (a) This section shall not apply to a controlled foreign company
where in an income year –

(i) accounting profits are not more than EUR 750 000, and
non-trading income is not more than EUR 75 000;

(ii) accounting profits amount to less than 10 per cent of its

operating costs for the tax period; or

(iii) the tax rate in the country of residence of the controlled

foreign company is more than 50 per cent of the tax rate
in Mauritius.

(b) For the purpose of paragraph (a)(ii), the operating costs shall not
include the cost of goods sold outside the country where the

* Please refer to endnotes at Appendix 1 Page 99 of 491

MRA THE INCOME TAX ACT 1995 100

entity is resident for tax purposes and payments to associated

enterprises.

(3) The income under subsection (1)(a) shall be determined in such

manner as may be prescribed.

(4) The Minister may make such regulations as he thinks fit for the
purpose of this section.

(5) In this section –

“associated enterprise” means –

(a) an entity in which the company holds directly or indirectly a

participation in terms of voting rights or capital ownership of 25
per cent or more or is entitled to receive 25 per cent or more of
the profits of that entity;

(b) an individual or entity which holds directly or indirectly a

participation in terms of voting rights or capital ownership in the
company of 25 per cent or more or is entitled to receive 25 per
cent or more of the profits of the company,

where an individual or entity holds directly or indirectly a participation of 25

per cent or more in the company and one or more entities, all the entities
concerned, including the company, shall also be regarded as associated
enterprises;

“controlled foreign company” –

(a) means a company –

(i) which is not resident in Mauritius; and

(ii) in which more than 50 per cent of its total participation

rights are held directly or indirectly by the resident
company referred to in subsection(1) or together with its
associated enterprises; and

(b) includes a permanent establishment of the resident company.

PART VIII - RETURNS, COLLECTION AND PAYMENT OF TAX

91. Due date for payment of income tax

Subject to the other provisions of this Act, income tax for any year of
assessment shall, whether or not a return of income has been submitted, or
an assessment has been made, be due on 1 July in that year.482*

* Please refer to endnotes at Appendix 1 Page 100 of 491

MRA THE INCOME TAX ACT 1995 101

Sub-Part A - Pay As You Earn (PAYE) System

92. Application of Sub-Part A

Subject to section 93(2), this Sub-Part shall apply to emoluments but shall
not apply to emoluments derived by an exempt person.483*

93. Employer to withhold tax from emoluments

(1) Every employer shall, at the time the emoluments are received by or
made available to an employee, withhold income tax, from the
emoluments of that employee.484*
(1A) The remuneration earned by a director of a company shall,
notwithstanding subsection (1), be deemed to have been received by
the director in the income year in which such remuneration is charged
in the income statement referred to in section 217(1)(b) of the
Companies Act, of the company.485*

(2) (a) Where an exempt person or a person deriving any – 486*

(i) pension in relation to his past employment or that of his

spouse; or

(ii) annuity, pension or similar payment,

makes a request to his employer or the person responsible for

the payment of the pension, annuity or similar payment for
income tax to be withheld under this Sub-part, the employer or
person responsible for the payment shall withhold income tax
in the manner provided for under section 96(2).
(b) A request to withhold income tax under paragraph (a) shall be
made in such form as the Director-General may approve and it
shall remain applicable until it is revoked by the person or the
Director-General.

(c) Sections 93(3), (4), (4A) and (5), 94, 99, 100, 101A and 102
shall apply to the person responsible for the payment of any
pension, annuity or similar payment in the same manner as it
applies to an employer.

(3) Every employer shall give to his employee a Statement of Emoluments

and Tax Deduction in such manner as may be prescribed.

(4) Every employer shall submit to the Director-General a Return of

Employees giving such information and particulars, within such time
and in such manner, as may be prescribed.487*

(4A)488 *(a) Where an employer does not submit the Return of Employees
under subsection (4) within the prescribed time, he shall be liable
to pay to the Director-General a penalty of 5,000 rupees per
month or part of the month, until the time the Return of

* Please refer to endnotes at Appendix 1 Page 101 of 491

MRA THE INCOME TAX ACT 1995 102

Employees is submitted to the Director-General, provided that

the total penalty payable shall not exceed 20,000 rupees.

(b) Where a penalty is payable under paragraph (a), the Director-

General shall make a claim to the employer specifying the
amount of penalty payable and the reasons for making such a
claim.489*

(c) Where a claim is made under paragraph (b), the employer shall
pay the amount of penalty within 28 days of the date of the
claim.

(d) Repealed 490

*
(5) Any employer who fails to comply with subsection (4) shall commit an
offence and shall, on conviction, be liable to a fine not exceeding
50,000 rupees.491*

94. Registration of employers

Every employer shall register with the Director-General in such manner and
on such conditions as may be prescribed.

95. Employee declaration 492

*
(1) Subject to subsection (2), every employee who, in respect of an income
year, is entitled to –

493
(a) the personal reliefs and deductions under section 27 *;
(b) reliefs and deductions under Sub-part D or Sub-part E of Part
III,

in respect of that income year and who wishes to have the personal reliefs and
deductions under Sub-part C of Part III and the reliefs and deductions under Sub-
part D or Sub-part E of Part III taken into account for the purpose of determining
his chargeable income and the amount of income tax, if any, to be withheld from
his emoluments under section 93 during that income year, shall submit to his
employer an Employee Declaration Form in such manner and on such conditions
as may be prescribed 494*.

(2) Where the personal reliefs and deductions referred to in subsection (1)
has been claimed, those personal reliefs and deductions shall not be
claimed for the purposes of Sub-Part B of Part VIII 495*.

(3) Where an employee has, in his Employee Declaration Form, claimed in

respect of an income year, personal reliefs and deductions under Sub-
part C or reliefs and deductions under Sub-part D or Subpart E of
Part III, as the case may be, an additional deduction under item 2 of
the Third Schedule or reliefs and deductions under Sub-part D or
Sub-part E of Part III, and the claim is thereafter found to be

* Please refer to endnotes at Appendix 1 Page 102 of 491

MRA THE INCOME TAX ACT 1995 103

unjustified or in excess of the amount to which he is entitled by 10

per cent or more, he shall be liable, in addition to the amount of
income tax underpaid, to a penalty not exceeding 25 per cent of the
underpaid amount. 496*

96. Tax to be withheld 497

*
(1) Where an employee has submitted in respect of an income year an
Employee Declaration Form to his employer, the amount of income tax
to be withheld from the emoluments of the employee shall be
calculated, on a cumulative basis, in such manner as may be
prescribed.

(2) Where an employee has not submitted in respect of an income year an

Employee Declaration Form or has made a request pursuant to
subsection 93(2) to his employer, the employer shall withhold tax from
the emoluments of the employee at the rate of 15 per cent, or at the
option of the employee, withhold tax at the rate of 20 per cent of those
emoluments 498*.

(2A) Repealed499*

(2B) Repealed500*

(3) Where any fees are payable –

(i) by a company to any of its directors; or

(ii) by a statutory body to any member of its Board, Council,

Commission, Committee or by whatever name called,

tax shall be withheld from the fees of the director or member, as the
case may be at the rate of 15 per cent, or at the option of the director
or member, at the rate of 20 per cent of those fees 501*.

(4) Where tax is withheld in an income year under this section and in
that income year, the employee, director or member, as the case may
be, is a non-resident and is not deriving any other gross income, the
amount of tax so withheld, at the option of the employee, director or
member, as the case may be, shall be deemed to be the final amount
of tax payable by that employee, director or member for that income
year and in relation thereof, the provisions of Sub-Part C of PART VIII
shall not apply.502*

97. Direction not to withhold tax

Where income tax is required to be withheld from the emoluments of an

employee under this Sub-Part during an income year and the employee
proves to the satisfaction of the Director-General that he is not chargeable to
income tax for that income year, the Director-General may, by written notice

* Please refer to endnotes at Appendix 1 Page 103 of 491

MRA THE INCOME TAX ACT 1995 104

under his hand to the employer, direct that no tax shall be withheld from the
emoluments of that employee.

98. Decision as to whether an amount is emoluments

Where any question arises in relation to an employer or an employee as to

whether any amount is or is not emoluments to which this Sub-Part applies,
the question shall be decided by the Director-General, whose decision shall
be notified to the employer or employee in writing.

99. Obligation of employer to withhold tax

The obligation of an employer to withhold tax under section 93 shall prevail

over -

(a) any right or obligation to withhold any other amount from such
payment; or

(b) any law providing that the amount of any such payment shall not be
reduced or be subject to attachment.

99A. Registration of employees *

503

(1) Every employee shall, at the time he takes up employment or at the

request of his employer, produce to the employer his National Identity
Card or, in the case of a non-citizen, the identification number issued
to him by the immigration officer.

(2) Every employer shall, in respect of every employee, obtain from the
employee – 504*
(a) his NIC number; or

(b) in the case of a non-citizen, the identification number issued to

him by the immigration officer.

100. Payment of tax by employer

(1) An employer who has withheld tax under this Sub-Part shall pay the
tax so withheld within 20 days from the end of the month in which the
tax was withheld in such manner as may be prescribed.

(1A) (a) Every person registered as an employer for the purposes of

PAYE shall, unless otherwise authorised, submit his PAYE
return and remit the tax withheld electronically through such
computer system as may be approved by the Director-General
under section 128A(1).505*

(b) Repealed 506

*

* Please refer to endnotes at Appendix 1 Page 104 of 491

MRA THE INCOME TAX ACT 1995 105

(1B) Every employer who submits his PAYE return and remits the tax
withheld in the manner specified in subsection (1A), shall - 507*

(a) notwithstanding subsection (1), pay the tax so withheld on or

before the end of the month immediately following the month in
which the tax was withheld; and

c) continue to submit his PAYE return and remit the tax withheld
electronically until such time as he ceases to be an employer.

(1C) The due date for submission of the PAYE return and remittance of the
tax withheld under subsection (1) in respect of the months of May and
November shall, notwithstanding subsection (1), be 2 days, excluding
Saturdays and public holidays, before the end of June and December,
respectively.508*

(2) An employer who has not withheld tax as required by this Sub-Part
shall be liable to pay to the Director-General the amount of tax which
has not been so withheld but the employer shall be entitled to recover
that amount from the employee.

101. Penalty for late payment of tax by employer 509

*
(1) Where an employer fails to pay the amount of tax required to be
withheld under this Sub-Part on or before the last day on which it is
payable under section 100, he shall be liable to pay to the Director-
General, in addition to the tax, a penalty of 10 per cent of the amount
of the tax remaining unpaid.510*

(2) The penalty under subsection (1) shall apply to the tax excluding any
interest under section 122D.

101A. Penalty for failure to join electronic system *

511

Any registered employer who is required to submit his PAYE return under
section 100(1A) and make payment of tax withheld on behalf of his
employees electronically, but fails to join the electronic system, after written
notice being given to him by the Director-General, shall be liable to pay to
the Director-General on his failure within a period of 7 days from the date of
the notice to justify the failure to join the system, a penalty of 5,000 rupees,
for every month or part of the month from the month specified in the notice,
up to the month immediately preceding the month in which he submits his
return, and to make any payment of tax withheld electronically, provided
that the total penalty payable shall not exceed 50,000 rupees.

102. Priority over tax withheld

(1) Notwithstanding any other enactment, tax withheld by an employer

under this Sub-Part -

* Please refer to endnotes at Appendix 1 Page 105 of 491

MRA THE INCOME TAX ACT 1995 106

(a) shall be held on behalf of the Government of Mauritius; and

(b) shall not be subject to attachment in respect of any debt or

liability of the employer.

(2) In the event of the liquidation or bankruptcy of the employer, the

amount withheld under this Sub-Part shall not form part of the estate
in liquidation or bankruptcy and shall be paid in full to the Director-
General before any distribution of property is made.

(3) In the case where a receiver is appointed by the chargor of a charge

for the purpose of satisfying a debt secured by the charge as specified
in section 204 of the Insolvency Act, any tax withheld by a chargor
under section 102 or deducted by a chargor under section 111J shall,
subject to section 204(5) of that Act, be paid in accordance with section
204(4) of that Act.512*

103. Tax withheld deemed to be tax paid by employee

Any amount withheld as tax under this Sub-Part shall be deemed to be -

(a) received by the employee at the time it was withheld; and

(b) paid by him,

and shall be credited against the income tax liability of the employee for the
income year in which the emoluments were paid.

104. Non-disclosure of information by employer

(1) Subject to subsection (2), no employer shall disclose to any person

other than the Director-General, any information contained in the
Employee Declaration Form submitted by an employee or any matter
relating to this Sub-Part and concerning the employee.

(2) Nothing in this section shall prevent the disclosure to an employee, or

with his written consent to any other person, of any information or
matter relating to this section concerning the employee.

Sub-Part B - Current Payment System (CPS)

105. Application of Sub-Part B

(1) Subject to subsection (2), this Sub-Part shall apply to the gross
income specified in section 10(1)(b), and rent specified in section
10(1)(c), derived by an individual.

* Please refer to endnotes at Appendix 1 Page 106 of 491

MRA THE INCOME TAX ACT 1995 107

(2) This Sub-part shall not apply to an individual in respect of gross

income derived from the cultivation of sugar cane or the growing of
tobacco.513*

105A. [Registration of persons under this Sub-Part] Repealed *

514

106. CPS Statement and payment of tax 515

*
(1) Every individual who derives gross income falling under this Sub-part
and, in respect of the preceding income year, had a chargeable
income, shall submit electronically to the Director-General a CPS
Statement in such form and manner as may be approved by the
Director-General and pay tax, if any, electronically, as follows -516*

In respect of CPS quarter Due date for submission of CPS

Statement and payment of tax
1 July to 30 September 2 days, excluding Saturdays and
public holidays, before the end of
December

1 October to 31 December 31 March

1 January to 31 March 2 days, excluding Saturdays and

public holidays, before the end of June

(2) Notwithstanding subsection (1), an individual shall not submit a CPS

Statement where –

(a) in respect of the preceding income year, his gross income

falling under this Sub-part did not exceed 4517* million
rupees;

(b) the tax payable on the chargeable income computed in

accordance with section 107(1) is of an amount not exceeding
500 rupees; or

(c) his gross income for the preceding year does not exceed 10
million rupees and he is engaged in activities specified in the
Thirteenth Schedule.518*

(3) Where a resident société or the estate of a deceased person derives

gross income referred to in section 105, the associate of the société or
the beneficiary in the estate, as the case may be, shall include, in his
CPS Statement, his share of income from that gross income

107. Calculation of chargeable income 519

*
(1) The chargeable income of an individual in respect of a CPS quarter
shall be computed by reference to the chargeable income, the net

* Please refer to endnotes at Appendix 1 Page 107 of 491

MRA THE INCOME TAX ACT 1995 108

income and the total net income of the preceding income year as
follows -

25 X Chargeable Income X Net Income falling under CPS

100 Total net income

(2) Notwithstanding subsection (1), but subject to subsection(3), an

individual may opt to compute his chargeable income in respect of a
CPS quarter as being the difference between -

(a) the gross income for that quarter; and

(b) the sum of -

(i) the amount of allowable deductions for that quarter

including any allowable loss brought forward from the
income year preceding the income year to which the
quarter relates or from any previous quarter, as the
case may be, that relates to the derivation of the gross
income; and

(ii) 25 per cent of the personal reliefs and deductions to

which the individual is entitled under section 27 in
respect of that income year 520*.

(3) Where any personal reliefs and deductions referred to in subsection (2)
has been claimed for the purposes of this Sub-part, those personal
reliefs and deductions shall not be claimed for the purposes of Sub-
part A of Part VIII 521*.

108. Calculation of tax 522

*
The income tax payable under this Sub-Part shall be calculated on the
chargeable income ascertained under section 107 in such manner as may be
prescribed.

109. Penalty for late submission of Statement of Income 523

*
Where a person fails to submit a Statement of Income under section 106, he
shall be liable to pay to the Director-General a penalty representing 2,000
rupees per month or part of the month until such time as the Statement of
Income is submitted, provided that the total penalty payable shall not exceed
6,000 rupees per Statement of Income.

110. Penalty for late payment of tax under CPS 524

*
Where a taxpayer fails to pay any income tax due on or before the last day on
which it is payable under section 106, he shall be liable to pay to the
Director-General, in addition to the tax, a penalty of 5 per cent of the amount
of tax remaining unpaid.

* Please refer to endnotes at Appendix 1 Page 108 of 491

MRA THE INCOME TAX ACT 1995 109

111. Return and payment of tax at end of income year

(1) Every person who is required to submit a Statement of Income under

section 106 shall, at the end of the income year, submit to the
Director-General the return required to be submitted under section
112.

(2) Where the amount of tax payable on the chargeable income in

accordance with the return referred to in subsection (1) exceeds the
sum of -

(a) the aggregate 525* amount of any tax paid under this Sub-Part
excluding any penalty under sections 109 and 110; and

(b) any amount of tax withheld under Sub-Part A,

the person shall pay the difference at the time the return is submitted
together with the penalty specified in subsection (3), if any.

(3) Subject to subsection (4), where the amount of tax payable on the
income falling under this Sub-Part exceeds the amount of any tax
paid in accordance with the Statement of Income by more than 35 per
cent of the amount of tax payable, the person shall, at the time the
return under section 112 is submitted, pay, in addition to the
difference referred to in subsection (2), a penalty representing 25 per
cent of the amount in excess of the 35 per cent.526*

(4) The penalty under subsection (3) shall not apply where, in respect of
the CPS quarter in an income year -

(a) the taxpayer has opted to compute his chargeable income in

accordance with section 107(1); or

(b) where the amount in excess is solely attributable to income

derived in the period immediately following the end of the third
CPS quarter of the income year. 527*

Sub-Part BA –Deduction of tax at source *

528

111A. Interpretation

(1) In this Sub-Part -

(a) “commission” includes any sum paid or payable to an agent in

relation to a commercial transaction;529 *

(b) “contractor”, in section 111B(d), means any person who enters

into a contract for carrying out any work;

* Please refer to endnotes at Appendix 1 Page 109 of 491

MRA THE INCOME TAX ACT 1995 110

(c) [“depositor”] Definition deleted 530

*
(d) [“financial institution”] Definition deleted *
531

(e) [“individual”] Definition deleted 532

*
(f) “interest” in section 111B(a), means income from debt-claims of
every kind, whether or not secured by mortgage and whether or
not carrying a right to participate in the debtor’s profits and in
particular income from debentures or any other loan
instrument including premiums and prizes attaching to such
debentures or other loan instrument;533*

(g) “payee” means any person to whom an amount is made

available by the payer; 534*

(h) “payer”535*

(a) means any person responsible for the payment of any

amount or sum referred to in section 111B; but
(b) does not include a company, société or succession which
has an annual turnover not exceeding 6 million rupees,
other than a company, société or succession which
awards contracts for construction works;536*

(i) “person” in section 111B(c), includes a minor;

(j) “rent” in section 111B(c), means any payment, by whatever

name called, under any lease, sub-lease, tenancy or any other
agreement or arrangement for the use of any land or building
together with furniture, fittings and the land appurtenant
thereto, whether or not such building is owned by the payee
and also includes any premium or other consideration for a
lease;

(k) “sub-contractor” in section 111B(d), means any person who

enters into a contract with a contractor for carrying out any
work;

(l) “work”, in paragraphs (b) and (k) -537*

(i) means civil construction including construction or repair

of any building, road or other structure or execution of
any works contract and includes mechanical or electrical
works538*; and

(ii) includes any supply of labour for carrying out works in

respect of civil construction.

* Please refer to endnotes at Appendix 1 Page 110 of 491

MRA THE INCOME TAX ACT 1995 111

(2) For the purposes of sections 111B and 111C, an amount or a sum is
deemed to have been made available to a payee where the amount or
sum is paid to, or credited to the account of, or dealt with in the
interest or on behalf of, the payee, whichever is earlier.

111B. Application of Sub-Part BA

This Sub-Part shall apply to any amount or sum made available by way of –

(a) interest, other than – *

539

(i) interest falling under Sub-part B of Part II of the Second

Schedule payable by any person, other than an individual, to
any person, other than a company resident in Mauritius; and

(ii) interest payable to a person in respect of money lent by that

person through a Peer-to-Peer Lending platform operated
under a licence issued by the Financial Services Commission
under the Financial Services Act;

(b) royalties payable to any person, other than a citizen in respect of

royalties for artistic or literary work, by any person, other than an
individual or a corporation holding a Global Business Licence under
the Financial Services Act 2007;540*

(c) rent payable by any person, other than an individual, to any person,
except a body of persons specified in Part I of the Second Schedule or
a person exempt from income tax by virtue of any other
enactment;541*

(d) payments to contractors and sub-contractors by any person, other

than an individual;

(e) payments to a provider of services, except a company holding a

management licence and an investment adviser holding a licence
issued by the Financial Services Commission established under the
Financial Services Act, specified in the Fifth Schedule made by any
person, other than an individual542*;

(f)543* payments to any person, except a body of persons specified in Part I of

the Second Schedule or a person exempt from income tax by virtue of
any other enactment, made by a Ministry, Government department,
local authority, statutory body or the Rodrigues Regional Assembly -

(i) for the procurement of goods and services under a single

contract, where the payment exceeds 300,000 rupees;
(ii) for the procurement of goods under a contract,where the
payment exceeds 100,000 rupees; or
(iii) for the procurement of services under a contract, other than

* Please refer to endnotes at Appendix 1 Page 111 of 491

MRA THE INCOME TAX ACT 1995 112

telephone, insurance, postal, air travel and hotel services,

where the payment exceeds 30,000 rupees, other than
payments to contractors and sub-contractors referred to in
paragraph (d) and payments to providers of services
referred to in paragraph (e); 544*

(g) payments in respect of rental or other consideration for board and

lodging made to the owner of an immovable property or his agent,
other than a hotel, except where payments are made to a body of
persons specified in Part I of the Second Schedule or a person exempt
from income tax by virtue of any other enactment, by -

(i) a tour operator or travel agent, other than an individual;

(ii) an IRS Company or RES Company or a provider of property

management services, designated by the IRS Company or RES
Company, as the case may be, under the Investment Promotion
(Real Estate Development Scheme) Regulations 2007; or

(iii) any other agent, other than an individual, carrying on the

business of providing services in respect of letting of properties;

(h) payments made by any person, other than an individual, to a non-

resident for any services rendered in Mauritius, except where the
payments are made to a body of persons specified in Part I of the
Second Schedule or a person exempt from income tax by virtue of any
other enactment or any arrangement for relief from double taxation;

(i) management fees payable to an individual by any person, other than an

individual;545*
(j) payments in money or money’s worth or transfers made by a person in
connection with activities performed in Mauritius by a non-resident
entertainer or sportsperson;

(k) commissions payable by any person other than an individual;546*

(l) payments by any person, other than an individual, to consultants other

than –;547*

(i) a company holding a management licence issued by the Financial

Services Commission established under the Financial Services
Act;

(ii) an investment adviser holding a licence issued by the Financial

Services Commission established under the Financial Services
Act; and

(iii) those specified in the Fifth Schedule;

* Please refer to endnotes at Appendix 1 Page 112 of 491

MRA THE INCOME TAX ACT 1995 113

(m) payments by any person, other than an individual, to a provider of

security services, cleaning services, pest management services and
other ancillary services; and548*

(n) payments by insurance companies to – 549*

(i) motor surveyors; and

(ii) any other person for repairs of motor vehicles of policy holders.

111C. Payer to deduct tax

(1) Subject to the other provisions of this section, every payer shall, at
the time any amount or sum referred to in section 111B is made
available to the payee, deduct income tax from the amount or sum so
made available at the appropriate rate specified in the Sixth
Schedule.550*

(1A) No income tax shall be deducted under this Sub-Part, where the
amount of tax to be deducted is less than 500 rupees. 551*

(2) Repealed 552*

(3) Repealed

(4) Where interest referred to in section 111B(a), royalties referred to in

section 111B(b) or rent referred to in section 111B (c) and payments to
an entertainer or sportsperson referred to in section 111B(j) are
payable to a non-resident, the income tax to be deducted shall be at
the rate specified in the Sixth Schedule or at the rate specified under
any arrangement for relief from double taxation which is in force
between Mauritius and the foreign country where the payee is
resident, whichever is the lower.553*

(5) Where income tax is deducted from the interest, payments to an

entertainer or sportsperson, or from rent or royalties in an income
year under subsection (4), the amount of tax so deducted, at the
option of the payee shall be deemed to be the final amount of tax
payable in respect of the interest, payments to the entertainer or
sportsperson, or from rent or royalties for that income year.554*

(6) This section shall apply notwithstanding whether payments or

transfers referred to in section 111B(j) are made directly to the non-
resident entertainer or sportsperson or through an agent.555*

111D. Remittance of tax deducted 556

*
(1) Subject to this section, every payer who deducts income tax under
section 111C shall remit to the Director-General the income tax so
deducted and at the same time submit a return in a form approved by
the Director-General –

* Please refer to endnotes at Appendix 1 Page 113 of 491

MRA THE INCOME TAX ACT 1995 114

(a) in the case where the remittance and the return are made
electronically in accordance with section 128A, not later than
one month from the end of the month in which the income tax
was deducted; or 557*
(b) in the case where the remittance and the return are made in a
manner other than in accordance with section 128A, not later
than 20 days from the end of the month in which the income
tax was deducted.
(2) The remittance and the return referred to in subsection (1) shall, in
respect of the months of May and November, be made 2 days,
excluding Saturdays and public holidays, before the end of June and
December, respectively.558*

111E. Payer liable to pay tax

Any payer who has not deducted income tax as required under section 111C
shall be liable to pay to the Director-General the amount of income tax
which ought to have been deducted but the payer shall be entitled to recover
the amount from the payee.

111F. Penalty and interest for late payment of tax

The provisions of sections 101 and 122D(1)(a) shall apply in all respects to a
payer as they apply to an employer referred to in section 101 or to any
person referred to in section 122D(1)(a).559*

111G. Tax deducted deemed to be tax paid

(1) Any amount of tax deducted under this Sub-Part in an income year
shall be deemed to be –

(a) received by the payee at the time it was deducted; and

(b) paid by him to the Director-General,

and shall be offset against the income tax liability of the payee for that
income year.

(2) Where the payee under subsection (1) is a société or a succession, the
associates of the société or the heirs of the succession, as the case
may be, shall be entitled to claim a credit in their annual return of
income submitted under section 112 or 116, as the case may be, in
respect of their share of the amount of tax deducted under this Sub -
Part.560*

111H. Direction not to deduct tax

Where income tax is required to be deducted from any amount or sum which
is made available to a payee under this Sub-Part during an income year and
the payee proves to the satisfaction of the Director-General that he is not
chargeable to income tax for that income year, the Director-General may, by

* Please refer to endnotes at Appendix 1 Page 114 of 491

MRA THE INCOME TAX ACT 1995 115

written notice to the payer, direct that no income tax shall be deducted from
the amount or sum which is made available to that payee.

111I. Obligation of payer to deduct tax

The obligation of a payer to deduct income tax under section 111C shall
prevail over -

(a) any right or obligation to deduct any other amount from such
payment; or

(b) any law providing that the amount of any such payment shall not be
reduced or be subject to attachment.

111J. Priority over tax deducted

(1) Notwithstanding any other enactment, income tax deducted by a

payer under this Sub-Part -

(a) shall be held on behalf of the Government of Mauritius; and

(b) shall not be subject to attachment in respect of any debt or

liability of the payer.

(2) In the event of the liquidation or bankruptcy of the payer, the amount
deducted under this Sub-Part shall not form part of the estate in
liquidation or bankruptcy and shall be paid in full to the Director-
General before any distribution of property is made.

111K. Statement to payee and to Director-General 561

*
(1) Every payer shall, not later than 15 August in every year 562* -
(a) give to each payee, a statement of any amount or sum made
available to him and referred to in section 111B, in duplicate,
in respect of the preceding income year; and 563*

(b) submit to the Director-General, in respect of the preceding

income year - 564*

(i) a statement giving the particulars of the payee, the

amount or sum made available and income tax deducted
therefrom;

(ii) where no income tax has been deducted by virtue of

section 111C(1A), a statement giving the particulars of
the payee and the amount or sum made available.

(2) In the case of a financial institution, the statement referred to in

subsection (1)(b) shall include, in respect of each payee, the aggregate
amount of interest payable by the financial institution including its

* Please refer to endnotes at Appendix 1 Page 115 of 491

MRA THE INCOME TAX ACT 1995 116

branches, where such aggregate amount exceeds 50,000 565

* rupees,
whether or not income tax has been deducted.

(3) The statements under subsections (1) and (2) shall contain such other
particulars, and shall be made in such form and manner, as may be
prescribed.

(4) Notwithstanding section 64 of the Banking Act 2004, section 26 of the

Bank of Mauritius Act 2004 and the confidentiality provisions under
any other enactment, a financial institution shall comply with the
requirements of this Sub-Part.

(4A)566*(a) Where a payer does not comply with subsection (1) (a) or (b) or
(3) within the prescribed time, he shall be liable to pay to the
Director-General a penalty of 5,000 rupees per month or part
of the month, until the time the payer complies with that
subsection, provided that the total penalty payable shall not
exceed 20,000 rupees.

(b) Where a penalty is payable under paragraph (a), the Director-

General shall make a claim to the payer specifying the amount
of penalty payable and the reasons for making such a claim.567*

(c) Where a claim is made under paragraph (b), the payer shall pay
the amount of penalty within 28 days of the date of the claim.

(d) Repealed 568

*
(5) Any payer who fails to comply with subsection (1), (2) or (3), shall
commit an offence and shall, on conviction, be liable to a fine not
exceeding 50,000 rupees.569*

[Sub-Part BB – National Residential Property Tax ] Repealed

[111L. Interpretation ]570* Repealed

[111M. Imposition of property tax ]571* Repealed

[111N. Application of property tax ]572 * Repealed

Sub-Part BC - Tax on Winnings573*

111O. Interpretation

In this Sub-part –

“given date” means a period of 24 hours starting at 10 o’clock in the

morning on a day and ending at 10 o’clock in the morning on the following
day;574*

* Please refer to endnotes at Appendix 1 Page 116 of 491

MRA THE INCOME TAX ACT 1995 117

“operator” means the Mauritius National Lottery Operator, operator of the

Loterie Vert, a casino operator, a hotel casino operator or a gaming house
operator licensed under the Gambling Regulatory Authority Act;
*
575

“winner” means a person to whom an amount payable as winnings is

paid;

“winnings” means any amount paid out in money.

111P. Operator to deduct tax on winnings

(1) Subject to the other provisions of this Sub-part, every operator shall, at
the time any amount is payable as winnings, deduct tax from that
amount at the rate of 10 per cent and remit it to the Director-General.

(2) No tax shall be deducted under this Sub-part where the total cumulative
winnings paid to a person on any given date does not exceed 100,000
rupees.576*

111Q. Remittance of tax on winnings

(1) Every operator who deducts tax under section 111P shall remit
electronically to the Director-General the tax so deducted not later than
20 days from the end of the month in which the tax was deducted and,
at the same time, submit a return in such form as the Director-General
may approve.

(2) Where an operator has, during a month, not paid any winnings on
which tax is deductible, he shall submit a nil return to the Director-
General.

111R. Penalty for late submission

Where an operator fails to submit a return under section 111Q, he shall be

liable to pay to the Director-General a penalty representing 2, 000 rupees per
month or part of the month, until the time the return is submitted, provided
that the total penalty payable shall not exceed 20,000 rupees.

111S. Penalty and interest for late payment

The provisions of sections 122 (1) and 122D shall apply in all respects to an
operator who fails to remit any tax on winnings due on or before the last day
on which it has to be remitted in accordance with section 111Q.

111T. Assessment and recovery of tax on winnings

The provisions of Parts IX, X and XI and sections 153, 155, 156 and 160 of
this Act shall apply to the tax on winnings with such modifications,
adaptations and exceptions as may be necessary.

* Please refer to endnotes at Appendix 1 Page 117 of 491

MRA THE INCOME TAX ACT 1995 118

Sub-Part BD – Presumptive Tax on Small Enterprise577*

111U. Interpretation

In this Sub-part –

“presumptive tax” means the tax imposed under this Sub-part;

“small enterprise” means a person –

(a) who is engaged in activities specified in the Thirteenth Schedule;

(b) whose gross income in an income year does not exceed 10 million
rupees; and

(c) whose gross income from sources, other than those specified in the
Thirteenth Schedule, does not exceed 400,000 rupees.

111V. Election to pay presumptive tax

(1) Subject to the other provisions of this Sub-part, a small enterprise

may, by irrevocable notice, on or before the due date for the filing of
its return of income, elect to pay a presumptive tax at the rate of one
per cent of its gross income.

(2) Where a small enterprise has made an election under subsection (1),
it shall submit a return to the Director-General not later than the due
date for the filing of the return under sections 112, 116 and 119, as
the case may be, specifying such particulars as the Director-General
may determine and at the same time pay the presumptive tax payable
in accordance with the return, after offsetting any tax deducted under
sections 93 and 111B 578*.

(3) Where a small enterprise has made an election under subsection (1),
it shall not be entitled to claim any deduction, relief or allowance
under Sub-part B, C, D or E of Part III or Sub-part C of Part IV, as the
case may be 579*.

111W. Penalty for late payment

Sections 122 and 122D shall apply in all respects where a small enterprise
fails to pay the presumptive tax in accordance with section 111V.

111X. Assessment and recovery proceedings

(1) Where a person has submitted a return under section 111V, Parts IX,
X and XI shall, subject to this section, apply with such modifications,
adaptations and exceptions as may be necessary.

* Please refer to endnotes at Appendix 1 Page 118 of 491

MRA THE INCOME TAX ACT 1995 119

(2) Where it is found that a small enterprise eligible for an election under
section 111V has underdeclared its gross income and the undeclared
amount when aggregated to the declared gross income does not
exceed 10 million rupees, the Director-General may impose
presumptive tax on the undeclared gross income.

Sub-Part BE – COVID-19 Levy 580*

111Y. Interpretation

In this Sub-part –

“chargeable income for levy” means the aggregate amount remaining after
deducting from the gross income all allowable deductions except the
unrelieved amount of a loss carried forward under section 59 from a previous
year of assessment;

“employer” means an individual, a resident société or a company;

“levy” –

(a) means the COVID-19 levy referred to in section 111Z; and

(b) includes any penalty and interest imposed under this Act;

“Wage Assistance Scheme” means the scheme referred to under Part XIIB.

111Z. Liability to COVID-19 levy

(1) Subject to this section, every employer who has benefited from an
allowance under the Wage Assistance Scheme shall be liable to pay to
the Director-General, in respect of the year of assessment commencing
on 1 July 2020, 1 July 2021 or 1 July 2022, as the case may be, the levy
specified in subsection (3).

(2) Where the employer referred to in subsection (1) is –

(a) (i) an individual;

(ii) a resident société; or

(iii) a company whose accounting period ends on any date

during the period starting on 1 May 2020 and ending on 31
December 2020, and starting on 1 May 2021 and ending
on 31December 2021,

* Please refer to endnotes at Appendix 1 Page 119 of 491

MRA THE INCOME TAX ACT 1995 120

the levy shall be payable in respect of the years of assessment commencing

on 1 July 2020 and 1 July 2021; or

(b) a company whose accounting period ends on any date during the
period starting on 1 January 2021 and ending on 30 April 2021,
and starting on 1 January 2022 and ending on 30 April 2022,
the levy shall be payable in respect of the years of assessment
commencing on1 July 2021 and 1 July 2022.

(3) (a) In the case of an employer who is an individual, the levy

payable under subsection (1) shall –
(i) in respect of the year of assessment commencing on 1
July 2020, be equivalent to –

(A) the total amount paid to him under the Wage

Assistance Scheme; or

(B) 15 per cent of the gross income derived by him

under section 10(1)(b), (c) and (g) after deduction of
any expenditure allowable under sections 18, 19
and 24,
whichever is lower; and

(ii) in respect of the year of assessment commencing on 1

July 2021, be equivalent to –

(A) the total amount paid to him under the Wage

Assistance Scheme as reduced by the amount of
levy payable for the year of assessment
commencing on 1 July 2020; or

(B) 15 per cent of the gross income derived by him

under section 10(1)(b), (c) and (g) after deduction of
any expenditure allowable under sections 18, 19
and 24,

whichever is lower.

(b) In the case of an employer who is a resident société or company

referred to in subsection (2)(a)(ii) and (iii), the levy payable
under subsection (1) shall –

(i) in respect of the year of assessment commencing on 1

July 2020, be equivalent to –

* Please refer to endnotes at Appendix 1 Page 120 of 491

MRA THE INCOME TAX ACT 1995 121

(A) the total amount paid to him under the Wage

Assistance Scheme; or

(B) 15 per cent of his chargeable income for levy,

whichever is lower; and

(ii) in respect of the year of assessment commencing on 1

July 2021, be equivalent to –

(A) the total amount paid to him under the Wage

Assistance Scheme as reduced by the amount of
levy payable for the year of assessment
commencing on 1 July 2020; or

(B) 15 per cent of his chargeable income for levy,

whichever is lower.

(c) In the case of an employer who is a company referred to in

subsection (2)(b), the levy payable under subsection (1) shall –

(i) in respect of the year of assessment commencing on 1

July 2021, be equivalent to –

(A) the total amount paid to him under the Wage

Assistance Scheme; or
(B) 15 per cent of his chargeable income for levy,

whichever is lower; and

(ii) in respect of the year of assessment commencing on 1

July 2022, be equivalent to –

(A) the total amount paid to him under the Wage

Assistance Scheme as reduced by the amount of
levy payable for the year of assessment
commencing on 1 July 2021; or

(B) 15 per cent of his chargeable income for levy,

whichever is lower.

(4) The levy payable under subsection (1) shall be declared by the employer
in his return required to be submitted by him under section 112, 116 or
119, as applicable, and shall be paid to the Director-General, on or
before the date by which the return is required to be submitted.

* Please refer to endnotes at Appendix 1 Page 121 of 491

MRA THE INCOME TAX ACT 1995 122

(5) Where an employer who is required to pay a levy under subsection (1)
fails to do so on or before the date it is payable, the Director-General
may, within a period of 3 years from the date the levy is payable,
issue a claim to him requesting him to pay the levy, together with
any penalty and interest applicable under section 111ZA, within 28
days from the date of the notice.

(6) Where an employer to whom a claim has been issued under

subsection (5) fails to pay the amount claimed within the date
specified in the notice, the Director-General may use his powers under
Part IVC of the Mauritius Revenue Authority Act, with such
modifications, adaptations and exceptions as may be necessary, to
enable him to recover the amount unpaid.

(7) The Minister may by, regulations, exclude certain category of

employers from the levy.

111ZA. Penalty, interest and offence relating to levy

(1) Where an employer fails to pay the levy on or before the last day on
which it is payable under section 111Z, he shall be liable to pay to the
Director-General, in addition to the levy –

(a) a penalty of 10 per cent of the amount of levy remaining

unpaid; and

(b) interest at the rate of one per cent per month or part of the
month during which the levy remains unpaid.

(2) Any employer who, in relation to section 111Z, makes a false

declaration or gives a statement which is false or misleading in any
material particular shall commit an offence and shall, on conviction, be
liable to a fine not exceeding one million rupees and to imprisonment
for a term not exceeding 2 years.

111ZB. Anti-avoidance provisions

The anti-avoidance provisions of Part VII shall apply in all respect to the levy
payable under section 111Z.

Sub-Part C – Returns

112. Return and payment of tax by individuals 581

* 582*
(1) Subject to this Act, every person who, in an income year –

(a) derives –

* Please refer to endnotes at Appendix 1 Page 122 of 491

MRA THE INCOME TAX ACT 1995 123

(i) total net income of an amount exceeding 390,000

rupees 583*;

(ii) gross income, derived from any business, exceeding 2

million rupees;

(iii) emoluments in respect of which tax has been withheld

under section 93;

(iv) income which has been subject to tax deduction at

source under section 111C; or

(b) a chargeable income 584

*,
shall, in respect of that income year, submit electronically to the Director-
General, not later than 15 October following that income year, a return in
such form and manner as the Director-General may determine, specifying –

(i) the personal reliefs and deductions to which the

person are entitled under section 27 585*;

(ii) the interest relief allowable under section 27A; and

(iii) such other particulars as may be required in the form

of the return and, at the same time, pay electronically
any tax payable in accordance with the return.

(1A) (a) Where, in an income year, a person is required to submit a

return under subsection (1), he shall continue to submit a
return in respect of every succeeding year, unless otherwise
authorised, in writing, by the Director-General.586 *

(b) Where, in an income year, a person is required to submit a

return under paragraph (a) and is not likely, in the future, to
have a chargeable income, he may apply to the Director-
General to waive his obligation to submit a return under this
subsection.

(c) The Director-General may, on application made by a person

under paragraph (b), cancel the obligation of the person to
submit a return under paragraph (a), on such conditions as the
Director-General may determine.

(2) A planter, who is an individual, shall not be required to submit a

return under this section where, in an income year –

(a) he cultivates sugar cane on less than 15 hectares of land, in

the aggregate;

(b) the sugar accruing to him from the sugar cane cultivation does
not exceed 60 tonnes; and

* Please refer to endnotes at Appendix 1 Page 123 of 491

MRA THE INCOME TAX ACT 1995 124

(c) his net income, other than his basic retirement pension, is
solely derived from sugar cane cultivation.

(3) Repealed587*

(4) Repealed588*

112A. Simplified return by self-employed individuals589*

(1) Subject to this Act, where, in an income year, a person is a self-

employed and is not required to submit a return under section 112,
he shall, in respect of that income year, submit electronically to the
Director-General, not later than 15 October following that income
year, a return, in such form and manner as the Director-General may
determine, specifying –

(a) the net income derived from any business;

(b) any other income derived; and

(c) such other particulars as may be required by the Director-

General.

(2) Where, in an income year, a person is required to submit a return

under subsection (1), he shall continue to submit a return in respect
of every succeeding year unless otherwise authorised in writing by the
Director-General.

(3) Where, in an income year, a person is required to submit a return

under subsection (1) and is not likely, in the future, to be liable to
submit a return, he may apply to the Director-General to waive the
obligation to submit a return under this subsection.

(4) The Director-General may, on application made by a person under

subsection (3), waive the obligation of the person to submit a return
under subsection (1), on such conditions as the Director-General may
determine.

(5) In this section –

“self-employed” means an individual who derives gross income

specified in section 10(1)(b).

113. Power to require returns

(1) For the purposes of ascertaining, for any income year, the chargeable
income of any person, the Director-General may, by notice in writing,
require that person to submit to him a return in such manner and in

* Please refer to endnotes at Appendix 1 Page 124 of 491

MRA THE INCOME TAX ACT 1995 125

such form as may be approved by him giving the particulars specified

in section 112.590*

(2) A person who has been required to submit a return under subsection
(1) shall, not later than the date specified in the notice, submit to the
Director-General the return of income and at the same time pay any
tax payable in accordance with that return together with the
appropriate penalty under sections 121 and 122, if any.

114. Time limit to require returns

(1) Subject to subsection (2), the Director-General shall not, in a year of

assessment, require an individual to submit a return required to be
submitted under section 113 in respect of a period beyond 3 years of
assessment preceding that year of assessment.591*

(2) Where the Director-General considers that a return under section 113
is required to be submitted in respect of a period beyond the time limit
specified in subsection (1), he shall, by notice in writing to the person
give reasons for which such return is required to be submitted.

(3) Any person aggrieved by a notice under subsection (2) may lodge
written representations with the Clerk to the Assessment Review
Committee in accordance with section 19 of the Mauritius Revenue
Authority Act 2004.592*

115. Return by persons leaving Mauritius

Where a person, other than an exempt person, is about to leave Mauritius

and his absence is unlikely to be temporary, he shall, before leaving, submit
to the Director-General in respect of the relevant income year a return in
such manner and in such form as may be approved by him giving the
particulars specified in section 112 and at the same time -

(a) pay any tax payable in accordance with the return together with the
appropriate penalty under sections 121 and 122, if any; or

(b) give security to the satisfaction of the Director-General for the

payment of the income tax payable.

116. Return of income by companies

(1) Subject to the other provisions of this Act, every company, non-
resident société, cell of a protected cell company, Foundation, trust
other than a trust to which section 46(3) applies 593* or trustee of a
unit trust scheme, whether or not it is a taxpayer, shall submit to the
Director-General, not later than six months from the end of the month
in which its accounting period ends, a return in such manner and in
such form as may be approved by him specifying-

* Please refer to endnotes at Appendix 1 Page 125 of 491

MRA THE INCOME TAX ACT 1995 126

(a) all income derived by it during the preceding income year; and

(b) Repealed 594

*
(c) such other particulars as may be required by the Director-
General, and

at the same time pay any tax payable in accordance with its
return.595*

(2) Where the accounting period ends in the month of June, the due date
for submission of the return and payment of tax shall be 2 days,
excluding Saturdays and public holidays, before the end of
December.596*

(2A) Notwithstanding subsection (2), where the accounting period ends in

the month of June and no tax is payable, or a loss is declared, in
accordance with the return under subsection (1) or under section
50L, the return may be submitted on or before 15 January of the
following year.597*

(2B) Where the accounting period ends in the month of June and the
company has submitted an APS Statement in respect of the fourth
quarter, the due date for submission of the return and payment of tax
for that accounting year shall be 31 January of the following year.598*

(2C) Where the accounting period ends in the month of December, the due
date for submission of the return and payment of tax shall be 2 days,
excluding Saturdays and public holidays, before the end of June.599*

(3) The return and payment of tax under subsection (1) shall be made
electronically in accordance with section 128A.600*

116A. Doubt on interpretation or treatment 601

*
(1) Where a person is in doubt regarding the interpretation of the law or
treatment in respect of any matter to be contained in a return
required under section 112 or 116, the person may submit the return
according to his interpretation of the law or treatment of the matter
provided that he draws the attention of the Director-General to the
matter in question in the return by specifying the doubt.

(2) Where a person specifies the doubt referred to in subsection (1) –

(a) he shall be treated as having acted in good faith; and

(b) no penalty shall be imposed under section 122 in respect of any

additional tax resulting from any subsequent adjustment in
relation to the doubt specified.

* Please refer to endnotes at Appendix 1 Page 126 of 491

MRA THE INCOME TAX ACT 1995 127

116B. Amended return 602

*
(1) Subject to this section, where a person has submitted a return for a
year of assessment under section 112, 116 or 119 and thereafter
submits a new return for the same year of assessment amending the
previous return, he shall be deemed to have submitted the return for
that year of assessment on the date of submission of the new return
and he shall be liable to the penalty under section 121(1) accordingly.

(1A)603* (a) Subject to paragraph (b), a person shall not submit an amended
return under subsection (1), with respect to an income year where an
assessment has been made under section 129,129A or 131.

(b) A person who has been informed of the intention of the Director-
General to issue an assessment to tax under section 129, 129A or 131
may make a written declaration to the Director-General requesting for
changes to be made to a return that has already been submitted by
him before the issue of the assessment, provided that the changes to
be made do not relate to matters forming part of the basis of
assessment.

(c) The Director-General shall, within 6 months of the date of a

declaration made under paragraph (b), inform the declarant of the
outcome of the declaration.

(2) A person who submits an amended return under subsection (1) shall
pay any additional tax specified in that return forthwith, together with
the appropriate penalties and interest under section 122 and 122D,
respectively.

(3) An amended return under subsection (1) shall be submitted

electronically through such computer system as the Director-General
may approve under section 128A, in an approved form, giving reasons
for each amendment made to the previous return.604*

(4) The penalty under section 121(1) shall not apply where the amended
return is submitted by an individual and the changes made to the
previous return relate only to emoluments or to the amount of
personal reliefs and deductions under Sub-part C, D or E of Part III.

(5) An amended return under this section shall not be submitted after 3
years from the end of the year of assessment to which the return
relates except where it is submitted in respect of undeclared or under-
declared income or submitted by an individual in respect of
emoluments or to the amount of personal reliefs and deductions
under Sub-part C, D or E of Part III.

116C. Declaration by company not in operation 605

*
(1) Where a company –

(a) has not started business; or

* Please refer to endnotes at Appendix 1 Page 127 of 491

MRA THE INCOME TAX ACT 1995 128

(b) ceased business,

and has not derived any income in an income year, it shall submit a
declaration in a form approved by the Director-General within 3
months after the expiry of that income year.

(2) Subsection (1) shall not apply to –

(a) a company holding a Global Business Licence under the

Financial Services Act; and

(c) a trust.

(3) Where a company submits a declaration under subsection (1) for an

income year, it shall not be required to submit a return under section
116(1) in respect of that year.

116D. Return of dividends by companies *

606

(1) Every company which pays a dividend exceeding 100,000 rupees to an

individual, société or succession in a year shall, not later than 15
August in every year, submit electronically to the Director-General, in
respect of the preceding income year, a return, in such form and
manner as the Director-General may approve, giving the following
information –

(a) the name and surname of every shareholder;

(b) the NIC number of every shareholder or, in the case of a non-
citizen, the identification number issued to him by the
immigration officer; and

(c) the amount of dividend paid.

(2) For avoidance of doubt, subsection (1) shall not apply to a limited
partnership or limited liability partnership incorporated under the
laws of a foreign country.607*

117. Return of income in special circumstances

Where -
(a) a person -
(i) has ceased to derive gross income;

(ii) has ceased to carry on business in Mauritius;

(iii) is about to discontinue carrying on business in Mauritius; or

(iv) who is a non-resident trader;

* Please refer to endnotes at Appendix 1 Page 128 of 491

MRA THE INCOME TAX ACT 1995 129

(b) a person is liable to income tax under section 83 on the death of a

taxpayer in respect of all income derived by that taxpayer in his
lifetime,

he shall forthwith submit to the Director-General in respect of the relevant

income year a return in such manner and in such form as may be approved
by him giving the particulars specified in section 112 or 116, as the case may
be, and at the same time pay any tax payable in accordance with that return
together with the appropriate penalty under sections 121 and 122, if any.

117A. Basis of assessment on commencement of business 608

*
(1) Any person engaged in business and required to submit a return
under section 116 609* shall, in respect of the commencement year of
income, submit a return for a period not exceeding 18 months 610*
ending with the date of the annual balance of his accounts.
(2) Where the annual balance of accounts in respect of the
commencement year of income ends on a date other than 30 June,
that date shall be deemed to be an approved return date under section
118.611*

(3) For the purposes of this section, “commencement year of income”

means the income year in which the business of a person commences.

118. Approved return date 612

*
(1) Any person engaged in business opting for bona fide commercial
reasons to change his return date shall apply to the Director-General,
within 6 months 613* of the date of his last balance sheet, for approval
of the change.
(2) The Director-General shall not approve any change under this section
where no return has been submitted under section 116614* in respect
of any of the last 3 income years.
(3) The Director-General may approve or refuse to approve the change
under this section and shall give notice of his decision to the applicant
within 30 days of the date of receipt of the application under
subsection (1).
(4) Where a change in return date is approved under this section, the
basis on which the profit derived by the applicant from his business in
the income year in which the return date is changed shall be
computed in such manner as may be prescribed.
(5) Repealed 615
*

118A. Return of income in respect of approved return date 616

*
Subject to this Act, where a person has an approved return date ending on a
date falling on or between –

* Please refer to endnotes at Appendix 1 Page 129 of 491

MRA THE INCOME TAX ACT 1995 130

(a) 1 January and 29 June, a return submitted or required to be

submitted under section 116 shall be considered to be in relation to
the income year ending on 30 June following that return date; and

(b) 1 July and 31 December, a return submitted or required to be

submitted under section 116 shall be considered to be in relation to
the income year ending on 30 June preceding that return date.

119. Return in respect of a trust or a resident société

(1) Where, in an income year, the trustee of a trust other than a trust to
which section 46(3) applies 617* has distributed to its beneficiaries
under the terms of the trust deed any amount out of income of the
trust, the trustee shall submit electronically to the Director-General,
not later than 30 September618* following that income year, a return
in such manner and in such form as may be approved by the
Director-General specifying -

(a) the full name of the beneficiaries and the amount distributed to
each of them; and619*

(b) such other particulars as may be required by the Director-

General.

(c) Repealed

(2)620* Notwithstanding section 47, every société commerciale or any other

resident société deriving income falling under section 10 shall submit
electronically to the Director-General, not later than 30 September
following an income year, a return in such manner and in such form
as may be approved by the Director-General, specifying -

(a) all income derived by it during the preceding income year; and

(b) such other particulars as may be required by the Director-

General.

119A. Statement by société to associate and Director-General 621

*
(1) Every société required to submit a return under section 119(2) shall,
not later than 30 September in every year -

(a) give to each associate a statement showing the share of income

accruing to him, in respect of the preceding income year; and

(b) at the same time, submit to the Director-General, in electronic

form, a statement giving, in respect of the preceding income
year, the particulars of the share of income accruing to each
associate.

(2) The statements under subsection (1) shall contain such other
particulars as may be required, and shall be made in such form and

* Please refer to endnotes at Appendix 1 Page 130 of 491

MRA THE INCOME TAX ACT 1995 131

manner as may be approved, by the Director-General.

(3) The manager of every société required to submit a return under

section 119 shall make the necessary arrangements to obtain from the
Director-General the Tax Account Number (TAN) of every associate of
the société and insert it in the statements required to be submitted
under subsection (1).

(4) Where, in an income year, a société is required to submit a return

under subsection (1), it shall continue to submit a return under that
section unless otherwise authorised, in writing, by the Director-
General.

120. Return in respect of the estate of a deceased person

(1) Subject to subsection (4), where the estate of a deceased taxpayer has
not been distributed, any person liable to income tax under section 83
shall, in respect of an income year, submit electronically to the
Director-General, not later than 30 September 622* following that
income year, a return in such form and manner as may be determined
by the Director-General, specifying -

(a) all income derived by the estate during the preceding income
year;

(b) the full name of the beneficiaries and the respective share of
their income in the estate; and

(c) such other particulars as may be required by the Director-

General.623*

(2) Repealed

(3) Every beneficiary of the estate shall be liable to income tax on his
chargeable income including his share of the income derived from the
estate.

(4) The Director-General may, by notice in writing, exempt the person

from submitting the return under subsection (1) on such conditions
as he thinks fit.

121. Penalty for late submission of return of income

(1) Subject to subsection (1A), where a person fails to submit a return

under sections 112,112A,116 or 119, he shall be liable to pay to the
Director-General a penalty representing 2,000 rupees per month or
part of the month, until the time the return is submitted, provided
that the total penalty payable shall not exceed 20,000 rupees. 624*

* Please refer to endnotes at Appendix 1 Page 131 of 491

MRA THE INCOME TAX ACT 1995 132

(1A) (a) Where the person is a small enterprise which has an annual
turnover not exceeding 10 million rupees or an individual who
is not in business, the total penalty payable under subsection
(1) shall not exceed 5,000 rupees.625*

(b) This subsection shall not apply to –

(i) a company holding a Global Business Licence under the

Financial Services Act; and

(ii) a non-resident société.

(2) Where a company, société, trust or trustee submits a return under

section 116 but does not fill in all the parts of the return, it shall be
deemed not to have submitted a return under section 116 and it shall
be liable to pay to the Director-General the penalty specified in
subsection (1).626*

(3) Notwithstanding subsections (1) and (2), where a person is liable to

the penalty under subsection (1) or (2) and is required to submit his
return in a currency other than Mauritius currency, the amount of the
penalty specified in subsection (1) or (2) shall be converted into that
currency by applying the exchange rate as the Director-General may
determine under section 7 of the Customs Tariff Act.627*

122. Penalty for late payment of tax 628

*
(1) Subject to subsection (1A), where a taxpayer fails to pay any income
tax due on or before the last day on which it is payable under section
112, 116 629*, 119, 129,129A or 131, he shall be liable to pay to the
Director-General, in addition to the tax and any penalty under
sections 109, 110, 111 and 121, a penalty of 5 per cent of the amount
of the tax.

(1A) (a) Where the taxpayer is a small enterprise which has an annual
turnover not exceeding 10 million rupees or an individual who
is not in business, the penalty payable under subsection (1)
shall be 2 per cent.630*

(b) This subsection shall not apply to –

(i) a company holding a Global Business Licence under the

Financial Services Act; and

(ii) a non-resident société.

(2) A penalty under subsection (1) shall apply to the tax excluding any
penalty under sections 109, 110, 111 and 121 and any interest under
section 122D.

* Please refer to endnotes at Appendix 1 Page 132 of 491

MRA THE INCOME TAX ACT 1995 133

122A. Publication of names of companies not submitting returns 631

*
(1) Notwithstanding section 13 of the Mauritius Revenue Authority Act
2004 and section 154 of this Act but subject to subsection (2), where
a company fails to submit a return under section 116, the Director-
General may, without prejudice to any action he may take under this
Act, with the approval of the Authority, cause to be published, not less
than 3 months after the due date, on the website of the Authority, the
name of the company, the name and address of its directors and the
year of assessment in respect of which the return has not been
submitted.632*

(2) The Director-General shall, prior to the publication referred to in

subsection (1), notify the company in writing or electronically of his
intention to publish the name of the company in accordance with
subsection (1), unless the company submits the return due within 7
days of the date of the notice.633*

634*
122B. Automatic tax claim in case of non submission of return

(1) Where, in respect of a year of assessment -

(a) a person deriving gross income falling under Sub-Part B of Part

VIII who is required to submit a return under section 112 or
113; or

(b) a company which is required to submit a return under section

116,

does not submit such return, the Director-General may, without

prejudice to the other provisions of this Act, automatically issue a tax
claim for that year of assessment to the person specifying the amount
of income tax payable.

(2) The amount claimed under subsection (1) shall be payable within 28
days of the date of issue of the tax claim.

(3) Any person who disagrees with the amount of income tax claimed
under subsection (1) shall, within the time limit specified in
subsection (2) -
(a) give written notice of his disagreement; and

(b) at the same time -

(i) submit the return of income for the relevant year of

assessment; and

(ii) pay the income tax in accordance with the return of

income, if any; and

* Please refer to endnotes at Appendix 1 Page 133 of 491

MRA THE INCOME TAX ACT 1995 134

(iii) pay the appropriate penalties.

(4) Where a person complies with subsection (3), the tax claim under
subsection (1) shall automatically lapse.

(5) Where a person fails to comply with subsection (2) or (3), the Director-
General shall proceed -

(a) to enforce payment of the tax claimed under Part XI; and

(b) to institute legal proceedings for failure to submit a return

under section 112, 113 or 116.

122C. Penalty for failure to submit return of income electronically 635

*
Any person who is required to submit his return under section 116(3) and
make any payment of tax electronically, but fails to do so, after written notice
being given to him by the Director-General, and his failure within a period of
7 days from the date of the notice to justify the failure, shall be liable to pay
to the Director-General, a penalty of - 636*

(a) 20 per cent of the tax payable, provided that the penalty
payable shall not exceed 100,000 rupees; or

(b) 5,000 rupees where no tax liability is declared in the return.

122D. Interest on unpaid tax *

637

(1) Any person who fails to pay any income tax under –

(a) section 100 or 129A, shall be liable to pay, in addition to the

income tax and penalty under sections 101 and 101A, interest
at the rate of one per cent per month or part of the month
during which the income tax remains unpaid; or

(b) section 50F, 106, 112, 116, 119, 129 or 131 shall be liable to
pay, in addition to the income tax and penalty under sections
50F, 109, 110, 111, 121, 122, 122C and 129(1A), interest at
the rate of 0.5 per cent per month or part of the month during
which the tax remains unpaid.638*

(2) The interest shall not apply to any penalty under sections 50F, 101,
101A, 109, 110, 111, 121, 122, 122C and 129(1A).639*

122DA. Penalty for loss over claimed *

640

(1) Where a person has claimed a loss in excess of the actual loss
incurred or brought forward, he shall be liable to a penalty of up to 5
per cent of the loss overclaimed.

* Please refer to endnotes at Appendix 1 Page 134 of 491

MRA THE INCOME TAX ACT 1995 135

(2) Any penalty charged under subsection (1) shall be offset against the
amount of loss to be carried forward, where applicable.

Sub-Part D – Returns on Cash Basis for Small Enterprise 641

*

122E. Application to compute net income on cash basis

(1) Notwithstanding this Act but subject to this section, a small

enterprise may apply to the Director-General, in such form and
manner as the Director-General may determine, for the net income of
its business to be computed on cash basis instead of accrual basis.

(2) Where a small enterprise applies under section 27E of the Value
Added Tax Act to operate the VAT annual accounting system on a
cash basis, it shall be considered to have also applied to compute the
net income of its business on a cash basis.

(3) Where the application of a small enterprise under subsection (1) has
been approved, the small enterprise shall compute the net income of
its business on cash basis as from such date as the Director-General
may approve and on such terms and conditions as may be prescribed.

(4) In this section –

“small enterprise” –

(a) means a person who has an annual turnover not exceeding 10

million rupees; but

(b) does not include –

(i) a company holding a Global Business Licence; and

(ii) a non-resident société.

PART IX - GENERAL POWERS OF DIRECTOR-GENERAL

123. Power to require information

(1) Notwithstanding any other enactment, every person shall, when so

required by notice in writing or sent electronically, furnish to the
Director-General in such manner and in such form as may be
approved by him, within the time specified in the notice, information
and particulars relating to -642*

(a) contracts for the provision of goods and services;

(b) rent or premium on property;

(c) dividends and interest paid;

* Please refer to endnotes at Appendix 1 Page 135 of 491

MRA THE INCOME TAX ACT 1995 136

(d) emoluments payable; and

(e) such other transactions,

which the Director-General considers necessary or relevant for the

purposes of this Act and which may be in the possession or custody or
under the control of that person.

(2) Any person shall, when so required by notice in writing or sent

electronically, furnish to the Director-General, within the time
specified in the notice, information as to any money, funds or other
assets which may be held by that person for, or of any money due by
that person to, any other person.643*

(3) Repealed 644

*
(4) Notwithstanding section 64 of the Banking Act, the Data Protection
Act, the Information and Communication Technologies Act 2004645*
and any other enactment, the Director-General may require from any
person information relating to -

(a) interest paid to any depositor; 646*

(b) any account or deposit operated, made or opened, as the case

may be, by any client, customer or patron of that person,
whether such account or deposit is in his own name, in a
fictitious name in the name of any other person or is held
jointly with any other person, upon the Director-General stating
in writing that -647*

(i) he has reason to believe that the client, customer or

patron has been convicted of an offence relating to
dangerous drugs or has been or is illicitly in possession
of or has been or is illicitly dealing in dangerous drugs or
dangerous weapons, or an offence of money laundering
or financing of terrorism; 648*

(ii) he reasonably requires the information in order to

prevent any evasion of income tax or any fraud on the
public revenue; or

(iii) a payment has wrongly been credited in that bank

account 649*.

(5) Where any person who is required to furnish any information under
subsection (4)(b) considers that the Director-General's request is
unreasonable, he may lodge written representations with the Clerk to
the Assessment Review Committee in accordance with section 19 of
the Mauritius Revenue Authority Act 2004.650*

* Please refer to endnotes at Appendix 1 Page 136 of 491

MRA THE INCOME TAX ACT 1995 137

(6) At the hearing on the representations before the Committee, it shall be

sufficient for the Director-General to satisfy the Committee that he
has reasonable grounds to request the disclosure of the
information.651*

(7) Repealed 652

*.
(8) Every person who fails to comply with a request made by the Director-
General under subsection (4)(b) shall, unless the request of the
Director-General has been cancelled following the hearing on the
representations before the Committee, 653*commit an offence and
shall, on conviction [by the Intermediate Court]654*, be liable to a fine
which shall not exceed one million rupees.

[(9)] Deleted 655

*

123A. Act or thing in respect of a period before 3 years of assessment

preceding that year of assessment 656*

(1) Notwithstanding this Act and subject to sections 127 and 130, the
Director-General shall, in any year of assessment and in relation to
the income tax liability of a person, not – 657*

(a) require any information, statement or return; or

(b) make any assessment or claim,

under this Act in respect of a period before 3 years of assessment

immediately preceding that year of assessment, unless a return of
income under section 112, 116 or 119, as the case may be, in respect
of a year of assessment, has not been submitted by a taxpayer or in
case of fraud.658*

(2) Repealed 659

*

(3) Repealed 660 *

123B. Statement by company having annual turnover exceeding 100 million
rupees 661*

(1) Where the annual turnover of a company exceeds 100 million rupees,
it shall submit to the Director-General a statement giving details of
payments made during the year for the purchase of goods and
services in excess of 100,000 rupees and giving such information and
particulars within such time and in such manner as may be
prescribed.

(2) Where, in a year, a company is required to submit a statement under

subsection (1), it shall submit the statement in respect of every

* Please refer to endnotes at Appendix 1 Page 137 of 491

MRA THE INCOME TAX ACT 1995 138

succeeding year, unless otherwise authorised in writing by the

Director-General.

(3) Where a company does not submit a statement under subsection (1)
within the prescribed time, it shall be liable to pay to the Director-
General a penalty of 5,000 rupees per month or part of the month,
until the time the statement is submitted to the Director-General,
provided that the total penalty payable shall not exceed 20,000
rupees.

(4) Where a penalty is payable under subsection (3), the Director-General

shall make a claim to the company specifying the amount of penalty
payable and the reason for making such a claim.

(5) Where a claim is made under subsection (4), the company shall pay
the amount of penalty within 28 days of the date of the claim.

(6) Any company which fails to comply with subsection (1) shall commit
an offence and shall, on conviction, be liable to a fine not exceeding
50,000 rupees.

123C. Submission of statement of assets and liabilities by individuals 662

*

(1) Subject to this section, every person who – *

663

(a) in an income year, derives net income and exempt income

exceeding 15 million rupees; or

(b) owns assets, the cost of which, when aggregated with the cost
of assets owned by his spouse and dependent children, exceeds
50 million rupees,

shall submit to the Director-General, a statement of assets and

liabilities at the time of submission of his return under section 112.

(1A) Where the cost of an asset does not exceed 200,000 rupees, the
person may exclude that asset in the statement of assets and
liabilities.

(1B) Where a person is liable to submit a statement of assets and liabilities

at the end of an income year, he shall not be liable to submit another
statement of assets and liabilities in respect of the succeeding income
year unless the cost of the assets owned by the person, his spouse
and dependent children have, in the aggregate, increased by more
than 15 per cent.

(1C) A citizen who is not resident in Mauritius, for tax purposes, or a non-
citizen shall not be liable to submit a statement of assets and
liabilities under subsection (1).

(2) The statement of assets and liabilities shall be in the form set out in
the Twelfth Schedule.664*

* Please refer to endnotes at Appendix 1 Page 138 of 491

MRA THE INCOME TAX ACT 1995 139

(3) Where a person does not submit a statement of assets and liabilities
under subsection (1), he shall be liable to pay to the Director-General
a penalty of 2,000 rupees per month or part of the month, until the
statement is submitted to the Director-General, provided that the total
penalty shall not exceed 20,000 rupees.

(4) A person shall not, in respect of an income year, be required to submit

a statement of assets and liabilities with his return of income under
subsection (1) where he has submitted a return of income for each of
the 5 income years immediately preceding that income year.665*

(5) Notwithstanding any other enactment, this section shall be deemed to

have come into operation on 1 July 2018.

123D. Statements of financial transactions or statements on life insurance666*

(1) (a) Subject to this section, every bank or non-bank deposit taking
institution under the Banking Act shall furnish to the Director-
General, on or before 15 August in every year, a statement of financial
transactions with respect to bank accounts other than those specified
in paragraph (aa) held by667* –

(i) an individual in his own name or jointly with any other person,
a société or a succession where a deposit exceeding 250,000
rupees or deposits exceeding 2 million rupees in the aggregate
in the preceding year have been made; or

(ii) a person, other than an individual, a société or succession,

where a deposit exceeding 500,000 rupees or deposits
exceeding 4 million rupees in the aggregate in the preceding
year have been made.

(aa) Subject to this section, every bank or non-bank deposit taking

institution under the Banking Act shall furnish to the Director-
General, on or before 15 August in every year, a statement of financial
transactions with respect to credit card accounts or prepaid card
accounts held by668* –

(i) an individual in his own name or jointly with any other person,
a société or a succession where a deposit exceeding 100,000
rupees or deposits exceeding one million rupees in the
aggregate in the preceding year have been made; or

(ii) a person, other than an individual, a société or succession,

where a deposit exceeding 250,000 rupees or deposits
exceeding 2 million rupees in the aggregate in the preceding
year have been made.

(b) A Statement of financial transactions shall, in respect of an account

holder, be submitted electronically to the Director-General in such
form and manner as he may determine, giving the following
information –

* Please refer to endnotes at Appendix 1 Page 139 of 491

MRA THE INCOME TAX ACT 1995 140

(i) his full name;

(ii) his NIC number or, in the case of a non-citizen, the

identification number issued to him by the immigration officer,
or passport number or Business Registration Number, as the
case may be;

(iii) bank account number and the total deposit made in each
account held by him; and

(iv) the balance as at 30 June in the preceding year;

(c) Paragraph (a) shall not apply to –

(i) an individual who is a non-resident;

(ii) an entity that holds a Global Business Licence issued by the

Financial Services Commission; and

(iii) public listed company, its subsidiaries and associates;

(2) (a) Every bank or person holding a money changer licence or exchange
dealer licence under the Banking Act shall submit to the Director-
General, on or before 15 August in every year, a Statement of financial
transactions in respect of every person, other than a Ministry,
Government department, local authority or statutory body, the
Rodrigues Regional Assembly or an entity that holds a Global
Business Licence issued by the Financial Services Commission,
having bought, sold or transferred, other than local intra-account
transfers, foreign currency equivalent to 100,000 Mauritian rupees or
more in one transaction during the preceding year.669*

(b) A Statement of financial transactions shall, in respect of the person

referred to in paragraph (a), be submitted electronically to the
Director-General in such form and manner as he may determine
giving the following information –

(i) his full name;

(ii) his NIC number or, in the case of a non-citizen, the

identification number issued to him by the immigration officer,
or passport number or his Business Registration Number, as
the case may be;

(iii) the amount of foreign currency bought, sold or transferred; and

(iv) the equivalent value of the foreign currency in Mauritian

rupees.

(3) (a) Every company licensed by the Financial Services Commission to

carry on life insurance business shall submit to the Director-General,
on or before 15 August in every year, a Statement of the amount of life

* Please refer to endnotes at Appendix 1 Page 140 of 491

MRA THE INCOME TAX ACT 1995 141

insurance premium exceeding 250,000 rupees paid in respect of a

person during the preceding year.670*

(b) A Statement of life insurance shall, in respect of the person referred to

in paragraph (a), be submitted electronically to the Director-General in
such form and manner as he may determine, giving the following
information –

(i) his full name;

(ii) his NIC number or, in the case of a non-citizen, the

identification number issued to him by the immigration officer,
or passport number or Business Registration Number, as the
case may be; and

(iii) the total life insurance premium paid.

(3A) Every virtual asset service provider and issuer of initial token offerings under
the Virtual Asset and Initial Token Offering Services Act 2021 shall submit to
the Director-General, on or before 15 August in every year, a statement of
financial transactions effected by 671* –

(a) an individual, a société or a succession that made a transaction

exceeding 250,000 rupees or transactions exceeding 2 million rupees
in the aggregate in the preceding year; or

(b) a person, other than an individual, a société or a succession, who

made a transaction exceeding 500,000 rupees or transactions
exceeding 4 million rupees in the aggregate in the preceding year.

(3B) Subsection (3A) shall not apply to *–

672

(a) an individual who is a non-resident;

(b) an entity that holds a Global Business Licence issued by the Financial
Services Commission; and

(c) a public listed company, its subsidiaries and associates.

(4) In this section –

“deposit” –

(a) means any amount credited into a bank account; but

(b) does not include –

(i) any emoluments credited into that account;

(ii) intra-account transactions, other than those credited in a

credit or prepaid card account673*; and

* Please refer to endnotes at Appendix 1 Page 141 of 491

MRA THE INCOME TAX ACT 1995 142

(iii) loan disbursements credited into that account.

123E. Statement of winnings *

674

(1) Subject to this section, a licensed operator shall submit to the Director-
General a statement of the amount of winnings exceeding 20,000 rupees paid
to any person.675*

(2) The statement under paragraph (1) shall be submitted electronically to the
Director-General, together with the return submitted under section 115 of
the Gambling Regulatory Authority Act, and shall contain the following
information in relation to the winner –

(a) his full name;

(b) in the case of a citizen, his NIC number or, in the case of a non-
citizen, his passport number or non-citizen ID issued by the Passport
Officer; and

(c) the amount of winnings.

(3) In this section –

“operator” means a casino operator, hotel casino operator, gaming house

operator, bookmaker, totalisator, operator of Mauritius National Lottery,
operator of the Loterie Vert and an agent of a foreign pool operator licensed
under the Gambling Regulatory Authority Act.676*

123F. Statement of donation received677*

Subject to this section, every charitable institution which receives donations

from any person shall, with respect to every income year, on or before 15
August immediately following that income year, submit to the Director-
General, electronically, a statement, in such form and manner as may be
determined by him, giving the details of the donations received and stating –

(a) the NIC number of the individual, or in any other case the Business
Registration Number, and the name of the person making the
donation;

(b) the amount donated; and

(c) any other particulars as may be required by the Director-General.

124. Obligation to furnish information

(1)678*Notwithstanding section 44(6) of the Financial Services Act, sections

24 and 25 of the Data Protection Act, section 14(7) of the Companies
Act, section 64 of the Banking Act, section 46(1) of the Foundations
Act or section 33(2) of the Trusts Act, every person, when so required

* Please refer to endnotes at Appendix 1 Page 142 of 491

MRA THE INCOME TAX ACT 1995 143

by the Director-General, shall, within the time fixed by the Director-

General, give orally or in writing ,or submit electronically, as may be
required, all such information as may be demanded of him by the
Director-General for the purpose of enabling the Director-General –

(a) to make an assessment or to collect tax; or

(b) to comply with any request for the exchange of information
under an arrangement made pursuant to section 76.

(1A) Notwithstanding the Information and Communication Technologies

Act and the Data Protection Act, where the Director-General has
reason to believe that a person – 679*

(a) is using any information and communication technology

equipment for business purposes, he may request any public
operator or service provider licensed under the Information and
Communication Technologies Act, within the time fixed by the
Director-General, to provide all such information regarding the
identity and address of the person using that equipment; or

(b) operates his business through any information and

communication technology network, that person shall, on
request, furnish to the Director-General all such information
regarding his business transactions recorded digitally.

(2) Any person, when so required by notice in writing, or sent

electronically, shall furnish to the Director-General, within the time
specified in the notice -680*

(a) a certified copy of the profit and loss account and balance
sheet, or such other statement of account as may be required,
duly audited by a qualified auditor;

(b) a statement analysing all moneys or value received and

payments made by the person, his spouse and minor children;
[and] 681*

(c) a statement of all assets and liabilities of the person, his spouse
and minor children;

(d) where the request relates to subsection (1)(b), such information

as may be specified in the notice for the purpose of satisfying
the request under that subsection.682*

(3)683* (a) The Minister may make such regulations as he thinks fit to
provide for –

(i) the giving of information by any person to the Director-

General under this section;

* Please refer to endnotes at Appendix 1 Page 143 of 491

MRA THE INCOME TAX ACT 1995 144

(ii) non-compliance by any person with any request for

information by the Director-General for the purpose of
enabling the Director-General to comply with a request
for the exchange of information under an arrangement
made pursuant to section 76.

(b) Regulations made under paragraph (a) may provide for –

(i) any penalty to be imposed in case of non-compliance;

(ii) the manner by which the penalty is to be assessed;

(iii) the manner in which an objection may be made to a

penalty and representations may be made to the
Assessment Review Committee;

(iv) anything connected, consequential or incidental thereto.

(4) *
684 (a) Notwithstanding section 64 of the Banking Act, section
14(7) of the Companies Act, the Data Protection Act 2017, section 44(6) of
the Financial Services Act, section 46(1) of the Foundations Act or section
33(2) of the Trusts Act, nothing in subsection (1) shall prevent the Judge
in Chambers, upon application being made to him by the Director-
General, from making an order requiring a person to give to the Director-
General information for the purpose of enabling the Director-General to
comply with a request for the exchange of information under an
arrangement made pursuant to section 76.

(b) An order under paragraph (a) shall not be made unless the
Judge is satisfied that –

(i) a person has failed to comply with subsection (1) within

the time fixed by the Director-General; and

(ii) the order is necessary to enable the Director-General to

comply with a request for the exchange of information
under an arrangement made pursuant to section 76.

(c) An order under paragraph (a) shall specify the delay within
which a person shall give information to the Director General.

125. Production of books and records

The Director-General may, for the purposes of ascertaining the tax liability of
any person, require that person -

(a) to produce for -

(i) examination, at such time and place as may be specified,

books, accounts, records, registers, bank statements and other
documents whether on computer or otherwise,685* which the

* Please refer to endnotes at Appendix 1 Page 144 of 491

MRA THE INCOME TAX ACT 1995 145

Director-General considers necessary and which may be in the

possession or custody or under the control of that person;

(ii) retention for such period as the Director-General considers

necessary any book, account, record, register, statement or
document specified in subparagraph (i) and for taking copies or
extracts therefrom;

(b) to attend, at such time and place as the Director-General may specify,
for the purpose of being examined in respect of any transaction or
matter relating to the income tax liability of that person;

(c) to attend a meeting through teleconferencing to give any information

or explanation as may be required by him.686*

126. Power of inspection

(1) For the purposes of ascertaining the tax liability of any person or the
tax paid or payable or for making any assessment under this Act or
for the purpose of administering this Act, the Director-General or any
officer authorised by him may -

(a)687*at all reasonable times, enter any business premises or place

where any business is carried on or anything is done in
connection with the business;

(b) inspect any information, book, record or other document,

whether these are recorded in a computer system or otherwise,
and retain any such information, book, record or document and
take copies or extracts therefrom; and

(c) require the person carrying on the business or any of his

employees or any other person on those premises or at that
place to give him all reasonable assistance and to answer all
proper questions either orally or in writing.

(2) Any person who -

(a) fails to provide such assistance or to answer such questions as

may be required under subsection (1);

(b) obstructs the Director-General or any officer in the exercise of

his powers under subsection (1),

shall commit an offence.

* Please refer to endnotes at Appendix 1 Page 145 of 491

MRA THE INCOME TAX ACT 1995 146

126A. Power to access computers and other electronic devices *

688

(1) For the purposes of ascertaining the tax liability of any person under
this Act, the Director-General may, subject to subsection (2), at any
reasonable time -

(a) have access to -

(i) any computer, computer software, whether installed in

the computer or otherwise, electronic till or any other
device, used in connection with any document which the
person is required to produce for the purpose of
ascertaining his tax liability;

(ii) any information, code or technology which has the

capability of retransforming or unscrambling encrypted
data contained or available to such computers or devices
into readable and comprehensive format or text;

(b) inspect and check the operation of any such computer,

electronic till or other device and make extracts of any
computer software, computer output or such other document
used in connection therewith;

(c) require any person by whom or on whose behalf the computer

or other electronic device is operated, or any person concerned
with the operation of the equipment, to give such assistance as
is necessary for the purposes of this section;

(d) require any person in possession of decryption information to

grant him access to such decryption information necessary to
decrypt data required for the purposes of this section.

(2) Subsection (1) shall not apply to any banking business regulated by
the Banking Act.

127. Time limit to require information and production of books and records

(1) Subject to subsections (2) and (3)689*, the Director-General shall not,
in a year of assessment, require a person -

(a) to furnish the information required to be furnished under

sections 123(1) and 124; or

(b) to produce the books and records required to be produced

under section 125,

in respect of a period beyond 3 years of assessment preceding that

year of assessment.690*

* Please refer to endnotes at Appendix 1 Page 146 of 491

MRA THE INCOME TAX ACT 1995 147

(2) Where the Director-General, in a year of assessment, requires a

person to furnish information under section 124, or to produce books
and records under section 125, for the purposes of examining a return
submitted by that person under section 112, 113 or 116, the time
limit under subsection (1) shall be a period of 3 years of assessment
following the year of assessment in which the return is submitted.691*

(3)692*Where the Director-General considers that the information or the

books and records referred to in subsection (1) or (2) 693* are required
to be furnished or produced in respect of a period beyond the time
limit specified in that subsection, he shall, by notice in writing to the
person give reasons for which such information or such books and
records are required.

(4)694* Any person aggrieved by a notice under subsection (3)695* may lodge
written representations with the Clerk to the Assessment Review
Committee in accordance with section 19 of the Mauritius Revenue
Authority Act 2004.696*

128. Power to waive penalty or interest

(1) The Director-General may waive the whole or part of any penalty or
interest imposed under this Act where he is satisfied that failure to
comply with this Act was attributable to a just or reasonable cause.

(2) In the exercise of his power under subsection (1), the Director-General
shall, in writing, record the reasons for waiving the whole or part of
the penalty or interest.697*

128A. Use of computer system *

698

(1) Notwithstanding the other provisions of this Act, the Director-General

may authorise a return, document and payment of income tax or any
act or thing which is required to be done in relation thereto, to be
made, submitted or done electronically through such computer
system as may be approved by him.699*

(2) A person who submits a return or document and pays income tax in
the manner specified in subsection (1) shall continue to submit
returns or documents and pay tax in that manner unless otherwise
authorised by the Director-General.

(3) Where, immediately before the commencement of this section, a

person has been submitting a return or document and has been
paying income tax electronically, the computer system of that person
shall be deemed to have been approved by the Director-General for the
purposes of subsection (1).

(4) Deleted700*

* Please refer to endnotes at Appendix 1 Page 147 of 491

MRA THE INCOME TAX ACT 1995 148

PART X - ASSESSMENTS, OBJECTIONS AND REVIEW OF

ASSESSMENTS *
701

129. Director-General may make assessments

(1) Where, in respect of a year of assessment, the Director-General -

(a) is not satisfied with the return submitted by a person under

sections 112,112A, 113, 116 or 119702*, as the case may be; or

(b) has reason to believe that a person who has not submitted a
return of income is a taxpayer,
he may, according to the best of his judgement, make an assessment
of the amount of chargeable income of, and income tax payable by,
including any penalty under sections 109, 110, 111, 121, 122 and
122C and any interest under section 122D, that person for that year
of assessment and give him written notice of the assessment. 703*

(1A) Where an assessment is made under subsection (1), the amount of tax
claimed, excluding any penalty under sections 109, 110, 111, 121,
122 and 122C and any interest under section 122D, shall carry a
penalty not exceeding 50 per cent and such penalty shall be part of
the tax claimed.704*

(2) Where the Director-General has given written notice to any person of
an assessment under subsection (1), that person shall pay the income
tax within 28 days of the date of the notice of assessment.

(3) Deleted 705

*
129A. Assessments on employers and payers 706
*
(1) Where, in respect of an income year, the Director-General has reason
to believe that an employer or a payer has not remitted or paid the
appropriate amount of tax under Sub-part A or Sub-part BA of Part
VIII, he may claim the amount of tax due by giving the employer or the
payer, as the case may be, written notice of assessment.

(1A) Where an assessment is made under subsection (1), the amount of

additional tax claimed, excluding any penalty and interest under
sections 122 and 122D, respectively, shall carry a penalty not
exceeding 50 per cent of the amount of additional tax claimed.707*

(2) Where the Director-General has given notice of assessment under

subsection (1), the employer or the payer, as the case may be, shall
pay the amount of income tax specified in the notice within 28 days of
the date of the notice of assessment.

(3) (a) Where an employer or a payer is dissatisfied with a notice of

assessment under subsection (1), he may, within 28 days of
the date of the notice of assessment, object to the assessment

* Please refer to endnotes at Appendix 1 Page 148 of 491

MRA THE INCOME TAX ACT 1995 149

in a form approved by the Director-General and sent to him by

registered post or electronically.708*

(b) The provisions of section 131A and 131B shall apply to any
objection made under paragraph (a).

130. Time limit to make assessments

(1) Subject to subsection (2), the Director-General shall not, in a year of

assessment, make an assessment under section 129 or 129A in
respect of a period beyond 3 years of assessment preceding the year of
assessment in which a return under section 112, 113, 116 or 119, as
the case may be, is made 709*.

(2) The Director-General may, at any time, make an assessment under

section 129 or 129A –

(a) where a return of income under section 112,116 or 119, as the

case may be, in respect of a year of assessment has not been
made; or

(b) in case of fraud.710*

131. Special assessments

(1) Where the Director-General is not satisfied with the return submitted
by a person under section 115 or 117, as the case may be or has
reason to believe that a person who has not submitted a return under
those sections is a taxpayer, he may make an assessment of the
amount of chargeable income of and income tax payable by, including
any penalty under section 109, 110, 111, 121 or 122, as the case may
be, and any interest under section 122D, that person and give him
written notice of the assessment.711*

(2) Notwithstanding section 112 or 116, where the Director-General has

made an assessment under subsection (1), he may in the notice
require that person -

(a) to pay the income tax assessed within such time as may be
specified in the notice; or

(b) to give security to the satisfaction of the Director-General for

the payment of the income tax.

(3) Deleted 712

*

* Please refer to endnotes at Appendix 1 Page 149 of 491

MRA THE INCOME TAX ACT 1995 150

131A. Objection to assessments *

713

(1) Subject to subsection (6) 714*, where a person who has been assessed
to income tax under section 129,129A or 131 is dissatisfied with the
assessment, he may, within 28 days of the date of the notice of
assessment, object to the assessment in a form approved by the
Director-General and sent to him by registered post or electronically
through such computer system as the Director-General may approve
under section 128A(1) 715*.

(2) Where a person makes an objection under subsection (1), he shall -716*

(a) specify in the form, in respect of each of the items in the notice
of assessment, the detailed grounds of the objection;

(b) where he has not submitted for the relevant income year his
APS Statement under section 50B or his Statement of Income
under section 106 or his return of income under section 112,
115, 116 or 117 –

(i) submit, at the time of his objection, the required APS

Statement, Statement of Income or return;

(ii) pay, at the time of his objection, any amount of tax

specified in the APS Statement, Statement of Income or
return referred to in subparagraph (i), together with any
penalty under sections 50F,109, 110, 121(1), 122 and
122C and any interest under section 122D; and

(iii) in addition, at the time of his objection, pay 10 per cent

of the difference between the amount claimed in the
notice of assessment and the amount of tax payable
under subparagraph (ii); and 717*

(c) where he has submitted, prior to the assessment, the APS

Statement required under section 50B, Statement of Income
required under section 106 or return required under section
112, 115, 116 or 117 – 718*

(i) pay, at the time of his objection, any outstanding tax on

the APS Statement, Statement of Income or return; and

(ii) pay 10 per cent of the tax claimed in the notice of

assessment.

(2A) Where the person, within the time limit referred to in subsection (1),
satisfies the Director-General on reasonable grounds that he is unable
to pay the amount of income tax under subsection (2)(b) or (c) in one
sum, the person shall – 719*

(a) pay that amount; or

* Please refer to endnotes at Appendix 1 Page 150 of 491

MRA THE INCOME TAX ACT 1995 151

(b) give security by way of a bank guarantee,

on such terms and conditions as may be determined by the Director-

General.720*

(3) Subsection (2)(b)(iii) or (c) shall not apply where a person objects
exclusively to the amount of gross income assessed as emoluments or
to the amount of personal reliefs and deductions under Sub-Part C of
Part III allowed as deductions in the notice of assessment.721*

(4)722*Where a person who has made an objection under subsection (1), has
not, for the relevant income year, submitted his Statement of Income
under section 106 or his return of income under section 112, 115,
116 or 117, he shall, within 28 days of the date of the notice of
assessment, comply with the provisions of those sections as
appropriate.

(5) Any objection under this section and section 131B shall be dealt with
independently by an objection directorate723*set up by the Director-
General for that purpose.

(6) Where -

(a) the Director-General considers that the person has not

complied with the provisions of subsection (2) and (2A)724*; or

(b) the person has not complied with the provisions of subsection
(4)725*,

the objection shall be deemed to have lapsed and the Director-General

shall give notice thereof.

(7) (a) Where it is proved to the satisfaction of the Director-General

that, owing to illness or other reasonable cause, a person has
been prevented from making an objection within the time
specified in subsection (1), the Director-General may consider
the objection on such terms and conditions as he thinks fit.

(b) Where the Director-General refuses to consider a late objection

under this subsection, he shall, within 28 days of the date of
receipt of the letter of objection, give notice of the refusal to the
person.

(8) Where a notice under subsection (6) or (7)(b) is given, the tax specified
in the notice of assessment together with any interest under section
122D shall be paid within 28 days of the date of the notice under
subsection (6) or (7)(b), as the case may be.726*

* Please refer to endnotes at Appendix 1 Page 151 of 491

MRA THE INCOME TAX ACT 1995 152

(9) Any person who is aggrieved by a decision under subsection (6) or

(7)(b) may lodge written representations with the Clerk to the
Assessment Review Committee in accordance with section 19 of the
Mauritius Revenue Authority Act 2004.727*

(10) (a) Where a person has lodged written representations under

subsection (9) against a decision made under subsection (6)
and, prior to the date fixed for the hearing of his
representations –728*

(i) he complies with subsection (2) or (2A);

(ii) he informs the Assessment Review Committee in writing,

with copy to the Director-General, that he has complied
with subsection (2) or (2A), as the case may be, and
wishes his objection to be considered anew by the
Director-General; and

(iii) he withdraws his representations from the Assessment

Review Committee,

the Director-General shall consider the objection as from the

date that person withdraws his representations from the
Assessment Review Committee.

(b) Notwithstanding section 131B(8A), an objection considered

pursuant to paragraph (a) shall be determined within 4 months
from the date the person withdraws his representations before
the Assessment Review Committee.

131AA. Objection to claims 729

*
(1) Subject to subsection (6), where a person who has been issued with a
claim under section 93, 111K, 111Z (5) or 123B (5) is dissatisfied with the
claim, he may, within 28 days of the date of the claim, object to the
claim in such manner as the Director-General may determine.730*

(2) Where a person makes an objection under subsection (1), he shall

specify the grounds of the objection.

(3) Where an employer who has made an objection under subsection (1) has
not, for the relevant year, submitted the Return of Employees, return
under section 112, 116 or 119 or statement, as the case may be, he
shall, within 28 days of the date of the claim, submit the Return of
Employees, return or statement, as the case may be.731*

(4) Any objection under this section shall be dealt with independently by
an objection directorate set up by the Director-General for that
purpose.

(5) Where the Director-General considers that the person has not
complied with subsection (1), (2) or (3), the objection shall be

* Please refer to endnotes at Appendix 1 Page 152 of 491

MRA THE INCOME TAX ACT 1995 153

considered to have lapsed and the Director-General shall give notice of

that fact.

(6) (a) Where it is proved to the satisfaction of the Director-General

that, owing to illness or other reasonable cause, a person has
been prevented from making an objection within the time
specified in subsection (1), the Director-General may consider
the objection on such terms and conditions as he may
determine.

(b) Where the Director-General refuses to consider an objection

made after the time referred to in subsection (3), he shall,
within 28 days of the date of receipt of the notice of objection,
give notice of the refusal to the person.

(7) Where notice under subsection (5) or (6)(b) is given, the levy and penalty
specified in the notice shall be paid within 28 days of the date of the
notice.732*

(8) Any person who is aggrieved by a decision under subsection (6)(b) may
lodge written representations with the Clerk to theAssessment Review
Committee in accordance with section 19 of the Mauritius Revenue
Authority Act.

131B. Determination of objections733*

(1) Subject to subsection (3), where the Director-General does not refuse
to consider an objection under section 131A, he shall –

(a) review the assessment;

(b) disallow or allow it in whole or in part; and
(c) where appropriate, amend the assessment to conform with his
determination.
(2) The Director-General shall give notice of the determination to the
person.
(3) For the purposes of considering an objection and reviewing an
assessment, the Director-General may by notice, require the person,
within the time fixed by the Director-General, to comply with any of
the provisions of sections 124 and 125.
(4) Where the person fails to comply with a notice under subsection (3)
within the time specified in the notice, the Director-General may
determine that the objection has lapsed and he shall give notice
thereof.
(5) Where a notice of determination under subsection (2) or (4) is given,
the tax specified in the notice of determination together with any
interest under section 122D shall be paid within 28 days of the date of
the notice of determination.734*
(6) Where the objection is upheld in whole or in part, any amount of
income tax paid under section 131A in excess of the amount

* Please refer to endnotes at Appendix 1 Page 153 of 491

MRA THE INCOME TAX ACT 1995 154

determined to be properly payable, shall be refunded together with

interest at the prevailing Key rate determined by the Bank of
Mauritius, free of income tax, from the date the payment is received
by the Director-General to the date it is refunded.735*
(7)736* A notice of determination under subsection (2) or (4) in respect of an
assessment -

(a) made prior to 1 October 2006, shall be given to the person

within 6 months of the date on which the objection is lodged;
or
(b) made on or after 1 October 2006, shall be given to the person
within 4 months of the date on which the objection is
lodged.737*

(8) Where the objection is not determined within the period specified in
subsection (7), the objection shall be deemed to have been allowed by
the Director-General.

(8A) (a) Where the Director-General does not refuse to consider an

objection under section 131AA, he shall review the claim and
revise the levy or penalty charged under section 93, 111K, 111Z (5)
or 123B (3) in whole or in part.738*

(b) The Director-General shall give notice of the determination to

the person.

(c) Where a notice of determination under paragraph (b) is given,

the penalty specified in the notice of determination shall be
paid within 28 days of the date of the notice of determination.

(d) A notice of determination under paragraph (b) shall be given to

the person within 4 months of the date on which the objection
is lodged.

(9) Any person who is aggrieved by a determination under this section

may lodge written representations with the Clerk to the Assessment
Review Committee in accordance with section 19 of the Mauritius
Revenue Authority Act 2004.739*

(10) (a) Where an agreement is reached before, or a decision is made

by, the Assessment Review Committee established under
section 18 of the Mauritius Revenue Authority Act, the
Director-General, shall, within 5 working days of the date of
receipt of the notification of the agreement or decision, as the
case may be, issue a notice to the person specifying the amount
of income tax payable.

(b) Where a notice is issued to a person under paragraph (a), the

person shall pay the amount of income tax within 28 days of
the date of the notice.740*

* Please refer to endnotes at Appendix 1 Page 154 of 491

MRA THE INCOME TAX ACT 1995 155

131C. Objection to determination of loss 741

*
(1) Where a person is dissatisfied with a determination by the Director-
General of the quantum of losses available for set-off or carried forward
under section 20 or 59, he may, within 28 days of the date of the
notice of determination, object to the determination in a form approved
by the Director-General specifying the detailed grounds of objection
and sent to the Director-General by registered post.

(2) An objection under subsection (1) shall be dealt with by an objection

directorate742* set up by the Director-General for that purpose.

(3) (a) Where it is proved to the satisfaction of the Director-General

that, owing to illness or other reasonable cause, a person has
been prevented from making an objection within the time
specified in subsection (1), the Director-General may consider
the objection on such terms and conditions as he thinks fit.
(b) Where the Director-General refuses to consider a late objection
under paragraph (a), he shall, within 28 days of the date of
receipt of the letter of objection, give notice of the refusal to the
person.
(4) Section 131B(1) to (4), (7), (8) and (9) shall apply in all respects for the
determination of objections under this section as they apply for the
determination of objections under section 131A.

132. Additional assessment *

743

(1) Subject to subsection (3), where in respect of a year of assessment, the

Director-General has made an assessment under section 129, 129A or
131 and he subsequently finds that tax has been underclaimed, he
may make an additional assessment of the amount of chargeable
income and income tax which, in his opinion, ought to have been
charged.

(2) An additional assessment under subsection (1) shall be deemed to be

an assessment under section 129, 129A or 131, as the case may be,
for the purpose of this Act and the person on whom an additional
assessment is made may object or appeal against the additional
assessment in the manner provided under Part X of this Act.

(3) The Director-General shall not make an additional assessment under

this section after 3 years from the year of assessment to which the
additional assessment relates.

133. Repealed 744

*

* Please refer to endnotes at Appendix 1 Page 155 of 491

MRA THE INCOME TAX ACT 1995 156

134. Representations to Assessment Review Committee *

745

Any person who is aggrieved by a decision, or determination, under sections

83, 98,746* 114(2), 123(4), 127(3), 131A, 131AA(6)(b), 131B and 131C(2) may
lodge written representations with the Clerk to the Assessment Review
Committee in accordance with section 19 of the Mauritius Revenue Authority
Act 2004.747*

135. Conclusiveness of assessment

Except in proceedings on objection to assessments under section 131A or(3)

on the hearing of representations(4) under section 134 -

(a) no assessment, decision or determination under this Act shall be

disputed in any court or in any proceedings either on the ground that
the person affected is not liable to income tax or the amount of tax
due and payable is excessive or on any other ground; and

(b) every assessment, decision or determination shall be final and

conclusive and the liability of the person so affected shall be
determined accordingly.

PART XI - RECOVERY OF TAX

136. Application of Part IVC of Mauritius Revenue Authority Act

The provisions of Part IVC of the Mauritius Revenue Authority Act shall apply
to any tax which has remained unpaid under this Act.748*

137. [Recovery of tax in arrears from emoluments] Repealed 749 *

138. [Recovery of tax by attachment ] Repealed 750
*
139. [Recovery of tax by distress and sale] Repealed 751*

140. [Contrainte] Repealed 752

*
140A. [Proceedings for temporary closing down of business] Repealed 753*

141. [Privilege] Repealed 754*

142. [Uninscribed privilege] Repealed 755*

143. [Security] Repealed 756

*
144. [No limitation of action for recovery of tax] Repealed757*

* Please refer to endnotes at Appendix 1 Page 156 of 491

MRA THE INCOME TAX ACT 1995 157

PART XIA - COLLECTION AND RECOVERY OF SOCIAL CHARGES758*

144A. Collection and recovery of social charges by Director-General

(1) The Director-General shall –

(a) collect social charges;

(b) enforce payment of, and recover, any unpaid social charge in
the same manner as income tax is recoverable under Part XI.

(2) In this section –

“social charge” means –

(a) a contribution, including surcharge, under the National

Pensions Act;

(b) a contribution, including surcharge, under the National

Savings Act;

(c) a training levy, including surcharge, under the Human

Resource Development Act; and

(d) a recycling fee under the Employment Rights Act.

PART XII - OFFENCES

145. Offences relating to PAYE

(1) Any person who -

(a) fails to register as an employer;

(aa) fails to make necessary arrangements to obtain from the

Director-General a Tax Account Number in respect of an
employee from whose emoluments tax is withheld;759*

(b) fails to pay the amount of tax required to be withheld;

(c) fails to pay the amount of tax in arrears required to be

deducted;

(d) fails to give the Statement of Emoluments and Tax Deduction to

his employee; or

(e) submits to his employer an Employee Declaration Form which

is incorrect or false in any material particular,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding 5,000 rupees and to imprisonment for a term not exceeding
8 years.760*

* Please refer to endnotes at Appendix 1 Page 157 of 491

MRA THE INCOME TAX ACT 1995 158

(2) Any person who -

(a) gives a Statement of Emoluments and Tax Deduction which is

false or misleading in any material particular;

(b) without lawful authority discloses any information concerning

his employee,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding one million rupees and to imprisonment for a term not
exceeding 2 years.

146. Offences relating to CPS

(1) Where a person fails to submit a Statement of Income under section

106, he shall commit an offence and shall, on conviction, be liable to a
fine not exceeding 5,000 rupees and to imprisonment for a term not
exceeding 6 months.

(2) Where a person furnishes a Statement of Income under section 106

which is false or misleading in any material particular, he shall
commit an offence and shall, on conviction, be liable to a fine not
exceeding 50,000 rupees and to imprisonment for a term not
exceeding 2 years.

146A. Offences relating to deduction of tax at source *

761

Any person who -

(a) fails to pay the amount of income tax required to be deducted under
section 111C;

(b) fails to give the statement of income tax deduction as required under
section 111K(1)(a) and (3);

(c) fails to submit the statement of particulars as required under section

111K(1)(b), (2) and (3);

(d) submits a statement referred to in paragraph (b) or (c) which is false

or misleading in any material particular;

(e) without lawful authority, discloses to any person, other than the
Director-General, any information concerning any person subject to
tax deduction under Sub-Part BA; or

(f) otherwise contravenes any provision of Sub-Part BA of

Part VIII,

shall commit an offence and shall, on conviction, be liable to a fine

not exceeding one million rupees and to imprisonment for a term not
exceeding 8 years.762*

* Please refer to endnotes at Appendix 1 Page 158 of 491

MRA THE INCOME TAX ACT 1995 159

146B. Offences relating to tax on winnings 763*

Any person who –

(a) fails to pay the amount of tax required to be deducted under section
111P;

(b) fails to submit –

(i) the return of tax deduction as required under section 111Q;

(ii) the statement of winnings as required under section 123E;

(c) submits a return or statement referred to in paragraph (b) which is

false or misleading in any material particular;

(d) otherwise contravenes any provision of Sub-part BC of Part VIII,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding one million rupees and to imprisonment for a term not exceeding 8
years.

146C. Offences relating to presumptive tax764*

Any person who –

(a) wilfully and with intent to evade income tax, holds himself to be a
small enterprise under section 111V; or

(b) fails to pay tax or otherwise contravenes Sub-part BD of Part VIII,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding 50,000 rupees and imprisonment for a term not exceeding 2 years.

147. Offences relating to returns, books and records

(1) Any person who wilfully and with intent to evade income tax -

(a) submits a false return of income;

(b) gives any false information;

(c) prepares or maintains or authorises the preparation or

maintenance of any false books, records or documents or
falsifies or authorises the falsification of any books, records or
documents;

(d) produces for examination any false books, records or

documents;

(e) makes default in the performance of any duty imposed on him

under this Act;

* Please refer to endnotes at Appendix 1 Page 159 of 491

MRA THE INCOME TAX ACT 1995 160

(f) refuses or fails, to attend and give evidence when required by

the Director-General or to answer truly and fully to any
question put to him or to produce any document required of
him; or

(g) misleads or attempts to mislead the Director-General, in

relation to any matter or thing affecting his own or any other
person's liability to income tax,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding 50,000 rupees and to imprisonment for a term not
exceeding 2 years.

(2) Where a person is convicted under subsection (1), he shall, in addition

to any penalty imposed under subsection (1), be ordered by the court
to pay an amount which shall not exceed765* 3 times the difference
between -

(a) the income tax to which he is liable; and

(b) the income tax paid or payable in terms of any return of income
submitted.

148. Other offences

(1) Any person who -

(a) fails to submit a return of income;

(aa) fails to make necessary arrangements to obtain from the

Director-General a Tax Account Number in his name;766*

(b) fails to furnish information and particulars required for the

purposes of this Act;

(c) fails to keep books and records;

(d) fails to produce books and records for examination;

(e) fails to pay any tax payable under this Act;

(ea) fails to submit a statement of assets and liabilities under

section 123C; or767*

(f) otherwise contravenes this Act,

shall commit an offence and shall, on conviction, be liable to a fine not

exceeding 5,000 rupees and to imprisonment for a term not exceeding
6 months.

(2) Any person who commits an offence in respect of which no specific

penalty is provided shall, on conviction, be liable to a fine not
exceeding 5,000 rupees.

* Please refer to endnotes at Appendix 1 Page 160 of 491

MRA THE INCOME TAX ACT 1995 161

(3) Where a person is convicted under subsection (1)(a) for failure to

furnish a return of income, he shall, in addition to any penalty
imposed under subsection (1), be ordered by the court to furnish the
return within such time as the court may order.

148A [Prosecution by Commissioner] Deleted *

768

149. Compounding of offences *

769

(1) (a) The Director-General may with the consent of the Director of
Public Prosecutions770* compound any offence committed by
a person under this Act, where such person agrees in writing to
pay such amount acceptable to the Director-General
representing -

(i) any income tax unpaid; and

(ii) an amount not exceeding the maximum pecuniary
penalty imposable under this Act for such offence.
(b) For the purposes of paragraph (a), the Director- General shall
chair a committee which shall consist of 3 other officers of the
management team of the Authority.
(2) Every agreement under subsection (1) shall be made in writing under
the hand of the Director-General and the person and witnessed by an
officer.

(3) Every agreement under this section shall be final and conclusive and
a copy thereof shall be delivered to the person.

(4) Where the Director-General compounds an offence in accordance with

this section -

(a) the amount for which the offence is compounded shall be

deemed to be tax assessed under this Act and shall be
recoverable as income tax; and

(b) no further proceedings shall be taken in respect of the offence

so compounded against the person.

150. Tax payable notwithstanding prosecution

Any person convicted of an offence under this Act or who has agreed to the
compounding of an offence under section 149 shall not be relieved of his
liability for payment of any income tax due.

PART XIIA – NEGATIVE INCOME TAX *

771

150A. Negative Income Tax allowance *

772

(1) Subject to this section, the Director-General shall pay to every

individual who derives a monthly basic salary specified in the first
column of the Eleventh Schedule, the corresponding Negative Income
Tax allowance specified in the second column of that Schedule.

* Please refer to endnotes at Appendix 1 Page 161 of 491

MRA THE INCOME TAX ACT 1995 162

(2) No Negative Income Tax allowance shall be payable under subsection

(1) unless –

(a) the individual is a citizen of Mauritius;

(b) the individual works for a minimum of 24 hours during at

least 3 days in a week;

(c) the total monthly earnings of the individual does not exceed
20,000 rupees;

(d) the net income of the individual or his spouse, excluding any
dividend and interest, in the current year, does not exceed
390,000 rupees; and

(e) the individual and the person by whom he is employed are

both compliant with their contributions to the National
Pensions Fund and the National Savings Fund as from the
month in which the allowance is being claimed.

(3) Where an individual satisfies the requirements of subsections (1) and

(2), he shall be paid the Negative Income Tax allowance on the basis of
the information furnished by his employer in the return submitted to
the Director-General under section 17 of the National Pensions Act.

(3A)773* (a) Where an individual satisfies the requirements of subsections

(1) and (2) but is not paid the allowance, he may make an
application to the Director-General, within 9 months after the
month in respect of which the Negative Income Tax allowance
is claimed.

(b) An application under paragraph (a) shall be made in such

manner as the Director-General may determine.

(4) The Negative Income Tax allowance shall be paid at such interval as
may be prescribed.

(5) (a) Where an individual benefits from Negative Income Tax

allowance in a month and the Director-General finds that the
individual is not entitled to the allowance, the Director-General
shall issue a claim to the individual for repayment of the
allowance within 28 days of the date of the claim.

(b) Where an individual fails to pay the amount claimed from him
under paragraph (a), the Director-General may recover the
amount under Part XI of this Act.

(6) In this section –774*

“basic salary” includes any additional remuneration;

“earnings” –

* Please refer to endnotes at Appendix 1 Page 162 of 491

MRA THE INCOME TAX ACT 1995 163

(a) means all salary and wages before any deduction for unpaid
leaves and absences, overtime pay, leave pay and other
allowances in money or money’s worth, other than travelling
and end-of-year bonus derived from employment; and

(b) includes any annuity, pension and basic retirement pension.

PART XIIB – WAGE ASSISTANCE SCHEME 775*

15OB. Wage Assistance Scheme

(1) In this section –

“COVID-19” means the disease caused by the virus known as

novel coronavirus (2019-nCoV);

“eligible employee” –

(a) means an employee employed on a part-time or full-time basis –

(i) by an employer deriving gross income from business;

(ii) by a charitable institution approved by the Director-General

or registered under the Registration of Associations Act,
charitable trust or charitable foundation; or

(iii) by such other category of employer as may be prescribed; and

(iv) whose basic salary or wage for the month of March 2020,
April 2020, May 2020 or such other month as may be
prescribed, does not exceed 50,000 rupees; but

(b) does not include –

(i) an employee employed by a Ministry, a Government

department, a local authority, a statutory body or the
Rodrigues Regional Assembly;

(ii) an employee employed by such category of employer as

may be prescribed; or

(iii) such category of employees as may be prescribed;

“export manufacturing enterprise” has the same meaning as in the

National Savings Fund Act.

* Please refer to endnotes at Appendix 1 Page 163 of 491

MRA THE INCOME TAX ACT 1995 164

“SME” means a small or medium enterprise –776*

(a) whose turnover, in the case of a company, for the accounting year
ended in the year 2020; or

(b) whose turnover, in any other case, for the year ended 30 June
2020,
did not exceed 50 million rupees.

(2) Subject to this Part, the Director-General shall, in respect of every

eligible employee, pay to his employer –

(a) an allowance equivalent to 50 per cent of the basic salary or

wage of that employee for the month of March 2020;

(b) an allowance equivalent to the basic salary or wage of that

employee for the month of April 2020 where the main business
activities of the employer are carried out in the Island of
Mauritius;

(c) an allowance equivalent to 50 per cent of the basic salary or wage

of that employee for the month of April 2020 where the main
business activities of the employer are carried out in the Island of
Rodrigues or Island of Agaléga;

(d) an allowance equivalent to the basic salary or wage of that

employee for the month of May 2020 where the main business
activities of the employer are carried out in the Island of
Mauritius;

(e) such other allowance, and for such other month, and for such
categories of employers or employees, as may be prescribed.

(3) The maximum allowance payable under subsection (2) in respect of

every eligible employee shall –

(a) for the month of March 2020, be 12,500 rupees;

(b) for the month of April 2020 –

(i) be 25,000 rupees, where the employee is employed in

the Island of Mauritius; or

(ii) be 12,500 rupees, where the employee is employed in the

Island of Rodrigues or the Island of Agaléga;

(c) for the month of May 2020, be 25,000 rupees;

* Please refer to endnotes at Appendix 1 Page 164 of 491

MRA THE INCOME TAX ACT 1995 165

(d) for such other period as may be prescribed, be such amount as

may be prescribed.

(4) An application for the allowance under subsection (2), in respect of

each month, shall be made electronically to the Director-General,
which shall be accompanied by the following information –

(a) the number of eligible employees;

(b) the aggregate basic wage or salary of all eligible employees;

(c) the amount of allowance to be paid in respect of all eligible

employees;

(d) such other information as he may require.

(5) An application under subsection (4) shall be made –

(a) within a period of 3 months from the end of the month to which it
is related; or
(b) within a period of 2 months from the date the COVID-19 period
lapses,

whichever is earlier.

(6) The Director-General may make –

(a) a provisional payment of the allowance payable under

subsection (2) on the basis of the information provided by the
employer in his application under subsection (4) and the return
submitted by him under section 17AA of the National Pensions
Act for the month of January 2020; and

(b) an additional payment of the allowance payable under

subsection (2) on the basis of the information provided by the
employer in his application under subsection (4) and the return
submitted by the employer under section 17AA of the National
Pensions Act for the month of March 2020, April 2020, May 2020
or such other month as may be prescribed.

(7) The Director-General may determine the allowance payable under

subsection (2) on the basis of the information provided by the employer in
the return submitted, on or before 23 March 2020, under section 17AA of
the National Pensions Act for the month of January 2020, where –

* Please refer to endnotes at Appendix 1 Page 165 of 491

MRA THE INCOME TAX ACT 1995 166

(a) an amended return has been submitted after 23 March 2020,

under section 17AA of the National Pensions Act for the month of
January 2020; or

(b) the return submitted for the months of March 2020, April 2020,
May 2020 or such other months as may be prescribed includes
an eligible employee who was not included in the return for the
month of January 2020 submitted before 23 March 2020 or
shows, with respect to an employee, a different basic salary or
wage as compared to that in the return for the month of
January 2020 submitted on or before 23 March 2020.

(8) (a) Where an employee –

(i) is a citizen of Mauritius;

(ii) is employed in an export manufacturing enterprise;

(iii) is employed on a full-time basis; and

(iv) whose basic salary or wage as declared by his employer

in the return submitted under section 17AA of the National
Pensions Act does not exceed 9,000 rupees,
the allowance payable under subsection (2) shall be calculated on the basis of the
national minimum wage of 9,000 rupees.777*

(b) Where an employer is not required to include an employee in the

return submitted under section 17AA of the National Pensions
Act, the Director-General may pay the allowance payable under
subsection (2) on the basis of any other information available to
him.

(9) (a) The Director-General may, not later than one year after payment
of an allowance is made under this Part, request any information
or document from the employer or any employee to ascertain
correctness of the information provided under subsection (4).

(b) The employer or any employee to whom a request is made under

paragraph (a) shall provide the Director-General with such
information and document as he may require.

(10) (a) Subject to paragraph (aa), where an employer has benefited

from an allowance –778*

(i) for the period starting on 16 March 2020 and ending on 31

March 2020 and, during that period, terminates the
employment of an eligible employee, the employer shall not
be entitled to any allowance in any subsequent month;

* Please refer to endnotes at Appendix 1 Page 166 of 491

MRA THE INCOME TAX ACT 1995 167

(ii) for the month of April 2020 and, during that month,
terminates the employment of an eligible employee, the
employer shall not be entitled to any allowance in any
subsequent month;

(iii) for the month of May 2020 and, during that month,
terminates the employment of an eligible employee, the
employer shall not be entitled to any allowance in any
subsequent month; or

(iv) in such month as may be prescribed and, during that

month, terminates the employment of an eligible employee,
the employer shall not be entitled to any allowance in any
subsequent month.

(aa)779* (i) Paragraph (a) shall, subject to subparagraphs (ii) and (iii),
not apply to an SME, with respect to its entitlement to
the allowance for the month of March 2021 and any
subsequent month.

(ii) Subparagraph (i) shall not apply where an SME carries

out an activity specified in Part I of the Twelfth Schedule
of the Income Tax Regulations 1996.

(iii) Where an employer being an SME, other than an SME

carrying out an activity specified in Part I of the Twelfth
Schedule of the Income Tax Regulations 1996, has
benefited from an allowance for the period -
(A) starting on 10 March 2021 and ending on 31
March 2021; or

(B) starting on 1 April 2021 and ending on 30 April

2021, or any subsequent period,

and the employer, during such period, terminates the

employment of an eligible employee, that employer shall not be
entitled to any allowance in any month subsequent to that
period.

(b) Where an employer has benefited from an allowance –

(i) for the period starting on 16 March

2020 and ending on 31 March 2020 and, during that period,
has failed to pay the basic wage or salary of an eligible
employee, the employer shall be liable to refund the allowance
that has not been paid to that eligible employee and the

* Please refer to endnotes at Appendix 1 Page 167 of 491

MRA THE INCOME TAX ACT 1995 168

employer shall not be entitled to any allowance in any

subsequent month;

(ii) for the month of April 2020 and, during that month, has failed
to pay the basic wage or salary of an eligible employee, the
employer shall be liable to refund the allowance that has not
been paid to that eligible employee and the employer shall not
be entitled to any allowance in any subsequent month;

(iii) for the month of May 2020 and, during that month, has failed
to pay the basic wage or salary of an eligible employee, the
employer shall be liable to refund the allowance that has not
been paid to that eligible employee and the employer shall not
be entitled to any allowance in any subsequent month;

(iv) in such month as may be prescribed and, during that month,

has failed to pay the basic wage or salary of an eligible
employee, the employer shall be liable to refund the allowance
that has not been paid to that eligible employee and the
employer shall not be entitled to any allowance in any
subsequent month.

(c) Where an employer has benefited from an allowance –

(i) for the period starting on 16 March

2020 and ending on 31 March 2020 and, during that period,
has reduced the basic wage or salary of an eligible employee,
the employer shall be liable to refund the allowance that has
been paid to that eligible employee and the employer shall not
be entitled to any allowance in any subsequent month;

(ii) for the month of April 2020 and, during that month, has
reduced the basic wage or salary of an eligible employee,
the employer shall be liable to refund the allowance that
has been paid to that eligible employee and the employer
shall not be entitled to any allowance in any subsequent
month;

(iii) for the month of May 2020 and, during that month, has
reduced the basic wage or salary of an eligible employee,
the employer shall be liable to refund the allowance that
has been paid to that eligible employee and the employer
shall not be entitled to any allowance in any subsequent
month;

(iv) in such month as may be prescribed and, during that month,

has reduced the basic wage or salary of an eligible employee,
the employer shall be liable to refund the allowance that has
been paid to that eligible employee and the employer shall not
be entitled to any allowance in any subsequent month.

* Please refer to endnotes at Appendix 1 Page 168 of 491

MRA THE INCOME TAX ACT 1995 169

(11) Where an employer has benefited from an allowance in excess of the

amount to which he is entitled under this Part or acts in breach of
subsection (10)(a), (b) or (c), the Director-General may, by virtue of the
powers conferred upon him under the Mauritius Revenue Authority Act,
recover the excess amount or allowance, as the case may be.

(12) Where an employer or his employee or any other person –

(a) makes a false declaration to the Director-General to unduly

benefit from an allowance under this Part; or

(b) refuses to give information under subsection (9) or gives false

information under this Part,
he shall commit an offence and shall, on conviction, be liable to a fine
not exceeding 50,000 rupees and to imprisonment for a term not
exceeding 2 years.

(13) The secrecy provision under section 154 shall not apply to enable
exchange of information with Ministries, Government departments
and other Government agencies.

(14) (a) The Minister may, for the purposes of this Part, make such
regulations as he thinks fit.

(b) Any regulations made under paragraph (a) may provide for
anything connected, consequential or incidental thereto.

PART XIIC – SELF-EMPLOYED ASSISTANCE

SCHEME780*

150C. Self-Employed Assistance Scheme

(1) In this section –

“passive income” means income derived from rent, dividends,

interests and such other income as may be prescribed;

“self-employed” –

(a) means an individual –

(i) who is a citizen of Mauritius and is resident in Mauritius;

(ii) who is above the age of 18;

* Please refer to endnotes at Appendix 1 Page 169 of 491

MRA THE INCOME TAX ACT 1995 170

(iii) who is not employed, as at 1 March 2020, by any employer,

whether on a full-time or part-time basis; and
(iv) who has been in business on his own account or is a
tradesperson carrying out activities such as mason, cabinet
maker, plumber, hairdresser, artist or other similar activities for a
period of at least 3 months prior to the start of the COVID-19
period; but

(b) does not include –

(i) an individual who derives exclusively passive income;

(ii) an individual who was not carrying out any income earning
activity prior to the start of the COVID-19 period;

(iii) an individual who falls under such category as may be

prescribed.

(2) Subject to this Part, the Director-General shall pay to every self-
employed –

(a) an allowance of 5,100 rupees for the period 16 March 2020 to

15 April 2020;

(b) an allowance of 2,550 rupees for the period 16 April 2020 to 30

April 2020 where the main business activities of the self-
employed are carried out in the Island of Mauritius;

(c) an allowance of 5,100 rupees for the month of May 2020 where the
main business activities of the self- employed are carried out in the
Island of Mauritius; and

(d) such other amount, for such other period, and to such category of
self-employed, as may be prescribed.

(3) No allowance under subsection (2) shall be payable to a self-employed

where –

(a) he is eligible to receive social benefits, including basic

retirement pension or widows pension, under the National
Pensions Act;

(b) he is pursuing higher studies on a full-time basis;

(c) he is a dependent spouse;

(d) his monthly income, when aggregated to that of his spouse,

exceeds 50,000 rupees;

* Please refer to endnotes at Appendix 1 Page 170 of 491

MRA THE INCOME TAX ACT 1995 171

(e) he is a registered fisherman;

(ea) in respect of a given month, he has carried out income earning

activity and has not paid CSG or the social contribution, as
applicable, for any one of the 3 months beginning from July
2021 that immediately precede that given month; or781*

(f) he meets such other criteria as may be prescribed.

(3A) The Director-General may refuse to pay the allowance under

subsection (2) with respect to a month where the self-employed –782*

(a) has carried out income earning activity and has not paid CSG
or the social contribution, as applicable, for that month; or

(b) has not submitted a return under section 112 or 112A for the
income year ending 30 June immediately preceding that
month.

(4) Every self-employed person who is entitled to the allowance under

subsection (2) shall make an application electronically to the Director-
General, which shall be accompanied by the following information –

(a) his monthly income;

(b) his residential address;

(c) his bank details; and

(d) such other information as the Director-General may

require.

(5) An application under subsection (4) shall be made –

(a) within a period of 3 months from the end of the months to

which it is related; or

(b) within a period of 2 months from the date the COVID-19

period lapses,

whichever is earlier.

(6) The Director-General shall make payment of the allowance payable

under subsection (2) on the basis of the information provided under
subsection (4) and any other information available to him.

(7) (a) The Director-General may, not later than one year after
payment of an allowance is made under this Part, request
any information or document from a person to ascertain the

* Please refer to endnotes at Appendix 1 Page 171 of 491

MRA THE INCOME TAX ACT 1995 172

correctness of the information provided under subsection (4)

and the eligibility of the person to the allowance payable
under subsection (2).

(b) The person to whom a request is made under paragraph

(a) shall provide the Director-General with such
information and document as he may require.

(8) Where a person –

(a) who is not entitled to an allowance has benefited from an

allowance in breach of subsection (1) or (3); or

(b) has benefited from an allowance in excess of the amount to

which he is entitled under this Part,

the Director-General may, by virtue of the powers conferred on him

under the Mauritius Revenue Authority Act, recover the excess amount
or allowance, as the case may be.
(9) Where a person –

(a) makes a false declaration to the Director-General to

unduly benefit from an allowance under this Part; or

(b) refuses to give information under subsection (7) or gives

false information under this Part,

he shall commit an offence and shall, on conviction, be liable to a fine not

exceeding 10,000 rupees and to imprisonment for a term not exceeding 6
months.

(10) The secrecy provision under section 154 shall not apply to enable
exchange of information with Ministries, Government departments and
other Government agencies.

(11) (a) The Minister may, for the purposes of this Part, make
such regulations as he thinks fit.

(b) Any regulations made under paragraph (a) may provide

for anything connected, consequential or incidental
thereto.

* Please refer to endnotes at Appendix 1 Page 172 of 491

MRA THE INCOME TAX ACT 1995 173

PART XIID – FINANCIAL ASSISTANCE FOR PAYMENT OF SALARY

COMPENSATION 2021, 2022, 2023 AND 2024783*

15OD. Financial assistance for payment of salary compensation 2021

(1) In this section –

“basic wage or salary” –

(a) has the same meaning as in the Workers’ Rights Act 2019;
and

(b) includes any payable additional remuneration;

“eligible employee” –

(a) means an employee employed on a full-time basis –

(i) by an SME deriving gross income from business; or

(ii) by such other category of employer as may be

prescribed; and

(iii) whose basic wage or salary does not exceed –

(A) 50,235 rupees where the employer is an export

enterprise; or

(B) 50,375 rupees in any other case; but

(b) does not include –

(i) an employee employed by a Ministry, a Government

department, a local authority, a statutory body or the
Rodrigues Regional Assembly;

(ii) an employee who is a non-citizen and is employed by

an export enterprise;

(iii) an employee employed by such category of employer

as may be prescribed; or

(iv) such category of employees as may be prescribed;

“export enterprise” has the same meaning as in the Export Enterprises

(Remuneration) Regulations 2019;

“SME” has the same meaning as in section 150B.

(2)784* Subject to this Part, the Director-General shall, in respect of every

eligible employee, pay to his employer –

(a) for each month beginning January 2021 and ending December
2021, an allowance equivalent to –

* Please refer to endnotes at Appendix 1 Page 173 of 491

MRA THE INCOME TAX ACT 1995 174

(i) 235 rupees where the employer is an export enterprise; or

(ii) 375 rupees in any other case; and

(b) for each month beginning January 2022 and ending June 2022, an
allowance equivalent to 375 rupees.

(3) An application for the allowance under subsection (2) shall be made
electronically to the Director-General in such form and manner as he
may determine.

(4) No allowance shall be payable under subsection (2) –

(a) with respect to a given month, where the application under

subsection (3) is made by an employer more than 3
months from end of that given month;

(b) with respect to a month, where the employer has not paid
CSG or the social contribution, as applicable, or has not
submitted the return required under the National
Pensions Act or the Social Contribution and Social
Benefits Act 2021, as applicable, for that month;

(c) with respect to an employee, where, in relation to a month,

the employer has not included that employee in the return
submitted for that month under the National Pensions Act
or the Social Contribution and Social Benefits Act 2021, as
applicable;

(d) with respect to a month, where the employer has been paid
an allowance under section 150B with respect to that
month.

(5) (a) The Director-General may, not later than one year after
payment of an allowance is made under this Part, request
any information or document from the employer or any
employee to ascertain correctness of the information
provided under subsection (3), or under the National
Pensions Act or the Social Contribution and Social
Benefits Act 2021,as applicable.

(b) The employer or any employee to whom a request is made

under paragraph (a) shall provide the Director-General with
such information and document as he may require.

(6) Where an employer has benefited from an allowance in excess of the

amount to which he is entitled under this Part or has acted in breach of
subsection (5)(b), the Director-General may recover the excess amount or
allowance, as the case may be, in the manner in which he would recover
a tax under the Mauritius Revenue Authority Act.

(7) Where an employer or his employee or any other person –

* Please refer to endnotes at Appendix 1 Page 174 of 491

MRA THE INCOME TAX ACT 1995 175

(a) makes a false declaration to the Director-General to unduly

benefit from an allowance under this Part; or

(b) refuses to give information under subsection (5) or gives

false information under this Part,

he shall commit an offence and shall, on conviction, be liable to a fine not exceeding
50,000 rupees and to imprisonment for a term not exceeding 2 years.

15OE. Financial assistance for payment of salary compensation 2022785

(1) In this section –

“activity in the tourism industry” means an activity specified in Part I of

the Twelfth Schedule to the Income Tax Regulations 1996;

“basic wage or salary” –

(a) has the same meaning as in the Workers’ Rights Act 2019; and

(b) includes any payable additional remuneration;

“eligible employee” –

(a) means an employee employed on a full-time basis and deriving at

least the national minimum wage for the year 2022 –

(i) from an SME deriving gross income from business;

(ii) from an enterprise in the tourism sector; or

(iii) from such other category of employer as may be prescribed;

and

(iv) whose basic wage or salary does not exceed –

(A) 50,635 rupees where the employer is an export enterprise;

or

(B) 50,775 rupees in any other case; but

(b) does not include –

(i) an employee employed by a Ministry, a Government

department, a local authority, a statutory body or the
Rodrigues Regional Assembly;

(ii) an employee employed by such category of employer as may

be prescribed; or

(iii) such category of employees as may be prescribed;

* Please refer to endnotes at Appendix 1 Page 175 of 491

MRA THE INCOME TAX ACT 1995 176

“export enterprise” has the same meaning as in the Export Enterprises

(Remuneration) Regulations 2019;

“SME” has the same meaning as in section 150B.

(2) Subject to this Part, the Director-General shall, in respect of every eligible
employee of an employer, pay, in case the employer is –

(a) an SME, other than export enterprise or where the employer is not
an SME and carries out an activity in the tourism industry, to the
employer an allowance equivalent to –

(i) 500 rupees monthly per eligible employee deriving a basic wage
not exceeding 13,500 rupees; and

(ii) 400 rupees monthly per eligible employee deriving a basic wage
exceeding 13,500 rupees but not exceeding 50,775 rupees;

(b) an SME and also an export enterprise, to the employer an

allowance equivalent to –

(i) 360 rupees monthly per eligible employee deriving a basic wage
not exceeding 13,360 rupees; and

(ii) 260 rupees monthly per eligible employee deriving a basic wage
exceeding 13,360 rupees but not exceeding 50,635 rupees,

for each month beginning January 2022 and ending June 2022.

(3) An application for an allowance under subsection (2) shall be made

electronically to the Director-General in such form and manner as he may
determine.

(4) Section 150D(4) to (7) shall apply to this section with such adaptations
and modifications as may be necessary to enable the Director-General to
pay the allowance.

15OEA. Financial assistance for payment of salary compensation 2023786*

(1) In this section –

“accounting loss” means the loss made by an employer from all his
activities and computed in accordance with the International Financial
Reporting Standards;

“accounting profit” means the profit derived by an employer from all his
activities and computed in accordance with the International Financial
Reporting Standards;

“additional remuneration” means the additional remuneration payable to

an employee as from 1 January 2023 under the Workers’ Rights
(Additional Remuneration) (2023) Regulations 2023;

* Please refer to endnotes at Appendix 1 Page 176 of 491

MRA THE INCOME TAX ACT 1995 177

“apparel industry” means the cutting of fabrics and other materials and
sewing them together to create apparel products, including outerwear,
pants, and tops787*;

“basic wage or salary” –

(a) has the same meaning as in the Workers’ Rights Act 2019; and

(b) includes any payable additional remuneration;

“eligible employee” –

(a) means an employee employed on a full-time basis and deriving at least

the national minimum wage for the year 2023 –

(i). from an SME deriving gross income from business;

(ii). from an export enterprise;

(iii). from such other category of employer as may be prescribed;

and

(iv). whose basic wage or salary does not exceed –

(A) 51,635 rupees where the employer is an export

enterprise; or

(B) 51,775 rupees in any other case; but

(b) does not include –

(i). an employee employed by a Ministry, a Government

department, a local authority, a statutory body other than
an employee referred to in subsection (4), or the Rodrigues
Regional Assembly;

(ii). an employee employed by such category of employer as may

be prescribed; or

(iii). such category of employees as may be prescribed;

“export enterprise” has the same meaning as in the Export

Enterprises (Remuneration) Regulations 2019;

“SME” means a small or medium enterprise, whose turnover for the

year of assessment 2021-2022 did not exceed 100 million rupees.

“textile industry” means the processing of raw materials such as wool

and cotton to make yarn, and includes the use of yarn to make and
create fabrics788*.

* Please refer to endnotes at Appendix 1 Page 177 of 491

MRA THE INCOME TAX ACT 1995 178

(2) Subject to this Part, the Director-General shall, for each of the months of
year 2023, pay to the employer, in respect of each eligible employee of –

(a) an SME, an allowance equivalent to –

(i). 500 rupees monthly, where the eligible employee derived a

basic wage not exceeding 51,775 rupees and the employer
declared for the year of assessment 2021-2022 –

(A) an accounting loss; or

(B) an accounting profit and that accounting profit would be

reduced by more than 50 per cent if that accounting
profit was reduced by the additional remuneration
payable to its employees who were in employment as at
December 2022; or

(ii). 250 rupees monthly, where the eligible employee derived a

basic wage not exceeding 51,775 rupees and the employer
declared for the year of assessment 2021-2022 an
accounting profit that would be reduced by more than 10
per cent if it was reduced by the additional remuneration
payable to its employees who were in employment as at
December 2022;

(b) an export enterprise, other than an SME, an allowance equivalent to

300 rupees monthly where the eligible employee derived a basic
wage not exceeding 51,635 rupees.

(2A) Subject to this Part, the Director-General shall, for each of the months
of April 2024 to June 2024, pay to an employer, in respect of each
eligible full-time employee drawing the national minimum wage for that
month, an allowance equivalent to 1,000 rupees789*.

(2B) Subject to this Part, the Director-General shall pay the allowance
referred to in subsection (2A) for such other months as may be
prescribed during the period from July 2024 to December 2024790*.

(2C) No allowance shall be paid under subsections (2A) and (2B) unless the
employer is an export enterprise operating in the textile or apparel
industry791*.

(3) Where an SME is an export enterprise and an allowance is payable

under subsection (2)(a) and (b), the allowance which is more favourable
to the employer shall be payable provided the basic wage of the eligible
employee does not exceed 51,635 rupees.

(4) The allowance specified in paragraph (2)(a)(i) shall be payable in respect

of each eligible employee to a bus operator providing public transport,
approved by the Minister.

(5) The Director-General shall, for the month of December 2023, in respect
of every eligible employee, pay to his employer, in addition to the

* Please refer to endnotes at Appendix 1 Page 178 of 491

MRA THE INCOME TAX ACT 1995 179

allowance payable under subsection (2), an additional sum equivalent to

that allowance.

(6) The Director-General shall, for each month beginning January 2024 and
ending June 2024, pay to the employer, the allowance payable under
subsection (2) in respect of each eligible employee of –

(a) an SME; and

(b) an export enterprise.

(7) An application for an allowance under subsection (2) shall be made

electronically to the Director-General in such form and manner as he
may determine.

(8) Section 150D(4)(a) to (c) and section 150D(5) to (7) shall apply to this
section with such adaptations and modifications as may be necessary to
enable the Director-General to pay the allowance.

15OEB. Financial assistance for payment of national minimum wage and

salary compensation 2024792*

(1) In this section –

“accounting loss” means the loss made by an employer from all his
activities and computed in accordance with the International Financial
Reporting Standards;

“accounting profit” means the profit derived by an employer from all his
activities and computed in accordance with the International Financial
Reporting Standards;

“additional remuneration” means the additional remuneration payable to

an employee as from 1 January 2024 under the Workers’ Rights
(Additional Remuneration) (2024) Regulations 2024;

“apparel industry” means the cutting of fabrics and other materials and
sewing them together to create apparel products, including outerwear,
pants, and tops;

“basic wage or salary” –

(a) has the same meaning as in the Workers’ Rights Act 2019; and

(b) includes any payable additional remuneration;

“eligible employee” –

(a) means an employee employed on a fulltime basis and deriving at least

the national minimum wage for the year 2024 –

(i) from an export enterprise;

(ii) from a manufacturing company whose turnover for the year of

* Please refer to endnotes at Appendix 1 Page 179 of 491

MRA THE INCOME TAX ACT 1995 180

assessment 2022-2023 did not exceed 500 million rupees;

(iii) from a SME deriving gross income from business;

(iv) from a bus operator providing public transport;

(v) from a charitable institution;

(vi) from a religious body;

(vii) from an enterprise, other than an export enterprise, a

manufacturing company and a SME, whose turnover for the year
of assessment 2022-2023 did not exceed 750 million rupees and
operating in the –

(A) Business Process Outsourcing sector;

(B) security or cleaning services sector; or

(C) construction industry;

(viii) from a trade union;

(ix) from a non-government organisation registered with and

eligible for grants from the National Social Inclusion Foundation;

(x) from such other category of employer as may be prescribed; and

(xi) whose basic wage or salary does not exceed 50,000 rupees; but

(b) does not include –

(i) an employee employed by a Ministry, a Government

department, a local authority, a statutory body or the
Rodrigues Regional Assembly;

(ii) an employee employed by such category of employer as may be

prescribed; or

(iii) such category of employees as may be prescribed;

“export enterprise” has the same meaning as in the Export Enterprises

(Remuneration) Regulations 2019;

“registered religious body” means an entity which has been exempted

from payment of surcharge under section 45A(3) of the National Pensions
Act;

“SME” means a small or medium enterprise, whose turnover for the year
of assessment 2022-2023 did not exceed 100 million rupees;

* Please refer to endnotes at Appendix 1 Page 180 of 491

MRA THE INCOME TAX ACT 1995 181

“textile industry” means the processing of raw materials such as wool and
cotton to make yarn, and includes the use of yarn to make and create
fabrics;

“trade union” has the same meaning as in the Employment Relations Act.

(2) Subject to this Part, the Director-General shall, for each of the months of
year 2024, pay to an employer, in respect of each of its eligible employee –

(a) an allowance equivalent to 2,000 rupees; and

(b) an allowance equivalent to the additional remuneration payable to the

employee,

where the employer is –

(i) an export enterprise;

(ii) a manufacturing company which, for the year of

assessment 2022-2023 had a turnover not exceeding
100 million rupees and had for that year of assessment –

(A) an accounting loss; or

(B) an accounting profit that would be reduced by more

than 50 per cent if the additional remuneration and
increase in National Minimum Wage payable as from
January 2024 to its employees who were in
employment as at December 2023, were deducted
from that accounting profit.

(3) (a) Subject to this Part, the Director-General shall, for each of the months
of April 2024 to June 2024, pay to an employer, in respect of each of
its eligible employee, an allowance equivalent to 1,500 rupees in
addition to the allowance payable under subsection (2)(a).

(b) Subject to this Part, the Director-General shall, in addition to the

allowance payable under subsection (2)(a), pay the allowance referred
to in paragraph (a) for such other months as may be prescribed
during the period from July 2024 to December 2024.

(c) No allowance shall be paid under paragraphs (a) and (b) unless the
employer is an export enterprise operating in the textile or apparel
industry.

(4) Subject to this Part, the Director-General shall, for each of the months of
year 2024, pay to an employer, in respect of each of its eligible employee –

(a) an allowance equivalent to 1,000 rupees; and

(b) an allowance equivalent to fifty per cent of the additional

remuneration payable to the employee,

* Please refer to endnotes at Appendix 1 Page 181 of 491

MRA THE INCOME TAX ACT 1995 182

where the employer is a manufacturing company which, for the year of

assessment 2022-2023 –

(i) had a turnover not exceeding 100 million rupees; and

(ii) had for that year of assessment an accounting profit that would
be reduced by more than 10 per cent if the additional
remuneration and increase in National Minimum Wage payable
as from January 2024 to its employees who were in
employment as at December 2023, were deducted from that
accounting profit.

(5) Subject to this Part, the Director-General shall, for each of the months of
year 2024, pay to an employer, in respect of each of its eligible employee –

(a) an allowance equivalent to 1,000 rupees; and

(b) an allowance equivalent to the additional remuneration payable to the

employee,

where the employer is –

(i) a manufacturing company which, for the year of assessment

2022-2023 –

(A) had a turnover not exceeding 500 million rupees; and

(B) had for that year of assessment an accounting profit that

would be reduced by more than 50 per cent if the
additional remuneration and increase in National
Minimum Wage payable as from January 2024 to its
employees who were in employment as at December
2023, were deducted from that accounting profit;

(ii) a SME, which had for the year of assessment 2022-2023 –

(A) an accounting loss; or

(B) an accounting profit that would be reduced by more than

50 per cent if the additional remuneration and increase
in National Minimum Wage payable as from January
2024 to its employees who were in employment as at
December 2023, were deducted from that accounting
profit;

(iii) a charitable institution;

(iv) a registered religious body;

(v) a non-government organisation registered with and eligible for

grants from the National Social Inclusion Foundation.

* Please refer to endnotes at Appendix 1 Page 182 of 491

MRA THE INCOME TAX ACT 1995 183

(6) Subject to this Part, the Director-General shall, for each of the months of
year 2024, pay to an employer, in respect of each of its eligible employee –

(a) an allowance equivalent to 500 rupees; and

(b) an allowance equivalent to 50 per cent of the additional

remuneration payable to the employee,

where the employer is –

(i) a manufacturing company which, for the year of assessment

2022-2023 –

(A) had a turnover not exceeding 500 million rupees; and

(B) had for that year of assessment an accounting profit that

would be reduced by more than 10 per cent if the
additional remuneration and increase in National
Minimum Wage payable as from January 2024 to its
employees who were in employment as at December
2023, were deducted from that accounting profit;

(ii) a SME, which had for the year of assessment 2022-2023 an

accounting profit that would be reduced by more than 10 per
cent if the additional remuneration and increase in National
Minimum Wage payable as from January 2024 to its employees
who were in employment as at December 2023, were deducted
from that accounting profit;

(iii) an enterprise which, for the year of assessment 2022-2023, had

a turnover not exceeding 750 million, operating in the Business
Process Outsourcing sector and had for that year of assessment
–

(A) an accounting loss; or

(B) an accounting profit that would be reduced by more than

50 per cent if the additional remuneration and increase
in National Minimum Wage payable as from January
2024 to its employees who were in employment as at
December 2023, were deducted from that accounting
profit.

(7) Subject to this Part, the Director-General shall, for each of the months of
year 2024, pay to an employer, in respect of each of its eligible employee –

(a) an allowance equivalent to 250 rupees; and

(b) an allowance equivalent to 25 per cent of the additional

remuneration payable to the employee,

where the employer –

* Please refer to endnotes at Appendix 1 Page 183 of 491

MRA THE INCOME TAX ACT 1995 184

(i) is an enterprise which, for the year of assessment 2022-

2023, had a turnover not exceeding 750 million;

(ii) is operating in the Business Process Outsourcing sector;

and

(iii) had for that year of assessment an accounting profit that

would be reduced by more than 10 per cent if the
additional remuneration and increase in National
Minimum Wage payable as from January 2024 to its
employees who were in employment as at December
2023, were deducted from that accounting profit.

(8) Subject to this Part, the Director-General shall, for each of the months of
January 2024 to June 2024, pay to an employer, in respect of each of its
eligible employee –

(a) an allowance equivalent to 500 rupees; and

(b) an allowance equivalent to 50 per cent of the additional

remuneration payable to the employee,

where the employer –

(i) is an enterprise which, for the year of assessment 2022-

2023, had a turnover not exceeding 750 million rupees;

(ii) is operating in the –

(A) security or cleaning services sector; or

(B) construction industry; and

(iii) had for that year of assessment –

(A) an accounting loss; or

(B) an accounting profit that would be reduced by more

than 50 per cent if the additional remuneration and
increase in National Minimum Wage payable as from
January 2024 to its employees who were in
employment as at December 2023, were deducted
from that accounting profit.

(9) Subject to this Part, the Director-General shall, for each of the months of
January 2024 to June 2024, pay to an employer, in respect of each of its
eligible employee –

(a) an allowance equivalent to 250 rupees; and

(b) an allowance equivalent to 25 per cent of the additional

remuneration payable to the employee,

* Please refer to endnotes at Appendix 1 Page 184 of 491

MRA THE INCOME TAX ACT 1995 185

where the employer –

(i) is an enterprise which, for the year of assessment 2022-

2023, had a turnover not exceeding 750 million rupees;

(ii) is operating in the –

(A) security or cleaning services sector; or

(B) construction industry; and

(iii) had for that year of assessment an accounting profit that

would be reduced by more than 10 per cent if the
additional remuneration and increase in National
Minimum Wage payable as from January 2024 to its
employees who were in employment as at December
2023, were deducted from that accounting profit.

(10) Subject to this Part, the Director-General shall pay the allowance referred
to in subsection (8) or (9), as the case may be, for such other months as
may be approved during the period from July 2024 to December 2024.

(11) Subject to this Part, the Director-General shall, for each of the months of
July 2024 to December 2024, pay to a bus operator, approved by the
Minister and providing public transport, in respect of each of its eligible
employee, an allowance equivalent to the additional remuneration payable
to the employee.

(12) (a) Subject to this Part, the Director-General shall, for the month of
December 2024, in respect of every eligible employee, pay to his
employer, in addition to the allowance payable under subsections (2)
to (11), an additional sum equivalent to that allowance.

(b) Where the eligible employee started employment with the employer
after January 2024, the allowance payable under paragraph (a) shall
be calculated proportionately as follows –

(A/B) x C

where –

A = the number of months the eligible employee was employed

by the employer in the year 2024;

B = 12; and

C = the allowance payable under subsections (2) to (11) for the

month of December 2024.

(13) No allowance shall be payable under –

(a) subsections (2)(a), (3)(a), (4)(a), (5)(a), (6)(a), (7)(a), (8)(a) and (9)(a); and

(b) subsection (10) in so far as it relates to subsections (8)(a) and (9)(a),

* Please refer to endnotes at Appendix 1 Page 185 of 491

MRA THE INCOME TAX ACT 1995 186

with respect to a month unless the eligible employee derives the National
Minimum Wage for that month.

(14) No allowance shall be payable under subsection (5) in respect of an

eligible employee where –

(a) the employee is employed by a nongovernment organisation registered

with the National Social Inclusion Foundation; and

(b) the salary of the employee is funded by the Ministry of Social

Integration, Social Security and National Solidarity or the National
Social Inclusion Foundation.

(15) Where an eligible employee drawing the National Minimum Wage in a

month is paid a basic salary which is lower than the National Minimum
Wage for that month on grounds of –

(a) leave without pay; or

(b) the eligible employee taking up employment after the beginning of that
month; or

(c) the eligible employee leaving his employment before the end of that
month,

the allowance payable under subsections (2), (3), (4), (5), (6), (7), (8), (9),
(10) and (11) shall be calculated on a proportionate basis, as follows –

(A/B) x C

where –

A = basic salary paid for the month

B = national minimum wage

C = the allowance payable under subsections (2) to (11).

(16) Where an employer is eligible to an allowance under more than one

subsection, the employer shall be paid the allowance which is more
favourable to him.

(17) An application for the allowance payable under subsections (2) to (9) and
(11) shall be made electronically to the Director-General in such form and
manner as he may determine.

(18) Section 150D(4)(a) to (c) and section 150D(5) to (7) shall apply to this
section with such adaptations and modifications as may be necessary to
enable the Director-General to pay the allowance.

* Please refer to endnotes at Appendix 1 Page 186 of 491

MRA THE INCOME TAX ACT 1995 187

PART XIIE – PRIME A L’EMPLOI SCHEME793*

15OF. Prime à l’Emploi Scheme794*

(1) In this section –

“basic wage or salary” –

(a) has the same meaning as in the Social Contribution and Social
Benefits Act 2021; and

(b) includes any payable additional remuneration;

“COVID-19 Solidarity Fund”; definition deleted795*

“eligible employee” –

(a) means a person employed on a full-time basis by an eligible

employer and –

(i) the person is a citizen of Mauritius and is resident in Mauritius;

(ii) on the date the person takes up employment with an eligible

employer, is above 18 years of age and –

(A) is not above 35 years of age, in the case of a male; or

(B) is not above 50 years of age, in the case of a female; and

(iii) the person was not employed for a period of at least 6 months
prior to the date on which the person takes employment with
an eligible employer;

(iv) whose basic wage or salary does not exceed 50,000 rupees in a
month; but

(b) does not include a person undergoing training or a household

employee;

“eligible employer” –

(a) means an employer established in Mauritius and includes –

(i) a company;

(ii) a société;

(iii) an association;

(iv) a trust;

(v) a foundation;

(vi) a co-operative;

* Please refer to endnotes at Appendix 1 Page 187 of 491

MRA THE INCOME TAX ACT 1995 188

(vii) a charitable institution approved by the Director-General or

registered under the Registration of Associations Act,
charitable trust or charitable foundation;

(viii) a religious body;

(ix) an individual who is an employer; but

(b) does not include –

(i) a Ministry, a Government department, a local authority, a

statutory body or the Rodrigues Regional Assembly;

(ii) a public enterprise;

(iii) a person employing only household employees;

(iv) such category of employer as may be prescribed;

“person with disabilities” means a person registered as such under the

Training and Employment of Disabled Persons Act 796*;

“public enterprise” means an institution which is either Government-

owned or Government-controlled, and which is entirely or majority-owned
or otherwise controlled by the Government or by any other public
institution;
797
“qualifying employee” *–

(a) means a female person or a person with disabilities who –

(i) is a citizen of Mauritius and is resident in Mauritius;

(ii) is employed on a full-time basis by an eligible employer;

(iia) is employed on a part-time basis by an eligible employer and works

for a minimum of 20 hours in a week798*;

(iii) subject to subparagraph (iiia), is above the age of 18 years on the

date of being employed by the eligible employer799*;

(iiia) is, during the period from 17 November 2023 to 30 June 2024
under the age of 62 years on the date of being employed by the
eligible employer800*;

(iv) was not employed for a period of at least 3 months prior to the date
of being employed by the eligible employer801*; and

(v) whose basic wage or salary does not exceed 50,000 rupees in a
month; but

(b) does not include a person undergoing training or a household

employee;

* Please refer to endnotes at Appendix 1 Page 188 of 491

MRA THE INCOME TAX ACT 1995 189

“scheme” means the Prime à l’Emploi Scheme;

“Solidarity Fund” means the Solidarity Fund established under the

Finance and Audit (Solidarity Fund) Regulations 2020802*.

(2) (a) Every eligible employer shall, in respect of every eligible employee
taking employment during the period starting on 1 July 2022 and ending
on 30 June 2023, apply to the Director-General, within 15 days from the
date the eligible employee takes up employment, for approval of the
employee as an eligible employee, giving details of the employee and such
other particulars as the Director-General may require.

(aa) Every eligible employer shall, in respect of every qualifying employee

taking employment during the period starting on 1 July 2023 and ending
on 30 June 2025, apply to the Director-General, within 15 days from the
date the qualifying employee takes up employment, for approval of the
employee as a qualifying employee, giving details of the employee and
such other particulars as the Director-General may require 803*.
(ab) Where an eligible employer terminates the employment of any
employee, he shall be required to wait at least 3 months prior to making
an application under the scheme804*.

(b) The Director-General shall approve or reject an application made

under paragraphs (a) and (aa) after verifications on the basis of
information available to him805*.

(c) The Director-General shall approve only the first 10,000 employees
who are eligible employees and in respect of whom an application has
been made under paragraph (a).

(3) (a) An eligible employer shall, for every month in respect of which an
allowance is payable to an approved eligible employee or qualifying
employee, make an application electronically to the Director-General, in
such form and manner as he may determine, giving details of each
approved eligible employee or qualifying employee and such other
particulars as may be required by him for the payment of the allowance
806
*.

(b) No allowance shall be payable in respect of a month where the

application under paragraph (a) is made by an employer 3 months after
the end of that month.

(c) An employer shall, in an application made under paragraph (a),

undertake to safeguard the employment of an approved eligible employee
or qualifying employee for a period of at least 3 years807*.

(d) The Director-General shall, within 10 working days from the end of
the month in which the applications are received –

(i) compile a list of applications received;

(ii) verify the applications based on available information at the

Authority; and

* Please refer to endnotes at Appendix 1 Page 189 of 491

MRA THE INCOME TAX ACT 1995 190

(iii) transmit qualifying applications and amount of funds required to

effect payment under the Scheme to the Solidarity Fund808*.

(4) (a) Subject to this Part, the Director-General shall, in respect of every
approved eligible employee, pay to his employer an allowance equivalent
to the basic wage or salary of that employee for that month, not exceeding
15,000 rupees, in the month he is employed and in the next 11
consecutive months immediately following the month of employment.

(aa) Subject to this Part, the Director-General shall, in respect of every

approved qualifying employee who is employed on a full-time basis, pay to
his employer an allowance equivalent to the basic wage or salary of that
employee for that month, not exceeding 15,000 rupees, in the month he
is employed and in the next 23 consecutive months immediately following
the month of employment 809*.

(ab) Subject to this Part, the Director-General shall, in respect of every

approved qualifying employee who is employed on a part-time basis, pay
to his employer an allowance equivalent to the basic wage or salary of
that employee for that month, not exceeding 7,500 rupees, in the month
he is employed and in the next 23 consecutive months immediately
following the month of employment810*.

(b) For the purpose of paragraphs (a) and (aa), an employee’s basic wage
or salary for a month shall be the basic wage or salary as declared by the
employer in the monthly return submitted by him under section 7 of the
Social Contribution and Social Benefits Act 2021 for that month 811*.

(c) The Director-General may refuse to pay the allowance under this Part
where an employer is not compliant, in respect, of an eligible employee or
qualifying employee, with his obligations under the Social Contribution
and Social Benefits Act 2021, the National Savings Fund Act, the Human
Resource Development Act and Part VIII of the Workers’ Rights Act
2019812*.

(5) The Director-General shall –

(a) in respect of every approved eligible employee taking employment

during the period starting on 1 July 2022 and ending on 31 December
2022 with an eligible employer, pay, in addition to the allowance payable
under subsection (4) –

(i) an additional sum for the month of December 2022 which is

equivalent to one twelfth of the allowance payable to the eligible
employee under subsection (4) for the period starting on 1 July
2022 and ending on 31 December 2022; and

(ii) an additional sum for the month of December 2023 which is

equivalent to one twelfth of the allowance payable to the eligible
employee under subsection (4) for the period starting on 1
January 2023 and ending on 31 December 2023;

* Please refer to endnotes at Appendix 1 Page 190 of 491

MRA THE INCOME TAX ACT 1995 191

(aa) in respect of every approved qualifying employee taking employment

during the period starting on 1 July 2023 and ending on 31 December
2023 with an eligible employer, pay, in addition to the allowance payable
under subsection (4)813* –

(i) an additional sum for the month of December 2023 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1 July
2023 and ending on 31 December 2023;

(ii) an additional sum for the month of December 2024 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1 January
2024 and ending on 31 December 2024; and

(iii) an additional sum for the month of December 2025 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1 January
2025 and ending on 31 December 2025;

(ab) in respect of every approved qualifying employee taking employment

during the period starting on 1 July 2024 and ending on 31
December 2024 with an eligible employer, pay, in addition to the
allowance payable under subsection (4)814* –

(i) an additional sum for the month of December 2024 which is

equivalent to one twelfth of the allowance payable to the
qualifying employee under subsection (4) for the period
starting on 1 July 2024 and ending on 31 December 2024;

(ii) an additional sum for the month of December 2025 which is

equivalent to one twelfth of the allowance payable to the
qualifying employee under subsection (4) for the period
starting on 1 January 2025 and ending on 31 December 2025;
and

(iii) an additional sum for the month of December 2026 which is

equivalent to one twelfth of the allowance payable to the
qualifying employee under subsection (4) for the period
starting on 1 January 2026 and ending on 31 December 2026.

(b) in respect of every eligible employee taking employment after 31

December 2022, in addition to the allowance payable under subsection
(4), pay an additional sum for the month of December 2023 which is
equivalent to one twelfth of the allowance payable to the eligible employee
under subsection (4) for the period starting on 1 January 2023 and
ending on 31 December 2023;815*

(c) in respect of every qualifying employee taking employment after 31

December 2023, in addition to the allowance payable under subsection
(4), pay816* –

(i). an additional sum for the month of December 2024 which is

equivalent to one twelfth of the allowance payable to the qualifying

* Please refer to endnotes at Appendix 1 Page 191 of 491

MRA THE INCOME TAX ACT 1995 192

employee under subsection (4) for the period starting on 1 January

2024 and ending on 31 December 2024;

(ii). an additional sum for the month of December 2025 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1 January
2025 and ending on 31 December 2025; and

(iii). an additional sum for the month of December 2026 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1 January
2026 and ending on 31 December 2026; and

(d) in respect of every qualifying employee taking employment after 31

December 2024, in addition to the allowance payable under
subsection (4), pay817* –

(i) an additional sum for the month of December 2025 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1
January 2025 and ending on 31 December 2025;

(ii) an additional sum for the month of December 2026 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1
January 2026 and ending on 31 December 2026; and

(iii) an additional sum for the month of December 2027 which is

equivalent to one twelfth of the allowance payable to the qualifying
employee under subsection (4) for the period starting on 1
January 2027 and ending on 31 December 2027.

(6) Where an employer has benefited from an allowance under this Part with
respect to a month and with respect to an eligible employee or qualifying
employee and fails to pay the basic wage or salary of that employee for
that month, the employer shall not be entitled to any allowance under
this Part for any subsequent month and shall be liable to refund the
allowance for that month to the Director-General 818*.

(7) Where an employer has benefited from an allowance in excess of the

amount to which he is entitled under this Part or has provided false,
incorrect, incomplete or inaccurate information to the Director-General,
the latter may recover the excess amount or allowance, as the case may
be, in the same manner as income tax is recoverable under Part IVC of
the Mauritius Revenue Authority Act.

(8) Where the Director-General determines that an employee in respect of

whom an allowance has been paid under this Part has not worked for the
employer to whom the allowance has been paid, the employer shall be
liable to refund the total allowance that has been paid under this Part in
respect of that employee.

(9) (a) The Director-General may, not later than 4 years after payment of an
allowance is made under this Part, request any information or document

* Please refer to endnotes at Appendix 1 Page 192 of 491

MRA THE INCOME TAX ACT 1995 193

from the employer or any employee to ascertain correctness of the

information provided under this Part, the National Pensions Act or the
Social Contribution and Social Benefits Act 2021, as applicable.

(b) The employer or any employee to whom a request is made under

paragraph (a) shall provide the Director-General with such information
and document as he may require.

(10) (a) Where an employer or his employee or any other person –

(i) makes a false declaration to the Director-General to unduly benefit

from an allowance under this Part; or

(ii) refuses to give information under subsection (9) or gives false

information under this Part,

he shall commit an offence and shall, on conviction, be liable to a fine

not exceeding 50,000 rupees and to imprisonment for a term not
exceeding 2 years.

(b) Where an employee, in respect of whom an allowance has been paid

under this Part has not worked for the employer, he shall commit an
offence and shall, on conviction, be liable to a fine not exceeding 50,000
rupees and to imprisonment for a term not exceeding 2 years.

(11) (a) Any payment made under the Scheme shall be financed by the
Solidarity Fund819*.

(b) The Director-General shall, on receipt of funds from the Solidarity

Fund, effect payment in respect of eligible employees or qualifying
employees by bank transfer 820*.

(12) Where the employer terminates the employment of an eligible employee

or a qualifying employee before the end of the period of 3 years, he shall
be liable to refund the total allowance that has been paid to him, under
this Part, in respect of that eligible employee or qualifying employee
821
*.

(13) The Minister may make such regulations as he thinks fit for the purpose
of this Part.

PART XIIF – HOUSING LOAN RELIEF SCHEME822*

150G. Housing Loan Relief Scheme

(1) In this section –

“secured housing loan” means a housing loan secured by mortgage or

fixed charge on immovable property and used exclusively for the
purchase, construction or extension of a house.

(2) Subject to this Part, the Director-General shall, with respect to a

month, pay an allowance of 1,000 rupees to an individual who has
contracted in his own name or jointly with –

* Please refer to endnotes at Appendix 1 Page 193 of 491

MRA THE INCOME TAX ACT 1995 194

(a) his spouse;

(b) an ascendant;

(c) a descendant or the descendant’s spouse; or

(d) his brother or sister,

a secured housing loan not exceeding 5 million rupees.

(3) The allowance shall be payable to an eligible individual for the months
of July 2023 to June 2025823*.

(4) Where a person has contracted a loan jointly with other persons, the
amount payable under subsection (2) shall –

(a) be paid to only one of the persons who have contracted the loan; and

(b) not exceed 1,000 rupees in a month.

(5) Where a person has contracted several loans, the amount payable to
that person under subsection (2), shall not exceed 1,000 rupees in a
month.

(6) Subject to subsection (7), no allowance shall be payable to an individual

under subsection (2) unless the individual –

(a) is a citizen of Mauritius;

(b) has contracted a secured housing loan from –

(i) a bank or a non-bank deposit taking institution under the

Banking Act;

(ii) an insurance company under the Insurance Act;

(iii) the Sugar Industry Pension Fund;

(iv) the Development Bank of Mauritius; or

(v) the Statutory Bodies Family Protection Fund;

(c) has, in Mauritius, purchased, constructed or extended the house for

which the secured housing loan has been contracted; and

(d) has effected a repayment exceeding 1,000 rupees in respect of the

secured housing loan in the month preceding the month in which
the relief is payable.

(7) For the purpose of subsection (6)(d), where –

(a) a loan has been contracted jointly, the amount of repayment made
in respect of that loan in a month shall, in aggregate, exceed 1,000
rupees; or

(b) a person has taken several loans, the amount of repayment made in
respect of those loans shall, in aggregate, exceed 1,000 rupees.

* Please refer to endnotes at Appendix 1 Page 194 of 491

MRA THE INCOME TAX ACT 1995 195

(8) The Director-General shall credit into a bank account in the name of an
eligible individual any allowance payable under this Part.

(9) For the purpose of this Part, every eligible individual shall make an
application under the Scheme and submit to the Director-General,
details of his bank account in such form and manner as the Director-
General may determine.

(10) Where a secured housing loan has been contracted jointly with another
person, the application shall specify the bank account in which the
payment shall be made.

(11) When an application is made by an individual under the Scheme, the

Director-General may pay the allowance for 12 consecutive months
immediately prior to the month in which the application is made,
provided that the allowance is not paid for any month prior to the
month of July 2023824*.

(12) No application shall be entertained under the Scheme after 31

December 2025825*.

(13) Notwithstanding the Banking Act, the Data Protection Act, the
Information and Communication Technologies Act and any other
enactment, every institution referred to in subsection (6)(b) shall furnish
electronically to the Director-General, on or before the fifteenth day in
every month, a statement of financial transactions of every individual
having effected a repayment exceeding 1,000 rupees, in the preceding
month, in respect of a secured housing loan not exceeding 5 million
rupees in such form and manner as he may determine, giving the
following information –

(a) the full name of the borrower;

(b) the amount of loan contracted and disbursed;

(c) the amount of loan repaid in the previous month; and

(d) such other particulars as may be required by the Director-General.

(14) Section 150D(6) and (7) shall apply to this section with such
adaptations and modifications as may be necessary to enable the
Director-General to pay the allowance.

(15) For the purpose of this Part, the Minister may make such regulations as
he thinks fit.

(16) Regulations made under subsection (15) may, on such terms and
conditions as the Minister may determine –

(a) vary the eligibility criteria and conditions for loans and eligible
individuals under the Scheme;

(b) change the mode and timing of the payment of the allowance;

(c) change the time limits regarding applications under the Scheme.

* Please refer to endnotes at Appendix 1 Page 195 of 491

MRA THE INCOME TAX ACT 1995 196

PART XIII – MISCELLANEOUS

151. Ascertainment of income tax in certain cases

(1) Where, for any of the purposes of this Act, including the application of
the provisions of any double taxation arrangement, it is necessary to
ascertain the amount of income tax payable by a taxpayer in respect
of any income of a particular nature or from a particular source
derived by him in an income year, the amount of income tax shall be
the product of the formula set out in subsection (2).

(2) The formula referred to in subsection (1) shall be -

a xc
b

where a is the amount in respect of which it is necessary to

ascertain the amount of tax;
b is the amount of the income that was taken into
account in calculating c;
c is the amount of income tax payable by the taxpayer
before allowing any credit for foreign income tax in
respect of income derived by him in that income year.

(2) Any reference to "income" in subsection (2) shall be construed

as a reference to income reduced by any deduction, allowance
or relief that may properly be regarded as referring to that
income, in particular,

(a) income derived by way of emoluments reduced by emoluments

relief;
(b) income derived from any business including agricultural
activities, reduced by –

(i) the amount of interest paid on capital employed in the

course of those activities; and

(ii) allowances allowed for assets used for the purposes of

those activities.

151A. Islamic financing arrangement 826

*
(1) The provisions of sections 7, 10, 19, 27A, 58, 84, 111A, 111B, 111C,
111K and 123 of this Act shall apply in relation to any Islamic
financing arrangement as if a reference in any of those provisions to
interest payable, paid, derived, received or incurred in relation to any
loan, deposit or mortgage were a reference to the effective return of the
Islamic financing arrangement.

* Please refer to endnotes at Appendix 1 Page 196 of 491

MRA THE INCOME TAX ACT 1995 197

(2) For the purposes of this section –

(a) “Islamic financing arrangement” means a financing
arrangement between –
(i) a bank and any other person, in so far as the
arrangement is related to its Islamic banking business;
or

(ii) a non-bank deposit taking institution and any other

person with respect to the acceptance of Islamic deposit
and the financing of the activities of the non-bank
deposit taking institution or such other activities as may
be approved by the central bank, the aims and
operations of which are, in addition to the conventional
good governance and risk management rules, in
consonance with the ethos and value system of Islam;
(b) “bank”, “Islamic banking business”, “non-bank deposit
taking institution” and “Islamic deposit” have the same
meaning as in the Banking Act 2004;
(c) “effective return” means the return in lieu of interest that is
payable, paid, derived, received or incurred under an Islamic
financing arrangement.

152. Refund of excess income tax

(1)827* (a) Subject to this section, where, in respect of an income year, a
person has paid tax of an amount in excess of the income tax
liability on his chargeable income or gross income, he may
claim a refund of the tax paid in excess provided he has
submitted a return under section 111V, 112, 116 or 119 828*.

(b) Where a person makes a claim under paragraph (a) and he has
not submitted a return of income under section 111V, 112, 116
or 119, he shall submit the return together with his claim 829*.

(2) (a) Subject to paragraph (b), a refund under subsection (1) shall be
made within a period of 60 days of the due date for the
submission of the return or the date of receipt of the claim,
whichever is the later.830*

(b) Where the Director-General requests a person to submit any

document or information in respect of a claim for refund of
excess income tax under this section, the time limit for the
refund shall run from the date of receipt of all such documents
and information requested.

(2A) Where the refund is made after the period specified in subsection
(2)(a) or (b), as the case may be, the refund shall carry interest, free of
income tax, at the prevailing Key rate determined by the Bank of
Mauritius.831*

* Please refer to endnotes at Appendix 1 Page 197 of 491

MRA THE INCOME TAX ACT 1995 198

(3) Any person may make a claim to the Director-General for a refund of
tax paid in excess within 3 years of assessment after the end of the
year of assessment in respect of which the tax was overpaid.832*

(4) Where a claim is made under subsection (3) and the Director-General
is satisfied that the claimant is entitled to the refund, he shall refund
the amount of tax so paid in excess.

(4A) Where a person has claimed a refund of tax in excess of the refund he
ought to have claimed, he shall be liable to a penalty of up to 25 per
cent on the amount of the excess refund claimed.833*

(4B) Any penalty charged under subsection (4A) shall be offset against the
amount of refund, where applicable.

(5) No refund under this section shall be made where the amount claimed
does not exceed 25 rupees.

152A. Erroneous refund 834

*
(1) Where any person has benefited through error from a refund, he shall
be liable to pay to the Director-General the amount of income tax
which has been erroneously refunded.

(2) The Director-General may, by written notice, order the person under
subsection (1) to pay, within 28 days of the date of the notice, the tax
which has been erroneously refunded.

(3) Where the person fails to pay the tax within the due date specified in
the notice under subsection (2), he shall be liable to pay, in addition to
the tax, interest at the rate of 0.5 per cent per month as from the date
immediately following the due date until the date of payment.835*

153. Keeping of books and records

(1)836* Subject to subsection (4), every person carrying on business or

deriving income other than emoluments shall keep, whether on
computer or otherwise, in the English or French language, proper
books, registers, accounts, records such as receipts, invoices and
vouchers, other documents such as contracts and agreements, and a
full and true record of all transactions and other acts engaged in by
him that are relevant for the purpose of enabling his gross income and
allowable deductions to be readily ascertainable by the Director-
General and for any other purposes of this Act.

(2) Every employer shall keep -

(a) records showing emoluments paid to each employee and tax

withheld from those emoluments; and

* Please refer to endnotes at Appendix 1 Page 198 of 491

MRA THE INCOME TAX ACT 1995 199

(b) the Employee Declaration Forms furnished by his employees.

(3) Every book, record or document required to be kept under this section
shall be kept for a period of at least 5 years after the completion of the
transaction, act or operation to which it relates.

(4) Every person carrying on business or deriving income other than

emoluments shall keep at all times such books and records on its
business premises as may be prescribed.837*

154. Secrecy

(1) Subject to subsection (4) and section 76, every officer shall -
(a) before he begins to perform his duties under this Act, take an
oath of fidelity and secrecy in conformity with this section;
(b) maintain and aid in maintaining the confidentiality and secrecy
of any matter relating to this Act which comes to his
knowledge.

(2)838*Except for the purposes of -

(a) this Act;
(b) any other revenue law;
(c) the National Pensions (Registration of Employers) Regulations
1977;
(d) the Statistics Act;
(e) exchanging information as specified in section 13(2)(ab), (ac) or
(ad) of the Mauritius Revenue Act;839*
(f) the Financial Crimes Commission Act 2023840* ;

(g) the Dangerous Drugs Act; or

(h) the Financial Intelligence and Anti-Money Laundering Act,841*

or where he is authorised in writing to do so by the Minister, no officer

shall communicate to any person any matter relating to this Act.

(2A) Notwithstanding subsection (2)(d), no officer shall, for the purposes of

the Statistics Act, disclose the name of an individual.842*

(3) Except where it is necessary to do so for the purpose of administering

this Act or any other revenue law or the National Pensions
(Registration of Employers) Regulations 1977 or in any proceedings
instituted under the Financial Crimes Commission Act 2023843*, no
officer shall be required to produce in any court any document or to

* Please refer to endnotes at Appendix 1 Page 199 of 491

MRA THE INCOME TAX ACT 1995 200

divulge or communicate to any court any matter coming to his

knowledge in the performance of his duties as an officer.

(4) Nothing in this section shall prevent the disclosure to a taxpayer or,
with his written consent, to any other person of -
(a) a document submitted to the Director-General by the taxpayer;
(b) an assessment made upon the taxpayer; or
(c) the amount of income tax paid or due by the taxpayer.

(4A) Notwithstanding subsections (1) to (4), any officer may exchange

information in respect of all the taxes falling under the purview of the
Multilateral Convention on Mutual Administrative Assistance in Tax
Matters signed by Mauritius.844*

(5) Any officer who, without lawful excuse, contravenes this section shall
commit an offence and shall, on conviction, be liable to a fine not
exceeding 5,000 rupees and to imprisonment for a term not exceeding
2 years.

155. Service of documents

(1) Any return, Statement of Income, payment or other document

required or authorised to be served on or given or made to the
Director-General shall be forwarded so as to reach the office of the
Director-General not later than the due date.845*

(2)846* Repealed.

(3) Any notice of assessment, determination or other notice required to be

served on or given to any person by the Director-General may be
served or given by -
(a) delivering it personally to him;
(b) leaving it at or sending it to his usual or last known business or
private address; or

(c) transmitting it electronically or through any other mechanical

or electronic device.847*

(4) Where a person -

(a) refuses to accept delivery of a letter addressed to him; or

(b) fails to take delivery of such a letter which he has been

informed awaits him at a post office,
the document shall be deemed to have been served on him on the date
on which he refused to accept the letter or was informed that the letter
was at the post office.

* Please refer to endnotes at Appendix 1 Page 200 of 491

MRA THE INCOME TAX ACT 1995 201

155A. Admissibility of documents produced by computer *

848

(1) In any legal proceedings under this Act or any regulations made
thereunder, a statement contained in a document generated by a
computer shall be admissible as evidence of any fact stated therein of
which direct oral evidence would be admissible if it is shown that the
prescribed conditions have been satisfied.

(2) Any person giving any information under this section which is false or
misleading in any material particular shall commit an offence and
shall, on conviction, be liable to a fine not exceeding 500,000 rupees
and to imprisonment for a term not exceeding 5 years.

156. Validity of notice of assessment or determination

The validity of a notice of assessment or a determination made under this

Act shall not be affected by reason of an error or mistake or omission as to -

(a) the name or address of the person;

(b) the date or period;
(c) the description of any income; or
(d) the amount of income tax assessed,

if the person intended to be assessed or affected is sufficiently designated

and the error or mistake or omission is not likely to deceive or mislead that
person.

157. Waiver of tax 849

*
(1) The Minister may, in the public interest, waive the whole or part of
any income tax payable by an insurer and any of its related
companies, including any amount withheld under section 93 or any
amount deducted under section 111C but not remitted to the
Director-General, where a special administrator has, pursuant to
section 110A of the Insurance Act, been appointed to the whole or
part of the business activities of the insurer and any of its related
activities.

(2) In this section –

“insurer” has the same meaning as in the Insurance Act.

158. Remission of tax

The Minister may remit or order the refund of the whole or part of any
income tax other than the tax payable under section 149.

* Please refer to endnotes at Appendix 1 Page 201 of 491

MRA THE INCOME TAX ACT 1995 202

159. Rulings

(1) Any person who derives or may derive any income may apply to the
Director-General for a ruling as to the application of this Act to that
income.

(2) An application under this section shall be in writing and shall -

(a) include full details of the transaction relating to the income

together with all documents relevant to the transaction;

(b) specify precisely the question as to which the ruling is required;

(c) give a full statement setting out the opinion of that person as to
the application of this Act to that income; and

(d) be accompanied by such fee as may be prescribed.

(3) The Director-General shall, subject to subsection (3B), within 30 days

of the receipt of an application under this section, give a ruling on the
question to the applicant.850*

(3A)851* Where an application is received under subsection (1), the Director-

General may, within 30 days of the receipt of the application, request
the applicant to furnish such additional documents and information
as he may require for giving the ruling.

(3B)852 Where the Director-General requests an applicant to submit any

document or information under subsection (3A), the time limit for the
ruling referred to in subsection (3) shall run as from the date all
documents and information have been submitted.

(3C) Where the application is in respect of an issue which is the subject of

an objection, representations before the Assessment Review
Committee or an appeal before the Supreme Court or Judicial
Committee of the Privy Council the Director-General shall not give a
ruling on that issue.853*

(4) Subject to subsection (5), a ruling under this section shall be binding
upon the Director-General.

(5) Where there is any material difference between the facts relating to the
transaction and the details contained in the application, the ruling
shall not be binding upon the Director-General.

(6) A ruling under this section shall be published by the Director-General

in such manner as he thinks fit except that the identity of the person
to whom it relates shall not be indicated.

(7) Subject to subsection (8), any person may rely upon a ruling
published under subsection (6) as a statement binding on the

* Please refer to endnotes at Appendix 1 Page 202 of 491

MRA THE INCOME TAX ACT 1995 203

Director-General as to the application of this Act to the facts set out in

that ruling.

(8) The Director-General may, by publication in the Gazette, notify that a

ruling which has been published shall cease to be binding with effect
from a date which shall not be earlier than the date of the notice.

159A.854* Statement of Practice

The Director-General shall, from time to time, issue and publish
Statements of Practice in relation to the application of specific provisions of
this Act.

160. Jurisdiction of Magistrate

(1)855* Notwithstanding -

(a) section 114(2) of the Courts Act; and

(b) section 72(5) of the District and Intermediate Courts (Criminal

Jurisdiction) Act,

a Magistrate shall subject to subsection (2)856* have jurisdiction to try

an offence under this Act or any regulations made under this Act and
may impose any penalty provided by this Act.

(2)857*The prosecution of an offence under any of the sections of the

enactments specified in the Fourth Schedule to the Mauritius Revenue
Authority Act 2004 shall take place, at the discretion of the Director of
Public Prosecutions, before a Judge sitting without a jury, the
Intermediate Court or a District Court.

161. Regulations
(1) The Minister may -
(a) make such regulations as he thinks fit for the purposes of this
Act;
(b) by regulations, amend the Schedules, other than the First
Schedule858*, the Fifth Schedule and the Seventh Schedule.

(2) Any regulations made under this section may provide for the levying of
fees and charges.

161A. Transitional provisions *

859

860
(1) [Taxation of qualified corporations] Deleted *
(2) [Tax credits for companies] Repealed 861
*

(2A)862*Notwithstanding the repeal of sections 69 and 72, the provisions of

those sections shall continue to apply to any company which has

* Please refer to endnotes at Appendix 1 Page 203 of 491

MRA THE INCOME TAX ACT 1995 204

subscribed, on or before 30 June 2006, to the share capital issued by

a company which is listed on the Stock Exchange or an equity fund or
an authorised mutual fund.

(2B) (a) Notwithstanding the repeal of section 69A but subject to

paragraph (b), the provisions of that section shall continue to
apply to a company which has subscribed, on or before 30
June 2008, to the share capital of a company set up for the
purpose of operating a spinning factory for an amount
exceeding 60 million rupees or at least 20 per cent of the stated
capital, whichever is the higher.

(b) The provisions of the repealed section 69A shall also apply to a
company that has subscribed, on or before 30 June 2008, to
the stated capital of a company engaged in weaving, dyeing and
knitting of fabrics for an amount exceeding 10 million rupees or
at least 20 per cent of the stated capital, whichever is the
higher.

(2C) Notwithstanding the repeal of sections 70 and 72, the provisions of

those sections shall continue to apply to a company holding an
investment certificate in respect of a modernisation and expansion
enterprise, issued under the Economic Development Board Act 2017
and in force as at 30 September 2006 which has incurred capital
expenditure on or before 30 June 2006 of not less than 10 million
rupees within 2 years from the date of the issue of the certificate, on
the acquisition of new plant and equipment or technology for
modernisation and expansion.863*

(2D) Repealed 864

*
865*
(3) [ Investment tax credits for individuals ] Repealed

(4) [ Savings ] Repealed *

866

(5) [Interest Relief ] Repealed 867

*

(6) Repealed 868

*

(6A) Repealed 869

*
Exempt income
(7) Repealed 870
*
(7A)871*Notwithstanding the repeal of item 33 of Part I of the Second
Schedule, the income of a company set up for the purpose of
operating a spinning, weaving, dyeing or knitting of fabrics factory
and –

(a) having started operations before 30 June 2006, shall be exempt

from income tax for a period of 10 income years as from the
income year it started operations; or

* Please refer to endnotes at Appendix 1 Page 204 of 491

MRA THE INCOME TAX ACT 1995 205

(b) starting operations during the period from 1 July 2006 to 30

June 2008, shall be exempt from income tax for all income
years up to and including income year ending 30 June 2016.

(7B) Notwithstanding the repeal of item 22 of Part IV of the Second

Schedule, the exemption provided under that item shall continue to be
granted to a company holding an investment certificate issued under
the Investment Promotion (Regional Headquarters Scheme)
Regulations 2001 and in force as at 30 September 2006.

(7C) Notwithstanding the repeal of item 29 of Part I of the Second

Schedule, the exemption provided under that item shall continue to be
granted to a company holding an investment certificate issued under
the Investment Promotion (ICT Scheme) Regulations 2002 and in force
as at 30 September 2006, subject to the following paragraphs -

(a) where during the period of exemption referred to in paragraph

(a) of the repealed item, a company provides services to
residents, the net income derived therefrom shall be subject to
income tax at the rate specified in Part I of the First Schedule to
the Act; 872*

(b) where on or after 1 July 2008 a company holding an

investment certificate issued on or before 30 June 2005 does
not satisfy the requirements of regulation 5 of the Investment
Promotion (ICT Scheme) Regulations 2002, the net income of
the company shall, notwithstanding paragraph (a) of the
repealed item, be subject to income tax at the rate specified in
Part I of the First Schedule to the Act;873*

(c) a company holding an investment certificate issued prior to 30

September 2006 in respect of business process
outsourcing/back office operations, call centres or contact
centres may, within 60 days of the date of the investment
certificate, by irrevocable notice in writing to the Director
General, elect to have two-thirds of its net income exempted;

(d) where a company has made an election in accordance with

paragraph (c), two-thirds of its net income shall be exempted
from income tax up to the income year ending 30 June 2012;

(e) paragraph (a) shall not apply to the net income derived up to 30
June 2008 by a company holding an investment certificate
issued on or before 30 June 2005.

(7D) Notwithstanding the other provisions of this Act, any loss incurred by
a company referred to in subsections (7A), (7B) and (7C) during the
period of exemption of its net income shall be available for carry
forward under section 59.

(7E) Notwithstanding this Act, any payment made after 30 June 2006, by
way of severance allowance, retiring allowance or commutation of
pension, to a person entitled to such payment on or before 30 June

* Please refer to endnotes at Appendix 1 Page 205 of 491

MRA THE INCOME TAX ACT 1995 206

2006 shall be exempt as provided under item 4, 5, or 6 of Part II of the

repealed Second Schedule.
(8) Where an employer has not, as at 20 January 2023, paid the full
amount of COVID-19 levy payable under section 111Z, the unpaid
amount including any outstanding penalty and interest, shall be
written off. 874*

(9) [ Investment relief ] Repealed

875
*

Investment Allowance

(10)876*Notwithstanding the repeal of section 64A, the provisions of that

section shall continue to apply to -

(a) a manufacturing company that has incurred capital

expenditure on the acquisition of state-of-the-art technological
equipment; or

(b) an ICT company that incurs up to 30 June 2008 capital

expenditure on the acquisition of new plant and machinery or
computer software.

[ Tax rate of duty free shops licensed on or before 30 September 2006 ] -

Repealed 877*

(11) Repealed

50% Personal Income tax exemption on emoluments of an expatriate or

specified Mauritian citizen

(12) Repealed *
878

Companies operating in the freeport zone

(13) Notwithstanding the repeal of section 49 -879*

(a) Repealed;880*

(b) Repealed;881*

(c) where a private freeport developer referred to in paragraph (b) is

licensed prior to 1 June 2002 and is authorised to provide
goods and services to a person outside the freeport zone -

(i) it shall be liable to income tax on its chargeable income

computed by reference to its income derived from the
provision of those goods and services at the rate
specified in Part I of the First Schedule; but 882*

(ii) it shall be exempt from income tax payable for all income
years up to and including income year ending 31

* Please refer to endnotes at Appendix 1 Page 206 of 491

MRA THE INCOME TAX ACT 1995 207

December 2013 in respect of income other than its

income referred to in subparagraph (i) and thereafter be
subject to tax at the rate specified in Part I of the First
Schedule;

(d) Repealed883*

(e) Repealed884*

(f) Repealed885*

(g) the chargeable income under paragraphs (b), and (c) shall be
computed in the manner prescribed under regulation 16 of the
Income Tax Regulations 1996;886*

(h) in this subsection, “private freeport developer” means a

company licensed as such under the Freeport Act 2004.”887*

(i) any income derived by a private freeport developer or freeport

operator from paper trading activities shall be exempt from
income tax payable for all income years commencing on 1 July
2003 and ending on 30 June 2011.888*

(13A) Notwithstanding the repeal of section 49, the provisions of that

section shall continue to apply until 30 June 2021 to any company
issued with a freeport certificate on or before 14 June 2018, except
that the rate of tax shall be as specified in Part IV of the First
Schedule.889*

Annual and Investment Allowance

(14) Notwithstanding section 63 and the repeal of section 64 but subject to

the other provisions of this subsection -
(a) a company whose application has been approved under the
Economic Development Board Act 2017, or whose proposed
activity has been approved under any other enactment may opt
by irrevocable notice in writing to the Director-General to claim
annual allowance in respect of capital expenditure incurred on
or before 30 June 2009 at the rates prevailing on 30 June
2006;890*

(b) where a company referred to in paragraph (a) has opted to

claim annual allowance at the rates prevailing on 30 June
2006, it shall also be allowed to claim investment allowances in
respect of capital expenditure incurred on or before 30 June
2009, on -

(i) the construction of industrial premises;

(ii) the acquisition of new plant and machinery; or

(iii) the acquisition of computer software,

* Please refer to endnotes at Appendix 1 Page 207 of 491

MRA THE INCOME TAX ACT 1995 208

and the company shall be allowed a deduction of 25 per cent of

the capital expenditure so incurred by way of investment
allowance in respect of the income year in which the
expenditure is incurred;

(c) no deduction shall be allowed under paragraph (b) in respect of

expenditure incurred in the acquisition of a road vehicle, other
than a new bus of a seating capacity of not less than 30;

(d) subject to paragraph (e), where capital expenditure has been

incurred on -

(i) the construction of industrial premises; or

(ii) the acquisition of new plant and machinery for the

processing of agricultural, fisheries or livestock products,
or for manufacture,

in the Island of Rodrigues, the company shall be allowed a

deduction of the capital expenditure so incurred by way of
investment allowance in respect of the income year in which the
expenditure is incurred;

(e) no deduction shall be allowed under paragraph (b) where the

person is allowed a deduction under paragraph (d);

(f) no investment allowance shall be allowed under this subsection

(i) unless

(A) the expenditure is incurred exclusively in the

production of gross income in the income year in
which the expenditure is incurred; and

(B) the provisions of section 153(1) are complied with;

(ii) in respect of expenditure incurred in the acquisition of

machinery or plant which is used or second-hand
machinery or plant at the date of its acquisition; or

(iii) where before the expiry of 5 years from the date on

which the expenditure was incurred -

(A) the industrial premises are sold, demolished or

destroyed, or ceased to be used exclusively as
industrial premises;

(B) the plant or machinery is sold, scrapped or ceases

to be used for the purposes of the trade carried on
by the person; or

(C) the trade carried on by the person is permanently

discontinued;

(g) subject to paragraph (h), where a deduction has been allowed

under this subsection and any of the events specified in
subparagraph (f)(iii) occurs, the deduction allowed shall be

* Please refer to endnotes at Appendix 1 Page 208 of 491

MRA THE INCOME TAX ACT 1995 209

withdrawn and the amount of the deduction so withdrawn shall

be deemed to be the gross income of the person in the income
year in which the event occurs;

(h) (i) paragraph (g) shall not apply -

(A) where a person sells or otherwise transfers plant or

machinery to a relative or to a related company and the
plant or machinery sold or transferred is used by the
relative or the related company for the production of
gross income;

(B) where a person sells or otherwise transfers industrial

premises to a relative or to a related company and the
premises sold or transferred are used by the relative or
the related company as industrial premises;

(C) in respect of industrial premises or plant or machinery

sold or otherwise transferred by a person or body of
persons engaged in a specified activity to a company
engaged in a specified activity provided that the company
or its holding company, as the case may be, satisfies the
conditions specified in section 12 of the Sugar Industry
Efficiency Act 2001.

(14A) Notwithstanding section 24 and regulation 7 and the Second Schedule

to the Income Tax Regulations 1996, accelerated annual allowance
shall be granted in respect of capital expenditure incurred during the
period from 1 January 2013 to 30 June 2018 as follows -891*

Rate of annual allowance –

Capital expenditure incurred on Percentage of

Base value Cost

30
Industrial premises dedicated to manufacturing

Plant or machinery costing 50,000 rupees or less - 100

-
Electronic and high-precision machinery (including 50
computer hardware and software)
-
Plant and machinery (excluding passenger car) by 50
a manufacturing company
-
Scientific research 50

(15) In subsection (14)(h) and (14A)892* -

“specified activity” means -

(i) the growing of sugar cane;

* Please refer to endnotes at Appendix 1 Page 209 of 491

MRA THE INCOME TAX ACT 1995 210

(ii) the milling of sugar; or

(iii) the processing of sugar cane by-products including the

production of firm or continuous electricity for export to the
grid through the use of bagasse or coal, as the case may be;

“green technology equipment expenditure” means any capital

expenditure, excluding capital expenditure on passenger car,
incurred on –893*

(a) renewable energy;

(b) energy-efficient equipment or noise control device;

(c) water-efficient plant and machinery and rainwater harvesting

equipment and system;

(d) pollution control equipment or device, including wastewater

recycling equipment;

(e) effective chemical hazard control device;

(f) desalination plant;

(g) composting equipment; or

(h) equipment for shredding, sorting and compacting plastic and

paper for recycling.

“holding company” has the same meaning as in the Companies Act

2001.

Losses

(16) Notwithstanding section 59, where a company referred to in

subsection (14)(a) has opted to claim annual and investment
allowances at the rates prevailing on 30 June 2006 and has losses
arising as a result of such claim, such losses may be carried forward
and set off against its net income derived in the 5 succeeding income
years following the income year in which the capital expenditure has
been incurred.

Voluntary disclosure incentive scheme (VDIS) 894

*
(17) Where a person makes, by 31 December 2007, a voluntary disclosure
of his undeclared or underdeclared income in respect of the 5 years of
assessment ended 30 June 2007, he shall, at the same time, pay tax
in accordance with the disclosure at the appropriate rate in force in
respect of each of the years of assessment, together with interest at
the rate 0.5 per cent per month as from the date the tax was due and
payable.

* Please refer to endnotes at Appendix 1 Page 210 of 491

MRA THE INCOME TAX ACT 1995 211

(18) Where the tax and interest under subsection (17) is not paid at the
time of the disclosure, any unpaid tax and interest shall carry interest
at the rate of 14 per cent per annum.

(19) Where a person makes a voluntary disclosure under subsection (17)

and the Director-General is satisfied with such disclosure, that person
shall be deemed, notwithstanding sections 146, 147, 148 and 149, not
to have committed an offence.

(20) The disclosure under subsection (17) shall be made in such form and
manner as may be determined by the Director-General.

Tax Arrears Settlement Scheme (TASS) 895

*

(21)896*(a) Where tax arrears outstanding as at 8 June 2017 are fully paid
by a person on or before 31 May 2018, any penalty and interest
included in the tax arrears shall be reduced by 100 per cent,
provided that an application for the reduction is made to the
Director-General on or before 31 March 2018.

(b) In paragraph (a) -

“tax arrears” -

(a) means tax and penalty due and payable under an

assessment issued or a return submitted on or before 30
June 2015; but

(b) does not include tax due under an assessment in respect

of which representations are pending before the
Assessment Review Committee, or an appeal is pending
before the Supreme Court or Judicial Committee of the
Privy Council.

(22)897*(a) Notwithstanding subsection (21), where tax is due as at 31

December 2012 under an assessment issued or a return
submitted on or before 01 July 1996, the Director-General
may refer the case, whether or not the person has made an
application, to the Panel set up under paragraph (b).

(b) The Director-General shall set up a Panel consisting of at least

3 officers, to review and revise the tax, penalties and interest
outstanding as at 31 December 2012, in such manner as the
Panel may deem appropriate, having regard to the person’s
financial position or personal circumstance.

(c) The Panel may require the person to appear before it, and
provide such information as may be required.

(d) The Director-General may, pursuant to paragraph (b), enter

into an agreement with the person for settlement of the debt.

* Please refer to endnotes at Appendix 1 Page 211 of 491

MRA THE INCOME TAX ACT 1995 212

(23) Subsections (21) and (22) shall not apply to any person -

(a) who has been convicted on or after 1 July 2001 of an offence

relating to;

(b) against whom any civil or criminal proceedings are pending or

contemplated in relation to an act of; or

(c) in relation to whom an enquiry is being conducted into an act

of,

trafficking of dangerous drugs, arms trafficking, or an offence related

to terrorism under the Prevention of Terrorism Act, money laundering
under the Financial Intelligence and Anti-Money Laundering Act or
corruption under the Prevention of Corruption Act. laundering under
the Financial Intelligence and Anti-Money Laundering Act or
corruption under the Prevention of Corruption Act.

Tax liability of companies

(24) Every company which, in respect of the year of assessment 2008-

2009, has a turnover exceeding 100 million rupees and pays tax under
Sub -Part AA of Part IV during that year of assessment, the company
may pay any tax payable in accordance with its return of income for
that year of assessment in 3 equal and consecutive yearly instalments
starting as from the year of assessment 2008-2009 within the time
specified in section 116.898*

(25) Every company which, in respect of the year of assessment 2009-

2010, has a turnover not exceeding 100 million rupees and pays tax
under Sub -Part AA of Part IV during that year of assessment, the
company may pay any tax payable in accordance with its return of
income for that year of assessment in 3 equal and consecutive yearly
instalments starting as from the year of assessment 2009-2010 within
the time specified in section 116.899*

Application of Advance Payment System 900*

(26) Notwithstanding any enactment, the provisions of Sub-Part AA of Part

IV shall, in relation to a company which, in respect of the year of
ssessment 2008- 2009, has a turnover not exceeding 100 million
rupees, come into operation on 1 July 2009.

Registration of construction projects 901*

(27) For the purposes of benefitting from exemption of registration duty and
land transfer tax under section 45A(5) of the Land (Duties and Taxes)
Act -

(a) on the transfer to a company of a plot of freehold land902* during

the period 1 January 2009 to 31 December 2010 for the

* Please refer to endnotes at Appendix 1 Page 212 of 491

MRA THE INCOME TAX ACT 1995 213

construction of any building thereon for sale, renting or its own

use; or

(b) upon transfer, on or before 30 June 2011, by a company of a

plot of freehold land903* together with a building or part of a
building thereon or by way of a vente à terme under article
1601-2, or a vente en l’état futur d’achèvement under article
1601-3, of the Code Civil Mauricien, the construction of which
has started on or after 1 January 2009, that company may,
subject to subsections (28) to (30), register with the
DirectorGeneral during the period 1 January 2009 to 31
December 2010 for such construction project.

(28) Registration under subsection (27) shall be subject to the conditions

that -

(a) the company is a company incorporated or registered under the

Companies Act;

(b) the total costs of construction of the buildings under the project
exceed 50 million rupees by 30 June 2011;

(c) the company submits at the time of registration -

(i) a brief on the nature of its business;

(ii) the site plan, location plan, extent and transcription

volume number of the land;

(iii) the pre-sale agreement in respect of the land, if any;

(iv) a business plan including project components and

description, total investment, estimated total costs of
construction and implementation schedule indicating the
estimated costs of works;

(v) the estimated number of jobs to be created during

construction and thereafter; and

(vi) the Outline Planning Permission (OPP) from the relevant

local authority.

(29) For the purpose of the exemption of registration duty and land transfer
tax, the costs of construction referred to in subsections (28)(b) and (32)
(b) shall not include the costs of ancillary infrastructure works such as
roads, walls, drains, landscaping and utility services.

(30) Subsection (27) shall not apply to a company implementing a project

under the Investment Promotion (Real Estate Development Scheme)
Regulations 2007.

(31) Where a company is registered with the Director-General under

subsection (27), the Director-General shall issue to the company a

* Please refer to endnotes at Appendix 1 Page 213 of 491

MRA THE INCOME TAX ACT 1995 214

certificate of registration on such terms and conditions, and in such

form and manner, as he may determine.

Monitoring costs of construction of building

(32) For the purposes of monitoring the costs of construction of the building
by the Director-General, the company registered under subsection (27)
shall -

(a) notify the Director-General in writing of the date on which the

construction has started; and

(b) submit to the Director-General, a report from a quantity

surveyor certifying the progress of works and the costs of
construction works completed, not later than 15 days after each
period of 6 months from the beginning of the construction.

Notification to Registrar-General

(33) The Director-General shall, notwithstanding section 154, give written

notice to the Registrar-General that the company has satisfied or has
failed to satisfy the condition specified in subsection (28)(b).

904*
Application of subsections (27) to (33) to leasehold land

(34) Subsections (27) to (33) shall, subject to subparagraph (b), apply to

leasehold land.

Taxation of income derived by individuals during the period 1 July to 31

December 2009 905*

(35) Notwithstanding the other provisions of this Act -

(a) income derived by an individual in the period 1 July to 31

December 2009 shall be deemed to be derived in the income
year ending on 31 December 2009 and shall be taxable in the
year of assessment ending on 31 December 2010;

(b) subject to the conditions provided under section 27, an

individual shall be entitled to an income exemption threshold as
follows -

(i) Category A 129,230 rupees

(ii) Category B 188,460 rupees
(iii) Category C 220,770 rupees
(iv) Category D 242,310 rupees
(v) Category E 153,460 rupees
(vi) Category F 212,690 rupees

(c) an individual shall not be entitled to claim an income exemption

* Please refer to endnotes at Appendix 1 Page 214 of 491

MRA THE INCOME TAX ACT 1995 215

threshold in respect of –

(i) Category B or Category F, where the net income and

exempt income of his dependent exceeds 59,230 rupees;

(ii) Category C, where the net income and exempt income of

his second dependent exceeds 32,310 rupees;

(iii) Category D, where the net income and exempt income of

his third dependent exceeds 21,540 rupees;

(d) where the net income and exempt income of the first dependent,
second dependent and third dependent of an individual
claiming an income exemption threshold does not exceed
59,230 rupees, 32,310 rupees and 21,540 rupees respectively,
the net income of the dependent or dependents shall be deemed
to be, and shall be added to, the net income of that individual;

(e) every individual who, in the CPS quarter ending 30 September

2009, derives gross income falling under Sub-Part B of Part VIII

(i) which exceeds the CPS threshold, whether or not he has

a chargeable income for that CPS quarter;or

(ii) which does not exceed the CPS threshold but he has a
chargeable income for that CPS quarter,

shall submit to the Director-General in respect of that CPS

quarter, a Statement of Income not later than 31 December
2009 and at the same time pay any tax payable in accordance
with that Statement of Income;

(f) the computation of chargeable income and tax thereon under

paragraph (e) shall be governed by the conditions specified
under Sub-Part B of Part VIII;

(g) the due date for the submission of return and payment of tax
under section 112 for the income year ending on 31 December
2009 shall be 5 April 2010;

(h) for the purposes of Sub-Part BB of Part VIII and section 112(c),
the income threshold of 385,000 rupees is reduced to 207,310
rupees in respect of the income year ending on 31 December
2009;

(i) the National Residential Property Tax imposed by section 111M

on an individual owning a residential property referred to in
Sub-Part BB of Part VIII shall be calculated in respect of the
income year ending on 31 December 2009 at 50 per cent of the
rates specified in the Seventh Schedule.

(j) an individual shall be deemed to be resident in Mauritius in the

income year ending on 31 December 2009 where he -

* Please refer to endnotes at Appendix 1 Page 215 of 491

MRA THE INCOME TAX ACT 1995 216

(i) has his domicile in Mauritius unless his permanent place

of abode is outside Mauritius;

(ii) has been present in Mauritius in that income year, for a

period of, or an aggregate period of, 90 days or more; or

(iii) has been present in Mauritius in that income year and

the 2 preceding income years, for an aggregate period of
225 days or more;

CSR Fund

(36) The amount of profit that a company is required to transfer to the CSR
Fund under section 50L out of its book profit derived in the year
forming the basis for the year of assessment ending on 30 June 2010
shall be calculated by applying the following formula -

2 X b X n
100 12
Where -

b is the book profit derived by the company in the year forming

the basis for the year of assessment ending on 30 June 2010;

n is the number of months starting on 1 July 2009 to the end of

the accounting year of the company forming the basis for the
year of assessment ending on 31 December 2010.

Tax credit in respect of tax withheld from interest in income year 2010906*
(37) (a) Where income tax has been deducted by a financial institution
from interest made available to an individual in the income year
ending 31 December 2010, the individual may claim a credit in
respect of the amount of income tax so deducted in two equal
instalments from his tax liability in respect of the income years
ending 31 December 2011 and 31 December 2012.
(b) Any credit under subparagraph (a) remaining unrelieved from
the tax liability of the individual in respect of the income year
ending 31 December 2011, shall be carried forward to the
following income year ending 31 December 2012.
(c) Any credit remaining unrelieved from the tax liability of the
individual in respect of the income year ending 31 December
2012, shall be refunded to the individual, following the
submission of his annual return of income under section 112.

Effective date of items 18 to 23 in Sub-Part C of Part II of Second Schedule907*

(38) Notwithstanding any enactment, items 18 to 23 in Sub-part C of Part
II of the Second Schedule shall be deemed to have had effect on 1
January 2011.

* Please refer to endnotes at Appendix 1 Page 216 of 491

MRA THE INCOME TAX ACT 1995 217

Voluntary Disclosure of Income Arrangement (VDIA)908*

(39) (a) Where, on or before 30 September 2013, a person makes a

voluntary disclosure of his undeclared income in respect of
any year of assessment preceding the year of assessment
ending on 31 December 2013, he shall, at the same time, pay
tax on that income at the rate of 15 per cent of his chargeable
income, free from any penalty and interest that may
have become due in accordance with this Act.

(b) The tax liability in respect of any undeclared income disclosed

under paragraph (a) shall be computed, but for the tax rate, in
accordance with the provisions of this Act in force in respect
of the year for which the income is declared.

(40) Where a person who has been assessed to tax in respect of a

year of assessment -

(a) has objected to the assessment under section 131A;

(b) has lodged a representation with the Clerk to the Assessment
Review Committee; or
(c) has appealed to the Supreme Court or to the Judicial
Committee of the Privy Council,

and the objection, representation or appeal is pending as at 30

September 2012, he may apply to the Director-General for the
income assessed to be considered as a voluntary disclosure of his
undeclared income under subsection (39).

(41) Where a person who has made an application under subsection

(40) withdraws his objection, representation or appeal, as the case
may be, his tax liability in respect of the income assessed shall be re-
computed without any penalty and interest that may have become
due and after taking into account any agreement reached between
the taxpayer and the Director-General on any item under dispute.

(42) (a) Where the tax under subsection (39) or (41), as the case may
be, is not paid in full on or before 30 September 2013, any
unpaid tax shall carry interest at the rate of 0.5 per cent
per month.909*

(b) The disclosure under this section shall be made in such form
and manner, and the payment of any tax liability shall be
governed by such other conditions, as may be determined by
the Director-General.

(c) Failure to comply with any condition under this subsection

shall entail the withdrawal of any benefits under this section to
the taxpayer.
(43) Where a person makes a voluntary disclosure of his undeclared

* Please refer to endnotes at Appendix 1 Page 217 of 491

MRA THE INCOME TAX ACT 1995 218

income under subsection (39) and the Director-General is satisfied

with such disclosure, that person shall be deemed, notwithstanding
sections 146, 146B, 147, 148 and 149, not to have committed an
offence.
(44) Subsections (39) to (43) shall not apply to any person -
(a) who has been convicted on or after 1 July 2001 of an offence
relating to;
(b) against whom any civil or criminal proceedings are pending or
contemplated in relation to an act of; or
(c) in relation to whom an enquiry is being conducted into an act
of,
trafficking of dangerous drugs, arms trafficking, or an offence related
to terrorism under the Prevention of Terrorism Act, money laundering
under the Financial Intelligence and Anti-Money Laundering Act or
corruption under the Prevention of Corruption Act.

Registration of construction of housing estates

(45) For the purposes of benefiting from exemption of registration duty and
land transfer tax under section 27 of the Registration Duty Act and
section 45A(9) of the Land (Duties and Taxes) Act -910*
(a) on the transfer to a company of a plot of freehold land during the
period 1 January 2012 to 31 December 2020 for the construction
of any housing estate thereon for sale; or911*
(b) on transfer, not later than 30 June 2022, by the company of a
plot of land together with a housing unit or by way of a vente en
l’état futur d’achèvement under article 1601-3 of the Code Civil
Mauricien, the construction of which has started on or after 1
January 2012,912*
that company may, subject to subsections (47) and (48), register with
the Director-General during the period from 1 January 2012 to 31
December 2020 for such construction of housing estates.913*
(46) Registration under subsection (45) shall be subject to the conditions
that -
(a) the company is a company incorporated or registered under the
Companies Act;
(b) the company submits at the time of registration -
(i) a brief on the nature of its business;
(ii) the site plan, location plan, extent and transcription
volume number of the land;
(iii) the pre-sale agreement in respect of the land, if any;
(iv) a business plan, including project components and
description, total investment, estimated total costs of
construction and implementation schedule; and

* Please refer to endnotes at Appendix 1 Page 218 of 491

MRA THE INCOME TAX ACT 1995 219

(v) the Outline Planning Permission (OPP) from the relevant

local authority;
(c) the housing estate comprises at least 5 residential units, the
construction of which shall be completed not later than 31
December 2021; and914*

(d)915* the sale value of a residential unit shall, where the registration
is made -

(i) from 1 January 2012 to 31 December 2012, not exceed

2.5 million rupees;

(ii) from 1 January 2013 to 30 June 2019, not exceed 6

million rupees; or916*

(iii) from 1 July 2020 to 31 December 2020, not exceed 7

million rupees.917*
(47) Where a company is registered with the Director-General under
subsection (45), the Director-General shall issue to the company a
certificate of registration on such terms and conditions, and in such
form and manner, as he may determine.

(48) For the purposes of monitoring the construction of the housing estate
by the Director-General, the company registered under subsection (45)
shall notify the Director-General in writing of the date on which the
construction has started and the date the construction of the housing
estate is completed.

Notification to Registrar-General

(49) The Director-General shall, notwithstanding section 154, give written

notice to the Registrar-General that a company has satisfied or has
failed to satisfy the condition specified in subsection (46).

(50) (a) Subject to the other provisions of this subsection, where a

company, which carries on in Mauritius the business of
manufacturing or producing any of the goods or products
specified in column 1 of the Ninth Schedule, has incurred
capital expenditure exceeding 100 million rupees, during the
period 1 January 2014 to 30 June 2016, on new plant and
machinery and such plant and machinery is used in that
activity, it shall be allowed a tax credit, by way of deduction
from its income tax otherwise payable in respect of the year of
acquisition and for each of the 2 subsequent income years, of
an amount equal to 5 per cent per annum of the cost of the
plant and machinery.918*
(b) Subject to paragraph (c), where the deduction under paragraph
(a) in respect of an income year exceeds the amount of income
tax otherwise payable for that income year, the excess may be

* Please refer to endnotes at Appendix 1 Page 219 of 491

MRA THE INCOME TAX ACT 1995 220

carried forward to the following income year.919*

(c) No deduction under paragraph (b) in respect of a capital
expenditure shall be carried forward beyond a periodof 5
consecutive income years following the income year in
which the capital expenditure was incurred.920*
(d) Where in an income year the plant and machinery is sold or
otherwise transferred, within a period of 5 years from the date
of its acquisition, the tax credit shall be withdrawn and any tax
credit claimed shall be deemed to be income tax payable to the
Director-General in that income year.921*
(e) In this subsection –922*
“plant and machinery” does not include motor cars.

(50A) (a) Subject to this subsection, where during the period 1 July 2016
to 30 June 2020 – 923*

(i) a company which carries on in Mauritius the business of

manufacturing or producing any of the goods or
products specified in the Ninth Schedule has incurred
capital expenditure on new plant and machinery and
such plant and machinery is used in that activity; or

(ii) a company has invested in the share capital of a

subsidiary company engaged primarily in the setting up
and management of an accredited business incubator,

it shall be allowed, by way of a deduction from its income tax

otherwise payable in respect of the year of acquisition or
investment and for each of the 2 subsequent income years, a
tax credit.

(aa) Subject to paragraph (ab), the tax credit referred to in

paragraph (a) shall be – 924*

(i) computed at the rate specified in the Ninth Schedule; or

(ii) amount equal to 15 per cent of the investment in the

share capital of a subsidiary company engaged primarily
in the setting up and management of an accredited
business incubator subject to a maximum of 3 million
rupees.

(ab) Notwithstanding paragraph (aa), where a company referred to

in paragraph (a)(i) derives gross income exclusively from the
export of goods or derives gross income from the export of
goods and other activities, the tax credit shall be computed in
such manner as may be prescribed.

(b) Subject to paragraph (c), where the deduction under paragraph

(a) in respect of an income year exceeds the amount of income

* Please refer to endnotes at Appendix 1 Page 220 of 491

MRA THE INCOME TAX ACT 1995 221

tax otherwise payable for that income year, the excess may be
carried forward to the following income year.

(c) No deduction under paragraph (b) in respect of a capital

expenditure shall be carried forward beyond a period of 10
consecutive income years following the income year in which
the capital expenditure was incurred.

(d) Where, in an income year, the plant and machinery or the

shares are sold or otherwise transferred, within a period of 5
years from the date of its acquisition, the tax credit claimed
shall be deemed to be income tax payable to the Director-
General in that income year.

(e) In this subsection –

“plant and machinery” does not include motor cars.

Taxation of income derived by individuals during the period 1 January to 30

June 2015 925

*

(51) Notwithstanding this Act –

(a) income derived by an individual in the period 1 January to 30

June 2015 shall be deemed to be derived in the income year
ending on 30 June 2015 and shall be taxable in the year of
assessment ending on 30 June 2016;

(b) subject to the conditions provided under section 27, an

individual shall be entitled to an income exemption threshold
as follows –
(i) Category A – 137,500 rupees;
(ii) Category B – 192,500 rupees;
(iii) Category C – 222,500 rupees;
(iv) Category D – 242,500 rupees;
(v) Category E – 162,500 rupees;
(vi) Category F – 217,500 rupees;

(c) an individual shall not be entitled to claim an income

exemption threshold in respect of –

(i) Category B or F, where the total of the net income and

exempt income of his dependent exceeds 55,000 rupees;

(ii) Category C, where the total of the net income and

exempt income of his second dependent exceeds 30,000
rupees;

* Please refer to endnotes at Appendix 1 Page 221 of 491

MRA THE INCOME TAX ACT 1995 222

(iii) Category D, where the total of the net income and

exempt income of his third dependent exceeds 20,000
rupees;

(d) where the total of the net income and exempt income of the first
dependent, second dependent and third dependent of an
individual claiming an income exemption threshold does not
exceed 55,000 rupees, 30,000 rupees and 20,000 rupees
respectively, the net income of the dependent or dependents
shall be deemed to be, and shall be added to, the net income of
that individual;

(e) Additional Exemption

(i) where the dependent under Category B, C, D or F is a

child pursuing a non-sponsored full-time undergraduate
course at a recognised tertiary educational institution,
the person shall, in addition to the income
exemptionthreshold he is entitled to, be eligible to an
additional exemption of –

(A) 40,000 rupees in respect of each dependent

pursuing his undergraduate course in Mauritius
at an institution recognised by the Tertiary
Education Commission established under the
Tertiary Education Commission Act; or

(B) 62,500 rupees in respect of each dependent

pursuing his undergraduate course outside
Mauritius at a recognized institution;

(ii) no exemption under subparagraph (i) shall be allowed –

(A) where the tuition fees for the period 1 January to

30 June 2015, excluding administration and
student union fees, are less than 44,500 rupees
for a child following an undergraduate course in
Mauritius; or

(B) where the income referred to in section 27A(5) of

the person, or the spouse of the person, as the
case may be, exceeds one million rupees for the
period 1 January to 30 June 2015;

(C) in respect of the same dependent for more than 3

and a half consecutive years;

(f) the relief under section 27A(1) and (2) shall be allowed for 5
consecutive years starting as from January 2011 and shall be –

(i) 60,000 rupees, in the case of a couple where either

spouse is a dependent spouse;

* Please refer to endnotes at Appendix 1 Page 222 of 491

MRA THE INCOME TAX ACT 1995 223

(ii) 60,000 rupees, in the case of a couple where neither

spouse is a dependent spouse or, at the spouses’ option,
divided equally for each spouse; or

(iii) in any other case, 60,000 rupees provided that in the

case of a couple, the relief shall not exceed, in the
aggregate, 60,000 rupees, or the actual amount,
whichever is the lesser;

(g) no relief under section 27A(1) shall be allowed where the

income of the person, or the spouse of the person, as the case
may be, exceeds one million rupees for the period 1 January to
30 June 2015;

(h) the relief under section 27B(2) shall not exceed the amount
specified in column 2 corresponding to the category specified in
column 1 of the following table –

COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold
(Rs)

Category A (no dependent) 6,000

Category B (one dependent) 6,000 for self

+ 6,000 for dependent

Category C 6,000 for self

(2 dependents) + 6,000 for first dependent
+ 3,000 for second dependent
Category D 6,000 for self
(3 dependents) + 6,000 for first dependent
+ 3,000 for second dependent
+ 3,000 for third dependent
Category E (retired or disabled 6,000
person with no dependent)

Category F (retired or disabled 6,000 for self

person having one dependent)
+ 6,000 for dependent

(i) where an individual is required under section 106 to submit a

CPS Statement of Income for the quarter ended 31 March 2015,
the due date for the submission of the CPS Statement and the
payment of tax shall be not later than 26 June 2015;

* Please refer to endnotes at Appendix 1 Page 223 of 491

MRA THE INCOME TAX ACT 1995 224

(j) the computation of chargeable income and tax thereon under

paragraph (i) shall be governed by the conditions specified in
Sub-part B of Part VIII;

(k) the due date for the submission of return and payment of tax
under section 112 for the income year ending on 30 June 2015
shall be 30 September 2015;

(l) notwithstanding paragraph (k), where an individual submits his

return under section 112 electronically through the computer
system of the Authority and at the same time makes payment,
through Internet banking, to the Director-General, of the tax
payable in accordance with the return, the due date for the
submission and for payment shall be 15 October 2015;

(m) an individual shall be considered to be resident in Mauritius in

the income year ending on 30 June 2015 where he –

(i) has his domicile in Mauritius unless his permanent

place of abode is outside Mauritius;

(ii) has been present inMauritius in that income year for a

period of, or an aggregate period of, 90 days or more; or

(iii) has been present in Mauritius in that income year and

the 2 preceding income years for an aggregate period of
225 days or more;

(n) the Statement of Emoluments and Tax Deduction required to

be given by an employer to an employee and the Return of
employees required to be given by an employer to the Director-
General under regulation 22 of the Income Tax Regulations
1996 not later than 15August 2015 shall be in respect of the
period 1 January 2015 to 30 June 2015.

Taxation of income derived by persons other than individuals during the

period 1 January to 30 June 2015 *
926

(52) Notwithstanding this Act –

(a) where a company has an approved return date ending on any

date falling on or between 1 January and 30 June 2015, the
return required to be submitted under section 116 shall be for
the year of assessment 2015/2016 which shall follow the
return required to be submitted under that section for the year
of assessment 2014 and this shall be taken into account when
determining the time limit to make assessments under section
130;

* Please refer to endnotes at Appendix 1 Page 224 of 491

MRA THE INCOME TAX ACT 1995 225

(b) where a company has an approved return date ending on any

date falling on or between 1 July and31 December 2015, the
return required to be submitted under section 116 shall be for
the year of assessment 2015/2016 which shall follow the
return required to be submitted under that section for the year
of assessment 2015 and this shall be taken into account when
determining the time limit to make assessments under section
130;

(c) where a company has an approved return date ending on any

date falling on or between 1 January and 30 June 2015, the
company shall not carry forward and set-off any unrelieved
amount of loss under section 59(2), subject to section 59(3), in
its return required to be submitted under section 116 for the
year of assessment 2015/2016 where the loss relates to the
year of assessment 2009;927*

(d) where a company has an approved return date ending on any

date falling on or between 1 July and 31 December 2015, the
company shall not carry forward and set-off any unrelieved
amount of loss under section 59(2), subject to section 59(3), in
its return required to be submitted under section 116 for the
year of assessment 2015/2016 where the loss relates to the
year of assessment 2010;928*

(e) where a person has an approved return date ending on any

date falling in December 2014, the due date for submission of
return and payment of tax under section 116 shall be 26 June
2015;

(f) the statement required to be given by a payer to a payee and to

the Director-General under section 111K(1), not later than 15
August 2015 and shall be in respect of the period 1 January
2015 to 30 June 2015;

(g) the returns and statements required to be submitted or given

under sections 119(1) and (2), 119A(1) and 120(1), not later
than 30 September 2015 and shall be in relation to the period 1
January 2015 to 30 June 2015.

Taxation of income derived by individuals for the income years 2015/2016

and 2016/2017 *
929

(52A) Notwithstanding this Act and any other enactment, an individual shall
be considered to be resident in Mauritius in each of the income years
2015/2016 and 2016/2017 where he –

(a) has his domicile in Mauritius unless his permanent place of

abode is outside Mauritius;

* Please refer to endnotes at Appendix 1 Page 225 of 491

MRA THE INCOME TAX ACT 1995 226

(b) has been present in Mauritius in each of those income years for
a period of 180 days or more; or

(c) has been present in Mauritius in each of those income years

and the 2 preceding income years for an aggregate period of
225 days or more.

Obligation to Withhold PAYE for September 2016 930

*
(53) Every employer shall, for the purpose of withholding income tax in
accordance with section 96 for the month of September 2016, take
into account the amount of income exemption threshold claimed by
the employee in his Employee Declaration Form in respect of the
income year ending 30 June 2016.

Excess CSR Payment

(54) Where on the coming into operation of section 50L, a company has
paid out its CSR Fund, a sum in excess of the amount provided for
under that Fund, the excess amount referred to in the repealed
section 50L(6) may be carried forward and offset in equal instalments
against any amount to be remitted under section 50L(2)(a) in respect
of 5 succeeding years starting as from year of assessment 2016/2017.

(55)931* (a) Where, during the period 1 July 2017 to 30 June 2027, a
person has incurred any qualifying expenditure directly related to his
existing trade or business, he may, in the income year in which the
qualifying expenditure was incurred, deduct twice the amount of the
expenditure, provided the research and development is carried out in
Mauritius and no deduction has been claimed under section 24.

(b) Notwithstanding section 18, where, during the period 1 July

2017 to 30 June 2027, a person has incurred qualifying
expenditure which is not directly related to his existing trade or
business, the Director-General may allow a deduction of the
expenditure in the income year in which the expenditure was
incurred.

(c) In this subsection –

“qualifying expenditure”–

(a) means any expenditure relating to research and development;

and

(b) includes –

(i) expenditure incurred on innovation, improvement or

development of a process, product or service;

* Please refer to endnotes at Appendix 1 Page 226 of 491

MRA THE INCOME TAX ACT 1995 227

(ii) staff costs, consumable items, computer software directly

used in research and development and subcontracted
research and development.

Definition of foreign source income *

932

(56) Notwithstanding the amendment brought to the definition of “foreign source

income” in section 2, the following provisions shall continue to apply –

(a) in the case of a corporation issued with a Category 1 Global

BusinessLicence under the Financial Services Act on or before 16
October 2017, the foreign source income shall, up to 30 June 2021,
include income derived from its transactions with non-residents or
corporations holding a Global Business Licence under the Financial
Services Act;

(b) in the case of a bank holding a banking licence under the Banking Act,
the foreign source income shall, up to the year of assessment
commencing on 1 July 2019, include income derived from its banking
transactions with –

(i) non-residents; or

(ii) corporations holding a Global Business Licence under the Financial

Services Act.

Category 2 Global Business Companies *

933

(57) (a) Notwithstanding the deletion of the item “A company holding a Category
2 Global Business Licence under the Financial Services Act” from Part I
of the Second Schedule, the exemption provided under that item shall
continue to apply until 30 June 2021 to any company issued with a
Category 2 Global Business Licence under the Financial Services Act on
or before 16 October 2017.

(b) Subsection (a) shall not apply to –

(i) such intellectual property assets acquired from a related party after
16 October 2017;

(ii) such intellectual property assets acquired from an unrelated party,

or such newly created intellectual property assets, after 30 June
2018;

(iii) income derived from such specific assets acquired or projects

started after 31 December 2018,

as the Director-General may determine.934*

* Please refer to endnotes at Appendix 1 Page 227 of 491

MRA THE INCOME TAX ACT 1995 228

Tax credit in respect of expenditure on new plant and machinery 935

*
(58) (a) Subject to the other provisions of this subsection, where, during the
period 1 July 2018 to 30 June 2020, a company engaged in the
importation of goods in semi knocked-down form incurs capital
expenditure in new plant and machinery, it shall be allowed, in the
year of acquisition and in each of the two subsequent income years,
a tax credit of an amount equal to 5 per cent of the cost of the new
plant and machinery.

(b) No credit shall be allowed where the local value addition

incorporated in the goods referred to in paragraph (a) is less than
20 per cent.

(c) In this subsection –

“plant and machinery” does not include motor cars.

(58A) 936*(a) Subject to paragraph (b), where, during the period 1 July 2020 to
30 June 2026, a manufacturing company incurs capital
expenditure on new plant and machinery, artificial intelligence
and patents, it shall be allowed, in the year of acquisition and in
each of the 2 subsequent income years, a tax credit of an amount
equal to 15 per cent of the cost of the new plant and
machinery937*.

(aa) Subject to paragraph (ab), where the deduction under paragraph

(a) in respect of an income year exceeds the amount of income tax
otherwise payable for that income year, the excess may be carried
forward to the following income year.938*

(ab) Where a company is engaged in the manufacture of both alcoholic

and non-alcoholic beverages and has incurred capital expenditure
on new plant and machinery, artificial intelligence and patents
used exclusively for the production of non-alcoholic drinks, it shall
be allowed to claim the deduction under paragraph (a)939*.

(ac) No deduction under paragraph (aa) in respect of a capital

expenditure shall be carried forward beyond a period of 10
consecutive income years following the income year in which the
capital expenditure was incurred.940*

(b) In this subsection –

“artificial intelligence” has the same meaning as in the Financial

Services (Robotic and Artificial Intelligence Enabled Advisory
Services) Rules 2021941*;

“plant and machinery” does not include motor cars.

* Please refer to endnotes at Appendix 1 Page 228 of 491

MRA THE INCOME TAX ACT 1995 229

Deduction in respect of emoluments payable to homeworkers *

942

(59) (a) Notwithstanding section 18, but subject to paragraph (b), where
during the period 1 July 2018 to 30 June 2020, a person employs a
full-time homeworker, he shall be allowed to deduct from his gross
income, other than gross income specified in section 10 (1)(a), an
amount equal to 200 per cent of the emoluments payable to the
homeworker.

(b) Paragraph (a) shall apply where the person satisfies the following
conditions –

(i) he has acquired the necessary information technology system

to enable the homeworker to work from home;

(ii) he employs more than 5 homeworkers at any time during the

year;

(iii) the monthly emoluments, excluding the end of year bonus

under the End of the Year Gratuity Act, payable to the
homeworker do not exceed 100,000 rupees; and

(iv) the Director-General is satisfied that the homeworker has

started to work from home on or after 1 July 2018.

(c) The deduction under paragraph (a) shall be allowed in respect of

emoluments payable to a homeworker during a period not
exceeding 24 consecutive months starting from 1 July 2018 or the
month in which the homeworker starts working from home, as the
case may be.

(d) In this subsection –

“homeworker” has the same meaning as in the Employment Rights

Act.

Tax credit in respect of expenditure on information technology system 943

*
(60) Notwithstanding this Act where, during the period 1 July 2018 to 30 June
2020, a person incurs capital expenditure on information technology systems
for the purpose of employing homeworkers referred to in subsection (59), he
shall be allowed, in the year of acquisition and in each of the two subsequent
income years, a tax credit of an amount equal to 5 per cent of the cost of the
information technology system.

Investment banking licence 944

*
(61) Notwithstanding the deletion of item 30 (1)(c) of Sub-part C of Part II of the
Second Schedule, the provisions of that section shall continue to apply to

* Please refer to endnotes at Appendix 1 Page 229 of 491

MRA THE INCOME TAX ACT 1995 230

any corporation issued with an investment banking licence during the period
starting on 1 September 2016 and ending on 8 August 2018 for a period of 5
income years as from the income year in which the corporation was granted
its licence.

Imposition of tax on banks 945

*
(62) Notwithstanding sections 4 (1)(b) and 44C, companies engaged in banking
activities shall be liable to income tax at the rate specified in Part IV of the
First Schedule up to and including the year of assessment commencing on 1
July 2019.

Voluntary Disclosure of Income Scheme – Foreign Assets946*

(63) (a) Where, on or before 26 June 2020, a person makes a voluntary

disclosure of his undeclared income in respect of any year of
assessment preceding the year of assessment ending on 30 June
2020, he shall, at the same time, pay tax on that income at the rate of
15 per cent of his chargeable income, free from any penalty and
interest which may have become due in accordance with this Act.947*

(b) The Scheme shall apply only to undisclosed income derived from
Mauritius but held offshore in bank accounts or used to purchase
assets offshore.

(c) Where the tax under paragraph (a) is not paid in full on or before 26
June 2020, any unpaid tax shall carry interest at the rate of 0.5 per
cent per month.948*

(d) The disclosure under this subsection shall be made in such form and
manner, and the payment of any tax liability shall be governed by
such other conditions, as the Director-General may determine.

(e) Paragraphs (a) to (d) shall not apply to any person –

(i) who has been convicted on or after 1 July 2001 of an offence

relating to;

(ii) against whom any civil or criminal proceedings are pending or

contemplated in relation to an act of; or

(iii) in relation to whom an enquiry is being conducted into an act of,

trafficking in dangerous drugs, arms trafficking, or an offence related

to terrorism under the Prevention of Terrorism Act, money laundering
under the Financial Intelligence and Anti-Money Laundering Act or
corruption under the Prevention of Corruption Act.

(f) The disclosure under paragraph (a) shall be supported by

documentary evidence on existence of offshore assets.

* Please refer to endnotes at Appendix 1 Page 230 of 491

MRA THE INCOME TAX ACT 1995 231

Additional investment allowance to companies affected by COVID-19949*

(64) (a) Subject to paragraph (b), where a company has, during the period 1
March 2020 to 30 June 2020, incurred capital expenditure on the
acquisition of new plant and machinery, it shall, in addition to the
deduction to which it may be entitled under section 63, be allowed a
deduction of 100 per cent of the capital expenditure so incurred by
way of investment allowance in respect of the income year in which
the expenditure is incurred.

(b) A company shall be entitled to the additional allowance under

paragraph (a) provided that it satisfies the Director-General that it has
been adversely affected by COVID-19.

(c) In this subsection –

“COVID-19” has the same meaning as in section 150B(1);

“plant and machinery” does not include motor cars.

Extension of time for payment of corporate income tax for companies

operating in the tourism industry

(65)950* Notwithstanding this Act or section 21R(2) of the Mauritius Revenue

Authority Act, any company engaged in an activity in the tourism industry
specified in Part I of the Twelfth Schedule of the Income Tax Regulations
1996 is and having an accounting period ending on any date during the
period September 2019 to June 2020 shall pay the tax due in accordance
with its annual return of income submitted under section 116 as follows –

(a) half of the tax on or before 29 December 2020; and

(b) the remainder on or before 28 June 2021.

(66)951* Notwithstanding this Act, where a company specified in Part I of the

Twelfth Schedule of the Income Tax Regulations 1996 is required to pay
tax under Sub-part AA for any quarter and the due date for payment falls
during the calendar year 2020, it shall pay the tax as follows –

(a) half of the tax on or before 29 December 2020; and

(b) the remainder on or before 28 June 2021.

Extension of time for the submission of APS Statement and payment of the
tax under APS

(67) Notwithstanding this Act and subject to subsection (68), where a

company, other than a company specified in Part I of the Twelfth

* Please refer to endnotes at Appendix 1 Page 231 of 491

MRA THE INCOME TAX ACT 1995 232

Schedule of the Income Tax Regulations 1996, is required to submit an

APS Statement and pay tax under Sub-part AA of Part IV in respect of a
quarter and the due date for the submission of the statement and
payment of the tax for that quarter falls in any of the months of
November 2020 to May 2021, it shall submit the statement and pay the
tax due on or before 30 June 2021.952*

(68)953* (a) Notwithstanding this Act and subject to paragraphs (b) and (c), a
company whose accounting period ends in the month of November
2020 or December 2020 shall not be required to submit an APS
Statement and pay tax under Sub-part AA of Part IV in respect of the
quarter ending in August 2020 or September 2020, respectively.

(b) Paragraph (a) shall not apply to a company –

(i) where accounting period ends in the month of November 2020

or December 2020; and

(ii) which fails to submit its return and pay tax in accordance
with section 116 with respect to the accounting period ending
in the month of November 2020 or December 2020.

(c) Paragraphs (a) and (b) shall not apply to a company specified in Part
I of the Twelfth Schedule of the Income Tax Regulations 1996.

Waiving of obligation for the submission of CPS Statement and payment of the
tax under CPS

(69) Notwithstanding this Act and subject to subsection (70), no CPS

Statement is required to be submitted or tax paid, under Sub-part B of
Part VIII, in respect of any CPS quarter of the income year
commencing on 1 July 2020.954*

(70) The return required to be submitted under section 112 shall include
the income derived by an individual with respect to the income year
commencing on 1 July 2020 and the chargeable income and tax
payable shall be calculated in relation to that year.955*

(71)956* (a) Notwithstanding the repeal of subsection 46(3), the exemption

provided under that subsection shall continue to apply up to Year of
Assessment 2024-2025 to any trust which –

(i) is set up before 30 June 2021;

(ii) qualifies under subsection 46(2); and

(iii) deposits a declaration of non-residence for any of the income

year covered by the grandfathering period with the Director-
General within three months after the expiry of that income year.

* Please refer to endnotes at Appendix 1 Page 232 of 491

MRA THE INCOME TAX ACT 1995 233

(b) Subparagraph (a) shall not apply to –

(i) intellectual property assets acquired from a related party

after 30 June 2021;

(ii) intellectual property assets acquired from an unrelated party, or

to such newly created intellectual property assets, after 30 June
2021;

(iii) income derived from such specific assets acquired, or projects

started, after 30 June 2021, as the Director-General may
determine.

(c) In subparagraph (b) –

“intellectual property asset” includes any –

(i) copyright of literary, artistic or scientific work;

(ii) patent, trade mark, design or model;

(iii) plan; or

(iv) secret formula or process.

(72)957* (a) Notwithstanding the repeal of subsections (2) and (3) of section 49A,
the provisions of these subsections shall continue to apply up to
Year of Assessment 2024-2025 to any Foundation which –

(i) has been set up before 30 June 2021;

(ii) qualified under the repealed subsection 49A(2); and

(iii) deposits a declaration of non-residence for any of the

income year covered by the grandfathering period with
the Director-General within 3 months after the expiry of
that income year.

(b) Subparagraph (a) shall not apply to –

(i) intellectual property assets acquired from a related party

after 30 June 2021;

(ii) intellectual property assets acquired from an unrelated

party, or to such newly created intellectual property
assets, after 30 June 2021;

(iii) income derived from such specific assets acquired, or

projects started, after 30 June 2021, as the Director-
General may determine.

* Please refer to endnotes at Appendix 1 Page 233 of 491

MRA THE INCOME TAX ACT 1995 234

(c) In subparagraph (b) –

“intellectual property asset” includes any –

(i) copyright of literary, artistic or scientific work;

(ii) patent, trade mark, design or model;

(iii) plan; or

(iv) secret formula or process.

(73) Notwithstanding the repeal of items 10B, 13(a), 32, 35, 37, 43, 51, 53, 54
and 55 of Sub-part C of Part II of the Second Schedule, any company
having benefitted under any repealed item shall continue to benefit from
that item.958*

Waiving of penalties and interests

(74)959* Where a person is a small and medium enterprise –

(a) which has an annual turnover not exceeding 100 million rupees;

(b) has outstanding penalties as at 25 March 2022 for late submission of

returns or statements of income required to be submitted under section
106, 112, 112A, 116 or 119; and

(c) has been issued with a claim on or before 25 March 2022 for the
payment of the penalty for late submission of return or statement of income
imposed under section 109 or 121, or has submitted the return or
statement of income required to be submitted under section 106, 112,
112A, 116 or 119 on or before 25 March 2022,

the penalties imposed under section 109 or 121 shall be waived provided
that –

(i) the due date for the submission of the return or statement falls in
the year 2020 or 2021; and

(ii) the tax payable in accordance with the return or statement has
duly been paid.

(75)960* Where a person is a small and medium enterprise –

(a) which has an annual turnover not exceeding 100 million rupees; and

(b) has outstanding penalties or interests as at 25 March 2022 for late

payment or non-payment of tax payable in accordance with returns or
statements submitted in accordance with section 50B, 106, 112 or 116,

* Please refer to endnotes at Appendix 1 Page 234 of 491

MRA THE INCOME TAX ACT 1995 235

the penalties and interests imposed under section 50F, 110, 122 or 122D
shall be waived provided –

(i) the return or statement has been submitted on or before 25 March

2022;

(ii) the due date for the payment of the tax falls in the year 2020 or
2021; and

(iii) the tax payable in accordance with the return or statement has
duly been paid.

162. Repeal and savings

(1) Subject to section 161A961*, the Income Tax Act and the Income Tax
(Collection, Recovery and Repayment) Act are repealed.

(2) Notwithstanding the repeal of the Income Tax Act and the Income Tax
(Collection, Recovery and Repayment) Act, any act or thing done
under those Acts shall be deemed to have been done under this Act.

163. Commencement

Subject to section 161A, this Act shall come into operation -

(a) in relation to an individual, on 1 July 1996 in respect of the income

year commencing on 1 July 1996 and in respect of every subsequent
income year; and

(b) in relation to any other person, on 1 July 1996 in respect of the year
of assessment commencing on 1 July 1996 and in respect of every
subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 235 of 491

MRA THE INCOME TAX ACT 1995 236

FIRST SCHEDULE 962*

[Sections 4 and 44B]
PART I

Chargeable Income Rate of Income Tax

First 390,000 rupees 0 per cent

Next 40,000 rupees 2 per cent

Next 40,000 rupees 4 per cent

Next 60,000 rupees 6 per cent

Next 60,000 rupees 8 per cent

Next 300,000 rupees 10 per cent

Next 300,000 rupees 12 per cent

Next 300,000 rupees 14 per cent

Next 400,000 rupees 16 per cent

Next 500,000 rupees 18 per cent

Remainder 20 per cent

PART II
Rate of income tax
3 per cent

PART III *
963

Chargeable income – Rate of income tax

(a) first 1.5 billion rupees 5 per cent

b) remainder 15 per cent

PART IV
Rate of income tax 15 per cent

964
*
965
*
966
*

* Please refer to endnotes at Appendix 1 Page 236 of 491

MRA THE INCOME TAX ACT 1995 237

SECOND SCHEDULE
(sections 2 and 7)
Part I - Exempt bodies of persons

1. A charitable institution, a charitable Foundation or a charitable trust.967*

2. A société de secours mutuels.
3. A benevolent association.
4. A trade union.
5. A local authority.
6. The National Pensions Fund established under the National Pensions Act.
7. The Sugar Industry Pension Fund.
8. A superannuation fund.
9. A trust in respect of a superannuation fund.
10. The Agricultural Research Fund.
11. The Sugar Insurance Fund.
12. The Sugar Planters Fund.
13. The Sugar Employees Fund.

14. The Mauritius Cane Industry Authority.968*

15. An equity fund.

16. A special purpose fund established under the Financial Services Act.969*

[17. The Mauritius Sugar Terminal Corporation.] Deleted *

970

18. The Food and Agricultural Research Council.

[19. A company holding a Category 2 Global Business Licence under the

Financial Services Act 2007.] Deleted 971

*
20. An international organisation approved by the competent authority.

21. The Mauritius Sugar Syndicate. 972

*
21A. The Mauritius Renewable Energy Agency973*

22. The Insurance Industry Compensation Fund.974*

23. [The SIC Development Co. Ltd] Deleted975*

24. A subsidiary company of the Bank of Mauritius976*

25. SIC Development Co. Ltd977*

26. SME Mauritius Ltd978*

27. Civil Service College,Mauritius979*

28. Investment Support Programme (ISP) Limited980*

* Please refer to endnotes at Appendix 1 Page 237 of 491

MRA THE INCOME TAX ACT 1995 238

Part II - Exempt income

Sub-Part A - Emoluments

1. Emoluments derived from the office of the President or Vice-President.

2. Any rent allowance payable to a person appointed to an office in -

(a) the Police Force;

(b) the Fire Services;
(c) the Forests Division of the Ministry of Agriculture and Natural
Resources;
(d) the Prisons and Industrial School Service;
(e) the Ministry of Fisheries;
(f) the Department of Civil Aviation; or
(g) the Fire Unit of the Mauritius Marine Authority.

3. Any housing allowance not exceeding 100 rupees per month payable
by an employer to an employee under any enactment or by virtue of
an award made under an enactment.

4. Any transport allowance payable by an employer to an employee by

virtue of the terms and conditions of service equivalent to -

(a) the return bus fare between residence and place of work;

(b) petrol allowance, commuted travelling allowance and travel

grant payable by the Government of Mauritius and the local
authority to their employees; or

(c) the actual petrol or travelling allowance paid or 25 per cent of

the monthly basic salary up to a maximum of 20,000 981*
rupees, whichever is the lesser, provided that the employee
makes use of a private car registered in his own name for
attending duty and for the performance of the duties of his
office or employment.

5. Passage benefits provided under a contract of employment not

exceeding 6 per cent of the basic salary.

6. The first 3 million rupees of the aggregate amount received -982*

(a) as lump sum by way of commutation of pension or by way of

death gratuity or as consolidated compensation for death or
injury, and paid -

(i) by virtue of any enactment;

(ii) from a superannuation fund; and
(iii) under a personal pension scheme approved by the
Director-General;

* Please refer to endnotes at Appendix 1 Page 238 of 491

MRA THE INCOME TAX ACT 1995 239

(b) as lump sum under the National Savings Fund Act;

(c) by way of retiring allowance;

(d) by way of severance allowance determined in accordance with

the Labour Act; and

(e) as compensation negotiated under section 42 of the

Employment Rights Act, limited to the amount of severance
allowance referred to in section 46(5)(i) and (ii) of that Act,983*

on such conditions as may be prescribed.

7. Any payment of foreign service allowance, reimbursement of the cost

or payment of personal and private expenses including medical
expenses, to homebased staff of overseas mission.984*

8. Any advantage in money or in money’s worth received as lump sum by

an employee voluntarily terminating his contract of employment in the
context of a factory closure pursuant to the Cane Planters and Millers
Arbitration and Control Board Act or under the Voluntary Retirement
Scheme under the Sugar Industry Efficiency Act 2001.

9. Any benefit to an employee for a payment by his employer to provide a

pension or retiring allowance for the employee or his dependents and
which is an allowable deduction under section 22 or 61, as the case
may be.

10. Any benefit to an employee for a payment by his employer to a scheme

approved by the Director-General to provide against medical expenses
for the employee or his dependents and which is an allowable
deduction under section 22 or 61, as the case may be.

11. Emoluments of a non-citizen who holds office in Mauritius as an

official of a Government other than the Government of Mauritius and
is posted to Mauritius for that purpose.

12. Any foreign service allowance payable under a contract of employment

to staff of statutory bodies posted abroad, as may be approved by the
Director-General. 985 *

13. Repealed.986*

14. Any car allowance payable in lieu of duty exemption on a car, to a

public officer, an officer of a local authority, or officer of a statutory
body, whose terms and conditions of service are governed by the 2013
Report of the Pay Research Bureau.987*

15. Salaries and emoluments derived by an employee who is a citizen of

Mauritius or who holds a permanent residence permit under the
Immigration Act from his employment with the Liaison Office located
in Mauritius, of the Bank referred to in the International Financial
Organisations Act.988*

* Please refer to endnotes at Appendix 1 Page 239 of 491

MRA THE INCOME TAX ACT 1995 240

16. Emoluments derived by a seafarer from his employment on a vessel

registered in Mauritius or on a foreign vessel.989*

17. (1) Subject to paragraph (2), emoluments derived by an employee

from his employment with a corporation licensed by the
Financial Services Commission established under the Financial
Services Act, provided that the employee manages an asset
base of not less than USD 50 million and is issued with -990*

(a) an Asset Manager Certificate;

(b) a Fund Manager Certificate; or

(c) an Asset and Fund Manager Certificate,

on or after 1 September 2016, by the Financial Services

Commission established under the Financial Services Act.

(2) The exemption shall be for a period of 10 income years as from

the income year in which the employee was granted the
certificate referred to in paragraph (1).991*

18. An allowance not exceeding 15,000 rupees payable to an officer or

employee who has been required to work on the frontline during the

COVID-19 period where such allowance –992*

(a) is payable by the Government; or

(b) is financed by the COVID-19 Solidarity Fund.

19. Any monthly allowance paid by an employer to an employee equivalent

to the amount payable by the employee as social contribution under

section 3 of the Social Contribution and Social Benefits Act 2021.993*

20. Any sum payable by Government or a public sector body to any

person as compensation for losses incurred by him, directly or

indirectly, as a result of a natural disaster994*.

* Please refer to endnotes at Appendix 1 Page 240 of 491

MRA THE INCOME TAX ACT 1995 241

Sub-Part B - Dividends, Interest and Royalty

1. Dividends -

(a) paid by a company resident in Mauritius ; or

(b) paid by a co-operative society registered under the Co-operative

Societies Act.

2. Deleted 995
*

3. Interest payable on -

(a) a balance maintained in a bank holding a banking licence under the

Banking Act 2004 by an individual who is not resident in Mauritius;

(b) Deleted;996*

(c)997* a savings or fixed deposit account held by an individual, a société or a

succession with any bank or a non-bank deposit taking institution
under the Banking Act;

(d) Government securities, debentures and sukuks quoted on the stock

exchange and Bank of Mauritius Bills held by an individual, a société
or a succession;998*

(e)999* bonds and sukuks quoted on the stock exchange held by a non-
resident company.

3A. 1000* (a) Interest derived by individuals and companies –

(i). from debentures, bonds or sukuks issued by a company to finance

renewable energy projects on such terms and conditions as the
Director-General may approve; and

(ii). from a sustainability bond or a sustainability-linked bond issued in

accordance with the bond principles, guidelines and handbooks
administered by the International Capital Market Association to
finance sustainable projects in Mauritius.

(b) In this item –

“sustainability bond” means a bond which finances a range of both social

and environmental projects that are aligned and contribute to the
achievement of the Sustainable Development Goals (SDGs);

“sustainability-linked bond” means a bond for which the financial or

structural characteristics can vary depending on whether the issuer achieves
predefined Sustainability, Environmental, Social and Governance objectives
which are measured through predefined Key Performance Indicators and
assessed against predefined Sustainability Performance Targets.

* Please refer to endnotes at Appendix 1 Page 241 of 491

MRA THE INCOME TAX ACT 1995 242

3B.1001* (a) Subject to the approval of the Minister, interest income derived from a
bond issued by a public sector company to finance infrastructure
projects.

(b) In this item –

“public sector company” means a company registered with the

Registrar of Companies and where the Government of Mauritius, a
statutory body or a local authority or the Rodrigues Regional
Assembly holds directly or indirectly more than fifty per cent of the
shares.

4.1002* Interest paid to a non-resident, not carrying on any business in Mauritius –

(a) by a corporation holding a Global Business Licence under the

Financial Services Act out of its foreign source income; or

(b) by a bank holding a banking licence under the Banking Act insofar as
the interest is paid out of gross income derived from its banking
transactions with non-residents and corporations holding a Global
Business Licence under the Financial Services Act.

5. Royalty payable to a non-resident by a company out of its foreign source

income.1003*

6. (a) Subject to sub-item (b), 80 per cent of foreign source dividend derived
by a company.1004*

(b) The exemption under sub-item (a) shall be granted provided –

(i) the dividend has not been allowed as a deduction in the country of
source;

(ii) the company satisfies the conditions relating to the substance of its
activities as prescribed.

7. (a) Subject to sub-items (aa) and (b)1005*, 80 per cent of interest derived by
a company other than –

(i) a bank referred to in section 44C;1006*

(ii) a non-bank deposit taking institution;1007

(iii) a money changer;1008*

(iv) a foreign exchange dealer;

(v) an insurance company;

(vi) a leasing company; and

* Please refer to endnotes at Appendix 1 Page 242 of 491

MRA THE INCOME TAX ACT 1995 243

(vii) a company providing factoring, hire purchasefacilities, or credit sales

facilities. 1009*

(aa) Subject to sub-item (b), 95 per cent of interest derived by a Collective

ccccccInvestment Scheme or a Closed-End Fund licensed or approved by the
ccccccFinancial Services Commission established under the Financial Services
ccccccAct 1010*.

(b) The exemption under sub-item (a) or (aa) shall be granted provided the
company satisfies the conditions relating to the substance of its activities
as prescribed.1011*

8. Notwithstanding –

(a) the deletion of item 2, the exemption provided under that item shall
continue to apply until 30 June 2021 where the dividends or other
distributions are paid by a company issued, on or before 16 October
2017, with a Global Business Licence under the Financial Services Act;

(b) the deletion of item 3(b), the exemption provided under that item shall
continue to apply until 30 June 2021 where the interest is payable on
call and deposit accounts held with any bank under the Banking Act by
a company issued, on or before 16 October 2017, with a Global Business
Licence under the Financial Services Act.

9. 80 per cent of interest derived by a person from money lent through a Peer-to-
Peer Lending platform operated under a licence issued by the Financial
Services Commission under the Financial Services Act.1012*

10. Interest payable by Air Mauritius Limited in respect of an agreement entered

into by Air Mauritius Limited and a non-resident company or consortium of
companies for the lease of an aircraft provided that the agreement has been
signed in the year of 2019 and that Air Mauritius Limited is required as a
condition of the agreement to bear the income tax payable by the lessor
pursuant to that agreement.1013*

Sub-Part C - Miscellaneous
1.1014* Deleted

2.1015* Deleted

3.1016* Deleted

4. Income derived by any person in the form of maintenance allowance or other

benefit provided in respect of his attendance at a university, college, school
or other educational institution in terms of a scholarship, bursary, exhibition
or other education award.

5. Deleted 1017
*

* Please refer to endnotes at Appendix 1 Page 243 of 491

MRA THE INCOME TAX ACT 1995 244

6. Interest, rents, royalties, compensations and other amounts paid by a special

purpose fund established under the Financial Services Act 2007 to a non-
resident.1018*

7. Gains or profits derived from the sale of units, securities or debt obligations
by a person.1019*
7A. Deleted.1020*
7B. Gains or profits derived from the sale of gold, silver or platinum, held for a
continuous period of at least 6 months by a person.1021*
7C. Gains or profits derived from the sale of the items stored in a vault pursuant
to item 3(n) of the Second Schedule to the Freeport Act or of the titles of
ownership of those items.1022*

8. Deleted 1023
*
9. Income derived by the registered owner of a foreign vessel from the operation
of the vessel including any income derived from the chartering of such
vessel.1024*

10. Income derived by the registered owner of a local vessel registered in

Mauritius provided the income is derived from deep sea international trade
only.

10A. Income derived by a firm authorised under regulation 10(3)(f) of the

Consumer Protection (Control of Imports) Regulations 1999 in respect of its
bunkering activities of Marine Residual Fuel Oil (RMG 380 - 700 or RMK 380
- 700) as per ISO 8217 Fuel Standard, Fifth Edition 2012 falling under HS
Code 2710.1961 of the Customs Tariff Act.1025*

10B. Deleted1026*

11. (a) Income derived by a small enterprise registered under the repealed
Small and Medium Enterprises Development Authority Act or the
Small and Medium Enterprises Act 2017 provided that –1027*

(i) the enterprise carries out an activity other than an activity in

respect of the information and communication technologies
under the Information and Communication Technologies Act or
financial services under the Financial Services Act; and

(ii) the enterprise operated by a person, other than a company, is

converted into a company; or

(iii) the enterprise is operated by a company; and

(iv) the period of exemption of the income of the company does not
exceed 4 succeeding income years as from the income year the
company starts its activity.1028*

(b) Deleted.1029*

* Please refer to endnotes at Appendix 1 Page 244 of 491

MRA THE INCOME TAX ACT 1995 245

11A. (a) Income derived by a small enterprise which does not benefit from
exemption under item 11, set up prior to 1 June 2015 and registered
under the repealed Small and Medium Enterprises Development
Authority Act, provided that – 1030*

(i) its annual turnover does not exceed 10 million rupees ;

(ii) it is engaged in qualifying activities under a scheme referred to

in section 5A of the repealed Small and Medium Enterprises
Development Authority Act;

(iii) the exemption is in respect of income derived from the activities

relating to a project under the scheme referred to in section 5A
of the repealed Small and Medium Enterprises Development
Authority Act; and

(iv) the period of exemption of the income of the enterprise does not
exceed 4 succeeding income years as from the income year
2015/2016.

(b) Deleted.

12. Repealed *
1031

13. (a) Deleted1032*

b) Deleted.1033*

14. Alimony paid to a previous spouse whose marriage has been dissolved by a
court of competent jurisdiction or in respect of maintenance paid to the
spouse in accordance with an order of a court.1034*

15. Income which is expressly exempt from income tax by any other enactment
to the extent of the exemption so provided.1035*

16.1036*The surplus income generated by a co-operative credit society whose

members are registered with the Sugar Insurance Fund Board established
under the Sugar Insurance Fund Act.

16A. Income derived by a co-operative society from agricultural activities.1037*

17. The income derived on the first 60 tonnes of sugar accruing to a planter who
is an individual cultivating less than 15 hectares of land.

18.1038* Gains derived by a planter, miller or service provider from the sale of land,
provided that the proceeds are used exclusively for the implementation of the
Voluntary Retirement Scheme under the Sugar Industry Efficiency Act or
used exclusively by a miller in compliance with the conditions imposed under
section 24 of the Cane Planters and Millers Arbitration and Control Board
Act, as the case may be.

19.1039* Gains derived by any person from the sale of land previously acquired by
him from a planter implementing the Voluntary Retirement Scheme under
the Sugar Industry Efficiency Act.

* Please refer to endnotes at Appendix 1 Page 245 of 491

MRA THE INCOME TAX ACT 1995 246

20.1040*Gains derived from the sale of land converted pursuant to section

29(1)(c)(ii)(B), or (f) of the Sugar Industry Efficiency Act, provided that the
proceeds are used exclusively for the implementation of the schemes
specified in that section.

[Item 21.to 24.] Deleted 1041

*
25. Basic retirement pension where the person has made a request under
section 3 of the National Pensions Act.1042*

25A. Invalid’s basic pension, contributory invalidity pension and carer’s allowance
payable under the National Pensions Act.1043*

26. Income derived by a person engaged in a bio-farming project duly approved

by the Food and Agricultural Research and Extension Institute or by the
Commission responsible for the subject of agriculture of the Rodrigues
Regional Assembly, during 8 succeeding income years as from the income
year in which the person starts his activities.

27. (a) Subject to sub-item (b), income derived from within or outside
Mauritius by a member of the Mauritian Diaspora under the
Mauritian Diaspora Scheme prescribed under the Economic
Development Board Act 2017, during the 10 succeeding income years
as from the income year in which he returns to Mauritius.1044*

(b) The exemption in respect of income derived from within Mauritius

shall be limited to the specific employment, business, trade,
profession or investment for which the member of the Mauritian
Diaspora is registered under the Mauritian Diaspora Scheme referred
to in sub-item (a).1045*

28. (a) Income derived by a person licensed under the Captive Insurance Act
2015 during a period not exceeding 10 years starting from the income
year in which the company starts its operation.1046*

(b) The exemption under sub-item (a) shall be subject to the person
satisfying such conditions relating to the substance of its activities as
the Financial Services Commission established under the Financial
Services Act may impose.1047*

29. (1) Subject to paragraph (2), the income of a corporation issued with a
Global Headquarters Administration Licence on or after 1 September
2016 licensed by the Financial Services Commission established under
the Financial Services Act, provided that-1048*

(a) the income is derived from activities covered under that licence;
and

(b) the corporation satisfies the conditions -

(i) of minimum employment; and

* Please refer to endnotes at Appendix 1 Page 246 of 491

MRA THE INCOME TAX ACT 1995 247

(ii) relating to the substance of its activities,

as specified by the Financial Services Commission established under

the Financial Services Act.

(2) The exemption shall be for a period of 8 income years as from the
income year in which the corporation was granted its licence.

30. (1) Subject to paragraph (2), the income of a corporation issued with -

(a) a Global Treasury Activities Licence;

(b) a Global Legal Advisory Services Licence;

(c) [an Investment Banking Licence]; Deleted 1049

*

(d) [a Family Office (Single) Licence; or] Repealed1050*

(e) [a Family Office (Multiple) Licence,] Repealed1051*

issued on or after 1 September 2016 by the Financial Services

Commission established under the Financial Services Act, provided
that-

(i) the income is derived from the activities covered under that
licence; and

(ii) the corporation satisfies the conditions -

(A) of minimum employment; and

(B) relating to the substance of its activities, as specified by the

Financial Services Commission established under the
Financial Services Act.

(2) the exemption shall be for a period of 5 income years as from the
income year in which the corporation was granted its licence.

30A.1052*(1) Subject to paragraph (2), the income of a corporation holding –

(a) a Family Office (Single) Licence; or

(b) a Family Office (Multiple) Licence,

which is issued on or after 1 September 2016 by the Financial Services

Commission established under the Financial Services Act, provided
that–

(i) the income is derived from the activities covered under that
licence; and

(ii) the corporation satisfies the conditions –

* Please refer to endnotes at Appendix 1 Page 247 of 491

MRA THE INCOME TAX ACT 1995 248

(A) of minimum employment; and

(B) relating to the substance of its activities,

as specified by the Financial Services Commission established under

the Financial Services Act.

(2) The exemption shall be for a period of 10 income years as from the
income year in which the corporation was granted its licence.

31. (1) Subject to paragraphs (2) and (3), income derived by -

(a) an individual who is a non-citizen, investing not less than USD 25

million in Mauritius on or after 1 September 2016, provided that
the terms and conditions as the Economic Development Board”;
may approve are complied with; or1053*

(b) a company wholly owned by a non-citizen investing not less than

USD 25 million in the company provided that the terms and
conditions as the Economic Development Board may approve are
complied with.1054*

(2) The exemption shall be for a period of 5 succeeding income years as

from the income year in which the investment was made.

(3) No exemption shall be granted in the event that the investment made
under this item is reduced to less than USD 25 million at any time
during the first 5 years.

32. Deleted *
1055

33. Income received by an athlete, as defined under the Sports Act 2016, in
terms of –1056*

(a) financial support he receives within the framework of a sponsorship

contract;

(b) financial assistance he receives in relation to his preparation for, and

participation in, a competition;

(c) a financial reward in respect of his performance.

34. (a) Subject to sub-item (b), the income of a company set up on or after 1
July 2017 and involved in innovation-driven activities for intellectual
property assets which are developed in Mauritius or income derived by
a company from intellectual property assets which are developed in
Mauritius on or after 10 June 2019.1057*

(b) The exemption shall be for a period of 8 income years as from the
income year in which the company started its innovation-driven
activities and shall be granted provided that the company satisfies
such conditions as may be prescribed.1058*

* Please refer to endnotes at Appendix 1 Page 248 of 491

MRA THE INCOME TAX ACT 1995 249

35. Deleted1059*

36. Income derived from the exploitation and use of deep ocean water for
providing air conditioning installations, facilities and services by a company
for a period of 8 income years starting from the income year in which the
company starts its operations.1060*

37. Deleted 1061

*
38. (a) Subject to sub-item (b), income derived by a company from activities
carried out as a project developer or project financing institution in
collaboration with the Mauritius Africa Fund for the purpose of
developing infrastructure in the Special Economic Zones.1062*

(b) The exemption under sub-item (a) shall be for a period of 5 succeeding
income years as from the income year in which the activities referred
to in sub-item (a) started.

(c) In this item –

“Special Economic Zone” means a part of the territory of a foreign

country where business activity may be conducted under preferential
terms and which is being developed, managed or promoted by the
Mauritius-Africa Fund Limited, or any of its subsidiaries or affiliates.

39. Income derived by a person from any activity under the sheltered farming
scheme, set up by the Food and Agricultural Research and Extension
Institute, during 8 successive income years as from the income year in which
the person starts the activity.1063*

40. 80 per cent of profit attributable to a permanent establishment which a

resident company has in a foreign country.1064*

41. (a) Subject to sub-item (b), 80 per cent of the income, other than interest,
derived by a Collective Investment Scheme or a Closed End Fund
licensed or approved by the Financial Services Commission
established under the Financial Services Act.1065*

(aa) Subject to sub-item (b), 80 per cent of income derived by a CIS

manager, CIS administrator, investment adviser, investment dealer or
asset manager, as the case may be, licensed by the Financial Services
Commission established under the Financial Services Act.1066*

(b) The exemption under sub-items (a) and (aa) shall be granted provided
the company satisfies the conditions relating to the substance of its
activities, as may be prescribed.1067*

42. (a) Subject to sub-item (b), 80 per cent of income derived by companies
engaged in the leasing of –1068*

* Please refer to endnotes at Appendix 1 Page 249 of 491

MRA THE INCOME TAX ACT 1995 250

(i) ships;
(ii) aircrafts;

(iii) locomotives and trains, including rail leasing.

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies such conditions as may be prescribed relating to the
substance of its activities.1069*

43. Deleted1070*

44.1071* Deleted

44A. Gains or profits, in money or money’s worth, derived from the sale or transfer
of undeveloped land where the sale or transfer is made to –1072*

(a) a smart city company or smart city developer under the Smart City
Scheme prescribed under the Economic Development Board Act 2017;

(b) the holding company, as defined in the Companies Act, of a smart city
company or smart city developer under the Smart City Scheme for the
purpose of developing the said land for a smart city project under the
Smart City Scheme prescribed under the Economic Development
Board Act 2017;

(c) a PDS Company under the Property Development Scheme prescribed

under the Economic Development Board Act 2017; or

(d) the holding company of a PDS Company for the purpose of developing
the said land under the Property Development Scheme,

provided that –

(i) the transferor holds shares in the smart city company, smart city
developer, PDS Company or holding company, as the case may
be, equivalent to at least the value of the land transferred; and

(ii) the market value of the land as at the date of transfer will be
used for the purpose of determining chargeable income of the
smart city company, smart city developer or PDS Company, as
the case may be.

45.1073* Deleted

45A. Income derived by Mauri-Facilities Management Co. Ltd provided that the
period of exemption of the income of the company does not exceed 5
succeeding income years as from the income year the company starts its
operation.1074*

46.1075*(a) Subject to sub-item (b), 80 per cent of income derived by a company

from reinsurance and reinsurance brokering activities.

* Please refer to endnotes at Appendix 1 Page 250 of 491

MRA THE INCOME TAX ACT 1995 251

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies such conditions as may be prescribed relating to the
substance of its activities.

47.1076*(a) Subject to sub-item (b), 80 per cent of income derived by a company

from leasing and provision of international fibre capacity.

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies such conditions as may be prescribed relating to the
substance of its activities.

48.1077*(a) Subject to sub-item (b), 80 per cent of income derived by a company

from the sale, financing arrangement, asset management of aircraft
and its spare parts and aviation advisory services related thereto.

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies such conditions as may be prescribed relating to the
substance of its activities.

49.1078*(a) Subject to sub-item (b), income derived by a company set up on or

before 30 June 2025 and issued with an E-Commerce certificate by
the Economic Development Board provided that –

(i) the income is derived from the operation of the E-Commerce

platform; and

(ii) the company satisfies such conditions as may be prescribed

relating to the substance of its activities.

(b) The exemption under sub-item (a) shall be for a period of 5 succeeding
income years as from the income year in which the activities referred
to in sub-item (a) started.

50.1079*(a) Subject to sub-item (b), income derived by a person from the operation
of a Peer-to-Peer Lending platform, operated under a licence issued by
the Financial Services Commission under the Financial Services Act,
provided that –

(i) the person has started its operations prior to 31 December

2021;

(ii) the income is derived from the activities covered under that
licence; and

(iii) the person satisfies the conditions relating to the substance of

its activities, as specified by the Financial Services
Commission established under the Financial Services Act.

(b) The exemption under this item shall be for a period of 5 succeeding
income years as from the income year in which the person started its
operations.

51.1080*Deleted

* Please refer to endnotes at Appendix 1 Page 251 of 491

MRA THE INCOME TAX ACT 1995 252

52.1081*The first 50,000 rupees of the amount receivable by an individual in an

income year from a REIT.

53.1082*Deleted

54.1083*Deleted

55.1084* Deleted

56. The income derived by a Company incorporated on or after 1 July 2021 and
holding an Investment Certificate issued by the Economic Development
Board for a period of 8 succeeding years from the income year in which that
Company is incorporated. 1085*

57. Income derived by a person using an innovative agricultural method under

the Integrated Modern Agricultural Morcellement Scheme administered and
managed by the Economic Development Board during 8 succeeding income
years as from the income year in which the person starts the activity. 1086*

58. Income derived by a person engaged in sustainable agricultural practices and

registered with the Economic Development Board during 8 succeeding
income years as from the income year in which the person starts the
activity.1087*

59.1088* (a) Subject to sub-item (b), income derived by a company issued with a
certificate as a freeport operator or private freeport developer under the
Freeport Act, provided that –

(i) it has started its operations on or after 1 July 2022;

(ii) it has invested not less than 50 million rupees in its operations;
and

(iii) it satisfies such conditions relating to the substance of its

activities as may be prescribed.

(aa) Subject to sub-item (b), the exemption under this item, in the case of a
company holding a global business licence under the Financial Services Act
and a certificate as a freeport operator or private freeport developer under the
Freeport Act, shall apply only to the income derived by the company
pertaining to its activities as a freeport operator or private freeport developer,
as the case may be1089*.

(b) The exemption under this item shall be for a period of 8 succeeding
income years as from the income year in which the company started its
operations.

60. Any allowance received by a person under Sub-part IIIB, IIIBA, IIIBB, IIIC,
IIICA, IIICB, IIID or IIIE of Part III of the Social Contribution and Social
Benefits Act 2021.1090*

61.1091* (a) Subject to sub-item (b), 80 per cent of income derived by a company
holder of a Payment Intermediary Services (PIS) licence issued by the

* Please refer to endnotes at Appendix 1 Page 252 of 491

MRA THE INCOME TAX ACT 1995 253

Financial Services Commission established under the Financial Services

Act.

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies the conditions relating to the substance of its activities,
as may be prescribed.

62.1092* (a) Subject to sub-item (b), 80 per cent of income derived by a company
holding a Robotic and Artificial Intelligence Enabled Advisory Services
licence issued by the Financial Services Commission established under the
Financial Services Act.

(b) The exemption under sub-item (a) shall be granted provided the
company satisfies the conditions relating to the substance of its activities,
as may be prescribed.

* Please refer to endnotes at Appendix 1 Page 253 of 491

MRA THE INCOME TAX ACT 1995 254

THIRD SCHEDULE 1093*

(section27(2))

PART I – DEDUCTION FOR DEPENDENT

1. Deduction for dependents

Dependents Amount of deduction (Rs)

One dependent 110,000

Two dependents 190,000

Three dependents 275,000

Four or more dependents 355,000

2. Where a dependent in respect of whom a deduction is claimed under

paragraph 1 is pursuing a non-sponsored full-time undergraduate or post-
graduate course at a –

(a) tertiary educational institution recognised by the Tertiary Education

Commission established under the Tertiary Education Commission Act;
or
(b) recognised tertiary educational institution, outside Mauritius,

the person shall, in addition to the deduction he is entitled to, be eligible to

an additional deduction of 500,000 rupees.

3. No exemption under paragraph 2 shall be allowed –

(a) where the annual tuition fees, excluding administration and student
union fees, are less than 34,800 rupees for a child following an
undergraduate course in Mauritius;

(b) in respect of the same dependent for more than 6 years.

4. Where a dependent in respect of whom a deduction is claimed under

paragraph 1 is attending a fee-paying private primary or secondary school
registered under the Education Act, the person shall, in addition to the
deduction he is entitled to, be eligible to an additional deduction of the
amount of the fees paid or 60,000 rupees, whichever is the lower1094*.

* Please refer to endnotes at Appendix 1 Page 254 of 491

MRA THE INCOME TAX ACT 1995 255

PART II - RELIEF FOR MEDICAL OR HEALTH INSURANCE PREMIUM 1095

*

COLUMN 1 COLUMN 2
Self and dependents Premium allowable
(Rs)
Self 25,000
Self and one dependent 25,000 for self +
25,000 for dependent
Self and 2 dependents 25,000 for self +
25,000 for first dependent +
20,000 for second dependent
Self and 3 dependents 25,000 for self +
25,000 for first dependent +
20,000 for second dependent +
20,000 for third dependent
Self and 4 dependents 25,000 for self +
25,000 for first dependent +
20,000 for second dependent +
20,000 for third dependent +
20,000 for fourth dependent

[FOURTH SCHEDULE] Repealed

(sections 2 and 105)1096*

[PART II] Repealed 1097*

* Please refer to endnotes at Appendix 1 Page 255 of 491

MRA THE INCOME TAX ACT 1995 256

FIFTH SCHEDULE 1098*

(section 111B(e))

Services other than services provided by a non-resident

Accountant/Accounting firm
Architect
Attorney/Solicitor
Barrister
Engineer

Interior Decorator/Designer
Land surveyor
Legal consultant
Medical service provider
Project manager in the construction industry

Property valuer

Quantity surveyor
Tax adviser or his representative

* Please refer to endnotes at Appendix 1 Page 256 of 491

MRA THE INCOME TAX ACT 1995 257

SIXTH SCHEDULE 1099*

[Section 111C]
DEDUCTION OF TAX AT SOURCE
Amount or sum made available to the payee by way of - Rate of tax
(%)
1 Interest payable by any person, other than by a bank or non- 15
bank deposit taking institution, under the Banking Act, to
any person, other than a company resident in Mauritius 1100*
2 Royalties payable to -
(a) a resident 10
15
(b) a non-resident
3 Rent payable to – 1101
*
(a) a resident 7.5
(b) a non-resident 10
4 Payment to contractors and sub-contractors 0.75
5 Payment to providers of services as specified in the Fifth 5
Schedule to the Income Tax Act1102*
6 Payment made by Ministry, Government department, local
authority, statutory body or the Rodrigues Regional Assembly
on contracts, other than payments to contractors and
subcontractors and payments to providers of services
specified in the Fifth Schedule -
(a) for the procurement of goods and services under a
single 1
contract, where the payment exceeds 300,000 rupees;
(b) for the procurement of goods under a contract, where 1
the
payment exceeds 100,000 rupees; or
(c) for the procurement of services under a contract, 3
other than telephone, postal, air travel and hotel
services, where the payment exceeds 30,000 rupees
7 Payment made to the owner of an immovable property or his 5
agent pursuant to section 111B(g)
8 Payment made to a non-resident for any services rendered in 10
Mauritius pursuant to section 111B(h)
9 Payment of management fees pursuant to 111B(i) to –
(a) a resident 5
(b) a non-resident 10
10 Payments to a non-resident entertainer or sportsperson 10
pursuant to 111B(j)
11 Commission *
1103 3

* Please refer to endnotes at Appendix 1 Page 257 of 491

MRA THE INCOME TAX ACT 1995 258

12 Payment to consultants other than those specified in the 3

Fifth Schedule, pursuant to section 111B(l)1104*
13 Payment made to a provider of security services, cleaning 3
services or pest management services and other ancillary
services, pursuant to section 111B(m)1105*
14 Payment made by insurance companies to motor surveyors 3
and any other person, pursuant to section 111B(n)1106*

SEVENTH SCHEDULE1107*
(section 111M)

Area Rate
1. In the case of apartment, flat or tenement, 30 rupees per square metre
its Floor area as specified in the title deed or
contract
2. In the case of any other residential property, 10 rupees per square metre
the surface area of the land

* Please refer to endnotes at Appendix 1 Page 258 of 491

MRA THE INCOME TAX ACT 1995 259

EIGHTH SCHEDULE
(sections 139 and 141)

PART I

Office of the
Director-General
Mauritius Revenue Authority
Port Louis
Date ...........

Income Tax Account No. ......

Financial Year ......
Year of Assessment ......
Account Reference ......

DISTRESS WARRANT

Under section 139 of the Income Tax Act 1995.

To Usher of the Supreme Court....................................

Whereas.............................................................. is indebted to the Director-

General of the Mauritius Revenue Authority in the sum of
..................................................................... being income tax due and payable by
the aforesaid ..................................................................... particulars of which are
set out in the Annex.

And whereas default has been made in the payment of the aforesaid amount to the
Director-General of the Mauritius Revenue Authority and the aforesaid amount is
still due.

These are therefore to authorise and order you forthwith to make distress of the
goods, chattels and effects of the said person, and if within the period of 3 clear
days next after the making of such distress the amount of the tax due and payable
including the charge of taking and keeping the distress is not paid, you shall sell
the goods, chattels and effects of the said person up to the amount mentioned in
the distress including the costs and that you certify to me on or before the ...... day
of ............. 19.. what you shall have done by virtue of this warrant.

Given under my hand at Port Louis, this ...... day of ..... 19..

………..................…….................
Director-General of the Mauritius Revenue Authority

RETURN OF THE ABOVE WARRANT

In execution of the above warrant, I certify that I have this day seized the goods,
chattels and effects of the hereinnamed and have made and signed an inventory of
the same hereunto annexed, and have appointed .......................... as guardian of
the same.

Date ........... 19..

.........................
Usher of the Supreme Court

* Please refer to endnotes at Appendix 1 Page 259 of 491

MRA THE INCOME TAX ACT 1995 260

PART II

FORM OF MEMORANDUM OF INSCRIPTION

Privilege inscribed under section 141 of the

Income Tax Act 1995
by the
Director-General of the Mauritius Revenue Authority
electing his legal domicile in his Office in Port Louis
against

..........……………………………………… ……......................................... (names in full)

of ...............……………………………….…………….............................. (address in full)

……………............................………………………….………………….............................
(occupation)

and

Mrs..........................................……………………………………………….......................

(christian and maiden names in full)

of .................……………………………………………….......................... (address in full)

his wife, hereinafter called the debtor/s

for the sum of .....…………………………………............................... rupees (in words)

upon all immovable property belonging to the debtor/s including

...........................................…………………………………………………..........................

............................................………………………………………………….........................

..............................................………………………………………………….......................

Drawn up in Port Louis on the .…... of .……………...... 19..

I certify that this memorandum is an exact copy of the other original with which it
has been duly collated.

........……………………................
Director-General of the Mauritius Revenue Authority

* Please refer to endnotes at Appendix 1 Page 260 of 491

MRA THE INCOME TAX ACT 1995 261

PART III

The Conservator of Mortgages is hereby requested to erase in his registers the

privilege inscribed by the Director-General of the Mauritius Revenue Authority on
the ..……….……………....... of ……………….......... 19.. in Vol. …... No. …. against:

...........................................…………………………………………………........................

................................................……………………………………………………................

...............................................…………………………………………………....................

upon all immovable property which belonged to the latter, including

...............................................................…………………………………………………....

Dated, signed and sealed in Port Louis on the ...... of ........ 19..

..………………………….............
Director-General of the Mauritius Revenue Authority

[NINTH SCHEDULE 1108*]

REPEALED
[Section 161A(50) and (50A)]

TENTH SCHEDULE *
1109

[Section 50L]
PART A - PRIORITY AREAS OF INTERVENTION

Dealing with health problems

Educational support and training
Environment and sustainable development
Family protection, including gender-based violence
Fields of advocacy, capacity building and research for consideration as cross-
cutting throughout the priority areas of intervention
Leisure and sports
Peace and nation-building
Road safety and security
Social housing
Socio-economic development as a means for poverty alleviation
Supporting people with disabilities
Such other areas as the Minister may determine

* Please refer to endnotes at Appendix 1 Page 261 of 491

MRA THE INCOME TAX ACT 1995 262

Note-
The priority areas specified in this Part shall target individuals and families -
(a) registered under the Social Register of Mauritius; and
(b) vulnerable groups under the Charter of the National Social Inclusion

Foundation.1110*

PART AA – NATIONAL HERITAGE1111*

Restoration of a building designated as a national heritage under the National
Heritage Fund Act

PART B - ACTIVITIES AND CONTRIBUTIONS

WHICH DO NOT QUALIFY UNDER CSR
Any activity discriminating on the basis of race, place of origin, political opinion,
colour, creed or sex
Any activity promoting alcohol, cigarettes or gambling
Any activity targeting shareholders, senior staff or their family
Contribution to any Government department or parastatal body
Contribution to natural disasters mitigation programme
Contribution to political or trade union activities
Contribution to religious or spiritual activities
Sponsorship for the purpose of marketing for companies
Staff welfare and training of employees

---------------------------------------------------

ELEVENTH SCHEDULE 1112

*
[Section 150A]
An individual deriving the following basic salary in a month Allowance
(Rs)
Less or equal to Rs 5,000 1,000
Above Rs 5,000 but less or equal to Rs 7,000 800
Above Rs 7,000 but less or equal to Rs 9,000 500
Above Rs 9,000 but less or equal to Rs 9,750 250
Above Rs 9,750 but less or equal to Rs 9,900 100

* Please refer to endnotes at Appendix 1 Page 262 of 491

MRA THE INCOME TAX ACT 1995 263

TWELFTH SCHEDULE *
1113

[Section 123C(2)]
STATEMENT OF ASSETS AND LIABILITIES
Name …………………………………………………………………………………………………..
Address ………………………………………………………………………………………………..
National Identity Card no. …………………………………………………………………………
Business Registration no. …………………………………………………………………………
1. I hereby declare that the assets held by me, my spouse and dependent
children, in our own names or in any other names in Mauritius and outside
Mauritius as at …………………………….. are as follows –
(date)

ASSETS Value
at cost
(Rs)
Immovable property

Non-business assets

Land, building, apartment, etc., including leasehold land and building

Description Address Extent/Area

............

............

Bank accounts

Current, savings, fixed held by you solely or jointly with any other
person

Name of bank Accounts number

............
............

* Please refer to endnotes at Appendix 1 Page 263 of 491

MRA THE INCOME TAX ACT 1995 264

Cash

Cash in hand/safe deposits/lockers

............

Investment (of more than Rs 200,000)

Amount invested in shares/securities/units, etc.

Investment in listed company ............
Name of company Number of shares

............
Investment in unlisted company

Name of company Number of shares

............

Share in société/partnership/joint venture/succession

Name of société/partnership/joint venture/succession

............

Investment in Government securities

............

Debts/loans/advances/receivables

............

Any other investment

Description

............

Motor vehicles

Registration number Make

............

Household furniture and electrical household appliances

* Please refer to endnotes at Appendix 1 Page 264 of 491

MRA THE INCOME TAX ACT 1995 265

Other possessions

Boats, including pleasure crafts

Details
............

............

Jewellery, antiques and precious stones ............

Other assets exceeding Rs 200,000 in the aggregate not included
above

Total non-business assets ............

Business assets

Total business assets, including plants and machinery, stock, debtors

and other assets used by a sole proprietor in his business ............

Total assets ............

2. My liabilities and the liabilities of my spouse and dependent children as at

……………………. are as follows –
(date)

Liabilities

Non-business liabilities (loan, mortgage, borrowings, etc.)

Total non-business liabilities

Business liabilities

Total business liabilities (liabilities contracted by a sole proprietor

for the purpose of his business)

Total liabilities

Net Assets

3. I, my spouse and dependent children, have during the year

ended………………/during period ……………… to ………………* made the
(year) (date) (date)
following outgoings –

* Please refer to endnotes at Appendix 1 Page 265 of 491

MRA THE INCOME TAX ACT 1995 266

Amount settled in trusts ............

Contributions to personal pension funds ............

Premiums in respect of life insurance policies ............

Date Month Year

……………………

Signature

Note
* Applicable where the person does not submit a Statement of Assets and Liabilities
at the end of each year.

THIRTEENTH SCHEDULE1114*
[Section 111V]

Activities which qualify for presumptive tax

Agriculture, forestry and fishing

Manufacturing excluding restaurants

Retail of goods, including sale of food to be consumed off premises

Wholesale of goods

* Please refer to endnotes at Appendix 1 Page 266 of 491

MRA THE INCOME TAX ACT 1995 267

APPENDIX I

Endnotes
1
FA 2006 – Section 7 deleted and replaced w.e.f 01.07.06.
ITA 1995:-
7. Exempt income
2
FA 2006 – Section 25 deleted w.e.f 01.07.07.
ITA 1995:-
25. Investment allowance
3
FA 2023 – Sub-Part C deleted and replaced w.e.f 01 July 2023.

“Sub-Part C – Income Exemption Threshold for individuals”

FA 2006 – Sub-Part C deleted and replaced w.e.f 01.07.06.

ITA 1995:-
Sub-Part C - Personal Reliefs and Deductions

27. Reliefs and deductions limited to individuals resident in Mauritius

28. Emoluments relief
28A. Agricultural income relief
29. Relief for contribution to certain funds and schemes
30. Interest relief
31. Relief for life insurance premium
32. Relief for premium on personal pension scheme
33. Relief for premium on retirement annuity
34. Relief for contribution to medical scheme and for ambulance services
35. Savings relief
36. Investment relief
36A. Relief for shares traded on the Official List of the Stock Exchange
36B. Relief for investment in Retirement Savings Scheme
37. Deduction for medical expenses
37A. Donations to charitable institutions
37B. Contributions to the National Solidarity Fund
37C. Expenditure incurred on education and training
38. Basic personal deduction
39. Deduction for dependent spouse
40. Deduction for alimony and maintenance
41. Deduction for dependent children
41A. Deduction for educational expenses
42. Deduction for dependent handicapped child
42A. Deduction for other handicapped person
4
FA 2011 –New sections 48 and 49 inserted after section 47,in so far as it relates to section 48 of the Income
Tax Act, shall come into operation in respect of the year of assessment commencing 1 January 2013 and in
respect of every subsequent year of assessment.
FA 2006 – Section (48) deleted w.e.f 01.07.07.
ITA 1995:-
48. Listed companies and subsidiaries of listed companies
5
FA 2011 –New sections 48 and 49 inserted after section 47, shall come into operation in respect of the year
of assessment commencing 1 January 2013 and in respect of every subsequent year of assessment.

FA 2006 – Section (49) deleted w.e.f 01.07.07

ITA 1995:-
49. Companies in the freeport zone

* Please refer to endnotes at Appendix 1 Page 267 of 491

MRA THE INCOME TAX ACT 1995 268

6
FA 2007 – Part IV amended, by inserting immediately after Sub -Part A, the following new Sub-
Part AA shall come into operation on 1 July 2008.
7
FA 2007 – Part IV amended, by inserting immediately after Sub -Part A, the following new Sub-Part
AB - shall be deemed to have come into operation on 1 July 2007 in respect of the year of assessment
commencing 1 July 2007 and in respect of every subsequent year of assessment.
8
FA 2006 – Section (64A) deleted w.e.f 01.07.07.
ITA 1995:- 64A. Additional investment allowance
9
FA 2006 – Section (67) deleted w.e.f 01.07.07.
ITA 1995:- 67. Donations to charitable institutions
10
FA 2006 – Section (67B) deleted w.e.f 01.07.07.
67B. Contributions to sport clubs and sport training centres
11
FA 2006 – Section (67C) deleted w.e.f 01.07.07.
67C. Contributions to the National Solidarity Fund and Prime Minister’s Children’s Fund
12
FA 2006 – Section (67D) deleted w.e.f 01.07.07.
67D. Contributions to employees' share scheme
13
FA 2006 – Section (67E) deleted w.e.f 01.07.07.
67E. Investment in start-up companies
14
FA 2006 – Section (67F) deleted w.e.f 01.07.07.
67F. Expenditure incurred in the setting up of social infrastructure
15
FA 2006 – Section (67G) deleted w.e.f 01.07.07.
67G. Contributions to the national ambulance services
16
FA 2006 – Sub-Part D deleted w.e.f 01.07.07.
17
FA 2006 – Section 96 deleted and replaced w.e.f 01.07.06.
ITA 1995:-
96. Ascertainment of chargeable income
18
MRA Act 2004 – Section 99A added.
19
FA 2006 – Section 101A added w.e.f 01.07.06.
20
MRA Act 2004 – Section 105A added.
21
FA 2006 – Sub-Part BA added w.e.f 01.07.06.
22
FA 2006 – Heading of Section 111K deleted and replaced.
111K. Statement of tax deducted
23
FA 2010 – FA 2010 – Sub-part BB of Part VIII repealed shall be deemed to have come into operation as
from the year of assessment 2011.

FA 2006 – Sub-Part BB added w.e.f 01.07.06.

24
FA 2006 –Section 122 C added w.e.f 01.07.07.
25
FA 2006 –Section 122 D added w.e.f 01.07.07.
26
FA 2006 –Section 133 repealed w.e.f 01.07.07.

* Please refer to endnotes at Appendix 1 Page 268 of 491

MRA THE INCOME TAX ACT 1995 269

ITA 1995 :-
133. Penalty for non-payment of income tax assessed
27
FA 2006 –Section 146A added w.e.f 07.08.06.
28
FA 2006 –Section 146B added w.e.f 07.08.06.
29
MRA Act 2004 – Section 148A repealed w.e.f. 01.07.06 ( Proclamation No. 10 of 2006)
148A. Prosecution by Commissioner
30
FA 2023 – New Part XIIF inserted, w.e.f 20 July 2023.
31
FA 2007- Section 152A inserted w.e.f 22.08.07.

32
FA 2008- Definition added shall be deemed to have come into operation on 1 July 2008.

33
FA 2007 – Definition added (shall come into operation on 1 July 2008).
34
FA 2007 – Definition added, shall come into operation on 1 July 2008.
35
FA 2017- New Definition added w.e.f 24 July 2017.
36
The Limited Liability Partnerships Act 2016 - The definition of “associate” deleted and replaced w.e.f
3 January 2017- Proclamation No. 60 of 2016.

“associate” includes a general partner or a limited partner of a limited partnership

The Limited Partnership Act 2011(Act No.28 of 2011) – New definition inserted w.e.f. 15 december
2011.
37
The Securities Act 2005 - The definitions of "authorised mutual fund"deleted and replaced w.e.f
28.09.07.
"authorised mutual fund" has the same meaning as in the Companies Act 1984;

38
Definition added by MRA Act 2004 ,w.e.f 01.07.06( Proclamation No. 10 of 2006).
39
FA 2006 – Definition deleted and replaced shall be deemed to have come into operation on 1 July
2006.

ITA 1995 :-
"base value" means the cost to the owner of any plant or machinery after deducting therefrom any
amount allowed by way of annual allowance;
40
FA 2022 - new definition added – shall come into operation on a date to be fixed by Proclamtion.
41
Definition added by MRA Act 2004, w.e.f 01.07.06 ( Proclamation No. 10 of 2006)
42
FA 2024 – new definition added – shall be deemed to have come into operation in respect of the income
year commencing on 1 July 2024 and in respect of every subsequent income year.

43
FA 2023 – Paragraph b(i) amended, by deleting the words “income exemption threshold” and replacing
them by the words “personal reliefs and deductions”, shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2011 – Paragraph (c) repealed, shall be deemed to have come into operation on 5 November 2011.

* Please refer to endnotes at Appendix 1 Page 269 of 491

MRA THE INCOME TAX ACT 1995 270

FA 2010 – New paragraph (c) added – shall come into operation on 1 January 2011.

(c) in relation to gains, the gains derived from the sale or transfer of immovable property
computed in accordance with section 10A;

FA 2006 – Definition deleted and replaced shall be deemed to have come into operation on 1 July
2006.

(a) for the purposes of section 107, the amount of income ascertained in accordance with that
section;

(b) for the purposes of Sub-Part C of Part VIII –

(i) in the case of an individual, the amount remaining after deducting from the net
income the income exemption threshold to which that individual is entitled; and

(ii) in any other case, the net income.

ITA 1995 :-
"chargeable income" means -

(a) for the purposes of section 96, the amount of income ascertained in accordance with that
section;
(b) for the purposes of section 107, the amount of income ascertained in accordance with that
section;
(c) for the purposes of Sub-Part C of Part VIII -

(i) in the case of an individual, the amount remaining after deducting from the net
income all personal reliefs and deductions to which that individual is entitled; and
(ii) in any other case, the net income;
44
THE FOUNDATIONS ACT 2012 - New Definition added w.e.f . 1 July 2012 - Proclamation No.30 of
2012.
45
FA 2021 – Section 2 amended, the definition of “charitable institution” deleted and replaced –w.e.f 5
August 2021.

charitable institution" means an institution approved by the Director-General the objects of which

(a) are of a public character;

(b) do not yield any profits to its members; and

(c) are exclusively -

(i) the advancement of religion;

(ii) the advancement of education;

(iii) the relief of poverty, sickness and disability;

(iv) the protection of the environment;

(v) the advancement of human rights and fundamental freedoms;

(vi) the promotion of any other public object beneficial to the community;

(d) are to be carried out in Mauritius or elsewhere;

* Please refer to endnotes at Appendix 1 Page 270 of 491

MRA THE INCOME TAX ACT 1995 271

FA 2006 – Definition amended by deleting the words “approved by the Minister” and replacing them
by the words “approved by the Director-General” w.e.f 01.07.06.
ITA 1995 :-
"charitable institution" means an institution approved by the Minister the objects of which -
46
The words “Trusts Act 2001” replaced “Trusts Act 1989” by the Trusts Act 2001. Effective as from
1.12.2001 - Proclamation No. 22 of 2001.
47
FA 2006 – Definition amended by deleting the words “sections 41 and 42” and replacing them by the
words “section 27”w.e.f 01.07.06.
ITA 1995 :-
"child", in sections 41 and 42(2) , means -
Inserted by FA 2003. Effective as from income year 2003-2004.
48
Inserted by FA 2003. Effective as from income year 2003-2004.
49
FA 2023 – new definition inserted, w.e.f 20 July 2023.
50
The Securities Act 2005 - The definitions of “CIS manager” added w.e.f 28.09.07.
51
The Securities Act 2005 - The definitions of “collective investment scheme” added w.e.f 28.09.07.
52
Definition deleted by MRA Act 2004, w.e.f 01.07.06 ( Proclamation No. 10 of 2006)
ITA 1995 :-
"Commissioner" means the Commissioner of Income Tax;
53
Definition deleted by MRA Act 2004, w.e.f 01.07.06 ( Proclamation No. 10 of 2006)
Inserted by FA 2001.
"Committee" means the Assessment Review Committee set up under section 8E of the Unified
Revenue Act 1983;
54
THE VARIABLE CAPITAL COMPANIES ACT 2022 – the definition of “company” deleted and
replaced – shall come into operation by a date fiexed by Proclamation.

Previously was:

(a) means a body corporate, other than a local authority, incorporated in Mauritius or elsewhere;
and

(b) includes a non-resident société, a cell of a protected cell company, a foundation, a trust or a
trustee of a unit trust scheme; but

(c) does not include a Land Area Management Unit;

THE FOUNDATIONS ACT 2012 - The definition of company amended , the words “a Foundation,”
inserted after the words “protected cell company,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.

FA 2011 – The definition of “company” amended, by inserting in paragraph (b), after the words
“societé,” the words “a cell of a protected cell company,”- shall come into operation in respect of
the year of assessment commencing 1 January 2013 and in respect of every subsequent year of
assessment.
55
FA 2006 – Definition deleted w.e.f 01.07.06.
Inserted by FA 1997.
“CPS period” means a period of 6 months ending 31 December;
56
FA 2006 – Definition added w.e.f 01.07.06.
Deleted by FA 1997. Previously ITA 1995 as amended -
“CPS quarter" means the quarter specified in section 106;

* Please refer to endnotes at Appendix 1 Page 271 of 491

MRA THE INCOME TAX ACT 1995 272

57
FA 2011 - Definition of “CPS threshold” deleted - shall come into operation on 1 January 2012.
FA 2006 – Definition amended by deleting the words “Sixth Schedule” and replacing them by the
words “Fourth Schedule” w.e.f 01.07.06.
"CPS threshold" means the threshold specified in the ForthSchedule;

ITA 1995:-
"CPS threshold" means the threshold specified in the Sixth Schedule;
58
FA 2021- New definition inserted w.e.f 05 August 2021.
59
FA 2015 - New definition inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2015 and in respect of every subsequent year of assessment.
60
FA 2006 – Definition deleted w.e.f 01.07.06.
"dependent child" means a child in respect of whom a deduction is allowable under section 41;
The words "section 41" replaced "section 42" by FA 1997.
61
FA 2006 – Definition deleted w.e.f 01.07.06.
ITA 1995:-
"dependent spouse" means a person in respect of whom a deduction is allowable under section 39;
The words "section 39" replaced "section 40" by FA 1997.
62
Definition added by MRA Act 2004, w.e.f 01.07.06 ( Proclamation No. 10 of 2006)
63
Inserted by FA 1999. Effective as from income year 1999-00.
64
Amended by FA 2001. Effective as from income year 2001-02. Previously ITA 1995 as amended -
“dividends” includes a distribution under section 45(3);
65
FA 2016 - The definition of “dividends” amended , in paragraph (b), by deleting the words “49A(3)”
and replacing them by the words “49A(4)” w.e.f. 7 September 2016.

THE FOUNDATIONS ACT 2012 - The definition of “dividends” amended , in paragraph (b), by
deleting the words “and 46(4)” and replacing them by the words “,46(4) and 49A(3)” w.e.f . 1 July 2012
- Proclamation No.30 of 2012.

FA 2011 - The definition of “dividends” amended , in paragraph (b), by deleting the words “and
45A(4)” and replacing them by the words “,45A(4) and 46(4)” w.e.f. 15 December 2011.

FA 2009 - The definition of “dividends” amended , in paragraph (b), by deleting the words “section
45(3)” and replacing them by the words “sections 45(3) and 45A(4)” w.e.f. 30 July 2009.
66
Amended by FA 2004. Effective as from 26 August 2004. Previously was:
(c) does not include a benefit referred to in section 86A;

67
FA 2007 – Definition repealed (shall be deemed to have come into operation on 1 July 2007 in respect
of the income year commencing 1 July 2007 and in respect of every subsequent income year).

"earned income", in relation to an individual, means the amount remaining after deducting the
allowable deductions from the gross income derived from -
(a) emoluments; or

(b) any business other than rents, interest or dividends, unless the rents or interest are derived by
the individual in the ordinary course of his business;
68
Economic Development Board Act 2017 – The definition of “ Economic Development Board” inserted
w.e.f 07 August 2017. FA 2022 – new definition added, w.e.f 02 August 2022.

* Please refer to endnotes at Appendix 1 Page 272 of 491

MRA THE INCOME TAX ACT 1995 273

69
Inserted by FA 2003. Deemed effective as from 8 October 2002.
70
Deleted by FA 1999. Effective as from income year 1999-00. Previously ITA 1995 as amended -
"employees' share participation scheme" means an employees’ share participation fund or scheme
approved by the Minister;.
71
Inserted by FA 1999. Effective as from income year 1999-00. Amended by FA 2004, the words “and
approved by the Commissioner” deleted and replaced by the words “under the Companies Act 2001”.
Effective as from 1 July 2004.
72
The Securities Act 2005 - The definitions of “equity fund” deleted w.e.f 28.09.07.
"equity fund" means an equity fund approved by the Financial Services Commission established under
the Financial Services Development Act 2001;
Inserted by FA 2002. Effective as from year of assessment 2002-03.
73
FA 2023 – Paragraph (a) amended, by deleting the words “one thirteenth of the Category A Income
Exemption Threshold specified in the Third Schedule” and replacing them by the words “30,000
rupees”, shall be deemed to have come into operation in respect of the income year commencing on 1
July 2023 and in respect of every subsequent income year.

FA 2015 - The definition of “exempt person” deleted and replaced shall come into operation on 1 July
2015.
"exempt person" means an employee whose emoluments do not exceed 20,800 rupees per month;

FA 2011- The definition of “exempt person” deleted and replaced - shall come into operation in respect
of the income year commencing 1 January 2012 and in respect of every subsequent income year.
FA 2010 – The words “18,500 rupees” deleted and replaced by the words “19,700 rupees” shall come
into operation on 1 January 2011.

(a) an employee whose emoluments do not exceed 19,700 rupees per month; and

(b) an individual who derives gross income falling under Sub-Part B of Part VIII which does not
exceed the CPS threshold and whose tax liability for the CPS quarter in respect of that gross
income is of an amount specified in the Fourth Schedule;
FA 2008 – The words “16,500 rupees” deleted and replaced by the words “18,500 rupees”, shall be
deemed to have come into operation on 1 July 2008 in respect of the income year commencing 1 July
2008 and in respect of every subsequent income year.

FA 2006 – Definition deleted and replaced w.e.f 01.07.06.

Definition deleted and replaced by MRA Act 2004 .
"exempt person" means –
(a) an employee whose emoluments do not exceed the amount specified in the Fourth Schedule;

(b) a field worker or a non-agricultural worker employed in the sugar industry whose emoluments
do not exceed the amount specified in the Fourth Schedule; or
(c) a household employee;
ITA 1995:-
"exempt person" means -

(a) an employee whose emoluments do not exceed the amount specified in Part I of the Fourth
Schedule;
(b) a field worker or a non-agricultural worker employed in the sugar industry whose emoluments
do not exceed the amount specified in Part I of the Fourth Schedule;
(c) a household employee; or

(d) an individual who derives gross income falling under Sub-Part B of Part VIII which does not
exceed the CPS threshold and whose tax liability for the CPS period in respect of that gross
income is of an amount specified in Part II of the Fourth Schedule;

* Please refer to endnotes at Appendix 1 Page 273 of 491

MRA THE INCOME TAX ACT 1995 274

74
FA 2023 – Definition amended, w.e.f 20 July 2023.

Previously was:

“export of goods” includes international buying and selling of goods by an entity in its own name,
whereby the shipment of such goods is made directly by the shipper in the original exporting country to
the final importer in the importing country, without the goods being physically landed in Mauritius;

FA 2018 - New definition inserted shall come into operation on 1 January 2019.
75
FA 2018 - The definition of “foreign source income” deleted and replaced shall come into operation on 1
January 2019.
Formerly
“foreign source income”
(a) means income which is not derived from Mauritius; and

(b) includes –

(i) in the case of a corporation holding a Category 1 Global Business Licence under the
Financial Services Act, income derived from its transactions with non-residents or
corporations holding a Global Business Licence under the Financial Services Act ;
and

(ii) in the case of a bank holding a banking licence under the Banking Act, income
derived from its banking transactions with –

(A) non-residents; or

(B) corporations holding a Global Business Licence under the Financial

Services Act;

FA 2010 –New definitions inserted – shall come into operation on 1 January 2011.
76
FA 2015 - The definition of “foreign tax” deleted and replaced w.e.f. 14 May 2015.
"foreign tax" means a tax, of a similar character to income tax, imposed by the laws of a foreign
country;
77
FA 2006 – Definition amended w.e.f 01.07.06.
ITA 1995:-
"foreign vessel", in relation to item 8 of Part I and item 12 of Part II of the Second Schedule, means a
ship registered in Mauritius and owned by -
78
THE FOUNDATIONS ACT 2012 - New Definition added w.e.f . 1 July 2012 - Proclamation No.30 of
2012.
79
FA 2011 - Definition deleted shall be deemed to have come into operation on 5 November 2011.

“gains”, in relation to gains from the sale or transfer of immovable property, means the gains referred
to in section 10A;
80
FA 2022 – Definition added – shall come into operation on a date to be fixed by Proclamation.

81
FA 2008- Definition added, shall be deemed to have come into operation on 1 July 2008.
82
FA 2006 – Definition deleted w.e.f 01.07.06.

* Please refer to endnotes at Appendix 1 Page 274 of 491

MRA THE INCOME TAX ACT 1995 275

Amended by FA 1998. Effective as from income year 1998-99.

"handicapped" means a person who is physically or mentally handicapped in a permanent capacity;
Previously ITA 1995 as amended -
"handicapped" means -
(a) in relation to a taxpayer or his dependent spouse, a person suffering from permanent disablement;
(b) in relation to a child, a child who is physically or mentally handicapped in a permanent capacity;
83
FA 2006 – Definition deleted w.e.f 01.07.06.
ITA 1995:-
"health institution" has the same meaning as in the Private Health Institutions Act 1989;
84
Inserted by FA 2001.
85
Inserted by FA 2002. Effective as from year of assessment 2002-03.
86
FA 2017- New Definition added w.e.f 24 July 2017.
87
FA 2010 – Subparagraph (i) repealed, shall be deemed to have come into operation as from the year of
assessment 2011.
(i) the national residential property tax imposed by Sub-Part BB of Part VIII, for the purposes of
that Sub-Part, Parts IX, X and XI;

FA 2006 – Definition deleted and replaced w.e.f 01.07.06.

ITA 1995:-
"income tax" -
(a) means the income tax imposed by section 4; and
(b) includes any penalty imposed under this Act; but
(c) does not include any fine;
88
FA 2010 – Subparagraph (i) repealed, shall be deemed to have come into operation as from the year of
assessment 2011.

(i) the national residential property tax imposed by Sub-Part BB of Part VIII, for the purposes of
that Sub-Part, Parts IX, X and XI;
89
FA 2023 – The definition of “income tax”, in paragraph (b)(ii) amended the words “Sub-part AB of
Part III, or” deleted shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2017- The definition of “income tax”, in paragraph (b)(ii) amended the words “Sub-Part AB of Part
III, or” inserted after the word “by” - w.e.f 24 July 2017.

FA 2009 - Subparagraph (ii) amended, by inserting, after the words “Sub-Part AB”, the words “or Sub-
Part AC” w.e.f. 30 July 2009.
FA 2007 – Definition of “income tax” amended, in paragraph (b), by inserting immediately after
subparagraph (i), the following new subparagraph (ii), the existing subparagraph (ii) being renumbered
(iii) accordingly – shall be deemed to have come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
90
FA 2011 – Subparagraph (iia) amended, the words “on book profit” deleted - shall come into
operation in respect of the income year commencing 1 January 2012 and in respect of every subsequent
income year.

FA 2009 - Paragraph (b) amended by inserting, after subparagraph (ii), the new subparagraph (iia) -
w.e.f. 30 July 2009.

(iia) the CSR charge on book profit under Sub-Part AD of Part IV

* Please refer to endnotes at Appendix 1 Page 275 of 491

MRA THE INCOME TAX ACT 1995 276

91
FA 2011 – Subparagraph (iic) deleted - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.

FA 2010 – Paragraph (b) amended by inserting, after subparagraph (iia), the new subparagraphs (iib) and
(iic) - shall come into operation on 1 January 2011.

(iib) the one-off charge on turnover and book profit under section 50M;
(iic) the solidarity income tax referred to in Sub-Part AA of Part III;
92
FA 2019 – Definition of “income tax” amended, in paragraph (b), by inserting, after subparagraph (iib),
the following new subparagraph (iic), shall be deemed to have come into operation on 1 July 2019.
93
FA 2024 – Definition of “income tax” amended, in paragraph (b), by inserting, after subparagraph
(b)(iic), the new paragraph (iid), shall be deemed to have come into operation in respect of the year of
assessment commencing on 1 July 2024 and in respect of every subsequent year of assessment.
94
The words “containing not less than 6 bedrooms for the accommodation of guests for reward” deleted
by FA 2001. Effective as from income year 2000-01.

95
FA 2006 – Paragraph (d), (e) and (f) deleted and replaced w.e.f 01.07.06.
ITA 1995:-
(d) for the welfare of workers employed in a trade, undertaking or hotel specified in paragraph
(a), (b) or (c), respectively, but does not include -

(i) any building or structure in use as, or part of, a dwelling house, retail shop,
showroom or office, or used for any purpose ancillary to the purposes of a dwelling
house, retail shop, showroom or office; or

(ii) any land, tree, plant, garden or earthworks;

(e) for the provision of education or training;

(f) for the purposes of operating an aerodrome;

Paragraph (e) added by FA 1997.
Paragraph (f) added by FA 2001. Effective as from income year 2000-01
96
FA 2009 - The definitions of “inter-crop season” repealed w.e.f. 30 July 2009.
"inter-crop season" has the same meaning as in section 26 of the Labour Act;
97
The Limited Liability Partnerships Act 2016 - New definition inserted w.e.f 3 January 2017-
Proclamation No. 60 of 2016.
98
The Limited Partnership Act 2011(Act No.28 of 2011) – New definition inserted w.e.f. 15 December
2011.

99
The Securities Act 2005 - The definitions of "listed company" deleted and replaced w.e.f 28.09.07.
"listed company" has the meaning assigned to it in section 48;
100
FA 2020 – Paragraph (b) repealed and replaced – shall come into operation in respect of the year of
assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.

Previously was:

(b) includes the assembly of parts into a piece of machinery or equipment or other product;

* Please refer to endnotes at Appendix 1 Page 276 of 491

MRA THE INCOME TAX ACT 1995 277

101
FA 2024 – definition of “manufacture” amended, by deleting the words “of waste” and replacing them
by the word “activities” shall come into operation in respect of the year of assessment commencing on
01 July 2025 and in respect of every subsequent year of assessment.
102
Amended by FA 1999. Effective as from income year 1999-00. Previously ITA 1995 as amended-
"manufacturing company" -
(a) means a company which derives at least 75 per cent of its gross income from manufacturing
activities; but
(b) does not include a company engaged in the manufacture of excisable goods under the Excise Act
1994;
103
FA 2006 – Definition deleted w.e.f 01.07.06.
ITA 1995:-
"miller", for the purposes of -

(a) items 5, 6 and 7 of Part IV of the Second Schedule, means any person or group of persons
operating a factory and includes any person acting as manager for that person or group of
persons; and

(b) section 59(3), means any person or group of persons, other than an individual, operating a
sugar factory;
104
FA 2022 – new definition added - shall come into operation on a date to be fixed by Proclamation.
105
FA 2021- Section 2 amended, new definition inserted w.e.f 05 August 2021.
106
FA 2022 – new definition added, w.e.f 02 August 2022.
107
FA 2017- New Definition added w.e.f 24 July 2017.
108
FA 2006 – Paragraph (a) amended w.e.f 01.07.06.

FA 2005- Effective as from assessment year 2006-07

(a) for the purposes of sections 6(4)(b), 161A(1)(g) and paragraph (iv) of item 14 of Part
II, and items 5 and 6 of Part III, of the Second Schedule, and the Income Tax (Foreign Tax
Credit) Regulations 1996 in so far as they apply to a bank holding a banking licence under
the Banking Act 2004 -
Amended by FA 2005. Effective as from assessment year 2006-07. Previously ITA 1995 as amended –
“non-resident” means a person who is not resident in Mauritius;
109
Definition deleted and replaced by MRA Act 2004 –
ITA 1995:-
"officer" means a public officer posted to the Income Tax Department;
110
The Securities Act 2005 - The definitions of "Official List" deleted w.e.f 28.09.07.
"Official List" has the same meaning as in the Stock Exchange Act 1988;

111
FA 2006 – Definition amended w.e.f 01.07.06.

ITA 1995:-
"other income earning activity" means any activity from which income of a kind specified under
section 10(1)(c), (d) or 10(2) is derived;
112
FA 2006 – Definition deleted w.e.f 01.07.06.

ITA 1995:-
"personal reliefs and deductions" means the personal reliefs and deductions specified in Sub-Part C of
Part III;

* Please refer to endnotes at Appendix 1 Page 277 of 491

MRA THE INCOME TAX ACT 1995 278

113
FA 2006 – Paragraph (a) amended w.e.f 01.07.06.
ITA 1995:-
(a) items 4, 10, 18 and 19(1) of Part IV of the Second Schedule, means any person or group of
persons growing sugar cane in one or more factory areas and includes any person acting as
manager for that person or group of persons; and
114
FA 2022 – new definition added, w.e.f 02 August 2022.
115
FA 2011 – New definition inserted , shall come into operation in respect of the year of assessment
commencing 1 January 2013 and in respect of every subsequent year of assessment.
116
FA 2022 – new definition added - shall come into operation on a date to be fixed by Proclamation.
117
FA 2018 - New definition inserted w.e.f 9 August 2018.

118
FA 2013 –The definition of “registered owner” amended, the words “8 and 9 of Part I” deleted and
replaced by the words “9 and 10 of Sub-Part C of Part II” - w.e.f 21 December 2013.

119
FA 2019 – New definition inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
120
Amended by FA 2003. Effective as from Year of Assessment 2003/2004. Previously ITA 1995 as
amended - “related company” means a company which is under the control of the person.
121
FA 2015 - New definition inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2015 and in respect of every subsequent year of assessment.
122
FA 2006 – Definition added w.e.f 01.07.06.
123
FA 2006 – Definition deleted w.e.f 01.07.06.
ITA 1995:-
"seaman" in relation to item 12 of Part II of the Second Schedule, means a seaman who is employed on
a vessel registered in Mauritius or a foreign vessel;
124
FA 2024 – the definition of “securities” deleted and replaced w.e.f 01 July 2024.
“securities” in item 7 of Sub-Part C of Part II of the Second Schedule, has the same meaning as in the
Securities Act 2005 but does not include Treasury Bills, Bank of Mauritius Bills, virtual assets and
virtual tokens;

The Virtual Asset and Initial Token Offering Services Act 2021 - the definition of “securities”, in
paragraph (b), amended by deleting the words “Treasury Bills and Bank of Mauritius Bills” and
replacing them by the words “Treasury Bills, Bank of Mauritius Bills, virtual assets and virtual tokens,
shall come into operation on a date fixed by Proclamation.

The Securities Act 2005 - The definitions of “securities” deleted and replaced w.e.f 28.09.07.
“securities” in item 7 of Sub-Part C of Part II of the Second Schedule has the same meaning as in the
Securities Act 2005 but does not include Treasury Bills;
125
The Securities Act 2005 - The definitions of “share” deleted and replaced w.e.f 28.09.07.
"share" in relation to a company, includes an interest in the capital of the company;
126
SME Act 2017- New definition inserted w.e.f 18 January 2018.
127
FA 2021- New definition inserted –w.e.f 05 August 2021.
128
The Limited Partnership Act 2011(Act No.28 of 2011) – Paragraph (b) of the definition of “societe”
amended a new subparagraph (iA) inserted after subparagraph (i) , w.e.f. 15 December 2011.
129
The Limited Liability Partnerships Act 2016 - The the definition of “société” amended new
subparagraph (iB) inserted after subparagraph (iA) w.e.f 3 January 2017- Proclamation No. 60 of 2016.

* Please refer to endnotes at Appendix 1 Page 278 of 491

MRA THE INCOME TAX ACT 1995 279

130
FA 2012 – New definitions inserted – shall come into operation on 1 January 2013

131
FA 2017- New Definition added w.e.f 24 July 2017.
132
FA 2020 – Definition deleted w.e.f 7 August 2020.
“solidarity levy” means the solidarity levy imposed under the Value Added Tax Act;

FA 2006 – Definition added w.e.f 01.07.06.

133
FA 2006 – Definition deleted w.e.f 01.07.06.
Inserted by FA 2000. Effective as from year of assessment 2001-02.
“start-up company” shall be construed in accordance with section 67E;
134
The Securities Act 2005 - The definitions of "Stock Exchange" deleted and replaced w.e.f 28.09.07.
"Stock Exchange" means the Stock Exchange established by the Stock Exchange Act 1988;
135
THE VARIABLE CAPITAL COMPANIES ACT 2022 – new definition inserted, shall come into
operation on a date to be fixed by Proclamation.
136
THE VARIABLE CAPITAL COMPANIES ACT 2022 – new definition inserted, shall come into
operation on a date to be fixed by Proclamation.
137
FA 2013 –Both definitions of “superannuation fund” deleted and replaced - shall be deemed to have
come into operation on 1 November 2012.

“superannuation fund” –

(a) means a fund or scheme which is set up for the benefit of the employees of an employer and is
licensed or authorised under the Private Pension Schemes Act 2012; and

(b) includes such other fund or scheme as may be prescribed;

FA 2012 – The definition of “superannuation fund” deleted and replaced shall be deemed to have
come into operation on 1 November 2012

"superannuation fund" means a fund or scheme established for the benefit of the employees of an
employer and which is licensed or authorized under the Private Pension Schemes Act 2012;

The Private Pension Schemes Act - The Income Tax Act is amended, in section 2, in the definition of
“superannuation fund”, by deleting the words “approved by the Director-General” and replacing
them by the words “which is licensed or authorized under the Private Pension Schemes Act 2012”
138
Definition added by MRA Act 2004.

139
FA 2009 – The definitions of “tax incentive companies” repealed w.e.f. 30 July 2009.
"tax incentive companies" means companies of a type listed in Part IV of the First Schedule
140
FA 2022 – new definition added - shall come into operation on a date to be fixed by Proclamation.
141
Deleted by FA 2001. Previously ITA 1995 as amended -
“Tribunal” means the Tax Appeal Tribunal established under the Tax Appeal Tribunal Act 1984;
142
Amended by the Trusts Act 2001. Effective as from 1.12.2001 - Proclamation No. 22 of 2001.
Previously ITA 1995 as amended -
“trust” means any trust constituted under the laws of Mauritius;
143
The Securities Act 2005 - The definitions of "trustee" deleted and replaced w.e.f 28.09.07.

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MRA THE INCOME TAX ACT 1995 280

"trustee", in relation to a unit trust scheme, has the meaning assigned to it in the Unit Trust Act 1989;
144
The Securities Act 2005 - The definitions of "unit" deleted and replaced w.e.f 28.09.07.
"unit", in relation to unit trust scheme, has the same meaning as in(2) the Unit Trust Act 1989;
145
The Securities Act 2005 - The definitions of "unitholder" deleted and replaced w.e.f 28.09.07.
"unitholder" has the same meaning as in (1) the Unit Trust Act 1989;
(1)
The word "in" inserted by FA 1997.
146
The Securities Act 2005 - The definitions of "Unit Trust Fund" deleted and replaced w.e.f 28.09.07.
"Unit Trust Fund" has the same meaning as in the Unit Trust Act 1989;
147
The Securities Act 2005 - The definitions of "unit trust scheme"deleted and replaced w.e.f 28.09.07.
"unit trust scheme" has the same meaning as in the Unit Trust Act 1989;
148
The Virtual Asset and Initial Token Offering Services Act 2021 – new definition added, shall come into
operation on a date fixed by Proclamation.
149
The Virtual Asset and Initial Token Offering Services Act 2021 – new definition added, shall come into
operation on a date fixed by Proclamation.

150
FA 2015 - The definition of “year” amended by deleting the words “1 January” and replacing them by
the words “1 July” shall come into operation on 1 July 2015.

FA 2009 - The definition of “year” amended by deleting the words “1 July” and replacing them by the
words “1 January” w.e.f. 30 July 2009.

151
FA 2006 – Section 4 deleted and replaced in so far as it relates to individuals shall be deemed to have
come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year and in so far as it relates to companies shall come into
operation on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect
of every subsequent year of assessment.

ITA 1995:-
4. Imposition of tax

Subject to the other provisions of this Act, income tax shall, in and for every year -
(a) be paid to the Commissioner by every person on all income, other than exempt income,
derived by him during the preceding year; and
(b) be calculated on the chargeable income of the person at the appropriate rate specified in the
First Schedule.
152
FA 2018 - The existing provision renumbered as subsection (1)- shall come into operation in respect of
the year of assessment commencing on 1 July 2019 and in respect of every subsequent year of
assessment.
153
FA 2018 - Paragraph (b) repealed and replaced - shall come into operation in respect of the year of
assessment commencing on 1 July 2019 and in respect of every subsequent year of assessment.

(b) be calculated on the chargeable income of the person, other than the person referred to in
section 44B, at the rate specified in Part I of the First Schedule.

FA 2017- Section 4(b) amended, the words “at the rate specified in the First Schedule” deleted and
replaced by the words “, other than the person referred to in section 44B, at the rate specified in Part I
of the First Schedule” - shall be deemed to have come into operation on 1 July 2017.

FA 2007 Section 4(b) amended, by deleting the words “the appropriate rate specified in Part I and Part
II of the First Schedule” and replacing them by the words “the rate specified in the First Schedule”; in
relation to individuals shall be deemed to have come into operation on 1 July 2007 in respect of the

* Please refer to endnotes at Appendix 1 Page 280 of 491

MRA THE INCOME TAX ACT 1995 281

income year commencing 1 July 2007 and in respect of every subsequent income year and in relation to
companies shall come into operation on 1 July 2008 in respect of the year of assessment
commencing 1 July 2008 and in respect of every subsequent year of assessment.

(b) be calculated on the chargeable income of the person at the appropriate rate specified in Part
I and Part II of the First Schedule.
154
FA 2018 - New subsection (2) added - shall come into operation in respect of the year of assessment
commencing on 1 July 2019 and in respect of every subsequent year of assessment.
155
FA 2022 - New subsection (4) added, w.e.f 02 August 2022.
156
The Financial Commission Crimes Act 2023, section 4A repealed and replaced, w.e.f 29 March 2024
(by proclamation).

Previously was

(1) Notwithstanding section 154, where the Director-General has reasonable ground to suspect
that a person has acquired unexplained wealth of 10 million rupees or more, he shall, in
accordance with section 9 of the Good Governance and Integrity Reporting Act 2015, make a
written report to the Agency specifying the full name and address of the person and the sum of
the unexplained wealth.

(2) Notwithstanding section 4, where a report is made under subsection (1), the sum specified in
the report shall, subject to this section, not be liable to income tax.

(3) Where the Integrity Reporting Board does not direct the Agency to institute action for the
confiscation of the sum specified in subsection (1), wholly or partly, the Agency shall inform
the Director-General, who shall as soon as is reasonably practicable, in respect of any sum
specified in the report and which is not subject to confiscation, issue, notwithstanding section
123A, an assessment in respect of that sum.

(4) In this section –

“Agency” means the Integrity Reporting Services Agency established under section 4 of the
Good Governance and Integrity Reporting Act 2015;

“Integrity Reporting Board” means the Integrity Reporting Board referred to in section 7 of
the Good Governance and Integrity Reporting Act 2015.

FA 2016 - New section 4A inserted after section 4 w.e.f. 7 September 2016.

FA 2017- Subsection (1) amended the words “section 4” deleted and replaced by the words “section
154” w.e.f 24 July 2017.

FA 2017- Subsection (2) amended the words “Where” deleted and replaced by the words
“Notwithstanding section 4, where” w.e.f 24 July 2017.
157
FA 2007 - Section 5(3) amended, by deleting the words “Earned income derived from outside
Mauritius shall be deemed to be derived by a person when –” and replacing them by the words
“Income derived by an individual from outside Mauritius shall be deemed to be derived by the
individual when –” in relation to individuals shall be deemed to have come into operation on 1 July
2007 in respect of the income year commencing 1 July 2007 and in respect of every subsequent income
year.
ITA 1995:-

(3) Earned income derived from outside Mauritius shall be deemed to be derived by a
person when -

* Please refer to endnotes at Appendix 1 Page 281 of 491

MRA THE INCOME TAX ACT 1995 282

158
FA 2009 – Subsection (1) amended by inserting after the word “shall”, the words
“, subject to subsection (5),” w.e.f. 30 July 2009.
159
The words “official exchange rate” replaced by “exchange rate” by FA 2003. Effective as from Year of
Assessment 2003/2004.

160
FA 2018 - Section 6 (4)(a) and (5) amended , the words “Category 1” deleted - shall come into
operation on 1 January 2019;

FA 2009 –Subsection (4) repealed and replaced - w.e.f. 30 July 2009.

Subsection (4) amended by the Financial Services Development Act 2001. Effective as from 1.8.2001
- Proclamation No. 8 of 2001.
(4) Notwithstanding the other provisions of this section, the net income of-
(a) a corporation holding a Category 1 Global Business Licence under the Financial
Services Act 2007; or
(b) a bank holding a banking licence under the Banking Act 2004 in respect of its
banking transactions with non-residents and corporations holding a Global Business
Licence under the Financial Services Act 2007,
shall be converted into Mauritius currency at the exchange rate in force at the date on which
the return of income is submitted to the Director-General.

Previously FA 2000 - year of assessment 2000-01.

(4) Notwithstanding the other provisions of this section, the net income of a corporation certified
to be engaged in an international business activity by the Mauritius Offshore Business Activities
Authority established under the Mauritius Offshore Business Activities Authority Act 1992 or by a
company holding an Offshore Banking Licence under the Banking Act 1988 shall be converted into
Mauritius currency at the official exchange rate in force at the date of the annual balance of the
accounts of the corporation or offshore bank, as the case may be.
Subsection (4) repealed and replaced by Banking Act 2004. Effective date 10 November 2004 –
Proclamation 39 of 2004. Previously Financial Services Development Act 2001. Proclamation No. 8
of 2001. Effective date 1 August 2001.
(4) Notwithstanding the other provisions of this section, the net income of a corporation holding a
Category 1 Global Business Licence under the Financial Services Development Act 2001 or a bank
holding a Category 2 Banking Licence(i) under the Banking Act 1988 shall be converted into
Mauritius currency at the exchange rate in force at the date on which the return of income is
submitted to the Commissioner.(ii)
(i) The words “Category 2 Banking Licence” replaced “Class B Banking Licence” by FA 2002.
(ii) The words “at the official exchange rate in force at the date of the annual balance of the
accounts of the corporation or bank, as the case may be.” replaced by “at the exchange rate in
force at the date on which the return of income is submitted to the Commissioner” by FA 2003.
Effective as from year of assessment 2003/2004.
161
FA 2009 –Subsection (5) added, shall be deemed to have come into operation on 1 July 2009.

162
FA 2011 – Section 6(5) amended: the words “, or any other company with the approval of the
Registrar of Companies,” inserted, after the words “Financial Services Act”; and the words “Euros or
GB pound sterling” deleted and replaced by the words “Euros, GB pounds sterling, Singapore dollars,
South African rands, Swiss francs or such other foreign currency as may be approved by the Director-
General” – w.e.f. 15 December 2011.
163
FA 2006 – Section 7 deleted and replaced shall be deemed to have come into operation on 1 July 2006
in respect of the income year commencing 1 July 2006 and in respect of every subsequent income year.
ITA 1995:-
7. Exempt income

* Please refer to endnotes at Appendix 1 Page 282 of 491

MRA THE INCOME TAX ACT 1995 283

(1) The income specified in the Second Schedule shall be exempt from income tax.

(2) Except as otherwise provided for in this Act, nothing in this section shall exempt from taxation
in the hands of a recipient any sum paid, by way of emoluments, dividends, interest or
otherwise, wholly or partly out of income so exempt from taxation.
164
FA 2023 – Section 7(2) amended, by deleting the words “Subject to section 16C, any” and replacing
them by the word “Any” shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2020 – Section 7(2) amended, the word “Any” deleted and replaced by the words “Subject to
section 16C, any” w.e.f 7 August 2020.
165
FA 2006 – Section 10 repealed and replaced shall be deemed to have come into operation on 1 July
2006.

166
FA 2011 – Paragraph (f), repealed and replaced shall be deemed to have come into operation on 5
November 2011.

FA 2010 – New paragraph (f) inserted, the existing paragraph (f) being relettered (g) accordingly –shall
come into operation on 1 January 2011.
(f) any gross income, in money or money’s worth, derived from the sale or transfer of immovable
property or interest in immovable property, other than gross income derived from the sale of
immovable property in the course of any business falling under paragraph (b); and
167
ITA 1995:-
10. Income included in gross income
(1) Subject to the other provisions of this Act, the gross income of an individual shall include -
(a) any advantage in money or in money's worth which is -
(i) salary, wages, leave pay, fee, overtime pay, perquisite, allowance, bonus,
gratuity, commission or other reward or remuneration in respect of or in
relation to the office or employment of that individual, other than passages,
by sea, air or land between Mauritius and another country, provided under
the contract of employment;
(ii) superannuation, compensation for loss of office, pension (including a
pension in respect of which a deduction is allowed under section 23 or 62,
as the case may be), retiring allowance, annuity or other reward in respect
of or in relation to past employment or loss or reduction of future income of
that individual, whether receivable by that individual or by any person who
is or has been the spouse or dependant of that individual;
(b) any gross income derived from any business;
(c) any rent, royalty, premium or other income derived from property;
(d) any dividend, interest, charges, annuity or pension (other than a pension referred to
in paragraph (a)(ii)); and
(e) any other income derived from any other source.
(2) For the purposes of subsection (1)(b), the gross income derived from a business shall include -
(a) any sum or benefit, in money or money's worth, derived from the carrying on or
carrying out of any undertaking or scheme entered into or devised for the purpose of
making a profit, irrespective of the time at which the undertaking or scheme was
entered into or devised;
(b) any sum or benefit derived from the extraction, removal or sale of any mineral, tree
or wood;
(c) any sum or benefit, in money or money's worth, derived from the sale of any
immovable property or interest in immovable property, where the property was
acquired in the course of a business the main purpose of which is the acquisition and
sale of immovable property;

* Please refer to endnotes at Appendix 1 Page 283 of 491

MRA THE INCOME TAX ACT 1995 284

(d) any increase in the value of trading stock on hand at the time of transfer by sale or
otherwise of a business or on the reconstruction of a company; and
(e) any subsidy derived in the carrying on of a business.
168
FA 2019 – Section 10(3) amended, new paragragh (f) added, shall be deemed to have come into
operation on 1 July 2019.
169
FA 2011 –Section 10A repealed, shall be deemed to have come into operation on 5 November 2011.

FA 2010 – New section “ 10A.Gains from immovable property” inserted - shall come into operation on
1 January 2011.

10A. Gains from immovable property

(1) Every person who derives gains from the sale or transfer of immovable property or interest in
immovable property in an income year shall pay a tax on those gains to the Director-General.

(2) The tax on the gains shall be payable at the time the return of income is submitted under
section 112, 116 or 119.

(3) Notwithstanding the other provisions of this Act, the gains shall be computed, for the purposes
of this section, by deducting from the proceeds of the sale or transfer of the immovable
property –

(a) the cost of its acquisition and any registration duty paid thereon;

(b) any capital expenditure incurred thereon;

(c) any land transfer tax paid under the Land (Duties and Taxes) Act on its sale or
transfer; and
(d) any cost incurred in connection with its sale or transfer.

(4) Where an immovable property was acquired before 1 January 1988, the original cost of its
acquisition shall be increased by reference to the year in which the immovable property was
acquired, in accordance with the following Table and the increased amount shall be deemed to
be the cost of acquisition of the immovable property –

Table

Year of acquisition Original cost of immovable property

of immovable property increased by a multiplying factor -

Up to 1963 7.5

1964 to 1968 7.0

1969 to 1973 6.0

1974 to 1978 3.0

1979 to 1983 1.5

1984 to 1987 1.1

(5) Where an immovable property was acquired before 1 January 1988 and a building was
constructed thereon after the acquisition but before 1988, the original cost of the building shall
be increased by reference to the year in which the building was constructed, in accordance

* Please refer to endnotes at Appendix 1 Page 284 of 491

MRA THE INCOME TAX ACT 1995 285

with the Table referred to in subsection (4), and the increased amount shall be deemed to be
the capital expenditure incurred thereon.

(6) Where land is acquired and is sold or transferred after having been developed in the course of
a business, the difference between its value as at the date the authority for morcellement or for
building and land use was given, as the case may be, and its original cost as adjusted under
subsection (4) shall be deemed to be gains derived from the sale or transfer of the land under
subsection (1).

(7) Where a person who, as part of the schemes referred to in sections 11(2)(b) and (3)(b) and
29(1)(c)(ii), (d) or (f) of the Sugar Industry Efficiency Act, sells immovable property for the
purpose of recouping costs incurred in the implementation of those schemes, such costs shall
be allowed as allowable deduction from the total of the gains under this section and the income
from the sale or transfer of that immovable property.

(8) Where land or other immovable property is acquired –

(a) by inheritance or legacy;

(b) by a specified entity pursuant to section 11(2), (2A) , (3) and (13), or by a person
pursuant to section 11(11), of the Sugar Industry Efficiency Act; or

(c) otherwise,

and the cost of its acquisition is not known or is at a nominal price, and the immovable
property is thereafter sold or transferred, the proceeds from the sale or transfer shall be
discounted by reference to the year in which the immovable property was acquired, in
accordance with the following Table and the discounted amount shall be deemed to be the cost
of its acquisition –

Table
Year of acquisition of immovable Discounting the proceeds from sale
property or transfer of immovable property
by a multiple of -
2004 to 2010 0.85
1999 to 2003 0.60
1994 to 1998 0.45
1989 to 1993 0.30
Up to 1988 0.25

(9) (a) Subject to paragraph (d), where shares in a company which owns immovable property are
transferred –

(i) resulting in a change of control of that company; or

(ii) resulting in any increase in the shareholding of the controlling shareholder within a
period of 12 months from the date of change of control,

the gains derived from the transfer of those shares shall be subject to tax under this section by
using the following formula –

number of shares transferred x gains

total number of shares issued

(b) For the purpose of this section –

* Please refer to endnotes at Appendix 1 Page 285 of 491

MRA THE INCOME TAX ACT 1995 286

(i) the value of the immovable property at the time of transfer of the shares shall be
deemed to be the value disclosed in the statement of financial position of the company
immediately preceding the transfer; and

(ii) the cost of acquisition of the immovable property and the computation of the gains
shall be determined in accordance with the provisions of this section.

(c) Where the Director-General is dissatisfied with the value of the immovable property disclosed
in the statement of financial position, he shall determine the value of the immovable
property and make an assessment accordingly.

(d) Paragraph (a) shall apply where the value of immovable properties forming part of the assets
of the company exceeds 95 per cent of its total assets.

(10) Notwithstanding section 47(1), where an immovable property is registered in the name of a
société and the property is thereafter sold or transferred, the tax on the gains derived therefrom
shall be payable by the société under this section, provided that the société is engaged in
property business.
(11) Where an immovable property is registered in the name of a trust and the property is thereafter
sold or transferred, the trustee of the trust shall be liable to pay the tax on the gains derived
therefrom under this section.

(12) Where an immovable property is owned by 2 or more persons and the property is thereafter
sold or transferred, the tax on the gains shall be payable by the co-owners on their share in the
property.

(13) (a) Where an immovable property is in the name of a minor and the property is thereafter
sold or transferred, the legal administrator of the minor shall be liable to pay the tax
on any gains derived therefrom under this section.

(b) Where there is no legal administrator, the legal guardian of the minor shall be liable
to pay the tax on any gains derived therefrom under this section.

(14) Subject to subsection (7), any loss incurred in an income year under this section –

(a) shall not be allowed as an allowable deduction under this Act; and

(b) shall not be carried forward and set off against future gains or profits.

(15) The gains chargeable under subsection (1) in an income year shall be reduced by the amount
of the gains or 2 million rupees, whichever is the lesser, in respect of an individual or co-
owner who is an individual.
170
FA 2006 – Subsection (3) amended w.e.f 01.07.06.
ITA 1995:-
(3) In this section "trading stock" includes any other property which, as and when realised,
produces income for the person under section 10(2)(c).
171
FA 2016 -New Section 16A inserted after Section 16 w.e.f. 7 September 2016.
172
SME Act 2017 – Subsection (1) of Section 16A amended – Paragraphs (a) and (b) repealed and
replaced- w.e.f 18 January 2018.

(a) is registered under the Small and Medium Enterprises Development Authority Act on
or after 2 June 2015; and

* Please refer to endnotes at Appendix 1 Page 286 of 491

MRA THE INCOME TAX ACT 1995 287

(b) qualifies under a scheme referred to in section 5A of the Small and Medium
Enterprises Development Authority Act, be exempt from income tax in respect of the
income derived from a project under the scheme.
173
SME Act 2017 – Subsection (2) of Section 16A amended – Paragraph (c) repealed and replaced- w.e.f18
January 2018.

(c) in which the individual starts the activities relating to a project under the scheme
referred to in section 5A of the Small and Medium Enterprises Development Authority
Act.

174
FA 2011 – New Sub-part AA Solidarity Income Tax repealed - shall come into operation on 1
January 2012.
FA 2010 – New Sub-part AA Solidarity Income Tax added shall come into operation as from the
income year commencing 1 January 2011.

16A. Interpretation

In this Sub-part –

“solidarity income tax” means the solidarity income tax referred to in section 16B;

“specified exempt income” means –

(i) dividends paid to an individual by a resident company;

(ii) dividends paid to an individual by a co-operative society registered under the Co-operatives
Act;

(iii) interest on –

(A) a savings or fixed deposit account held by an individual with any bank or a non-bank
deposit taking institution under the Banking Act;

(B) Government securities and Bank of Mauritius Bills held by an individual;

“total income” –

(a) means the sum of the net income of the individual, other than gains falling under section 10A,
and

(a) includes the specified exempt income of that individual.

16B. Liability to Solidarity Income Tax

(1) Subject to subsection (3), every individual whose total income exceeds 2 million rupees in an
income year shall, in addition to his liability to income tax under Part II, be liable to pay to the
Director-General a solidarity income tax.

(2) The solidarity income tax under subsection (1) shall be calculated at the rate of 10 per cent of
the specified exempt income and shall be paid at the time the individual submits his return of
income under section 112.

(3) This section shall not apply to an individual who is non-resident

* Please refer to endnotes at Appendix 1 Page 287 of 491

MRA THE INCOME TAX ACT 1995 288

175
FA 2023 – Sub Part AB of Part III repealed, shall be deemed to have come into operation in respect of
the income year commencing on 1 July 2023 and in respect of every subsequent income year.

16B. Interpretation

In this Sub-part –

“leviable income” means the sum of –

(a) the chargeable income of an individual,

(b) the dividends paid to that individual by a resident company and a co-operative society
registered under the Co-operatives Act 2016;and

(c) the share of dividends of that individual in a resident société or succession to which he would
have been entitled as an associate of a société or heir in a succession, had the dividends received by the
société or succession been wholly distributed among the associates or heirs, as the case may be; but

(d) does not include any lump sum by way of commutation of pension or by way of death gratuity
or as consolidated compensation for death or injury, and paid –

(i) by virtue of any enactment;

(i) from a superannuation fund; and

(iii) under a personal pension scheme approved by the Director-General;

“solidarity levy” –

(a) means the solidarity levy referred to in section 16C; and

(b) includes any penalty and interest imposed under this Act.

16C. Liability to solidarity levy

(1) Subject to subsection (3), every individual whose leviable income exceeds 3 million rupees in
an income year shall, in addition to his liability to income tax under Part II, be liable to pay to the
Director-General a solidarity levy.

(2) The solidarity levy under subsection (1) shall be calculated at the rate of 25 per cent of the
leviable income in excess of 3 million rupees and shall be paid at the time the individual submits his
return of income under section 112.

(2A) The solidarity levy payable by an individual in an income year under subsection (1) shall not
exceed 10 per cent of the sum of –

(a) his net income excluding the lump sum specified in paragraph (d) of the definition of “leviable
income” in section 16B; and

(b) dividends in paragraphs (b) and (c) of the definition of “leviable income” in section 16B.

(3) This section shall not apply to an individual who is not resident in Mauritius

* Please refer to endnotes at Appendix 1 Page 288 of 491

MRA THE INCOME TAX ACT 1995 289

FA 2020 – Section 16C amended by deleting the words “3.5 million” wherever they appear and
replacing them by the words “3 million” – shall be deemed to have come into operation in respect of
the income year commencing on 1 July 2020 and in respect of every subsequent income year.

FA 2020 – Subsection (2) amended, the words “5 per cent” deleted and replaced by the words “25 per
cent” – shall be deemed to have come into operation in respect of the income year commencing on 1
July 2020 and in respect of every subsequent income year.

FA 2020 – New Subsection (2A) inserted after subsection (2) – shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2020 and in respect of every subsequent
income year.

FA 2019 – Section 16B amended, new paragraph (c) added, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2019 and in respect of every subsequent
income year.

FA 2019 – Section 16B amended, new paragraph (d) added, shall come into operation in respect of the
income year commencing on 1 July 2017 and in respect of every subsequent income year.

FA 2017- Part III amended new Sub-Part AB inserted after Sub-Part AA shall come into operation in
respect of income year commencing on 1 July 2017 and in respect of every subsequent income year.
176
FA 2006 – Subsection (1) amended by deleting the words “(1)(a) Any” and replacing them by the
words “(1) Any ( i.e. paragraph (b), (c) and (d) deleted and subsection (1) (a) being renumbered (1)
shall be deemed to have come into operation on 1 July 2006 in respect of the income year commencing
1 July 2006 and in respect of every subsequent income year.

Subsection (1) (b), (1)(c) and (1) (d) repealed

(b) Notwithstanding paragraph (a) but subject to paragraph (c), any expenditure incurred for
attending seminars, workshops, symposiums and other training courses in connection with the
duties of an office or employment by a member of a recognised professional body or for the
payment of membership fees of a recognised professional body(1) shall be deductible from the
gross income referred to in section 10(1)(a) in the income year in which the expenditure is
incurred.

(c) The amount deductible under paragraph (b) shall not exceed 30,000(2) rupees.

(d) No deduction under this section shall be allowed in respect of an income year where a
deduction has been allowed under section 37C for that income year.(3)
177
FA 2006 – Subsection (2) amended by deleting the words “not be included in his gross income” and
replacing them by the words “be deductible from the gross income referred to in section 10(1)(a) in the
income year in which the allowance is made”; shall be deemed to have come into operation on 1 July
2006 in respect of the income year commencing 1 July 2006 and in respect of every subsequent income
year.

ITA 1995:-
(2) The Commissioner may determine whether and to what extent an allowance made to a person
constitutes a reimbursement of expenditure wholly, exclusively and necessarily incurred by that person
in performing the duties of his office or employment and the allowance shall, to the extent so
determined, not be included in his gross income.
178
FA 2006 –Subsection (3) amended by deleting the words “shall not be included in the gross income of
that person” and replacing them by the words “shall be deductible from the gross income referred to in
section 10(1)(a) in the income year in which the advantage is provided” shall be deemed to have come
into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of
every subsequent income year.

ITA 1995:-

* Please refer to endnotes at Appendix 1 Page 289 of 491

MRA THE INCOME TAX ACT 1995 290

(3) Where the Commissioner is satisfied that the whole or part of any advantage has necessarily
to be provided by an employer for a person for the performance of the duties of his office or
employment, the advantage, or part thereof, shall not be included in the gross income of that person.
179
FA 2006 – Subsection (4) deleted shall be deemed to have come into operation on 1 July 2006 in
respect of the income year commencing 1 July 2006 and in respect of every subsequent income year.
.

ITA 1995:-
(4) (a) Subject to paragraph (b), a benefit to an employee from a payment by his employer to
provide a pension or retiring allowance for the employee or his dependants and which is
an allowable deduction under section 22 or 61, as the case may be, shall not be included
in the gross income of the employee in the year in which the payment is made.

(b) Where the pension or retiring allowance is deemed to have been derived by the employee
under section 5(2), it shall, subject to section 10(1)(a)(ii), be included in the gross income
for the year in which the pension or retiring allowance is derived.
180
FA 2006 – Subsection (5) deleted shall be deemed to have come into operation on 1 July 2006 in
respect of the income year commencing 1 July 2006 and in respect of every subsequent income year.
.

ITA 1995:-
(5) A benefit to an employee from a payment by his employer to a scheme approved by the
Commissioner to provide against medical expenses for the employee or his dependants and
which is an allowable deduction under section 22 or 61, as the case may be, shall not be
included in the gross income of the employee in the year in which the payment is made.
181
FA 2006 – Paragraph (b) amended w.e.f 01.07.06.
ITA 1995:-
(b) immovable property, including the cost of acquisition, which when realised, produces gross
income under section 10(2)(c),
182
FA 2023 – Section 18(4)(a) repealed and replaced, shall be deemed to have come into operation on 1
July 2023.

Previously was:

(4)(a) - “emoluments in respect of a disabled person; or”

183
Subsection (4) added by FA 1999. Effective as from income year 1999-00.
184
FA 2023 – New Section (4A) inserted after Section 4, shall be deemed to have come into operation on 1
July 2023.
185
FA 2023 – New Section (4B) inserted after Section 4, shall be deemed to have come into operation on 1
July 2023.
186
FA 2018 - Section 18 (5) amended , the words “Category 1”, “ or by a bank holding a banking licence
under the Banking Act,” and “or the bank, as the case may be,” deleted - shall come into operation on 1
January 2019.

FA 2010 – Section 18 subsection (5) repealed and replaced.

Subsection (5) added by FA 2005.

(5) Subject to subsection (1) and section 26(1)(b) and (3), where any expenditure or loss incurred
by a bank is not directly attributable to either its income derived from Mauritius or its foreign
source income, the bank shall forward, together with its return of income which is required to

* Please refer to endnotes at Appendix 1 Page 290 of 491

MRA THE INCOME TAX ACT 1995 291

be furnished under this Act, a certificate from a qualified auditor certifying that such
expenditure or loss has been apportioned in a fair and reasonable manner, after taking into
account any expenditure or loss incurred in the production of exempt income.
187
FA 2020 – Section 18(6) amended, the words “under the Value Added Tax Act” inserted after the
words “Solidarity levy” wherever they appear w.e.f 7 August 2020.

FA 2006 – Subsection (6) added w.e.f 01.07.06.

188
FA 2018 – New section 18A inserted - shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2018 and in respect of every subsequent income year.
189
FA 2006 – Section 20 deleted and replaced, shall be deemed to have come into operation on 1 July
2006 in respect of the income year commencing 1 July 2006 and in respect of every subsequent income
year.

ITA 1995:-
20. Losses

(1) Where a person satisfies the Commissioner that he has in an income year incurred a loss in
the production of gross income specified in section 10(1)(b), (c) and (d) 2, that loss -

(a) shall not be deducted from or set off against his gross income specified in section
10(1)(a) for that income year; but

(b) may be carried forward and set off against his gross income, other than gross income
specified in section 10(1)(a), in the following income year and in the succeeding
years.

(2) For the purposes of this section, where any question arises under this section as to the
quantum of losses available for set off or carry forward, the question shall be determined by
the Commissioner.
2
The words “section 10(1)(b), (c) and (d)” replaced “section 10(1)(b) and (c)” by FA 2000.
Effective as from 1.7.2000.
190
FA 2008-Subsection (3), added w.e.f 19 July 2008.
191
FA 2018 - Section 20 amended, new subsections (4), (5) and (6) added w.e.f 9 August 2018.
192
FA 2019 – Section 21 amended, new subsection (2A) inserted - shall be deemed to have come into
operation on 1 July 2019.
193
FA 2017- Subsection (1) amended the words “subsection (2)” deleted and replaced by the words “this
section” w.e.f 24 July 2017.
194
FA 2017- New subsection (3) added w.e.f 24 July 2017.
195
FA 2006 – Subsection (1) deleted and replaced, shall come into operation on 1 July 2007 in respect of
the year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
(1) Subject to the other provisions of this section, where, in an income year, a person has incurred
capital expenditure on -

(a) the acquisition, construction or extension of any industrial premises or of a hotel;

(b) the acquisition of plant or machinery;
(c) agricultural improvement on agricultural land;
(d) scientific research; 2
(e) the setting up of golf courses; or 3

* Please refer to endnotes at Appendix 1 Page 291 of 491

MRA THE INCOME TAX ACT 1995 292

(f)(3) the acquisition or improvement of any other item of a capital nature which is subject
to depreciation under the normal accounting principles, other than non-industrial
premises,
he shall be allowed a deduction of the capital expenditure so incurred by way of an annual
allowance in that income year and in each of the succeeding years at such rate as may be
prescribed.
2
The word “or” deleted by FA 2004. Effective as from year of Assessment 2003/04.
3
Amended by FA 2004. Effective as from year of Assessment 2004/05. Previously -
(e) the acquisition or improvement of any other item of a capital nature, other than non-
industrial premises,
Inserted by FA 2004. Effective as from income year 2004/05.
196
FA 2013 – Section 24(1) amended , new paragraph (ea) inserted – shall come into operation in respect
of the year of assessment commencing 1 January 2015 and in respect of every subsequent year of
assessment.
197
FA 2017- New paragraphs (g) and (h) added shall be deemed to have come into operation on 1 July
2017.
198
FA 2017- New paragraphs (g) and (h) added shall be deemed to have come into operation on 1 July
2017.
199
FA 2020 – New subsection (1A) inserted after subsection (1) – shall come into operation in respect of
the year of assessment commencing on 1 July 2021 and in respect of every subsequent year of
assessment.
200
FA 2006 – Subsection (2) deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

Subsection (2) added by FA 2000. Effective as from income year 2000-01.

(a) Subject to paragraph (b), where, in an income year, a medical practitioner has incurred
expenditure on improvements to his consulting and waiting rooms, he shall be allowed in that
income year and in each of the 2 succeeding income years a deduction by way of annual
allowance at the rate of 33 1/3 per cent of the expenditure so incurred.

(b) No deduction shall be allowed under paragraph (a) where a deduction has been allowed
under subsection (1) in respect of the same expenditure.
201
FA 2016 - Subsection (3) repealed and replaced shall come into operation in respect of the year of
assessment commencing on 1 July 2016 and in respect of every subsequent year of assessment.

Amended by FA 2004. Effective as from income year 2004/05.

(3) No annual allowance shall be allowed under this section unless –

(a) the expenditure is incurred exclusively in the production of gross income; and
(b) the provisions of section 153(1) are complied with.

Previously was:

(3) No annual allowance shall be allowed under this section unless the expenditure is incurred
exclusively in the production of gross income.
202
FA 2010 –Subsection (4) repealed and replaced shall come into operation as from the income year
commencing 1 January 2011.
Previous subsections (2), (3),(4), (5) and (6) renumbered (3), (4), (5), (6) and (7) respectively by FA
2000.
(4) The total amount of allowance claimed under this section shall not exceed in the aggregate the
amount of the capital expenditure incurred.

* Please refer to endnotes at Appendix 1 Page 292 of 491

MRA THE INCOME TAX ACT 1995 293

203
The words “subsection (6)” replaced “subsection (5)” by FA 2000.
204
FA 2022 - subsection (6) amended, by deleting the words “transfers plant, machinery or industrial
premises”, “and the plant, machinery and industrial premises” and “base value of the plant, machinery
or industrial premises” and replacing them by the words “transfers plant, machinery, industrial premises
or any other asset of a capital nature”, “and the plant, machinery, industrial premises or asset” and “base
value of the plant, machinery, industrial premises or asset”, respectively, w.e.f 02 August 2022.

The words “, machinery or industrial premises” replaced the words “or machinery” by FA 2005.
Effective as from the year of assessment commencing 1 July 2005.

Previous subsections (2), (3),(4), (5) and (6) renumbered (3), (4), (5), (6) and (7) respectively by FA
2000.
205
FA 2016 - New Subsections (7) and (8) added w.e.f 7 September 2016.

FA 2006 – Subsection (7) deleted w.e.f 01.07.07.

Subsection (7) added by FA 1998.
Where an investment approved by the Commissioner is made in a company holding a regional
development certificate, the investment is deemed to be capital expenditure for the purposes of this
section.
206
FA 2019 – New Section 24A inserted after section 24- shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2019 and in respect of every subsequent income year.
207
FA 2020 – New Section 24B inserted after Section 24A –shall come into operation in respect of the
year of assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.
208
FA 2006 – Section 25 repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

25. Investment allowance

(1) Subject to the other provisions of this section, where a person has incurred capital expenditure
on -

(a) the construction of industrial premises;

(b) the acquisition of new plant and machinery; or

(c) the acquisition of computer software,

he shall be allowed a deduction of 25 per cent of the capital expenditure so incurred by way of
investment allowance in respect of the income year in which the expenditure is incurred.

(2) No deduction shall be allowed under subsection (1) in respect of expenditure incurred in the
acquisition of a road vehicle other than a new bus of a seating capacity of not less than 30.

(3) Subject to subsection (4), where a person has incurred capital expenditure on -

(a) the construction of industrial premises; or

(b) the acquisition of new plant and machinery for the processing of agricultural,
fisheries or livestock products, or for manufacture, 2

in the Island of Rodrigues, he shall be allowed a deduction of the capital expenditure so

incurred by way of investment allowance in respect of the income year in which the
expenditure is incurred.

* Please refer to endnotes at Appendix 1 Page 293 of 491

MRA THE INCOME TAX ACT 1995 294

(4) No deduction shall be allowed under subsection (1) where the person is allowed a deduction
under subsection (3).

(5) No investment allowance shall be allowed under this section -

(a) 3 unless
(i) the expenditure is incurred exclusively in the production of gross income in
the income year in which the expenditure is incurred; and
(ii) the provisions of section 153(1) are complied with.

(b) in respect of expenditure incurred in the acquisition of machinery or plant which is

used or second-hand at the date of its acquisition; or

(c) where before the expiry of 5 years from the date on which the expenditure was
incurred -
2
The words "or for manufacture," inserted by FA 1999. Effective as from income year 1999-00.
3
Amended by FA 2004. Effective as from income year 2004/05. Previously was:
(a) unless the expenditure is incurred exclusively in the production of gross income in the income
year in which the expenditure is incurred;
209
FA 2006 – Section 25 deleted w.e.f 01.07.07.
(i) the industrial premises are sold, demolished or destroyed, or ceased to be
used exclusively as industrial premises;

(ii) the plant or machinery is sold, scrapped or ceases to be used for the
purposes of the trade carried on by the person; or

(iii) the trade carried on by the person is permanently discontinued.

(6) Subject to subsection (7),1 where a deduction has been allowed under this section and any of
the events specified in subsection (5)(c) occurs, the deduction allowed shall be withdrawn and
the amount of the deduction so withdrawn shall be deemed to be the gross income of the
person in the income year in which the event occurs.

(7) 2 (a) Subsection (6) shall not apply -

(i) where a person sells or otherwise transfers plant or machinery to a relative

or to a related company and the plant or machinery sold or transferred is
used by the relative or the related company for the production of gross
income;
(ia) 3 where a person sells or otherwise transfers industrial premises to a relative
or to a related company and the premises sold or transferred are used by
the relative or the related company as industrial premises;
(ii) in respect of industrial premises or plant or machinery sold or otherwise
transferred by a person or body of persons engaged in a specified activity to
a company engaged in a specified activity provided that the company or its
holding company, as the case may be, satisfies the conditions specified in
section 12 of the Sugar Industry Efficiency Act 2001.4
1
The words "Subject to subsection (7)," inserted by FA 1999.
2
Subsection (7) amended by the Sugar Industry Efficiency Act 2001. Effective as from 17.9.2001 -
Proclamation No. 15 of 2001. Previously FA 1999 -
(7) Subsection (6) shall not apply where a person sells or otherwise transfers plant or machinery
to a relative or to a related company and the plant or machinery sold or transferred is used by the
relative or the related company for the production of gross income.

* Please refer to endnotes at Appendix 1 Page 294 of 491

MRA THE INCOME TAX ACT 1995 295

3
Subparagraph (ia) inserted by FA 2005. Effective as from assessment year 2005-06.
4
Subparagraph (ii) amended by FA 2002. Previously Sugar Industry Efficiency Act 2001 -

(ii) in respect of industrial premises or plant or machinery sold or otherwise transferred by a person
or body of persons engaged in a specified activity to a company engaged in a specified activity
provided that the company is listed on the Stock Exchange and -
(A) has as shareholder the Trust established under the Sugar Industry Efficiency Act 2001, or any
body controlled by the Trust or any specified entity; or
(B) sells or otherwise transfers any of its lands at a nominal price of one rupee to the Trust
established under the Sugar Industry Efficiency Act 2001, or any body controlled by the Trust
or to any specified entity.
210
FA 2006 – Section 25 deleted w.e.f 01.07.07.
(b) In this subsection -

(i) “specified activity” means -

(A) the growing of sugar cane;

(B) the milling of sugar; or

(C) the processing of sugar cane by-products including the production

of firm or continuous electricity for export to the grid through the
use of bagasse or coal, as the case may be.

(ii) “holding company” has the same meaning as in the Companies Act 2001.2

(8) 3 Where an investment approved by the Commissioner is made in a company holding a regional
development certificate, the investment is deemed to be capital expenditure for the purposes of
this section.
2
Subparagraph (ii) amended by FA 2002. Previously Sugar Industry Efficiency Act 2001 -
(ii) “specified entity” has the same meaning as in the Sugar Industry Efficiency Act 2001.
3
Previous subsection (7) added by FA 1998 and renumbered (8) by FA 1999.
211
The words "Notwithstanding sections 18 and 19 but" inserted by FA 1999.

212
The Additional Stimulus Package (Miscellaneous Provisions) Act 2009- Section 26(1) amended by
repealing paragraph (f) -shall be deemed to have come into operation on 1 January 2009.

ITA 1995:-
(f) any tax payable under the Land (Duties and Taxes) Act 1984;

213
FA 2021- Section 26(1)(g) amended, the words “, levy imposed in accordance with section 114 of
the Gambling Regulatory Authority Act” inserted after the words “foreign tax” –w.e.f 05 August 2021.

FA 2019 – Section 26(1) amended, paragraph (g) repealed and replaced – shall be deemed to have come
operation in respect of the year of assessment commencing on 1 July 2019 and in respect of every
subsequent year of assessment.

Previously was:

* Please refer to endnotes at Appendix 1 Page 295 of 491

MRA THE INCOME TAX ACT 1995 296

income tax or foreign tax;

214
The Financial Crimes Commission Act 2024, Section 26(1)(i) amended, by deleting the words “as a
bribe” and replacing them by the words “, as a gratification for a corruption offence”, w.e.f 29 March
2024 (by proclamation).

FA 2023 – New subsection (i) inserted , w.e.f 20 July 2023.

215
The words “the gross income shall be allowed in such proportion and in such manner as may be
prescribed” replaced by “the exempt income shall be disallowed in such proportion as may be
prescribed: by FA 2003. Effective as from year of assessment 2003/2004.
216
FA 2006 – Subsection (4) deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
(4) Where a developer under the Morcellement Act 1990 incurs, in the ordinary course of his
business, expenditure in respect of tax payable under the Land (Duties and Taxes) Act 1984,
such expenditure shall be allowed as a deduction.
217
FA 2023 – Heading of Sub-Part C deleted and replaced, shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subsequent income
year.

“Sub-Part C – Income Exemption Threshold”

FA 2006 – Sub-Part C deleted and replaced, in so far as it relates to individuals shall be deemed to have
come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

ITA 1995:-
Sub-Part C - Personal Reliefs and Deductions

218
FA 2023 – Section 27 Heading amended by deleting the words “income exemption threshold” and
replacing them by the words “personal reliefs and deductions”, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2023 and in respect of every subsequent
income year.

ITA 1995:-
Section 27 – Entitlement to Income Exemption Thresholds
219
FA 2023 – Subsection (1) amended, by deleting the words “an income exemption threshold” and
replacing them by the words “personal reliefs, deductions and allowances under Sub-part C, D or E of
Part III”. shall be deemed to have come into operation in respect of the income year commencing on 1
July 2023 and in respect of every subsequent income year.
220
FA 2023 – Subsection (2) repealed and replaced, shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subdequent income
year.

Previously was:

(2) Subject to the other provisions of this section, every person shall, in an income year, be entitled to
deduct from his net income in that income year, the appropriate amount of income exemption threshold
in respect of Category A, Category B, Category C, Category D or Category E as specified in the Third
Schedule.

FA 2019 – Subsection (2) amended, the words “Category D, Category E, Category F or Category G”
deleted and replaced by the words “Category D or Category E” –shall be deemed to have come into

* Please refer to endnotes at Appendix 1 Page 296 of 491

MRA THE INCOME TAX ACT 1995 297

operation in respect of the income year commencing on 1 July 2019 and in respect of every subsequent
income year.

FA 2017- Subsection (2) amended, the words “or Category F” deleted and replaced by the words “,
Category F or Category G”- shall come into operation in respect of income year commencing on 1 July
2017 and in respect of every subsequent income year.

FA 2008- Subsection (2) amended by deleting the words “or Category D” and replacing them by the
words “Category D, Category E or Category F”; - shall be deemed to have come into operation on 1
July 2008 in respect of the income year commencing 1 July 2008 and in respect of every subsequent
income year.
221
FA 2019 – Section 27 amended, new subsection (2A) inserted –shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2019 and in respect of every subsequent
income year.

222
FA 2008 - Subsection (3) repealed - shall be deemed to have come into operation on 1 July 2008 in
respect of the income year commencing 1 July 2008 and in respect of every subsequent income year.

(3)Where a person derives income from interest and from other sources, he may in priority deduct the
income exemption threshold to which he is entitled from his net income from sources other than
interest, and any amount of that income exemption threshold remaining unrelieved may then be
deducted from his income from interest to arrive at his chargeable income.
223
FA 2024 – Subsection (4) amended by deleting the words “that dependent child” and replacing them by
the words “dependent child” shall be deemed to have come into operation in respect of the year of
assessment commencing on 1 July 2024 and in respect of every subsequent year of assessment.

FA 2023 – Subsection (4) repealed and replaced shall be deemed to have come into operation in respect
of the income year commencing on 1 July 2023 and in respect of every subsequent income year.

Previously was:

Where, in an income year, a person claims an income exemption threshold in respect of Category B,
Category C, Category D or Category E, the spouse of that person shall be entitled to claim in that
income year an income exemption threshold in respect of Category A only.

FA 2019 –Subsection (4) amended, the words “Category D, Category E or Category G” deleted and
replaced by the words “Category D or Category E” and the words “or Category F” deleted – shall be
deemed to have come into operation in respect of the income year commencing on 1 July 2019 and in
respect of every subsequent income year.

FA 2017- Subsection (4) amended, the words “or Category F” and “Category E” and deleted and
replaced by the words “, Category E or Category G” and “Category F”, respectively - shall come into
operation in respect of income year commencing on 1 July 2017 and in respect of every subsequent
income year.

FA 2008 - Subsection (4) amended by deleting the words “or Category D” and “Category A only”
and replacing them by the words “, Category D or Category F” and “Category A or Category E only, as
the case may be”, respectively - shall be deemed to have come into operation on 1 July 2008 in respect
of the income year commencing 1 July 2008 and in respect of every subsequent income year.

224
FA 2020 – Section 27 amended, new subsection (4A) inserted after subsection (4) – shall be deemed to
have come into operation in respect of the income year commencing on 1 July 2020 and in respect of
every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 297 of 491

MRA THE INCOME TAX ACT 1995 298

225
FA 2023 – Subsection (5) amended, by deleting the words “an income exemption threshold in respect
of” and replacing them by the words “a deduction in respect of his –” shall be deemed to have come
into operation in respect of the income year commencing on 1 July 2023 and in respect of every
subsequent income year.
226
FA 2023 – Subsection (5)(a) amended, by deleting year commencing on 1 July 2023 and in respect of
the words “Category B” and “his dependent” and replacing them by the words “first dependent” and
“that dependent”, respectively shall be deemed to have come into operation in respect of the income
year commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2019 – Subsection (5)(a) amended, the words “or Category G” deleted – shall be deemed to have
come into operation in respect of the income year commencing on 1 July 2019 and in respect of every
subsequent income year.

FA 2017- Paragraph (a) amended, the words “Category F” deleted and replaced by the words
“Category G” - shall come into operation in respect of income year commencing on 1 July 2017 and in
respect of every subsequent income year.

FA 2008 - Subsection (5)(a) amended by inserting after the words “Category B”, the words “or
Category F” - shall be deemed to have come into operation on 1 July 2008 in respect of the income year
commencing 1 July 2008 and in respect of every subsequent income year.
227
FA 2023 – Subsection (5)(b) amended, by deleting the words “Category C” and replacing them by the
words “second dependent” shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2019 – Paragraph (b) amended, the words “65,000 rupees” deleted and replaced by the words
“80,000 rupees” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2019 and in respect of every subsequent income year.

FA 2017- Paragraph (b) amended, the figure “60,000” deleted and replaced by the figure “65,000” -
shall come into operation in respect of income year commencing on 1 July 2017 and in respect of every
subsequent income year.
228
FA 2023 – Subsection (5)(c) amended, by deleting the words “Category D” and replacing them by the
words “third dependent” shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2020 – Paragraph (c) amended, the words “50,000 rupees” deleted and replaced by the words
“85,000 rupees” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2020 and in respect of every subsequent income year.

FA 2019 – Paragraph (c) amended, the words “45,000 rupees” deleted and replaced by the words
“50,000 rupees” –shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2019 and in respect of every subsequent income year.

FA 2017- Paragraph (c) amended, the figure “40,000” deleted and replaced by the figure “45,000” -
shall come into operation in respect of income year commencing on 1 July 2017 and in respect of every
subsequent income year.
229
FA 2023 – Subsection (5)(d) amended, by deleting the words “Category E” and replacing them by the
words “fourth dependent” shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2020 – Paragraph (d) amended, the words “50,000 rupees” deleted and replaced by the words
“80,000 rupees” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2020 and in respect of every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 298 of 491

MRA THE INCOME TAX ACT 1995 299

FA 2019 – Paragraph (d) amended, the words “30,000 rupees” deleted and replaced by the words
“50,000 rupees” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2019 and in respect of every subsequent income year.

FA 2017- New paragraph (d) added - shall come into operation in respect of income year commencing
on 1 July 2017 and in respect of every subsequent income year.
230
FA 2021 – Subsection (6) amended, the word “Where” deleted and replaced by the words “Subject to
subsection (6B), where” – shall be deemed to have come into operation in respect of the year of
assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.

FA 2020 – Subsection (6) amended, the words “50,000 rupees and 50,000 rupees” deleted and replaced
by the words “85,000 and 80,000 rupees” – shall be deemed to have come into operation in respect of
the income year commencing on 1 July 2020 and in respect of every subsequent income year.

FA 2019 – Subsection (6) amended, the words “65,000 rupees”, “45,000 rupees” and “30,000 rupees”
deleted and replaced by the words “80,000 rupees”, “50,000 rupees” and “50,000 rupees”, respectively
– shall be deemed to have come into operation in respect of the income year commencing on 1 July
2019 and in respect of every subsequent income year.

FA 2017- Subsection (6) repealed and replaced shall come into operation in respect of income year
commencing on 1 July 2017 and in respect of every subsequent income year.

(6) Where the net income and exempt income of the first dependent, second dependent and third
dependent does not exceed 110,000 rupees, 60,000 rupees and 40,000 rupees respectively, the net
income of the dependent or dependents shall be deemed to be, and shall be added to, the net income of
the person.
231
FA 2023 – Subsection (6A) amended, by deleting the words “income exemption threshold under
Category B, C, D or E and one of the dependents is a child” and “additional exemption” and replacing
them by the words “a deduction in respect of a dependent child who is” and “additional deduction”
respectively shall be deemed to have come into operation in respect of the income year commencing on
1 July 2023 and in respect of every subsequent income year.

FA 2022 - Subsection (6A) amended, the words “or postgraduate” inserted after the word
“undergraduate”, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2022 and in respect of every subsequent income year.

FA 2019 – Subsection (6A) amended, the words “Category B, C, D, E or G” deleted and replaced by the
words “Category B, C, D or E” and the words “ 3 dependents” deleted and replaced by the words “4
dependents” –shall be deemed to have come into operation in respect of the income year commencing
on 1 July 2019 and in respect of every subsequent income year.

FA 2018 - Section 27 amended, new subsection (6A) inserted after subsection (6) w.e.f 9 August 2018.
232
FA 2023 – Subsection (6B) amended, by deleting the words “an income exemption threshold in respect
of Category B, Category C, Category D or Category E and the dependents in respect of whom he has
claimed the deduction includes” and replacing them by the words “a deduction in respect of a
dependent who is” shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.
233
FA 2021- Subsection (6) amended, new subsection (6B) inserted after subsection 6A – shall be deemed
to have come into operation in respect of the year of assessment commencing on 1 July 2021 and in
respect of every subsequent year of assessment.

234
FA 2019 – Subsection (7) repealed and replaced – shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2019 and in respect of every subsequent income year

* Please refer to endnotes at Appendix 1 Page 299 of 491

MRA THE INCOME TAX ACT 1995 300

Previously was:
For the purposes of this section, “dependent” means either -

(a) a spouse;

(b) a child under the age of 18; or

(c) a child over the age of 18 and who is pursuing full - time course at an educational
institution or a training institution or who cannot earn a living because of a physical
or mental disability.

FA 2007 - Section 27(7)(c) amended, by deleting the words “full-time education or training” and
replacing them by the words “full- time course at an educational institution or a training institution”;
shall be deemed to have come into operation on 1 July 2006 in respect of the income year
commencing 1 July 2006 and in respect of every subsequent income year.

ITA 1995:-

(c) a child over the age of 18 and who is pursuing full-time education or training or who cannot
earn a living because of a physical or mental disability.
235
FA 2020 – Subsection (7) amended, new paragraph (d) added – shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2020 and in respect of every subsequent
income year.
236
FA 2022 – definition of “bedridden nextof kin” amended, by deleting the words “bedridden father” and
replacing them by the words “bedridden spouse, father”, shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2021 and in respect of every subsequent income year.

FA 2020 – New definition inserted – shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2020 and in respect of every subsequent income year.
237
FA 2006 – Sub-Part C deleted and replaced w.e.f 01.07.06.
ITA 1995:-
Sub-Part C - Personal Reliefs and Deductions

27. Reliefs and deductions limited to individuals resident in Mauritius

No relief or deduction under this Sub-Part shall be allowed unless the person is resident in Mauritius in
the income year in which the income is derived.

28. Emoluments relief

(1) Notwithstanding section 27, every person who derives emoluments in an income year shall be
allowed, in that income year, a relief by way of deduction from his net income from
emoluments of -

(a) an amount equal to 15 per cent(1) of his net income from emoluments or 135,000
rupees(2), whichever is the lesser; and

(b) an amount equal to his pension or 75,000 rupees(3), whichever is the lesser.

(2) For the purposes of this section, "pension" means a pension -

(a) paid by virtue of any enactment other than the National Pensions Act;

(b) paid from a superannuation fund; or

* Please refer to endnotes at Appendix 1 Page 300 of 491

MRA THE INCOME TAX ACT 1995 301

(c) which is a pension deductible under section 23 or 62, as the case may be.

28A. Agricultural income relief(4)

(1) Notwithstanding section 27, every person who derives income from agriculture in an income
year shall be allowed, in that income year a relief by way of deduction from his net income
from agriculture of an amount equal to 15 per cent(5) of his net income from agriculture or
100,000 rupees(6), whichever is the lesser.
(1)
The words "15 per cent" replaced "12 per cent" by FA 1998.Effective as from income year 1998-99.
(2)
Amended by FA 2005. Effective as from income year 2005-06. Previously -
 ITA 1995 as amended - Income year 1996-97 - Rs 39,000
 FA 1997 - Income year 1997-98 - Rs 65,000
 FA 1998 - Income year 1998-99 - Rs 100,000
 FA 2002 - Income year 2002-03 – Rs 125,000
(3)
Amended by FA 2002. Effective as from income year 2002-03. Previously -
 ITA 1995 as amended - Income year 1996-97 - Rs 32,500
 FA 1997 - Income year 1997-98 - Rs 55,000
 FA 1998 - Income year 1998-99 - Rs 65,000
(4)
Section 28A added by FA 1997. Effective as from income year 1997-98
(5)
The words "15 per cent" replaced "12 per cent" by FA 1998. Effective as from income year 1998-99.
(6)
Amended by FA 1998. Effective as from income year 1998-99. Previously FA 1997 - income year
1997-98 - Rs 65,000
238
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
(2) For the purposes of this section, net income from agriculture -

(a) includes the share of an associate attributable to the net income derived from
agriculture by a société;

(b) does not include any income from agriculture which is exempt income.

29. Relief for contribution to certain funds and schemes

Every person who, in an income year, contributes to such funds or schemes as may be prescribed shall,
in that income year, be allowed a relief by way of deduction from his net income of the amount paid as
contributions.

30. Interest relief

(1) Subject to the other provisions of this section, every person shall, in an income year, be
allowed a relief by way of deduction from his net income of any expenditure incurred in that
income year on interest -
(a) on a loan secured by mortgage or fixed charge on immovable property;
(b) on a loan raised on the security of an insurance policy on his life or on the life of his
dependent spouse or on the life of his dependent children;
(c) on a loan raised on the security of a standing crop or the proceeds of a crop; or
(d) on a loan raised on the pledge of shares or debentures,

and used exclusively for the purchase of land to be used for the construction of his residence
or for the purchase, construction or improvement of his residence(1) or for the financing of
tertiary education of his dependent children.(2)

(2) The deduction under subsection (1) shall, subject to subsection (3), not exceed -
(a) 125,000 rupees(3) for each spouse, in the case of a couple where neither spouse is a
dependent spouse;
(b) 250,000 rupees(4), in the case of a couple, where one spouse is a dependent spouse or
where only one of the spouses has contracted the loan; or(5)

* Please refer to endnotes at Appendix 1 Page 301 of 491

MRA THE INCOME TAX ACT 1995 302

(c) 250,000 rupees(6), in any other case.

(1)
The words "and used exclusively for the purchase of land to be used for the construction of his
residence or for the purchase, construction or improvement of his residence" inserted by FA 1999.
Effective as from income year 1999-00.
(2)
The words “or for the financing of tertiary education of his dependent children’ added by FA 2001.
Effective as from income year 2001-02.
(3)
The words “125,000 rupees” replaced “100,000 rupees” by FA 2002. Effective as from income year
2002-03.
(4)
The words “250,000 rupees” replaced “200,000 rupees” by FA 2002. Effective as from income year
2002-03.
(5)
Paragraph (b) amended by FA 1997. Effective as from income year 1996-97. Previously ITA 1995 as
amended -
(b) 200,000 rupees, in the case of a couple where one spouse is a dependent spouse; or
(6)
The words “250,000 rupees” replaced “200,000 rupees” by FA 2002. Effective as from income year
2002-03.
239
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
(3) Where, in the case of a couple, the loan is in the joint names of the spouses and neither spouse
is a dependent spouse, the deduction under subsection (2)(a) shall be allowed in any
proportion as may be claimed by the spouses, provided that, in the aggregate, the deduction
does not exceed 250,000 rupees(1).

(4)(2) The Commissioner may refuse to allow a deduction on expenditure incurred as interest where
he is satisfied that -

(a) the interest is payable to a non-resident who is not assessable to tax on the amount of
the interest; or

(b) the interest is not likely to be paid in cash within a reasonable time.

(5) For the purposes of this section, “loan” does not include any credit facility given by way of
bank overdraft.(3)

31. Relief for life insurance premium

(1) Subject to the other provisions of this section [and to section 35] (4) , every person shall, in an
income year, be allowed a relief by way of deduction from his net income in respect of the
amount paid as premium in that income year under a life insurance policy which secures a
capital sum on death, whether or not in conjunction with any other benefit, on his life, the life
of his dependent spouse or the life of any of his children who at the end of that income year
was under the age of 18.

(2) Where the life insurance policy is held in the joint names of the spouses, the deduction under
subsection (1) shall be allowed in any proportion as may be claimed by the spouses provided
that, in the aggregate, the deduction does not exceed the amount of premium paid.

(3) Where an employer has provided an insurance or contribution for the benefit of a person, his
spouse, children and other dependants in respect of a pension, annuity, lump sum, gratuity or
other like benefit accruing on death or retirement of the person, otherwise than under a
superannuation fund, and the amount of the premium or contribution is included in an income
year in the gross income of the person in section 10(1)(a), the person shall be allowed a relief
by way of deduction from his net income in respect of the amount of premium or contribution
paid by the employer in that income year.

(4) The relief under this section shall not, in the aggregate, exceed 80,000 rupees.(5)

* Please refer to endnotes at Appendix 1 Page 302 of 491

MRA THE INCOME TAX ACT 1995 303

(1)
The words “250,000 rupees” replaced “200,000 rupees” by FA 2002. Effective as from
income year 2002-03.
(2)
Subsection (5) renumbered (4) by FA 1999, the previous subsection (4) being deleted.
Effective as from income year 1999-00. Previously ITA 1995 as amended -

(4) A deduction under this section shall not be allowed where, in respect of the same
loan, a deduction for interest incurred in the production of income has been allowed under
section 19.
(3)
Subsection (5) added by FA 2001. Effective as from income year 2001-02.
(4)
The words “and to section 35” deleted by FA 1999. Effective as from income year 1999-00.
(5)
Subsection (4) added by FA 1999. Effective as from income year 1999-00.
240
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
32. Relief for premium on personal pension scheme

Subject to section 35, every person shall, in an income year, be allowed a relief by way of deduction
from his net income in respect of the amount paid as premium in that income year under a personal
pension scheme approved by the Commissioner, being a scheme which has as its main object the
provision of a pension for himself or his dependent spouse.

33. Relief for premium on retirement annuity

Subject to section 35, every person who in an income year derives earned income -

(a) from a non-pensionable office or employment; or

(b) which is included in the gross income specified in section 10(1)(b),

shall be allowed a relief by way of deduction from his net income in respect of the amount paid as
premium or contribution in that income year under an annuity contract or scheme approved by the
Commissioner, being a contract or scheme which has as its main object the provision of life annuity for
him in his old age.

34. Relief for contribution to medical scheme and for ambulance services(1)

Subject to section 35, every person shall, in an income year, be allowed a relief by way of deduction
from his net income in respect of contributions made by him in that income year under a scheme
approved by the Commissioner which has as its main object -

(a) the refund of medical expenses incurred by him for himself and for his dependants; or

(b) the provision of ambulance services to him and to his dependants.

(1)
Section 34 amended by FA 2002. Effective as from income year 2002-03. Previously ITA
1995 as amended -
34. Relief for contribution to medical scheme
Subject to section 35, every person shall, in an income year, be allowed a relief by way of deduction
from his net income in respect of contributions made by him in that income year under a medical
scheme approved by the Commissioner, being a scheme which has as its main object the provision for
medical expenses of himself and of his dependants.
241
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
35. Savings relief(1)

The relief by way of deductions under sections 32, 33 and 34 shall, in the aggregate, be limited to 20
per cent of the net income of the person.

* Please refer to endnotes at Appendix 1 Page 303 of 491

MRA THE INCOME TAX ACT 1995 304

36. Investment relief

(1) Subject to the other provisions of this section, every person shall, in an income year, be
allowed a relief by way of deduction from his net income in respect of -

(a)(2) an amount paid as subscription in the share capital of a company which is listed on
the Stock Exchange, or of an authorised mutual fund(3);

(b) investments made in -

(i) units; or

(ii) newly issued securities of an investment trust company; or

(c) contributions made to -

(i) a medical savings scheme approved by the Commissioner; or

(ii) an investment club formed in accordance with the Stock Exchange Act 1988.
(1)
Section 35 amended by FA 1999. Effective as from income year 1999-00. Previously -
 ITA 1995 as amended - Income year 1996-97
35. Savings relief
(1) The relief by way of deductions under sections 31, 32, 33 and 34 shall, in the aggregate, be
limited to -
(a) 60,000 rupees, in the case where the net income of the person does not exceed 400,000
rupees; or
(b) 15 per cent of the net income of the person where his net income exceeds 400,000 rupees.
 FA 1997 - Income year 1997-98
35. Savings relief
The relief by way of deductions under sections 31, 32, 33 and 34 shall, in the aggregate, be limited
to -
(a) 80,000 rupees, in the case where the net income of the person does not exceed 400,000 rupees;
or
(b) 20 per cent of the net income of the person where his net income exceeds 400,000 rupees.
(2)
Amended by FA 2004. Effective as from income year 2004/05. Previously was:
(a) an amount paid as subscription in the share capital of a company(A) which is -
(i) a tax incentive company; or
(ii) listed on the Stock Exchange;
(A)
The words “an amount paid as subscription in the share capital of a company” replaced “an
amount subscribed to the share capital issued by a company” by FA 1997. Effective as from
income year 1996-97.
(3)
The words “, or of an authorised mutual fund” added by FA 2005. Effective as from the
income year commencing 1 July 2005.
242
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
(2) (1) Subject to subsections (3) and (4), the deduction allowable under subsection (1) shall be -

(a) 40 per cent of the amount paid as subscription or of the investments in the newly
issued securities of an investment trust company or contributions made, as the case
may be; and

(b) 40 per cent of the excess of the investments in units held at the end of an income year
over the investments in units held at the end of the immediately preceding income
year.

* Please refer to endnotes at Appendix 1 Page 304 of 491

MRA THE INCOME TAX ACT 1995 305

(3)(2) Where, in an income year, 40 per cent of the amount paid as subscription or of the investments
or contributions made, as the case may be, exceeds 50,000 rupees(3), the excess shall, subject
to subsection (4), be deductible in the 2 succeeding income years following that income year.

(4) (2) The relief under this section shall not, in the aggregate, exceed 50,000 rupees(3) in any one
income year.

(5) (2) Where the subscription is paid or the investments or contributions are made by a resident
société, the relief under this section shall be allowed to each of the associates of the société in
the proportion of his share in the income of the société.
(1)
Subsection (2) amended by FA 1998. Effective as from income year 1998-99. Previously -
 ITA 1995 as amended -
(2) The maximum deduction allowable under subsection (1) shall be -
(a) 40 per cent of the amount subscribed or of the investments or contributions made, as the case
may be; or
(b) 75,000 rupees,
whichever is the lesser.
 FA 1997 - Income year 1996-97
(2) Subject to subsections (3) and (4), the deduction allowable under subsection (1) shall be -
(a) 40 per cent of the amount paid as subscription or of the investments or contributions made, as
the case may be; or
(b) 75,000 rupees,
whichever is the lesser.
(2) Subsections (3), (4) and (5) amended by FA 1997. Effective as from income year 1996-97.
Previously ITA 1995 as amended -
(3) Where the amount is subscribed or the investments or contributions are made by a resident société,
the relief under subsection (1) shall, subject to subsection (2), be allowed to each of the associates of
the société in the proportion of his share in the income of the société.
(4) No deduction under subsection (1) shall be allowed unless --
(a) the investment in shares, units or securities is held for a period of not less than 12 months; or
(b) the contributions made are not withdrawn before the lapse of a period of 12 months.
(5) A deduction under this section shall be allowed in respect of the income year in which the 12-month
period specified in subsection (4) is completed.
(3)
The words “50,000 rupees” replaced “75,000 rupees” by FA 2000. Effective as from income
year 2000-01.
243
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
(6) Where a deduction under this section has been allowed for an income year and within a period
of 12 months following that income year the shares, units or securities are sold or transferred
otherwise than on death, or the contributions are reimbursed otherwise than on death, the
deduction shall be withdrawn and the amount of the deduction so withdrawn shall be deemed
to be the gross income of the person in the income year in which the sale or transfer or
reimbursement takes place.(1)

(7) No deduction shall be allowed under this section where a person has claimed an exemption
under item 14(2) of Part IV of the Second Schedule in respect of the same investment.(3)

36A. Relief for shares traded on the Official List of the Stock Exchange(4)

(1) Subject to the other provisions of this section, every person shall, in respect of shares traded
on the Official List of the Stock Exchange, be allowed a relief by way of deduction from his net
income -

(a) for the income year ended 30 June 1999, the value of shares held by him at 30 June
1999; and

* Please refer to endnotes at Appendix 1 Page 305 of 491

MRA THE INCOME TAX ACT 1995 306

(b) for the income year ending 30 June 2000, the excess of the value of shares held by
him at 31 December 1999 over the value of shares held by him at 30 June 1999.

(2) (a) For the purposes of subsection (1)(a), the value of shares held at 30 June 1999 shall
be computed by deducting from the aggregate purchase value of shares acquired as
from 15 June 1999, the aggregate sale value of any shares sold, transferred or
otherwise disposed of during the period 15 to 30 June 1999, irrespective of the date
on which the shares sold, transferred or otherwise disposed of were acquired.

(b) For the purposes of subsection (1)(b), the value of shares held at 31 December 1999
shall be computed by deducting from the sum of the value of shares held at 30 June
1999 and the aggregate purchase value of shares acquired as from 1 July 1999, the
aggregate sale value of any shares sold, transferred or otherwise disposed of during
the period 1 July to 31 December 1999, irrespective of the date on which the shares
sold, transferred or otherwise disposed of were acquired.
(1)
Subsection (6) added by FA 1997. Effective as from income year 1996-97.
(2)
The words “item 14” replaced “item 13” by FA 2002.
(3)
Subsection (7) added by FA 2000. Effective as from income year 2000-01.
(4)
Section 36A added by FA 1999. Effective as from 1.7.1999.
244
FA 2006 – Sub-Part C deleted and replaced w.e.f 01.07.06.
ITA 1995:-
(3) The relief under this section shall not, in the aggregate, exceed -

(a) 10,000 rupees in respect of the income year ended 30 June 1999; and

(b) 10,000 rupees in respect of the income year ending 30 June 2000.

(4) Where a person has been allowed a deduction under this section in respect of the income year
ended 30 June 1999 and the value of shares held by him at 30 June 1999 exceeds the value of
shares held by him at 31 December 1999, the excess, to the extent of the amount of relief
allowed under this section, shall be withdrawn and the amount so withdrawn shall be deemed
to be the gross income of the person for the income year ending 30 June 2000.

(5) Subject to subsection (6), for the purposes of computing the excess amount of the relief to be
withdrawn under subsection (4),

(a) where the value of the shares held at 30 June 1999 and at 31 December 1999 does not
each exceed 10,000 rupees, the excess amount of the relief to be withdrawn shall be
the difference between the value of the shares held at 30 June 1999 and the value of
the shares held at 31 December 1999;

(b) where the value of the shares held at 30 June 1999 exceeds 10,000 rupees but the
value of the shares held at 31 December 1999 does not exceed 10,000 rupees, the
value of the shares held at 30 June 1999 shall be deemed to be equal to 10,000
rupees;

(c) where the value of the shares held at 30 June 1999 and at 31 December 1999 exceeds
10,000 rupees, the excess amount of the relief to be withdrawn shall be deemed to be
zero.

(6) Where the value of shares held at 31 December 1999 exceeds the value of shares held at 30
June 2000, the latter value shall be used for the purposes of computing the amount of relief
under subsection (1)(b) or the excess amount of relief to be withdrawn under subsection (4), as
the case may be.

* Please refer to endnotes at Appendix 1 Page 306 of 491

MRA THE INCOME TAX ACT 1995 307

(7) For the purposes of subsection (6), the value of shares held at 30 June 2000 shall be computed
by deducting from the sum of the value of shares held at 31 December 1999 and the aggregate
value of shares acquired as from 1 January 2000, the aggregate sale value of any shares sold,
transferred or otherwise disposed of during the period 1 January to 30 June 2000, irrespective
of the date on which the shares sold, transferred or otherwise disposed of were acquired.

245
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
36B. Relief for investment in Retirement Savings Scheme (1)

(1) Subject to subsection (2), every person shall, in an income year, be allowed a relief by way of
deduction from his net income in respect of investments made by him in that income year in
such retirement savings scheme as may be prescribed.

(2) The deduction allowable under subsection (1) shall not exceed 50,000 rupees.

37. Deduction for medical expenses

(1) Subject to the other provisions of this section,(2) every person shall, in an income year, be
allowed a deduction from his net income in respect of any expenses incurred in that income
year for medical treatment of himself, his dependent spouse or dependent children in a health
institution or hospital.

(2) Subject to subsections (3) and (4),(3) the deduction allowable under subsection (1) shall be 75
per cent(4) of the difference between the expenses incurred and any amount received by him
from whatever source in respect of the expenses so incurred or -

(a) 25,000(5) rupees, where the treatment is undergone in Mauritius; or

(b) 35,000(6) rupees, where the treatment is undergone outside Mauritius,

whichever is the lesser.(7)

(3)(8) Where in an income year, 75 per cent(4) of the difference between the expenses incurred and
any amount received by him from whatever source in respect of the expenses so incurred
exceeds the deduction allowable under subsection (2)(a) or (b), the excess shall, subject to
subsection (4), be deductible in the 2 succeeding income years following that income year.

(4)(8) The deduction under this section in any one income year shall not, in the aggregate, exceed
the deduction allowable under subsection (2).
(1)
Section 36B added by FA 2000. Effective as from income year 2000-01.
(2)
The words "Subject to the other provisions of this section " replaced "Subject to subsection
(2)" by FA 1998. Effective as from income year 1997-98.
(3)
The words "Subject to subsections (3) and (4)," inserted by FA 1998. Effective as from
income year 1997-98.
(4)
The words “75 per cent” replaced “50 per cent” by FA 2002. Effective as from income year
2002-03.
(5)
The word “25,000” replaced “20,000” by FA 2005. Effective as from income year 2005-06.
(6)
The word “35,000” replaced “30,000” by FA 2005. Effective as from income year 2005-06.
(7)
Subsection (2) amended by FA 1997. Effective as from income year 1997-98. Previously ITA
1995 as amended -
(2) The deduction allowable in subsection (1) shall be 50 per cent of the difference
between the expenses incurred and any amount received by him from whatever
source in respect of the expenses so incurred or 15,000 rupees, whichever is the
lesser.
(8)
Subsections (3) and (4) added by FA 1998. Effective as from income year 1997-98.

* Please refer to endnotes at Appendix 1 Page 307 of 491

MRA THE INCOME TAX ACT 1995 308

246
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
37A. Donations to charitable institutions (1)

(1) Subject to subsection (2), every person shall, in an income year, be allowed a deduction from
his net income in that income year in respect of any donations made to a charitable institution.

(2) The deduction allowable under subsection (1) shall not, in the aggregate, exceed 40,000
rupees (2).

37B. Contributions to the National Solidarity Fund and Prime Minister’s Children’s Fund (3)

Every person shall, in an income year, be allowed a deduction from his net income in that income year
in respect of any contributions made to:-

(a) the National Solidarity Fund; or

(b) the Prime Minister’s Children’s Fund.

37C. Expenditure incurred on education and training (4)

(1) Subject to subsection (2), every person shall, in an income year, be allowed a deduction from
his net income in that income year in respect of any subscription, examination or course (5)
fees or expenses payable to a recognised institution for his education or training, whether by
distance learning or otherwise.

(2) The deduction allowable under subsection (1) shall not exceed 50,000 (6) rupees.
38.(7) Basic personal deduction

(1) Subject to subsection (2), every person shall, in an income year, be allowed a deduction from
his net income in that income year of an amount specified in the Third Schedule.
(1)
Section 37A added by FA 1997. Effective as from income year 1996-97.
(2)
The words “20,000 rupees” replaced “10,000 rupees” by FA 2000. Effective as from income year
2000-01.
The words “20,000 rupees” replaced by “40,000 rupees” by FA 2004. Effective as from income year
2004/05.
(3)
Section 37B added by FA 1997. Effective as from income year 1996-97.
Section 37B amended by FA 2004. Effective as from income year 2004-05. Previously was:
37B. Contributions to the National Solidarity Fund(3)
Every person shall, in an income year, be allowed a deduction from his net income in that income
year in respect of any contributions made to the National Solidarity Fund established under the
Finance and Audit Act.
(4)
Section 37C added by FA 1997. Effective as from income year 1996-97.
(5)
The words “subscriptions, examination or course” added by FA 2003. Effective as from year of asst
2003/2004.
(6)
“25,000 rupees” replaced by “50,000 rupees” by FA 2003. Effective as from year of assessment
2003/2004.
(7)
Section 38 amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as
amended -
38. Basic personal deduction
Every person shall, in an income year, be allowed a deduction from his net income in that income
year of an amount specified in the Third Schedule.
247
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
(2) Notwithstanding section 27, where a person who, in an income year, is not resident in
Mauritius proves to the satisfaction of the Commissioner that he is a citizen of Mauritius in
that income year, the person shall be allowed a deduction under subsection (1) in that income
year.

* Please refer to endnotes at Appendix 1 Page 308 of 491

MRA THE INCOME TAX ACT 1995 309

39. Deduction for dependent spouse

Every person -

(a) who in an income year has his spouse living with him or whose spouse, if not living with him,
is maintained by him otherwise than by an order of court; and

(b) whose spouse does not derive any income, or if in receipt of income, derives net income and
exempt income of an amount not exceeding the deduction allowable under this section,

shall be allowed a deduction from his net income in respect of his dependent spouse in that income year
of an amount specified in the Third Schedule.

40. Deduction for alimony and maintenance

Every person shall, in an income year, be allowed a deduction from his net income in respect of
alimony paid to a previous spouse whose marriage with him has been dissolved by a court of competent
jurisdiction, or in respect of maintenance paid to his spouse in accordance with an order of a court, in
that income year.

41. Deduction for dependent children

(1) Subject to the other provisions of this section, every person shall, in an income year, be
allowed a deduction from his net income in that income year in respect of his dependent child,
of an amount specified in the Third Schedule.

(2) (1) No deduction shall be allowed in an income year under this section -
(a) to a person and his spouse in respect of more than 3 children in the aggregate;
(b) to a person where a deduction has been claimed by his spouse in respect of the same
child; or
(c) in respect of a child who has sufficient income for his own support.
(3) For the purposes of subsection (2)(c) (2), a child shall be deemed to have sufficient income for
his own support in an income year where the amount of the net income and exempt income
derived by him in that income year exceeds the amount of the deductions allowable under this
section and section 41A (3).

(1)
Subsection (2) amended by FA 2002. Effective as from income year 2002-03. Previously ITA 1995 as
amended -
(2) No deduction shall be allowed under this section -
(a) in respect of more than 3 children in an income year;
(b) in respect of a child who has sufficient income for his own support; or
(c) to a person where a deduction has been claimed by his spouse under this section.
(2)
The words “subsection (2)(c)” replaced “subsection (2)(b)” by FA 2002.
(3)
Amended by FA 2004. Word “deduction” replaced by “deductions allowable under this section and
section 41A”. Effective as from income year 2004/05.
248
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
41A. Deduction for educational expenses (1)

(1) Subject to subsections (2) and (3), every person shall, in an income year, be allowed a
deduction from his net income in respect of school fees paid by him to a recognised
educational institution for the education of his dependent child in respect of whom he has been
allowed a deduction under section 41.

(2) The deduction allowable under subsection (1) shall not exceed:

* Please refer to endnotes at Appendix 1 Page 309 of 491

MRA THE INCOME TAX ACT 1995 310

(a) 10,000 rupees in respect of a child receiving pre-primary, primary or secondary

education;

(b) 80,000 rupees in respect of child receiving tertiary education in Mauritius

(3) The deduction allowable under subsection (1) in respect of a child receiving tertiary education
outside Mauritius shall be 80,000 rupees.

(4) The deduction under subsection (2) shall be allowed on production of relevant receipts from
the educational institution in respect of school fees paid to that institution.

42. Deduction for dependent handicapped child

(1) Subject to subsection (2), every person shall, in an income year, be allowed a deduction from
his net income in that income year in respect of his dependent handicapped child who is over
the age of 18 in that income year of an amount specified in the Third Schedule.

(2) No deduction shall be allowed under this section -

(a) where in respect of the child, the person has claimed in that income year a deduction
under section 41; or (2)

(b) (3) where the spouse of the person has been allowed a deduction in that income year in
respect of the same child.
(1)
Section 41A added by FA 1998. Effective as from income year 1998-99.
Section 41A amended by FA 2004. Effective as from income year 2004/05. Previously was:
41A. Deduction for educational expenses
(1) Subject to subsection (2), every person shall, in an income year, be allowed a deduction from
his net income in respect of expenses incurred in that income year by way of tuition fees and school
fees for his dependent child in respect of whom a deduction has been allowed under section 41.
(2) The deduction allowable under subsection (1) shall not exceed 8,000 rupees.
(2)
The word "or" inserted by FA 1998. Effective as from income year 1998-99.
(3)
Paragraph (c) relettered (b) by FA 1998, the previous paragraph (b) being deleted. Effective as from
income year 1998-99. Previously ITA 1995 as amended -
(b) where the amount of the net income and exempt income of the child in that income year
exceeds 15,000 rupees; or
249
FA 2006 – Sub-Part C deleted w.e.f 01.07.06.
ITA 1995:-
42A. Deduction for other handicapped person (1)

(1) Subject to the other provisions of this section, every person who, being a tutor for handicapped
persons, maintains in an income year a handicapped person shall be allowed a deduction from
his net income in that income year in respect of that handicapped person of an amount
specified in the Third Schedule.

(2) No deduction shall be allowed under this section where a deduction for a handicapped person
has been claimed under section 39, 41 or 42 in that income year in respect of the same person.

(3) Where claims for deduction are made under this section by 2 or more taxpayers, the deduction
shall be apportioned between them in proportion to the amount or value of their respective
contributions towards the maintenance of the handicapped person.

(4 (2) For the purposes of this section, "tutor" means a person who maintains a handicapped person
who is connected with him or with his dependent spouse by blood relationship as parent,
grandparent, brother, sister, uncle, aunt, nephew or niece.
(1)
Section 42A added by FA 1998. Effective as from income year 1998-99.

* Please refer to endnotes at Appendix 1 Page 310 of 491

MRA THE INCOME TAX ACT 1995 311

(2)
Subsection (4) added by FA 2002. Effective as from income year 2002-03.
250
FA 2010 – New Sub-Part D – Interest Relief for Individuals, inserted before Part IV - shall come into
operation as from the income year commencing 1 January 2011.
251
FA 2013 –Section 27A(1) repealed and replaced - shall be deemed to have come into operation in
respect of the income year commencing 1 January 2013 and in respect of every subsequent income
year.

(1) Subject to this section, every person shall, in an income year, be allowed a relief by way of
deduction from his net income in respect of the amount of interest paid in that income year to a
bank or a non-bank deposit taking institution under the Banking Act or to an insurance company
under the Insurance Act on a housing loan secured by mortgage or fixed charge on immovable
property and used exclusively for the purchase or construction of his house.
252
FA 2016 - Subsection (2) amended, the words “taken on or after 1 July 2006” deleted, shall come into
operation in respect of the income year commencing on 1 July 2016 and in respect of every subsequent
income year.
253
FA 2015 - Section 27A amended, subsection (3) repealed and replaced - shall come into operation in
respect of the income year commencing on 1 July 2015 and in respect of every subsequent income year.

(3) The relief under subsections (1) and (2) shall be allowed for
5 consecutive years starting as from January 2011 and shall be –

(a) 120,000 rupees, in the case of a couple where either spouse is a dependent spouse;

(b) 120,000 rupees, in the case of a couple where neither spouse is a dependent spouse
or at their option, divided equally for each spouse; or

(a) in any other case, 120,000 rupees provided that in the case of a couple, the relief
shall not exceed, in the aggregate, 120,000 rupees,

or the actual amount, whichever is the lesser.

254
FA 2011 – Subparagraph (ii) repealed - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.

(ii) is subject to the Solidarity Income Tax; or

255
FA 2016 - Subsection (4)(c) amended, the figure “2” deleted and replaced by the figure “4” shall come
into operation in respect of the income year commencing on 1 July 2016 and in respect of every
subsequent income year.

FA 2011 – New paragraph (c) added - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.
256
FA 2013 –New subsection (4A) inserted after subsection (4) – shall be deemed to have come into
operation in respect of the income year commencing 1 January 2013 and in respect of every
subsequent income year.
257
FA 2011 – New subsection (5) added - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.

258
FA 2018 – In the heading of Sub-part E of Part III the words “Relief for Medical or Health Insurance
Premium” deleted and replaced by the words “Other Reliefs and Allowances” w.e.f 9 August 2018.

* Please refer to endnotes at Appendix 1 Page 311 of 491

MRA THE INCOME TAX ACT 1995 312

FA 2012 – Part III amended, new Sub-part 27B inserted after section 27A – shall come into operation in
respect of the income year commencing 1 January 2013 and in respect of every subsequent income year.
259
FA 2013 – Section 27B (1) repealed and replaced - shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.

(1) Subject to this section, every person shall, in an income year, be entitled to deduct from his net
income the actual amount of premium paid in that income year in respect of a medical or
health insurance policy, contracted for himself and his dependent in respect of whom he has
claimed a deduction under section 27.
260
FA 2013 –Subsection (3)(a) amended , the words “or contribution” inserted after the word “premium”
- shall come into operation in respect of the income year commencing 1 January 2014 and in respect of
every subsequent income year.

261
FA 2015 – New section 27C inserted after section 27B, shall come into operation on 1 July 2015.
262
FA 2021- Section 27C(1) amended, the words “and 27D” deleted and replaced by the words “27D,
27DA and 27DB” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2021 and in respect of every subsequent income year.

FA 2017- Section 27C(1) amended, the words “including photovoltaic kits and battery for storage of
electricity,” deleted w.e.f 24 July 2017.

FA 2016 - Subsection (1) of Section 27C amended, the words “after deducting any amount under
sections 27, 27A and 27B” inserted after the words “net income” shall come into operation in respect of
the year of assessment commencing on 1 July 2016 and in respect of every subsequent year of
assessment.
263
FA 2017- New section 27D inserted after section 27C w.e.f 24 July 2017.
264
FA 2021- New section 27DA inserted after section 27D – shall be deemed to have come into operation
in respect of the income year commencing on 1 July 2021 and in respect of every subsequent income
year.
265
FA 2024 - Section 27DA(1) amended, by deleting the words “50,000 rupees” and replacing them by the
words “100,000 rupees”, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2024 and in respect of every subsequent income year.

FA 2022 - section 27DA(1) amended, by deleting the words “30,000 rupees” and replacing them by the
words “50,000 rupees”, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2022 and in respect of every subsequent income year.
266
FA 2022 - section 27DB amended, by deleting the words “30,000 rupees” and replacing them by the
words “50,000 rupees”, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2022 and in respect of every subsequent income year.

FA 2021- New section 27DB inserted after section 27D – shall be deemed to have come into operation
in respect of the income year commencing on 1 July 2021 and in respect of every subsequent income
year.
267
FA 2024 – New section 27DC inserted after section 27DB, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2024 and in respect of every subsequent
income year.
268
FA 2018 - inserting, after section 27D, the following new section

* Please refer to endnotes at Appendix 1 Page 312 of 491

MRA THE INCOME TAX ACT 1995 313

269
FA 2021- Section 27E(1) amended, the words “and 27D” deleted and replaced by the words “27D, 27DA
and 27DB”- shall be deemed to have come into operation in respect of the income year commencing on
1 July 2021 and in respect of every subsequent income year.
270
FA 2019 – New Section 27F inserted after section 27E – shall be deemed to have come into operation
in respect of the income year commencing on 1 July 2019 and in respect of every subsequent income
year.
271
FA 2022 – Section 27G repealed, shall be deemed to have come into operation in respect of the income
year commencing on 1 July 2022 and in respect of every subsequent income year.

Previously:

27G. Tax credit for employees

(1) Subject to this section, where an employee who has derived in the first month of an income
year, a basic salary inclusive of compensation not exceeding 50,000 rupees, he shall be allowed a tax
credit by way of deduction from income tax otherwise payable by him for that income year, provided his
total annual net income in that income year does not exceed 700,000 rupees.

(2) The tax credit allowable under subsection (1) shall be equivalent to 5 per cent of the
chargeable income of the individual attributable to his net income from emoluments.

(3) An individual whose net income is less than 650,000 rupees in an income year shall not be
entitled to the tax credit under subsection (1).

FA 2019 –New Section 27G inserted –shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2019 and in respect of every subsequent income year.
272
THE COVID-19 (MISCELLANEOUS PROVISIONS) ACT 2020 (‘Covid M A 2020’) – New section
27H inserted – shall be deemed to have come into operation on 23 March 2020

273
FA 2021- Section 27H(1) amended, the words “and 27D” deleted and replaced by the words “27D, 27DA
and 27DB”- shall be deemed to have come into operation in respect of the income year commencing on
1 July 2021 and in respect of every subsequent income year.
274
FA 2021- New section 27J inserted after Section 27H –shall be deemed to have come into operation in
respect of the year of assessment commencing on 1 July 2021 and in respect of every subsequent year
of assessment.
275
FA 2023 – New Section 27K inserted, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.
276
FA 2022 – new section 28 inserted, shall be deemed to have come into operation in respect of the income
year commencing on 1 July 2022 and in respect of every subsequent income year.
277
THE FOUNDATIONS ACT 2012 – Section 43 amended , by deleting the words “and sociétés” and
replacing them by the words “, sociétés and Foundations” w.e.f . 1 July 2012 - Proclamation No.30 of
2012.

The Securities Act 2005 - Section 43 amended, by inserting immediately after the word “trusts”, the
words “, collective investment schemes” w.e.f 28.09.07.

This Part shall apply to companies, unit trust schemes, trusts and sociétés.

Sub-Part A - Companies, unit trust schemes, trusts and sociétés

* Please refer to endnotes at Appendix 1 Page 313 of 491

MRA THE INCOME TAX ACT 1995 314

278
THE FOUNDATIONS ACT 2012 – The title of Sub-Part A of Part IV amended, the words “and
Sociétés” deleted and replaced by the words “, Sociétés and Foundations”;
279
FA 2018 – Section 44 amended, the words “and 44C inserted after the words “section 44B” shall come
into operation in respect of the year of assessment commencing on 1 July 2020 and in respect of every
subsequent year of assessment.

FA 2018 - The words “Part I” deleted and replaced by the words “Part IV” - Shall come into operation
in respect of the year of assessment commencing on 1 July 2019 and in respect of every subsequent
year of assessment.

FA 2017 – Section 44 amended the words “Every company” and “specified in” deletede and replaced
by the words “Subject to section 44B, every company” and “specified in Part I of ”,

FA 2007 - Section 44 amended, by deleting the words “the appropriate rate specified in Part II of the
First Schedule” and replacing them by the words “the rate specified in the First Schedule”; in relation
to companies shall come into operation on 1 July 2008 in respect of the year of assessment
commencing 1 July 2008 and in respect of every subsequent year of assessment.

FA 2006 – Provision of section 44 amended by deleting the words “the rate specified in Part II or Part
III of the First Schedule, as the case may be” and replacing them by the words “the appropriate rate
specified in Part II of the First Schedule”; shall come into operation on 1 July 2007 in respect of the
year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
.
44. Companies
Every company shall be liable to income tax on its chargeable income at the appropriate rate specified in
Part II of the First Schedule.

ITA 1995:-
Every company shall be liable to income tax on its chargeable income at the rate specified in Part II or
Part III(1) of the First Schedule, as the case may be.
(1)
The words “Part II or Part III” replaced “Part II, Part III or Part IV” by FA 2000. Effective as from
year of assessment 2001-02.
280
FA 2015 – Section 44A repealed, shall come into operation in respect of the year of assessment
commencing on 1 July 2015 and in respect of every subsequent year of assessment.

44A. Alternative minimum tax

1
(1) Notwithstanding the other provisions of this Act, but subject to the other provisions of this
section, where in the case of a company, the normal tax payable is less than 7.5 per cent of its
book profit in an income year, the tax payable for that income year shall be deemed to be –

(a) 7.5 per cent of its book profit in respect of that year; or

(b) 10 per cent of the aggregate amount of any dividends declared and any amount
distributed by way of shares in lieu of dividends in that year;

whichever is lesser.

(2) This section shall not apply -

(a) to a company which holds a Category 1 Global Business Licence under the Financial
Services Act 2007 or which is exempt from the payment of income tax;

* Please refer to endnotes at Appendix 1 Page 314 of 491

MRA THE INCOME TAX ACT 1995 315

(b) where 10 per cent of the aggregate amount of any dividends declared and any
amount distributed by way of shares in lieu of dividends by the company for the
purposes of subsection (1) does not exceed the amount of the normal tax payable; or

(c) to a manufacturing company or a company operating a hotel in respect of income

derived for the period 1 January 2013 to 31 December 2014.2*

(3) Where a company derives gross income and any dividends, profits or gains referred to in
subsection (4)(a) 3, any expenditure attributable to the production of the dividends, profits or
gains shall be disallowed for the calculation of the book profit of the company for the purposes
of this section.

(4) For the purposes of this section -

"book profit" means the profit computed in accordance with internationally accepted
accounting practices -

(a) as reduced by -

(i) dividends receivable from resident companies;

(ii) profits on disposal or revaluation 4 of fixed assets; and

(iii) profits or gains from sale or revaluation of securities,

if any such item is credited to the profit and loss account; and

(b) as increased by -

(i) loss on disposal or revaluation of fixed assets; and

(ii) loss from sale or revaluation of securities,

if any such item is debited to the profit and loss account;

"normal tax payable" means the tax payable arrived at by multiplying the chargeable income
of the company by the tax rate applicable to that company and after allowing for any credit to
which the company may be entitled except a credit for any foreign tax.
1
Subsections 1 and 2 amended by FA 2005. Effective as from the year of assessment 2005-06.
Previously -
(1) Notwithstanding the other provisions of this Act, but subject to the other provisions of this
section, where in the case of a company, the normal tax payable is less than 5 per cent of its
book profit in an income year, the tax payable for that income year shall be deemed to be 5
per cent of its book profit or 10 per cent of any dividends declared in respect of that year,
whichever is the lesser.
(2) This section shall not apply -
(a) in respect of an income year, to a company which has not declared any dividend for
that year;
(b) to a company which is exempt from the payment of income tax; or
(c) where the amount representing 10 per cent of dividends declared by the company for
the purposes of subsection (1) does not exceed the amount of the normal tax payable.

* Please refer to endnotes at Appendix 1 Page 315 of 491

MRA THE INCOME TAX ACT 1995 316

2
FA 2007 - Section 44A(2)(a) amended, by inserting immediately after the words “a company
which”, the words “holds a Category 1 Global Business Licence under the Financial Services
Act 2007 or which” shall be deemed to have come into operation on 1 July 2007 in respect of
the year of assessment commencing 1 July 2007 and in respect of every subsequent year of
assessment.
FA 2005 :-
(a) to a company which is exempt from the payment of income tax; or
3
FA 2012 – New paragraph (c) added, the full stop at the end of paragraph (b) being deleted
and replaced by the words “; or” w.e.f. 22 December 2012.
4
The words “subsection (4)(a)” replaced the words “subsection (4)(a)(i)” by FA 2005. Effective
as from assessment year 2005-06.

FA 2006 – Subsection (1) amended shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
Section 44A added by FA 2004. Effective as from income year 2004-05.
(1) Notwithstanding the other provisions of this Act, but subject to the other provisions of this
section, where in the case of a company, the normal tax payable is less than 5 per cent of its book profit
in an income year, the tax payable for that income year shall be deemed to be -
(c) 5 per cent of its book profit in respect of that year; or
(d) 10 per cent of the aggregate amount of any dividends declared and any amount
distributed by way of shares in lieu of dividends in that year,
whichever is lesser.
281
FA 2019 – Section 44B amended, in the heading, the words “goods” deleted and replaced by the words
“goods or manufacturing activities in a freeport zone” – shall come into operation in respect of the year
of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.

FA 2017 - New section 44B inserted after section 44A shall be deemed to have come into operation on
1 July 2017.
282
FA 2019 – Section 44B amended, new subsection (3) added – shall come into operation in respect of
the year of assessment commencing on 1 July 2020 and in respect of every subsequent year of
assessment.
283
FA 2018 - New section 44C inserted after section 44B – shall come into operation in respect of the
year of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
284
FA 2023 – Subsection (1) amended, by deleting the words “Subject to subsections (2) and (3), every”
and replacing them by the word “Every” w.e.f 20 July 2023.
285
FA 2023 – Subsection (2) repealed, w.e.f 20 July 2023.

Previously was:
(2) Where, in an income year, a bank has a chargeable income exceeding 1.5 billion rupees and –

(a) its chargeable income of the base year exceeds 1.5 billion rupees;

(b) its chargeable income exceeds that of its base year; and

(c) the bank satisfies the prescribed conditions,

it shall be liable to income tax on its chargeable income at the rate specified in Sub-part B of Part III of
the First Schedule.
286
FA 2023 – Subsection (3) repealed, w.e.f 20 July 2023.

* Please refer to endnotes at Appendix 1 Page 316 of 491

MRA THE INCOME TAX ACT 1995 317

Previously was:
(3) Where, in an income year, a bank has a chargeable income exceeding 1.5 billion rupees and –

(a) its chargeable income of the base year does not exceed 1.5 billion rupees;

(b) its chargeable income exceeds that of its base year; and

(c) the bank satisfies the prescribed conditions,

it shall be liable to income tax on its chargeable income at the rate specified in Sub-part C of Part III of
the First Schedule.
287
FA 2023 – Subsection (4) amended, by deleting the definition of “base year”, w.e.f 20 July 2023.

Previously was:

“base year” means –

(a) for a bank in operation as at 30 June 2018, the year of assessment 2017-2018;

(b) for a bank starting operation after 1 July 2018, the first year of assessment corresponding to a
period of 12 months.
288
FA 2021- New section 44D inserted after Section 44C – shall come into operation in respect of the year
of assessment commencing on 1 July 2022 and in respect of every subsequent year of assessment.
289
FA 2024 – New subparagraph (2) inserted in Section 44D, shall come into operation in respect of the
year of assessment commencing on 1 July 2025 and in respect of every subsequent year of assessment.

290
FA 2021- New section 44E inserted after Section 44D – shall come into operation in respect of the year
of assessment commencing on 1 July 2022 and in respect of every subsequent year of assessment.
291
FA 2018 - Sections 45 (1) and 45A (2) amended, the words “Part I” deleted and replaced by the words
“Part IV” - shall come into operation in respect of the year of assessment commencing on 1 July 2019
and in respect of every subsequent year of assessment.

FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” - shall be
deemed to have come into operation on 1 July 2017.

FA 2007 - Section 45 amended, by deleting the words “the rate specified in Sub-Part C of Part II of the
First Schedule” and replacing them by the words “the rate specified in the First Schedule” in relation
to companies shall come into operation on 1 July 2008 in respect of the year of assessment
commencing 1 July 2008 and in respect of every subsequent year of assessment.

FA 2006 - (1) Every trustee of a unit trust scheme shall pay income tax on its chargeable income at
the rate specified in Sub-Part C of Part II of the First Schedule.

FA 2006 – Subsection (1) amended by deleting the words “Part II of the First Schedule” and replacing
them by the words “Sub-Part C of Part II of the First Schedule”; shall come into operation on 1 July
2007 in respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent
year of assessment.

ITA 1995:-
(1) Every trustee of a unit trust scheme shall pay income tax on its chargeable income at
the rate specified in Part II of the First Schedule.
292
The Securities Act 2005 – Subsection (4) added w.e.f 28.09.07.

* Please refer to endnotes at Appendix 1 Page 317 of 491

MRA THE INCOME TAX ACT 1995 318

293
The Securities Act 2005 – New section 45A added w.e.f 28.09.07.
294
FA 2018 - Sections 45 (1) and 45A (2) amended, the words “Part I” deleted and replaced by the words
“Part IV” - shall come into operation in respect of the year of assessment commencing on 1 July 2019
and in respect of every subsequent year of assessment.

FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” - shall be
deemed to have come into operation on 1 July 2017.

FA 2007 - Section 45A(2) amended by deleting the words “Part II of”;

The Securities Act 2005 –
(2) Every collective investment scheme authorised under the Securities Act 2005 shall pay income
tax on its chargeable income at the rate specified in Part II of the First Schedule.
295
FA 2011 – Section 45A(3)amended, the words “CIS manager” deleted and replaced by the word
“scheme” w.e.f. 15 December 2011.
296
FA 2007- Subsection (1) amended, by deleting the words “the rate specified in Sub-Part A of Part II of
the First Schedule” and replacing them by the words “the rate specified in the First Schedule” in
relation to companies shall come into operation on 1 July 2008 in respect of the year of
assessment commencing 1 July 2008 and in respect of every subsequent year of assessment.
FA 2006 – Subsection (1) amended by deleting the words “the rate specified in Part III of the First
Schedule” and replacing them by the words “the rate specified in Sub-Part A of Part II of the First
Schedule” shall come into operation on 1 July 2007 in respect of the year of assessment commencing 1
July 2007 and in respect of every subsequent year of assessment.

(1) Subject to section 7 and subsections (2) and (3) of this section, every trust shall be
liable to income tax on its chargeable income at the rate specified in Sub-Part A of Part II of the First
Schedule.

Section 46 amended by the Trusts Act 2001. Effective as from 1.12.2001 - Proclamation No.22 of
2001.

(1) Subject to section 7 and subsections (2) and (3) of this section, every trust shall be liable to
income tax on its chargeable income at the rate specified in Part III of the First Schedule.

Previously ITA 1995 as amended -

46. Trusts
(1) (a) Subject to paragraph (b), every trust shall be liable to income tax on its chargeable income
at the rate specified in Part III (i) of the First Schedule.
(b) A trust which is certified to be engaged in international business activity by the Mauritius
Offshore Business Activities Authority established under the Mauritius Offshore Business
Activities Act 1992 shall be liable to income tax on its chargeable income at the rate specified in
Part II of the First Schedule.(ii)
(2) The chargeable income under subsection (1) shall be the difference between -
(a) the net income derived by the trust; and
(b) the aggregate amount distributed to the beneficiaries under the terms of the trust deed.
(3) Subject to subsection (4),(iii) any amount distributed to the beneficiaries under the terms of the
trust deed shall be deemed to be a charge under section 10(1)(d) and shall be liable to income tax in
the hands of the beneficiaries.
(4) A non-resident beneficiary of a trust which is certified to be engaged in international business
activity by the Mauritius Offshore Business Activities Authority established under the Mauritius
Offshore Business Activities Act 1992 shall be exempt from income tax in respect of his income
from the trust. (iv)
____________________________
(i)
The words “Part III” replaced “Part IV” by FA 2000. Effective as from year of assessment 2001-
02.

* Please refer to endnotes at Appendix 1 Page 318 of 491

MRA THE INCOME TAX ACT 1995 319

(ii)
Subsection (1) amended by FA 1997. Effective as from 1.7.1999. Previously ITA 1995 as
amended -
(1) Every trust shall be liable to income tax on its chargeable income at the rate specified in
Part IV of the First Schedule.
(iii)
The words “Subject to subsection (4),” inserted by FA 1999. Effective as from 1.7.1999.
(iv)
The words “shall be exempt from income tax in respect of his income from the trust” replaced
“shall be liable to income tax in respect of his income from the trust at the rate specified in Part
II of the First Schedule” by FA 1999. Effective as from 1.7.1999
297
FA 2018 - Subsection (1) amended, the words “Part I” deleted and replaced by the words “Part IV” -
shall come into operation in respect of the year of assessment commencing on 1 July 2019 and in
respect of every subsequent year of assessment.

FA 2017 - FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1)
amended the words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” -
shall be deemed to have come into operation on 1 July 2017.

298
FA 2018 - The words “Category 1” and “or a Category 2 Global Business Licence”, respectively,
deleted wherever they appear - shall come into operation on 1 January 2019.

FA 2007 – Subsection (2) amended, by deleting the words “the rate specified in Sub-Part C of Part II of
the First Schedule” and replacing them by the words “the rate specified in the First Schedule” in relation
to companies shall come into operation on 1 July 2008 in respect of the year of assessment
commencing 1 July 2008 and in respect of every subsequent year of assessment.

FA 2006 – Subsection (2) amended by deleting the words “the rate specified in Part II of the First
Schedule” and replacing them by the words “the rate specified in Sub-Part C of Part II of the First
Schedule”; shall come into operation on 1 July 2007 in respect of the year of assessment commencing 1
July 2007 and in respect of every subsequent year of assessment.
.

Subsection (2) amended by FA 2003. Effective as from year of assessment 2003/2004.

(2) A trust

(a) of which the settlor is a non-resident or holds a Category 1 Global Business Licence
or a Category 2 Global Business Licence under the Financial Services Development
Act 2001 or another trust which qualifies under this subsection; and
(b) (i) of which all the beneficiaries appointed under the terms of the trust are,
throughout an income year, non-residents or holds a Category 1 Global
Business Licence or a Category 2 Global Business Licence under the
Financial Services Development Act 2001; or
(ii) which is a purpose trust under the Trusts Act 2001 and whose purpose is
carried out outside Mauritius,
shall be liable to income tax on its chargeable income at the rate specified in Part II of the
First Schedule.

Previously as amended by Trust Act 2001.

A trust of which –
(a) the settlor is a non-resident; and
(b) all the beneficiaries appointed under the terms of the trust are, throughout an income year, non-
resident, or hold a Category 1 Global Business Licence or a Category 2 Global Business
Licence under the Financial Services Development Act 2001, shall be liable to income tax on
its chargeable income at the rate specified in Part II of the First Schedule
299
FA 2017 - FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1)
amended the words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” -
shall be deemed to have come into operation on 1 July 2017.

* Please refer to endnotes at Appendix 1 Page 319 of 491

MRA THE INCOME TAX ACT 1995 320

300
FA 2021- Subsection (3) repealed - shall be deemed to have come into operation on 1 July 2021.

(3) Where a trust which qualifies under subsection (2) deposits a declaration of non-residence for
any income year with the Director-General within 3 months after the expiry of the income year,
it shall be exempt from income tax in respect of that income year.

301
FA 2011 – New subsection (4) added w.e.f. 15 December 2011.

FA 2006 – Subsection (4) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

ITA 1995:-
(4) The chargeable income under subsections (1) and (2) shall be the difference between -

(a) the net income derived by the trust; and

(b) the aggregate amount of income (1) distributed to the beneficiaries under the terms of
the trust.
(1)
Subsection (4)(b) amended by FA 2003. The words “of income” inserted immediately after
the words “the aggregate amount”. Effective as from year of assessment 2003/2004.
302
FA 2006 – Subsection (5) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

ITA 1995:-
(5) Any amount of income (2) distributed to the beneficiaries under the terms of the trust shall be
deemed to be a charge under section 10(1)(d) and shall be liable to income tax in the hands of
the beneficiaries.
(2)
Subsection (5) amended by FA 2003. The words “of income” inserted immediately after the
word “amount”. Effective as from year of assessment 2003/2004.
303
FA 2006 – Subsection (6) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

ITA 1995:-
(6) Notwithstanding subsection (5), a non-resident beneficiary of a trust shall be exempt from
income tax in respect of his income under the terms of the trust.

304
FA 2013 – Section 47(1) amended, the words “No resident” deleted and replaced them by the words
“Subject to section 50L, no resident” - shall come into operation in respect of the year of assessment
commencing 1 January 2015 and in respect of every subsequent year of assessment.

305
FA 2006 – Subsection (5) repealed and replaced shall come into operation on 1 July 2007 in respect of
the year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

ITA 1995:-
(5) Every associate of a société holding a Category 1 Global Business Licence under the
Financial Services Development Act 2001 (1) shall be liable to income tax in respect of his
share of income in that société at the rate specified -
(a) in Part I of the First Schedule where the associate is an individual, subject to a
maximum rate of 15 per cent;
(b) in Part II of the First Schedule where the associate is a company.
(1)
The words “holding a Category 1 Global Business Licence under the Financial Services
Development Act 2001” replaced “which is certified to be engaged in international business activity by
the Mauritius Offshore Business Activities Authority established under the Mauritius Offshore

* Please refer to endnotes at Appendix 1 Page 320 of 491

MRA THE INCOME TAX ACT 1995 321

Business Activities Act 1992” by the Financial Services Development Act 2001. Effective as from
1.8.2001 - Proclamation No. 8 of 2001.
306
FA 2006 – Subsection (6) amended by deleting the words “the rate specified in Part II of the First
Schedule” and replacing them by the words “the rate of 15 per cent” shall come into operation on 1 July
2007 in respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent
year of assessment.
ITA 1995:-
(6) Notwithstanding subsection (1), a société referred to in subsection (5) may, by notice
in writing given simultaneously to the Commissioner and to the Commission established under the
Financial Services Development Act 2001(2), opt to be liable to income tax at the rate specified in Part
II of the First Schedule. (3)
(2)
The words “the Commission established under the Financial Services Development Act 2001” replaced
“the Mauritius Offshore Business Activities Authority” by the Financial Services Development Act
2001. Effective as from 1.8.2001 - Proclamation No. 8 of 2001.
(3)
The words “at the rate specified in Part II of the First Schedule” replaced “as a tax incentive company”
by FA 2000. Effective as from year of assessment 2001-02.
307
FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” - shall be deemed
to have come into operation on 1 July 2017.

FA 2007 – section 47(7) amended by deleting the words “a rate specified in Sub -Part C or Sub -
Part A of Part II of the First Schedule, as the case may be” and replacing them
by the words “the rate specified in the First Schedule” in relation to companies shall come into operation on
1 July 2008 in respect of the year of assessment commencing 1 July 2008 and in respect of every
subsequent year of assessment.

FA 2006 – Paragraph (b) amended by deleting the words “Part II or Part III of the First Schedule” and
replacing them by the words “Sub-Part C or Sub-Part A of Part II of the First Schedule”shall come into
operation on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.
ITA 1995:-
(b) pay income tax on its chargeable income at a rate specified in Part II or Part III (4) of the First
Schedule, as the case may be.
(4)
The words “Part III” replaced “Part IV” by FA 2000. Effective as from year of assessment 2001-
02.
308
FA 2011 –New sections 48 and 49 inserted after section 47,in so far as it relates to section 48 of the Income
Tax Act, shall come into operation in respect of the year of assessment commencing 1 January 2013 and in
respect of every subsequent year of assessment.

FA 2006 – Section (48) deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
48. Listed companies and subsidiaries of listed companies

(1) Where, on the appropriate date specified in subsection (2), a company was a listed company
or a subsidiary of a listed company, that company shall be liable to income tax for any year of
assessment -

(a) in the case where it is a tax incentive company, at the rate specified in Part II of the
First Schedule; or

(b) in any other case, at the rate specified in Part III of the First Schedule.

(2) The appropriate date shall be -

* Please refer to endnotes at Appendix 1 Page 321 of 491

MRA THE INCOME TAX ACT 1995 322

(a) where section 118 applies, the date of the relevant annual balance of the company's
accounts; or

(b) in any other case, the last day of the income year preceding that year of assessment.
(3) For the purposes of this section -
"listed company" means a company which has been admitted to, and has not been suspended
or withdrawn from, the Official List; and

"subsidiary of a listed company" means a public company whose issued share capital is held
by a listed company to the extent of at least 60 per cent.
309
FA 2023 – Subsection (2) amended, by deleting the word “Where” and replacing it by the words
“Subject to Subsection (3), where” , w.e.f 20 July 2023.
310
FA 2023 – New Subsection (3) inserted, w.e.f 20 July 2023.
311
THE VARIABLE CAPITAL COMPANIES ACT 2022 – new Section 48A inserted, shall come into
operation on a date to be fixed by Proclamation.
312
FA 2023 – Subsection (2) amended, by inserting after the words “Variable Capital Companies Act
2022” the words “but subject to subsection (3)” , w.e.f 20 July 2023.
313
FA 2023 – New Subsection (3) inserted, w.e.f 20 July 2023.
314
FA 2018 – Section 49 repealed w.e.f 9 August 2018.

49. Companies in the freeport zone

(1) Subject to this section, the income of a freeport operator or private freeport developer shall be
exempt from income tax.

(2) Where a freeport operator or private freeport developer is authorised to provide goods and
services on the local market -
(a) it shall be liable to income tax on its chargeable income, computed by reference to its
income derived from the provision of those goods and services at the rate specified in
Part I of the First Schedule; but
(b) it shall be exempt from income tax in respect of its income other than income referred to
in paragraph (a).
(3) The chargeable income under subsection (2) shall be computed in the manner prescribed
under regulation 16 of the IncomeTax Regulations 1996.
(4) In this section -
“freeport operator” and “private freeport developer” have the same meaning as in the
Freeport Act.

FA 2011 –New sections 48 and 49 inserted after section 47,in so far as it relates to section 48 of the
Income Tax Act, shall come into operation in respect of the year of assessment commencing 1 January
2013 and in respect of every subsequent year of assessment and w.e.f. 15 December 2011.

FA 2006 – Section (49) deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

49. Companies in the freeport zone

(1) Subject to the other provisions of this section, a private freeport developer or freeport
operator shall be exempt from income tax.

* Please refer to endnotes at Appendix 1 Page 322 of 491

MRA THE INCOME TAX ACT 1995 323

(2) Where a private freeport developer or freeport operator is authorised by virtue of its licence to
carry out any specified manufacturing or processing activities, it shall, subject to subsection
(3), be liable to income tax on its chargeable income at the rate specified in Part II of the First
Schedule.

(3) Where a private freeport developer or freeport operator referred to in subsection (2) is
licensed prior to 1 June 2002 and is authorised to provide goods and services to a person
outside the freeport zone -

(a) it shall be liable to income tax on its chargeable income computed by reference to its
income derived from the provision of those goods and services at the rate specified in
Part II of the First Schedule; but

(b) it shall be exempt from income tax in respect of its income other than its income
referred to in paragraph (a).

(4) Where a private freeport developer or freeport operator, other than one referred to in
subsection (2) or (3), is authorised to provide goods and services to a person outside the
freeport zone, it shall be liable to income tax on its income from the provision of those goods
and services -

(a) at the rate specified in Part II of the First Schedule where the sale is made to a
company holding an investment certificate in respect of an export enterprise, or
export service enterprise, under the Investment Promotion Act or to a duty free shop
under the Customs Act; and 1
(b) at the rate specified in Part III of the First Schedule, in any other case.

(5) Where a company is licensed to carry out activities as an occasional operator, it shall be
liable to income tax on its income derived from those activities at the rate specified in Part III
of the First Schedule.

(6) Every third party freeport developer shall be liable to income tax on its chargeable income at
the rate specified in Part II of the First Schedule.

(7) The chargeable income under subsections (2), (3) and (4) shall be computed in such manner
as may be prescribed.

(8) In this section, "freeport operator", "occasional operator", "private freeport developer" and
"third party freeport developer" means a company licensed as such under the Freeport Act
2004.
1
The words “, or export service enterprise, under the Investment Promotion Act or to a duty free shop
under the Customs Act; and” replaced the words “ under the Investment Promotion Act; and” by FA
2005. Effective as from assessment year 2005-06.

Section 49 amended by FA 2002. Effective as from year of assessment 2002-03. Previously ITA 1995
as amended -
49. Companies in the freeport zone
(1) Subject to subsection (2), the income derived by a company licensed under the Freeport Act 1992
shall be exempt from income tax.
(2) Where the company derives income from any activity outside the freeport zone -
(a) it shall be liable to income tax on its chargeable income in respect of that activity at the rate
specified in Part II or Part III(i) of the First Schedule, as the case may be;(ii) and
(b) its chargeable income shall be computed in such manner as may be prescribed.
(i)
The words “Part II or Part III” replaced “Part II, Part III or Part IV” by FA 2000. Effective
as from year of assessment 2001-02.
(ii)
The words “Part II, Part III or Part IV of the First Schedule, as the case may be” replaced
“Part IV of the First Schedule” by FA 1999. Effective as from 1.7.1999
Section 49 amended by FA 2003. Effective as from year of assessment 2003/2004. Previously ITA
1995 as amended by FA 2002 --

* Please refer to endnotes at Appendix 1 Page 323 of 491

MRA THE INCOME TAX ACT 1995 324

49. Companies in the freeport zone

(1) A company licensed under the Freeport Act 2001 as -
(a) a private freeport developer shall be exempt from income tax;
(b) a third party freeport developer shall be liable to income tax on its chargeable income at
the rate specified in Part II of the First Schedule;
(c) a freeport operator authorised by virtue of its licence to carry out any specified freeport
processing activities shall be liable to income tax on its chargeable income at the rate
specified in Part II of the First Schedule;
(d) a freeport operator authorised by virtue of its licence to carry out freeport activities other
than those specified in paragraph (c) shall be exempt from income tax; or
(e) an occasional operator shall, subject to subsection (2), be liable to income tax on its
chargeable income in respect of the activities covered by its licence at the rate specified
in Part III of the First Schedule.
(2) The chargeable income under subsection (1)(e) shall be computed in such a manner as may be
prescribed.
(3) Notwithstanding subsection (1)(c), a freeport operator referred to in that subsection and
licensed on or before 1 June 2002 shall be exempt from income tax.

FA 2013 – Subsection (1) amended, the words “or private freeport developer” inserted after the word
“operator” - shall come into operation in respect of the year of assessment commencing 1 January 2015
and in respect of every subsequent year of assessment.

FA 2013 – Subsection (2) amended, the words “or private freeport developer” inserted after the word
“operator” - shall come into operation in respect of the year of assessment commencing 1 January 2015
and in respect of every subsequent year of assessment

FA 2011 –New sections 48 and 49 inserted after section 47,in so far as it relates to section 48 of the
Income Tax Act, shall come into operation in respect of the year of assessment commencing 1 January
2013 and in respect of every subsequent year of assessment and w.e.f. 15 December 2011.

FA 2006 – Section (49) deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

49. Companies in the freeport zone

(1) Subject to the other provisions of this section, a private freeport developer or freeport
operator shall be exempt from income tax.

(2) Where a private freeport developer or freeport operator is authorised by virtue of its licence to
carry out any specified manufacturing or processing activities, it shall, subject to subsection
(3), be liable to income tax on its chargeable income at the rate specified in Part II of the First
Schedule.

(3) Where a private freeport developer or freeport operator referred to in subsection (2) is
licensed prior to 1 June 2002 and is authorised to provide goods and services to a person
outside the freeport zone -

(b) it shall be liable to income tax on its chargeable income computed by reference to its
income derived from the provision of those goods and services at the rate specified in
Part II of the First Schedule; but

(b) it shall be exempt from income tax in respect of its income other than its income
referred to in paragraph (a).

(4) Where a private freeport developer or freeport operator, other than one referred to in
subsection (2) or (3), is authorised to provide goods and services to a person outside the
freeport zone, it shall be liable to income tax on its income from the provision of those goods
and services -

* Please refer to endnotes at Appendix 1 Page 324 of 491

MRA THE INCOME TAX ACT 1995 325

(b) at the rate specified in Part II of the First Schedule where the sale is made to a
company holding an investment certificate in respect of an export enterprise, or
export service enterprise, under the Investment Promotion Act or to a duty free shop
under the Customs Act; and 1
(b) at the rate specified in Part III of the First Schedule, in any other case.

(5) Where a company is licensed to carry out activities as an occasional operator, it shall be
liable to income tax on its income derived from those activities at the rate specified in Part III
of the First Schedule.

(6) Every third party freeport developer shall be liable to income tax on its chargeable income at
the rate specified in Part II of the First Schedule.

(7) The chargeable income under subsections (2), (3) and (4) shall be computed in such manner
as may be prescribed.

(9) In this section, "freeport operator", "occasional operator", "private freeport developer" and
"third party freeport developer" means a company licensed as such under the Freeport Act
2004.
1
The words “, or export service enterprise, under the Investment Promotion Act or to a duty free shop
under the Customs Act; and” replaced the words “ under the Investment Promotion Act; and” by FA
2005. Effective as from assessment year 2005-06.

Section 49 amended by FA 2002. Effective as from year of assessment 2002-03. Previously ITA 1995
as amended -
49. Companies in the freeport zone
(1) Subject to subsection (2), the income derived by a company licensed under the Freeport Act 1992
shall be exempt from income tax.
(2) Where the company derives income from any activity outside the freeport zone -
(a) it shall be liable to income tax on its chargeable income in respect of that activity at the rate
specified in Part II or Part III(i) of the First Schedule, as the case may be;(ii) and
(b) its chargeable income shall be computed in such manner as may be prescribed.
(i)
The words “Part II or Part III” replaced “Part II, Part III or Part IV” by FA 2000. Effective
as from year of assessment 2001-02.
(ii)
The words “Part II, Part III or Part IV of the First Schedule, as the case may be” replaced
“Part IV of the First Schedule” by FA 1999. Effective as from 1.7.1999
Section 49 amended by FA 2003. Effective as from year of assessment 2003/2004. Previously ITA
1995 as amended by FA 2002 --
49. Companies in the freeport zone
(1) A company licensed under the Freeport Act 2001 as -
(a) a private freeport developer shall be exempt from income tax;
(b) a third party freeport developer shall be liable to income tax on its chargeable income at
the rate specified in Part II of the First Schedule;
(c) a freeport operator authorised by virtue of its licence to carry out any specified freeport
processing activities shall be liable to income tax on its chargeable income at the rate
specified in Part II of the First Schedule;
(d) a freeport operator authorised by virtue of its licence to carry out freeport activities other
than those specified in paragraph (c) shall be exempt from income tax; or
(e) an occasional operator shall, subject to subsection (2), be liable to income tax on its
chargeable income in respect of the activities covered by its licence at the rate specified
in Part III of the First Schedule.
(2) The chargeable income under subsection (1)(e) shall be computed in such a manner as may be
prescribed.
(3) Notwithstanding subsection (1)(c), a freeport operator referred to in that subsection and
licensed on or before 1 June 2002 shall be exempt from income tax.
315
FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” - shall be
deemed to have come into operation on 1 July 2017.

* Please refer to endnotes at Appendix 1 Page 325 of 491

MRA THE INCOME TAX ACT 1995 326

THE FOUNDATIONS ACT 2012 – New section 49A inserted after section 49 w.e.f . 1 July 2012 -
Proclamation No.30 of 2012.
316
FA 2021 – Section 49A amended, subsection (2) repealed – shall be deemed to have come into operation
on 1 July 2021.

(2) A Foundation of which -

(a) the founder is a non-resident or holds a Global Business Licence under the Financial
Services Act ; and

(b) all the beneficiaries appointed under the terms of a charter or a will are, throughout
an income year, non-resident or hold a Global Business Licence under the Financial
Services Act,shall be exempt from income tax in respect of that year.
317
FA 2021- Section 49A amended, subsection (3) repealed – shall be deemed to have come into operation
on 1 July 2021.

(3) For the purpose of the exemption specified in subsection (2), any Foundation which qualifies
under subsection (2) shall deposit a declaration of non-residence for any income year with the
Director-General within 3 months from the expiry of the income year.

318
FA 2015 – New section 49B inserted after section 49A w.e.f. 14 May 2015.
319
SME Act 2017 – Subsection (1) of Section 49B amended - The words “Small and Medium Enterprises
Development Authority Act” deleted wherever they appear and replaced by the words “repealed Small
and Medium Enterprises Development Authority Act or a scheme administered and managed by SME
Mauritius Ltd –w.e.f 18 January 2018.
320
SME Act 2017 – Subsection (1) of Section 49B amended - The words “Small and Medium Enterprises
Development Authority Act” deleted wherever they appear and replaced by the words “repealed Small
and Medium Enterprises Development Authority Act or a scheme administered and managed by SME
Mauritius Ltd –w.e.f 18 January 2018.

FA 2016 - Subsection (1)(a) amended, the words “in respect of income derived from the activities
relating to a project under a scheme referred to in section 5A of the Small and Medium Enterprises
Development Authority Act” inserted after the words “income tax” shall come into operation in respect
of the year of assessment commencing on 1 July 2016 and in respect of every subsequent year of
assessment.
321
SME ACT 2017 – Subsection(4) of Section 49B amended, the definition of “small company” deleted
and replaced-w.e.f 18 January 2018.

“small company” means –

(a) a company incorporated under the Companies Act and registered under the Small
and Medium Enterprises Development Authority Act on or after 2 June 2015;

(b) a co-operative society set up on or after 2 June 2015 and registered under the Small
and Medium Enterprises Development Authority Act.

FA 2016 - Subsection (4) repealed and replaced shall come into operation in respect of the year of
assessment commencing on 1 July 2016 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 326 of 491

MRA THE INCOME TAX ACT 1995 327

Previously:
4) In this section

“small company” means a company –

(a) incorporated under the Companies Act; and

(b) registered under the Small and Medium Enterprises Development Authority Act,

on or after 2 June 2015.

322
FA 2019 – New section 49C inserted after section 49B – shall come into operation in respect of the year
of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
323
FA 2021- New Section 49D inserted after Section 49C – w.e.f 05 August 2021.
324
FA 2020 – New subsection (1A) inserted after subsection (1) –shall come into operation in respect of the
year of assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.
325
FA 2020 – New subsection (1B) inserted – shall come into operation in respect of the year of assessment
commencing on 1 July 2021 and in respect of every subsequent year of assessment.

326
FA 2007 - Sub -Part AA of Part IV shall come into operation on 1 July 2008.

327
FA 2018 – Subsection (1) of Section 50A amended, the words “, any company falling under section
73A” inserted after the words “non-resident sociétés” - shall come into operation in respect of the year of
assessment commencing on 1 July 2019 and in respect of every subsequent year of assessment.

THE FOUNDATIONS ACT 2012 – Subsection 1 amended , the word “ Foundations,” inserted after the
words “protected cell company,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.

FA 2011 – Section 50A subsection (1) amended, the words “cells of a protected cell company,”
inserted after the words “collective investment schemes,” shall come into operation in respect of the year
of assessment commencing 1 January 2013 and in respect of every subsequent year of assessment.

FA (No.2) 2009 - Section 50A (1) amended, the words “section 47(7)” deleted and replaced by the words
“section 47(6)” w.e.f. 19.12.09.

328
FA 2018 – Subsection (1) of Section 50A amended, the words “Category 1” deleted - shall come into
operation on 1 January 2019.

THE FOUNDATIONS ACT 2012 – Subsection 2 amended , the word “ Foundation,” inserted after the
words “protected cell company,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.

FA 2011 – Section 50A subsection (2) amended, the words “cells of a protected cell company,”
inserted after the words “collective investment schemes,” shall come into operation in respect of the year
of assessment commencing 1 January 2013 and in respect of every subsequent year of assessment.

FA (No.2) 2009 - Section 50A (2) amended, the words “section 47(7)” deleted and replaced by the words
“section 47(6)” w.e.f. 19.12.09.

329
FA 2020 – Section 50B(1)amended, the word “electronically” inserted after the word “submit” and the
words “and manner” deleted -w.e.f 7 August 2020.

FA (No.2) 2009 - The words “Every company” deleted and replaced by the words “Subject to subsection
(2), every company” w.e.f. 19.12.09.

330 -
FA 2008 Section 50B amended by deleting the words “income year” wherever they appear and

* Please refer to endnotes at Appendix 1 Page 327 of 491

MRA THE INCOME TAX ACT 1995 328

replacing them by the words “ accounting year” shall be deemed to have come into operation on 1 July
2008.
331
FA 2015 – Subsection (1) amended, the words “from the end of the first quarter”, “from the end of the
second quarter” and “from the end of the third quarter” deleted and replaced by the words “from the
end of the month in which the first quarter ends”, “from the end of the month in which the second
quarter ends” and “from the end of the month in which the third quarter ends”, respectively w.e.f. 14
May 2015.
332
FA 2015 – Subsection (2) amended, the words “on 30 September” and “statement” deleted and replaced
by the words “in the month of September” and “Statement”, respectively w.e.f. 14 May 2015.
FA (No.2) 2009 - Subsection (2) added, the existing provision being numbered (1) accordingly
w.e.f. 19.12.09.
333
FA 2015 – New subsection (2A) inserted after subsection (2) w.e.f. 14 May 2015.
334
FA 2010 – Section 50B amended , by adding, after subsection (2), the following new subsection (3) –
w.e.f. 24.12.2010.
335
FA 2011 – New subsection (4) added, shall come into operation in respect of the year of assessment
commencing 1 January 2013 and in respect of every subsequent year of assessment.
336
FA 2015 – Subsection (4)(a) amended, the figure “4” deleted and replaced by the figure “10” - shall
come into operation in respect of the year of assessment commencing on 1 July 2015 and in respect of
every subsequent year of assessment.

FA 2012 – Section 50B(4)(a) amended, the figure “2” deleted and replaced by the figure “4” shall
come into operation in respect of the year of assessment commencing on 1 January 2013 and in
respect of every subsequent year of assessment.
337
FA 2015 – New subsections (5), (6) and (7) added shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.
338
FA 2015 – New subsections (5), (6) and (7) added shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.
339
FA 2015 – New subsections (5), (6) and (7) added shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

340
FA 2008 -Section 50C amended by deleting the words “income year” wherever they appear and
replacing them by the words “ accounting year” shall be deemed to have come into operation on 1 July
2008.

341
FA 2023 – Subsection (1) amended, by deleting the words “Part II” and replacing them by the words
“Part II, III”, w.e.f 20 July 2023.

FA 2021- Section 50D amended, subsection (1) repealed and replaced – shall be deemed to have come
into operation in respect of the income year commencing on 1 July 2020 and in respect of every
subsequent income year.

(1) Subject to subsection(2), the income tax payable under section 50B shall be
calculated on the chargeable income ascertained under section 50C at the rate specified in
Part IV of the First Schedule.

* Please refer to endnotes at Appendix 1 Page 328 of 491

MRA THE INCOME TAX ACT 1995 329

FA 2018 – Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “Part I” deleted and replaced by the words “Part IV”- Shall come into operation in respect of the
year of assessment commencing on 1 July 2019 and in respect of every subsequent year of assessment.

FA 2017 - Sections 45(1), 45A(2), 46(1) and (2), 47(7)(b), 49(2)(a), 49A(1) and 50D(1) amended the
words “First Schedule” deleted and replaced by the words “Part I of the First Schedule” - shall be
deemed to have come into operation on 1 July 2017.
342
FA 2015 – Subsection (2) of section 50D repealed, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

(2) Where a company has been subject to tax under section 44A in respect of an accounting year,
the income tax payable in respect of an APS quarter shall, at the option of the company be -

(a) 25 per cent of the tax paid for that accounting year; or

(b) the amount of income tax computed on the chargeable income ascertained under
section 50C(b).

FA 2008 - Section 50D amended by deleting the words “income year” wherever they appear and
replacing them by the words “ accounting year” shall be deemed to have come into operation on 1 July
2008
343
FA 2011 – Section 50E amended, new subsection (3) and (4) added, shall come into operation in respect
of the year of assessment commencing 1 January 2013 and in respect of every subsequent year of
assessment.

344
FA 2007 - Sub -Part AB of Part IV shall be deemed to have come into operation on 1 July 2007 in
respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent year of
assessment.
345
FA 2013 –Section 50H (1) repealed and replaced - shall be deemed to have come into operation in
respect of the year of assessment commencing 1 January 2014 and in respect of every subsequent year
of assessment.

(1) Subject to this section, every bank shall, in every year be liable to pay to the Director-General
a special levy calculated by reference to its book profit and its operating income derived
during the preceding year at the rates specified in subsection (2).

346
FA 2013 – Section 50H(2) amended, paragraph (b) repealed and replaced - shall be deemed to have
come into operation in respect of the year of assessment commencing 1 January 2014 and in respect of
every subsequent year of assessment.

(b) 1 January 2013 3.4 per cent on book profit; and

1.0 per cent on operating income

1 January 2014 3.4 per cent on book profit; and

1.0 per cent on operating income

1 January 2015 and in respect of 1.70 per cent on book profit; and
every subsequent year of 0.50 per cent on operating income
assessment

* Please refer to endnotes at Appendix 1 Page 329 of 491

MRA THE INCOME TAX ACT 1995 330

FA 2012 – Section 50H(2) amended, paragraph (b) repealed and replaced w.e.f. 22 December 2012.

(b) 1 January 2013 and in respect of every 1.70 per cent on book profit; and
subsequent year of assessment 0.50 per cent on operating income

FA 2010 – Section 50H amended by repealing and replacing subsection (2) w.e.f 24.12.2010.

(2) The rates shall be in the year of assessment commencing on –

(a) (i) 1 July 2009 3.4 per cent on book profit; and
1.0 per cent on operating income

(ii) 1 January 2010 3.4 per cent on book profit; and

1.0 per cent on operating income

(b) 1 January 2011 and in respect of 1.70 per cent on book profit; and
every subsequent year of assessment
0.50 per cent on operating income

FA 2009 –Subsection (2) repealed and replaced w.e.f. 30 July 2009.

FA 2007 -

(a) 1 July 2007 30 per cent of the rates specified in

paragraph (b)
(b) 1 July 2008 and in respect of every 1.70 per cent on book profit; and
subsequent year of assessment 0.50 per cent on operating income

347
FA 2013 – New paragraph (c) added - shall be deemed to have come into operation in respect of the
year of assessment commencing 1 January 2014 and in respect of every subsequent year of assessment.

348
FA 2013 – New paragraph (d) added - shall be deemed to have come into operation in respect of the
year of assessment commencing 1 January 2014 and in respect of every subsequent year of assessment.
349
FA 2018 – Paragraph (e) amended, the words “and 1 July 2017” deleted and replaced by the words “, 1
July 2017 and 1 July 2018” - w.e.f 9 August 2018.

FA 2015 – Paragraph (e) of section 50H(2) repealed and replaced w.e.f. 14 May 2015.
e) 1 January 2016 and in respect of every subsequent year of assessment, 1.70 per cent on book
profit and 0.50 per cent on operating income.
FA 2013 – New paragraph (e) added - shall be deemed to have come into operation in respect of the
year of assessment commencing 1 January 2014 and in respect of every subsequent year of assessment.
350
FA 2018 –Paragraph (f) repealed w.e.f 9 August 2018.

1 July 2018 and in respect of every subsequent year of assessment, 1.70 per cent on book profit and
0.50 per cent on operating income.

FA 2015 – New paragraph added w.e.f. 14 May 2015.

* Please refer to endnotes at Appendix 1 Page 330 of 491

MRA THE INCOME TAX ACT 1995 331

351
FA 2013 – Subsection (4) amended, the words “No levy” deleted and replaced by the words “Except
where levy is computed on chargeable income, no levy” - shall be deemed to have come into operation
in respect of the year of assessment commencing 1 January 2014 and in respect of every subsequent
year of assessment.

352
FA 2009 - Sub-Part AC and Sub-Part AD inserted w.e.f. 30 July 2009, in so far as it relates to sections
50K and 50L shall be deemed to have come into operation on 1 July 2009.

353
FA 2020 – The defintion of “book profit” deleted – shall be deemed to have come into operation in respect
of the year of assessment commencing on 1 July 2020 and in respect of every subsequent year of
assessment.
354
FA 2020 – New definition inserted – shall be deemed to have come into operation in respect of the year
of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
355
FA 2020 – Subsection (1) amended, the word “book” deleted and replaced by the word “accounting” –
shall be deemed to have come into operation in respect of the year of assessment commencing on 1 July
2020 and in respect of every subsequent year of assessment.
356
FA 2018 – Subsection (2) amended, the words “1 July 2016 and 1 July 2017” deleted and replaced by
the words “1 July 2016, 1 July 2017, 1 July 2018 and 1 July 2019” w.e.f 9 August 2018.

FA 2015 – Section 50J(2) amended, the words “and 1 January 2014” deleted and replaced by the words
“, 1 January 2014, 1 January 2015, 1 July 2015, 1 July 2016 and 1 July 2017” w.e.f. 14 May 2015.

FA 2012 – Section 50J(2) amended, the words “1 January 2012 and 1 January
2013” deleted and replaced by the words “1 January 2012, 1 January 2013
and 1 January 2014” - w.e.f. 22 December 2012.

FA 2011 – Section 50J(2) amended by deleting the words “and 1 January 2012” and replacing them by
the words “,1 January 2012 and 1 January 2013” w.e.f. 15 December 2011.

FA 2010 – Section 50J(2) amended by deleting the words “and 1 January 2010” and replacing them by
the words “, 1 January 2010, 1 January 2011 and 1 January 2012” w.e.f 24.12.2010.

357
FA 2023 – Subsection (2A) amended, by deleting the words “and in respect of every subsequent year of
assessment” and replacing them by the words “, 1 July 2021, 1 July 2022 and 1 July 2023” shall come
into operation in respect of the year of assessment commencing on 1 July 2024 and in respect of every
subsequent year of assessment.

FA 2020 – New subsection (2A) inserted after subsection (2) –shall be deemed to have come into
operation in respect of the year of assessment commencing on 1 July 2020 and in respect of every
subsequent year of assessment.
358
FA 2023 – New Subsection (2B) inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2024 and in respect of every subsequent year of assessment.
359
FA 2023 – New Subsection (2C) inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2024 and in respect of every subsequent year of assessment.
360
FA 2023 – Subsection (4) repealed shall come into operation in respect of the year of assessment
commencing on 1 July 2024 and in respect of every subsequent year of assessment.

Previously was:

* Please refer to endnotes at Appendix 1 Page 331 of 491

MRA THE INCOME TAX ACT 1995 332

(4) No levy shall be paid in a year, where, in the year immediately preceding that year, the operator
has incurred a loss

FA 2018 – Subsection (4) repealed and replaced w.e.f 9 August 2018.

No levy shall be paid in a year where, in the preceding year -

(a) the operator incurred a loss; or
(b) the book profit of the operator did not exceed 5 per cent of its turnover.
361
FA 2009 - Sub-Part AC and Sub-Part AD inserted w.e.f. 30 July 2009, in so far as it relates to sections
50K and 50L shall be deemed to have come into operation on 1 July 2009.
362
FA 2011 – Section 50K amended, the definition of “book profit” deleted- shall come into operation in
respect of the year of assessment commencing 1 January 2013 and in respect of every subsequent year of
assessment.

FA (No.2) 2009 - The word “and” at the end of paragraph (a) deleted and added in paragraph (b) , after
the words “profit and loss account;”, shall be deemed to have come into operation on 1 July 2009.

FA (No.2) 2009 - New paragraph (c) added after paragraph (b) shall be deemed to have come into
operation on 1 July 2009.

“book profit” means the profit computed in accordance with International Financial Reporting
Standards, after income tax and -

(a) as reduced by profit on disposal or revaluation of fixed assets, where any such profit or
revaluation is credited to profit and loss account;
(b) as increased by loss on disposal or revaluation of fixed assets, where any such loss or
revaluation is debited to profit and loss account; and
(c) as adjusted by such profit or loss as may be prescribed.
363
The Investment Promotion (Property Development Scheme)Regulations 2015, Section 50L (CSR Fund)
of the Income Tax Act shall not apply to a PDS Company w.e.f 18 June 2015.

364
THE FOUNDATIONS ACT 2012 – The definition of company amended , the words “a Foundation,”
inserted after the word “société,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.
365
FA 2019 - Section 50K amended, the words “Act” deleted at the end of paragraph (e) and replaced by
the words “Act, in respect of income derived from export; and” – shall come into operation in respect of
the year of assessment commencing on 1 July 2020 and in respect of every subsequent year of
assessment.
366
FA 2019 - Section 50K amended, new paragraph (f) added – shall come into operation in respect of the
year of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
367
FA 2013 - New definition inserted - shall come into operation in respect of the year of assessment
commencing 1 January 2015 and in respect of every subsequent year of assessment.
368
FA 2016 - Section 50L repealed and replaced w.e.f 7 September 2016.

Previously
50L. CSR Fund

(1) Every company shall in every year set up a CSR Fund equivalent to 2 per cent of its chargeable
income of the preceding year to implement a CSR Programme in accordance with its own CSR

* Please refer to endnotes at Appendix 1 Page 332 of 491

MRA THE INCOME TAX ACT 1995 333

framework.368 *

(2) Repealed 368*

(3) Repealed 368*

(4) Where, in respect of a year, the amount paid out of the CSR Fund under subsection (1) is less
than the amount provided under the Fund, the difference shall be remitted to the Director-
General at the time the company submits its return of income under section 116.

(4A) A company shall submit as an annex to its return of income a statement showing the amount of
CSR spent and the details of CSR projects implemented by the company during the income
year.368*

(5)368* Notwithstanding subsection (4), where, in respect of a year, the amount paid out of the CSR Fund
is less than the amount provided for under subsection (1), the difference, to the extent of an
amount not exceeding 20 per cent of the amount provided for under that subsection, may be
allowed to be carried forward to the following year to form part of the CSR Fund for that
following year.

(6) Where, in respect of a year, the amount paid out of the CSR
Fund under subsection (1) exceeds the sum of the amount provided for
under that Fund, the excess amount, to the extent of an amount not exceeding 20 per cent of
the amount provided for under that subsection, may be allowed to be carried forward and offset in
equal instalments against any amount to be remitted under subsection (4) in respect of the 5
succeeding years.

(7) The carry forward of any excess referred to in subsection (6) shall not apply to any excess arising
in respect of more than 2 consecutive years.

(8) For the purposes of subsection (5), the amount provided under the CSR Fund in respect of a year
shall include any amount brought forward to that year under that subsection to form part of the
Fund for that year.

(9) This Sub-Part shall apply in all respects to a resident société, other than a resident société holding
a Global Business Licence under the Financial Services Act, as it applies to a company, and its net
income shall be deemed to be its chargeable income and any distribution of its net income shall,
for the purposes of the Sub-Part, be deemed to be dividends.368*

FA 2015 – Subsection (1) repealed and replaced shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.
50L. CSR Fund

(1) Every company shall, in every year, set up a CSR Fund equivalent to 2 per cent of its
chargeable income of the preceding year to

(a) implement an approved programme by the company;

(b) implement an approved programme under the National Empowerment

* Please refer to endnotes at Appendix 1 Page 333 of 491

MRA THE INCOME TAX ACT 1995 334

Foundation; or

(c) finance an approved NGO.

FA 2011 – Subsection (1) amended , the words “2 per cent of its book profit derived during” deleted
and replaced by the words “2 per cent of its chargeable income of” shall come into operation in respect
of the income year commencing 1 January 2012 and in respect of every subsequent income year.

FA 2015 – Subsections (2) and (3) repealed, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

(2) A programme under subsection (1)(a) or (b) or an NGO under subsection (1) (c) shall be deemed
to be an approved programme or an approved NGO, as the case may be, where it falls within
the guidelines issued, with the approval of the Minister, by a committee set up under subsection
(3).

FA 2015 – Subsections (2) and (3) repealed, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

(3) The committee referred to in subsection (2) shall be appointed by the Minister and shall
consist of a Chairperson and not more than 9 other members comprising of
representatives from the public sector, private sector and civil society.
FA 2011 – Subsection (3) amended the figure “6” deleted and replaced it by the figure “9”- w.e.f. 15
December 2011.

FA 2015 – New subsection (4A) inserted after subsection (4), shall come into operation in respect of
the year of assessment commencing on 1 July 2015 and in respect of every subsequent year of
assessment.

FA 2015 – Subsection (5) amended, the words “, subject to the approval of the committee referred to in
subsection (2),” deleted - shall come into operation in respect of the year of assessment commencing on
1 July 2015 and in respect of every subsequent year of assessment.

FA 2012 – New subsection (5) to subsection (8) added w.e.f. 22 December 2012.
FA 2013 – New subsection (9) added - shall come into operation in respect of the year of assessment
commencing 1 January 2015 and in respect of every subsequent year of assessment.
369
FA 2021 – Subsection (1) amended, the words “Every company” deleted and replaced by the words
“Subject to subsection (1A), every company” – shall be deemed to have come into operation in respect
of the income year commencing on 1 July 2020 and in respect of every subsequent income year.
370
FA 2021- Subsection (1A) inserted after Subsection (1) - shall be deemed to have come into operation
in respect of the income year commencing on 1 July 2020 and in respect of every subsequent income
year.
371
FA 2017 - Subsection (2) paragraph (a) repealed and replaced w.e.f 24 July 2017.

(2) (a) Subject to subsection (9), an amount equal to the percentage of the CSR Fund, as
specified in the following table, shall be remitted to the Director-General –

Percentage to be remitted to
the Director-General

CSR Fund set up on or after 1 January 2017 up to 31 At least 50%

December 2017

* Please refer to endnotes at Appendix 1 Page 334 of 491

MRA THE INCOME TAX ACT 1995 335

CSR Fund set up on or after 1 January 2018 At least 75%

372
FA 2021 – Subsection (2)(b)(ii) amended, the words “and Part AA” inserted after the words “Part A” –
w.e.f 05 August 2021.
373
FA 2017 - Subsection (4) amended the words “Subject to subsection (9), the amount” , deleted and
replaced by the words “The amount” - w.e.f 24 July 2017.
374
FA 2019 - New subsection (5) inserted – shall be deemed to have come into operation on 1 July 2019.

Note: No paragraph (5) exists in the Finance Act No. 18 of 2016.

375
FA 2024 – Subsection (7) amended, by deleting the words “The Authority” and replacing them by the
words “Subject to subsection (7A), the Authority” w.e.f 27 July 2024.

FA 2024 – Subsection (7) amended, by deleting the words “and the remaining amount to the National
Social Inclusion Foundation w.e.f 27 July 2024.

FA 2023 – Subsection (7) amended, by inserting, after the word “remittance”, the words “of 200
million rupees to the Solidarity Fund and the remaining amount” shall be deemed to have come into
operation on 1 July 2023.

FA 2019 –Section 50L amended, the words “National CSR” deleted and replaced by the words
“National Social Inclusion” –shall be deemed to have come into operation on 1 July 2019.
376
FA 2024 – New Subsection (7A) inserted after Subsection (7) w.e.f 27 July 2024.
377
FA 2024 – New Subsection (7B) inserted after Subsection (7A) w.e.f 27 July 2024.
378
FA 2024 – New Subsection (7C) inserted after Subsection (7B) w.e.f 27 July 2024.
379
FA 2017 - Subsection (9) repealed w.e.f 24 July 2017.

(9) (a) The amount to be remitted to the Director-General shall be reduced by such amount
as the company intends to spend in respect of an approved CSR programme which
fits within the priority areas of intervention as specified in Part A of the Tenth
Schedule.

(b) The amount to be remitted to the Director-General shall only be reduced where the
company receives the prior written approval of the National CSR Foundation.
380
FA 2018 – The following new subsections (10), (11) and (12) added w.e.f 9 August 2018.
381
FA 2020 – Section 50L(13) amended, the words “a company which is exempt under items 11, 11A,13,
26, 28 to 32 and 34 to 38 of Part II of Sub-part C of the Second Schedule and its net income shall be
deemed to be its” deleted and replaced by the words “the exempt income of a company under items 11,
11A, 13, 26, 28 to 32 and 34 to 38 of Part II of Sub-part C of the Second Schedule and any other items
in the Second Schedule as may be prescribed and that exempt income shall be included in its” w.e.f 7
August 2020.

FA 2018 – New subsection (13) added, shall come into operation in respect of the year of assessment
commencing on 1 July 2019 and in respect of every subsequent year of assessment.
382
FA 2019- New subsection (14) added, shall de deemed to have come into operation on 1 July 2019.
383
FA 2019- New subsection (15) added, shall be deemed to have come into operation on 1 July 2019.
384
FA 2023 – New Subsection (16) inserted, w.e.f 20 July 2023.

* Please refer to endnotes at Appendix 1 Page 335 of 491

MRA THE INCOME TAX ACT 1995 336

385
FA 2018 – New section 50LA inserted w.e.f 9 August 2018.
386
FA 2018 – Section 50M repealed w.e.f 9 August 2018.

FA 2010 – New section “50M. One-off charge on banks” added w.e.f 24.12.2010.

(1) Every bank, except the Development Bank of Mauritius Ltd, holding a banking licence under the
Banking Act shall create a one-off charge in the year immediately preceding the year of
assessment 2012 for an amount equivalent to 0.5 per cent of its turnover plus 1.25 per cent of its
book profit relating to its banking transactions with persons, other than non-residents and
corporations holding a Global Business Licence under the Financial Services Act in respect of the
year of assessment 2011 to finance the new private equity fund referred to in the Ministry’s
document entitled ‘Facing The Euro Zone Crisis and Restructuring for Long Term Resilience’ and
dated August 2010 and published as a General Notice in the Gazette of Thursday 9 December
2010, during the year immediately preceding the year of assessment 2012.

(2) Where the financing to the new private equity fund under subsection (1) is less than the one-off
charge, the difference shall be remitted to the Director-General at the time the company submits
its return of income for the year of assessment 2012 under section 116.

(3) For the purposes of this section –

“book profit” has the same meaning as in section 44A(4)

.
387
FA2024 – New Sub-part AE inserted after Sub-part AD, w.e.f 27 July 2024.
388
FA2024 – New Section 50N inserted w.e.f 27 July 2024.
389
FA2024 – New Section 50O inserted w.e.f 27 July 2024.
390
FA 2011 – Section 51 amended the words “, (f)” deleted - shall be deemed to have come into operation
on 5 November 2011.

FA 2010 – Section 51 amended by deleting the words “and (f)” and replacing them by the words “, (f)
and (g)” - shall come into operation on 1 January 2011.

FA 2006 – Section (51) amended by deleting the words “and (e)” and replacing them by the words “and
(f)” shall come into operation on 1 July 2007 in respect of the year of assessment commencing 1 July
2007 and in respect of every subsequent year of assessment.
ITA 1995:-
51. Income included in gross income

Subject to the other provisions of this Act, the gross income of a company shall include the income
referred to in section 10(1)(b), (c), (d) and (e).
391
FA 2011 –Section 51A repealed shall be deemed to have come into operation on 5 November 2011.

FA 2010 – New section “51A. Gains derived by company” added - shall come into operation on 1
January 2011.
The provisions of section 10A shall apply in all respects to a company as they apply to an individual.
392
FA2024 – Section 57 amended, the words “27DA” inserted after the words “24B” shall be deemed to
have come into operation on 01 July 2024.

* Please refer to endnotes at Appendix 1 Page 336 of 491

MRA THE INCOME TAX ACT 1995 337

FA 2021 – Section 57 amended, the words “ 24A and 24B and 27H” deleted and replaced by the words
“24A, 24B,27H and 27J” – shall be deemed to have come into operation in respect of the year of
assessment commencing on 1 July 2021 and in respect of every subsequent year of assessement.

FA 2020 – Section 57 amended, the words “and 24A” deleted and replaced by the words “,24A and
24B” – shall come into operation in respect of the year of assessment commencing on 1 July 2021 and
in respect of every subsequent year of assessment.

Covid M A 2020 – Section 57 amended, the words “Section 18 and 24A” deleted and replaced by the
words “Sections 18, 24A and 27H” – shall be deemed to have come into operation on 23 March 2020.

FA 2019- Section 57 amended, the words “and 24A” inserted after the words “section 18” – shall be
deemed to have come into operation on 1 July 2019.
393
FA 2017 - Section 59 amended by numbering paragraph (a), paragraph (b), paragraph (c) and paragraph
(d) as subsection (1), subsection (2), subsection (3) and subsection (4), respectively - shall come into
operation in respect of the year of assessment commencing on 1 July 2017 and in respect of every
subsequent year of assessment.

FA 2006 – Section (59) deleted and replaced shall come into operation on 1 July 2007 in respect of the
year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
59. Losses

(1) (a) Where a company satisfies the Commissioner that it has in an income year incurred a
loss, it may deduct that loss in computing its net income for that income year.

(b) Where the amount of a loss cannot be fully relieved under paragraph (a), the
company may claim that the unrelieved amount of the loss be carried forward and set
off against its net income derived in the following income year and in the succeeding
years, subject to such conditions as may be prescribed.

(2) (a) Where a wholly owned subsidiary incorporated on or after 1 July 1993 which is a tax
incentive company satisfies the Commissioner that it has in an income year incurred
a loss, it may transfer in that income year any unrelieved loss to its holding company.

(b) Any unrelieved loss specified in paragraph (a) shall be deemed to be incurred by the
holding company in the income year in which the loss is transferred and shall be
available for set off against the income of the holding company.

(c) For the purposes of paragraphs (a) and (b), "wholly owned subsidiary" has the same
meaning as in the Companies Act 1984.

(3) (a) Subject to paragraph (c), where a miller who is not also a planter satisfies the
Commissioner that he has in an income year incurred a loss, he shall be entitled to
transfer in that income year any unrelieved loss to a planter related to the miller in
proportion to the share of direct or indirect interest of the planter with the miller or
of the miller with the planter.

(b) Any unrelieved loss transferred under paragraph (a) shall be deemed to be incurred
by the planter in the income year in which the loss is transferred and shall be
available for set off against the net income of the planter.

(c) This subsection shall apply to any loss incurred in the year of assessment 1994-95
and thereafter.

* Please refer to endnotes at Appendix 1 Page 337 of 491

MRA THE INCOME TAX ACT 1995 338

(4) (1) (a) Where a subsidiary company which operates a business in the Island of Rodrigues
satisfies the Commissioner that it has in an income year incurred a loss, it may
transfer in that income year any unrelieved loss to its holding company in Mauritius.

(b) Any unrelieved loss transferred in accordance with paragraph (a) shall be deemed to
be incurred by the holding company in the income year in which the loss is
transferred and shall be available for set off against the net income of the holding
company.

(5) (2) For the purposes of subsection (3), a planter is related to a miller where the planter is -

(a) the shareholder, other than an individual, of the miller;

(b) the holding company of the miller;
(c) the subsidiary of the miller;
(d) the subsidiary of the holding company of the miller; or
(e) the shareholder, other than an individual, of the holding company of the miller.

(6) (3) (a) Notwithstanding the other provisions of this Act -

(i) where a body of persons engaged in a specified activity sells or otherwise

transfers, in an income year, its business to a company engaged in a
specified activity, the body of persons may, in that income year, transfer any
unrelieved loss to the company; or

(ii) where more than 50 per cent of the allotted shares of a body of persons
engaged in a specified activity are sold or otherwise transferred in an
income year to a company engaged in a specified activity, any unrelieved
loss of the body of persons-

(A) shall be available in that income year to the body of persons for
carry forward to the succeeding income year; or

(B) may be transferred to the company in proportion to its

shareholding in the capital of the body of persons,

provided that the company or its holding company, as the case may be, satisfies the conditions
specified in section 12 of the Sugar Industry Efficiency Act 2001.(4)
(1)
Subsection (4) added by FA 1999. Effective as from income year 1999-00.
(2)
Previous subsection (4) renumbered (5) by FA 1999.
(3)
Subsection (6) added by the Sugar Industry Efficiency Act 2001. Effective as from 17.9.2001 -
Proclamation No. 15 of 2001.
(4)
Paragraph (a) amended by FA 2002. Previously Sugar Industry Efficiency Act 2001-
(a) Where a body of persons engaged in a specified activity sells or otherwise transfers in an income
year its business to a company engaged in a specified activity, the body of persons may in that
income year transfer any unrelieved loss to the company provided that the company is listed on the
Stock Exchange and -
(i) has as shareholder the Trust established under the Sugar Industry Efficiency Act 2001, or any
body controlled by the Trust or any specified entity; or
(ii) sells or otherwise transfers any of its lands at a nominal price of one rupee to the Trust
established under the Sugar Industry Efficiency Act 2001, or any body controlled by the Trust
or to any specified entity.
(b) Any unrelieved loss transferred under paragraph (a) shall be deemed to be incurred
by the company in the income year in which the loss is transferred and shall be
available for set-off against the net income of the company.

(c) (1) For the purposes of paragraph (a), “holding company” and “specified activity” have
the same meaning as in section 25.

* Please refer to endnotes at Appendix 1 Page 338 of 491

MRA THE INCOME TAX ACT 1995 339

(7) (2) Where any question arises under this section -

(a) in relation to the quantum of losses available for set off or transfer;

(a) as to whether a planter is related to a miller; or

(c) as to any matter relating to the application of this section,

the question shall be determined by the Commissioner.

(1)
Paragraph (c) amended by FA 2002. Previously Sugar Industry Efficiency Act 2001 -
(c) For the purposes of paragraph (a), “specified activity” and “specified entity” have the same
meaning as in section 25
(2)
Previous subsection (5) renumbered (6) by FA 1999 & renumbered (7) by the Sugar Industry Efficiency
Act 2001.

394
FA 2017 - The newly numbered subsection (3) repealed and replaced shall come into operation in
respect of the year of assessment commencing on 1 July 2017 and in respect of every subsequent year
of assessment.

(3) The time limit of 5 years under paragraph (b) shall not apply for the carry forward of any
amount of loss that is attributable to annual allowance claimed in respect of capital expenditure
incurred on or after 1 July 2006.
395
FA 2008 - Paragraph (d) added w.e.f 19 July 2008.
396
FA 2018 – Section 59 amended , new subsections (5) and (6) added w.e.f 9 August 2018.
397
Section 59A added by FA 2003. Effective as from year of assessment 2003/2004.
398
The words “or merger” added by FA 2005. Effective as from assessment year 2005-06.
268
Subsection (1) repealed and replaced by FA 2005. Effective as from assessment year 2005-06.
Previously -
(1) Notwithstanding the other provisions of this Act, where a company takes over another company
engaged in manufacturing activities, any unrelieved loss of the acquiree may be transferred to the
acquirer in the income year in which the takeover takes place, on such conditions relating to
safeguard of employment as may be approved by the Minister.

400
FA 2016 - Subsection (1) of section 59A amended,

(i) New paragraph (c) added

(ii) The words “or on such other terms and conditions” inserted after the words “safeguard of
employment” shall come into operation in respect of the year of assessment commencing on 1
July 2016 and in respect of every subsequent year of assessment.

shall come into operation in respect of the year of assessment commencing on 1 July 2016 and in
respect of every subsequent year of assessment.
401
FA 2019- Subsection (3) amended, the words “subsection (1)” deleted and replaced by the words
“subsections (1) and (3A)”- shall be deemed to have come into operation on 1 July 2018.

Subsections (3) and (4) repealed and replaced by FA 2005. Effective as from assessment year 2005-06.

Previously –

* Please refer to endnotes at Appendix 1 Page 339 of 491

MRA THE INCOME TAX ACT 1995 340

(3) Where, at any time before the expiry of 3 years from the date of the takeover or merger, more than
50 per cent of the number of employees of the acquiree taken over by the acquirer or of the
employees of both the acquiree and the acquirer, as the case may be, are made redundant, any loss
transferred under subsection (1) shall be withdrawn and the amount of the loss so withdrawn shall
be deemed to be the gross income of the acquirer in the income year in which the employees are
made redundant.
(4) For the purposes of this section -
(a) “acquiree” means a company which is dissolved after its assets and liabilities are taken over
by the other company;
(b) “acquirer” means a company which has taken over another company.
402
FA 2019- Subsection (3A) repealed and replaced –shall be deemed to have come into operation on 1
July 2018.

Previously:
Notwithstanding section 59(2), where there is a change in the shareholding of more than 50
per cent in a manufacturing company that has accumulated unrelieved losses, the losses may
be carried forward, provided the Minister –

(a) certifies the change in the shareholding is in the public interest; and

(b) is satisfied that the conditions relating to safeguard of employment are complied with.
403
FA 2016 - The definition of “acquiree” amended, the words “and which is dissolved” deleted - shall
come into operation in respect of the year of assessment commencing on 1 July 2016 and in respect of
every subsequent year of assessment.
404
FA 2016 - New section 59B inserted after section 59A w.e.f 7 September 2016.
405
SME Act 2017- Section 60(1)(b) amended, subparagraph (i) repealed and replaced w.e.f 18 January
2018.

(i) a small and medium enterprise under the Small and Medium Enterprises Development
Authority Act 2009; and

406
FA 2011 – Section 60(1) amended, paragraph (b) repealed and replaced - shall come into operation in
respect of the year of assessment commencing 1 January 2013 and in respect of every subsequent year of
assessment.

(b) in the case of banks, the amount of any irrecoverable loan due by a company in liquidation in
respect of which winding-up procedures have started.

FA 2006 – Paragraph (b) deleted and replaced shall come into operation on 1 July 2007 in respect of
the year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
(b) in the case of banks or of financial institutions as may be approved by the Minister -

(i) the amount of any irrecoverable loan due by a company in liquidation in

respect of which winding-up procedures have started; and

(ii) the amount of a specific loan due by a tax incentive company and which is
considered to be a bad and irrecoverable debt, subject to a prescribed limit.
407
FA 2017 - New subsections 64 and 65 inserted after section 63 - shall be deemed to have come into
operation on 1 July 2017.

* Please refer to endnotes at Appendix 1 Page 340 of 491

MRA THE INCOME TAX ACT 1995 341

FA 2006 – Section (64) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
64. Investment allowance
The provisions of section 25 shall apply in all respects to a company as they apply to an individual.
408
FA 2006 – Section (64A) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..

Section 64A added by FA 2000. Effective as from year of assessment 2001-02.

64A. Additional investment allowance

(1) Subject to the other provisions of this section, where -

(a) a manufacturing company has incurred capital expenditure on the acquisition of

state-of-the-art technological equipment; or

(b) an ICT company has incurred capital expenditure on the acquisition of new plant and
machinery or computer software,

it shall, in addition to the deduction to which it may be entitled under section 64, be allowed a
deduction of 25 per cent of the capital expenditure so incurred by way of investment allowance
in respect of the income year in which the expenditure is incurred.(1)

(2) No deduction under subsection (1) shall be allowed in respect of expenditure incurred –

(a) in the acquisition of a road vehicle; or

(b) in the case of a manufacturing company, on or after 1 July 2008.(2)

(2A) (3) The deduction allowable under subsection (1) to a manufacturing company in respect of
capital expenditure incurred on or after 1 July 2005 shall be at the rate of -

(a) 20 per cent of the capital expenditure incurred in the income year ending on 30 June
2006;

(b) 15 per cent of the capital expenditure incurred in the income year ending on 30 June
2007; and

(c) 10 per cent of the capital expenditure incurred in the income year ending on 30 June
2008.

(3) No investment allowance shall be allowed under this section where, before the expiry of 5
years from the date on which the expenditure was incurred –
(a) the equipment is sold, scrapped or ceases to be used for the purposes of the business
carried on by the company; or

(b) the business carried on by the company is permanently discontinued.

(4) Where a deduction has been allowed under this section and any of the events specified in
subsection (3) occurs, the deduction allowed shall be withdrawn and the amount of the
deduction so withdrawn shall be deemed to be the gross income of the company in the income
year in which the event occurs.
(1)
ubsection (1) amended by FA 2002. Effective as from year of assessment 2002-03. Previously FA
2000 - year of assessment 2001-02 -
(1) Subject to the other provisions of this section, where a manufacturing company has incurred capital
expenditure on the acquisition of state-of-the-art technological equipment, it shall, in addition to the
deduction to which it may be entitled under section 64, be allowed a deduction of 25 per cent of the

* Please refer to endnotes at Appendix 1 Page 341 of 491

MRA THE INCOME TAX ACT 1995 342

capital expenditure so incurred by way of investment allowance in respect of the income year in
which the expenditure is incurred.
(2)
The words “in the case of a manufacturing company, on or after 1 July 2004” replaced “on or after 1
July 2002” by FA 2002.
The words “1 July 2004” replaced by “1 July 2008” by FA 2004. Effective as from asst. year 2005/06.
(3)
Paragraph (2A) added by FA 2004. Effective as from assessment year 2005/06.
409
FA 2017 - New subsections 64 and 65 inserted after section 63 - shall be deemed to have come into
operation on 1 July 2017.

FA 2006 – Section (65) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
65. Pre-operational expenses of tax incentive companies

Where a company incorporated on or after 1 July 1993, being a tax incentive company, has incurred
pre-operational expenses, it shall be allowed a deduction from its gross income of the expenses so
incurred.
410
FA 2018 –New section 65A inserted after section 65 w.e.f 9 August 2018.
411
FA 2021 –New section 65B inserted after section 65A – shall be deemed to have come into operation on 1
July 2021.
412
FA 2024 – New Section 65C inserted after Section 65B – shall be deemed to have come into operation
on 01 July 2024.

413
FA 2023 – New Section (66) inserted shall be deemed to have come into operation on 1 July 2023.

FA 2006 – Section (66) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
66. Contributions to road fund

A company which derives gross income specified in section 10(1)(b) may, in an income year, deduct
from its gross income any expenditure incurred in that income year on contributions to any road fund
approved by the Minister or set up under any enactment.

414
FA 2024 – New section 66A inserted after section 66 – shall be deemed to have come into operation on
01 July 2024.
415
FA 2018 –New section 67 inserting, after section 66 w.e.f 9 August 2018.

FA 2006 – Section (67) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..

ITA 1995:-
67. Donations to charitable institutions

(1) Subject to subsection (2), every company shall, in an income year, be allowed a deduction
from its gross income in that income year in respect of any donation made to a charitable
institution.

(2) The deduction allowable under subsection (1) shall not, in the aggregate, exceed 400,000
rupees (1).

* Please refer to endnotes at Appendix 1 Page 342 of 491

MRA THE INCOME TAX ACT 1995 343

(1)
The words “200,000 rupees” replaced “100,000 rupees” by FA 2000. Effective as from year
of assessment 2001-02.
The words “200,000 rupees” replaced by “400,000 rupees” by FA 2004. Effective as from assessment
year 2005-06.
416
FA 2023 – Section (67)(1)(a) amended, by inserting, after the words “a crèche”, the words “or the cost
of setting up a Child Day Care Centre” shall be deemed to have come into operation on 1 July 2023.
417
FA 2023 – Subsection (b) amended, by inserting, after the words “a crèche” and “that crèche”, the
words “or Child Day Care Centre” shall be deemed to have come into operation on 1 July 2023.
418
FA 2011 –Section 67A repealed, shall come into operation on 1 January 2012.

Section 67A added by FA 1997. Effective as from year of assessment 1997-98.

67A. Marketing and promotional expenses
A company engaged in tourism or export activities may, in an income year, deduct from its gross
income twice the amount of any expenditure incurred in that income year on overseas marketing,
export promotion including participation in international trade fairs, overseas advertising and
preparation of tenders for the export of goods or services.

419
FA 2006 – Section (67B) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..

ITA 1995:-
(1)(1) Subject to subsection (2), where in respect of an income year, a company proves to the
satisfaction of the Commissioner that it has incurred expenditure on contributions to any sport
club, Sport Federation, Multisport Organisation, the Trust Fund for Excellence in Sports
established under the Finance and Audit (Trust Fund for Excellence in Sports) Regulations
2002 or any sport training centre set up by Government, it shall be allowed, in that income
year, a deduction from its gross income in respect of the expenditure so incurred.

(2) The deduction allowable under subsection (1) shall not, in the aggregate exceed one million
rupees.

(3)(2) For the purposes of this section, "sport club", "Sport Federation" and "Multisport
Organisation" have the same meaning as in the Sport Act 2001.

Section 67B amended by FA 1998. Effective as from year of assessment 1998-99. Previously FA 1997
- year of assessment 1997-98 -
67B.Contributions to sports clubs and sports training centres
(1) Subject to subsection (2), every company shall, in an income year, be allowed a deduction from its
gross income in respect of any expenditure incurred in that income year on contributions to any
sports club, or sports training centre set up by Government, certified by the Ministry of Youth and
Sports as being a sports club or a sports training centre in that income year.
(2) The deduction allowable under subsection (1) shall not, in the aggregate, exceed 500,000 rupees.
(1)
Subsection (1) repealed and replaced by FA 2004. Effective as from 17 August 2004. Previously was
(1) Subject to subsection (2), where in respect of an income year, a company proves to the
satisfaction of the Commissioner that it has incurred expenditure on contributions to any sport
club, sport federation, multisport federation, or sport training centre set up by Government, it
shall be allowed, in that income year, a deduction from its gross income in respect of the
expenditure so incurred.
(2)
Subsection (3) repealed and replaced by FA 2004. Effective as from 17 August 2004. Previously was:
(3) For the purposes of this section, "sport club", "sport federation" and "multisport federation" have
the same meanings as in the Physical Education and Sport Act 1984.
420
FA 2006 – Section (67C) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-

* Please refer to endnotes at Appendix 1 Page 343 of 491

MRA THE INCOME TAX ACT 1995 344

67C. Contributions to the National Solidarity Fund and Prime Minister’s Children’s Fund(5)

The provisions of section 37B shall apply in all respects to a company as they apply to an individual.
(5)
Section 67C added by FA 1997. Effective as from year of assessment 1997-98.
Section 67C retitled by FA 2004. Effective as from Assessment year 2005-06. Previously
was:
67C.Contributions to the National Solidarity Fund

Section 67C added by FA 1997. Effective as from year of assessment 1997-98.

Section 67C retitled by FA 2004. Effective as from Assessment year 2005-06. Previously was:
67C.Contributions to the National Solidarity Fund
421
FA 2006 – Section (67D) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..

ITA 1995:-
67D. Contributions to employees' share scheme(1)

Every company shall, in an income year, be allowed a deduction from its gross income in respect of any
contribution made in that income year to an employees' share scheme.
(1)
Section 67D added by FA 1999. Effective as from income year 1999-00.

Section 67D added by FA 1999. Effective as from income year 1999-00.

422
FA 2006 – Section (67E) repealed shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
67E. Investment in start-up companies(2)

(1) Where a company has subscribed in an income year to the share capital issued by a start-up
company within 24 months of the date of the incorporation of the start-up company, the
company shall be allowed in that income year and in each of the 2 succeeding income years a
deduction from its gross income at the rate of 33 1/3 per cent of the amount so invested.

(2) No deduction under this section shall be allowed where a tax credit has been allowed under
section 69 in respect of the same investment.

(3) For the purposes of this section, a company incorporated under the Companies Act 1984 and
engaged in the development and provision of services in respect of information technology,
telecommunications and multimedia development shall be regarded as a start-up company for
a period of 24 months as from the date of its incorporation, provided that more than half of the
voting power at a general meeting is controlled by individuals who are the promoters of the
company and have conceived the business project for which the company has been set up.
423
FA 2006 – Section (67F) and (67G) repealed shall come into operation on 1 July 2007 in respect of the
year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment..
ITA 1995:-
67F. Expenditure incurred in the setting up of social infrastructure(3)

Every company shall, in an income year, be allowed a deduction from its gross income in respect of any
expenditure incurred in that income year for the setting up of such social infrastructure for the benefit
of the community, as may be approved by the Minister.

67G. Contributions to the national ambulance services(3)

Every company shall, in an income year, be allowed a deduction from its gross income in respect of any
contribution made in that income year towards the provision of national ambulance services.

* Please refer to endnotes at Appendix 1 Page 344 of 491

MRA THE INCOME TAX ACT 1995 345

424
FA 2019 – Section 67H inserted after section 67G , shall come into operation in respect of the year of
assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
425
FA 2019– Section 67J inserted after section 67H, shall come into operation in respect of the year of
assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.
426
FA 2020 – Section 67K inserted after section 67J- shall come into operation in respect of the year of
assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.
427
FA 2021 – New section 67L inserted after section 67K – shall be deemed to have come into operation
on 1 July 2021.
428
FA 2022 – Section 67L being amended, by numbering the existing provision as subsection (1) and in the
newly numbered subsection (1) by deleting the words “50 million rupees” and replacing them by the
words “100 million rupees” and by deleting the words “of 10 per cent”, shall come into operation in
respect of the year of assessment commencing on 1 July 2023 and in respect of every subsequent year
of assessment.
429
FA 2022 – Section 67L being amended, new subsection (2) added, shall come into operation in respect
of the year of assessment commencing on 1 July 2023 and in respect of every subsequent year of
assessment.
430
FA 2021 – New section 67M inserted after section 67K – shall be deemed to have come into operation
on 1 July 2021.
431
FA 2021 – New section 67N inserted after section 67K – shall be deemed to have come into operation
on 1 July 2021.
432
FA 2023 – Section (67P) heading amended, by deleting the words “for African market” shall be
deemed to have come into operation on 1 July 2023.

FA 2021 – New section 67P inserted after section 67K – shall be deemed to have come into operation
on 1 July 2021.
433
FA 2023 – Subsection (1) amended, by inserting, after the words “manufacturing company”, the words
“having an annual gross income derived from exports of goods not exceeding 500 million rupees”; and
by deleting the words “for the African market” shall be deemed to have come into operation on 1 July
2023.
434
FA 2023 – New Section (67Q) inserted, shall be deemed to have come into operation on 1 July 2023.
435
FA 2023 – New Section (67R) inserted, shall be deemed to have come into operation on 1 July 2023.
436
FA 2024 – New Section 67S inserted after Section 67R, shall be deemed to have come into operation
on 01 July 2024.
437
FA 2006 – Sub-Part D deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
Sub-Part D - Tax Credits
69. Investment tax credit

(1)(1) Subject to the other provisions of this section and to section 72, where a company has
subscribed in an income year to the share capital issued by a company which is listed on the
Stock Exchange or an equity fund(2) or an authorised mutual fund(3), it shall be allowed a tax
credit by way of deduction from its income tax otherwise payable for that income year and for
each of the 2 subsequent income years of an amount equal to 10 per cent of the amount
actually paid in cash.

* Please refer to endnotes at Appendix 1 Page 345 of 491

MRA THE INCOME TAX ACT 1995 346

(2)(4) No deduction under subsection (1) shall-

(a) in any one income year exceed 300,000 rupees; or

(b) be allowed where a company has claimed an exemption under item 14 of Part IV of
the Second Schedule in respect of the same investment.

(3) Where -

(a) the shares or any part of the shares are sold or transferred; or(5)

(b)(5)

(c) the company[, other than an authorised mutual fund,] (6) reduces its capital and makes
a repayment to the shareholder,

no tax credit under this section in respect of those shares or any part thereof shall be allowed
by way of deduction for the income year in which the sale, transfer, cessation or repayment
takes place.

(4) This section shall not apply to a company which is a tax incentive company.
(1)
Subsection (1) of Section 67B amended by FA 2004. Words “a company which is a tax
incentive company or” deleted. Effective as from assessment year 2005-06.
(2)
The words “or an equity fund” inserted by FA 2002.
(3)
The words “or an authorised mutual fund” added by FA 2005. Effective as from assessment
year 2005-06.
(4)
Subsection (2) amended by FA 2000. Effective as from year of assessment 2001-02.
Previously ITA 1995 as amended -
(2) No deduction under subsection (1) shall in any one income year exceed 300,000 rupees.
(5)
Subsection (3) amended by FA 2004. The word “or” added to paragraph (a) and paragraph (b)
deleted. Effective as from assessment year 2005-06.
(6)
The words “, other than an authorised mutual fund,” deleted by FA 2005. Effective as from
assessment year 2005-06.
438
FA 2006 – Sub-Part D deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
69A(1).Special tax credit for investment in qualifying (2) companies

(1) Subject to the other provisions of this section, where a company has subscribed in an income
year to the stated capital of a qualifying(2) company of an amount exceeding 60 million rupees
or at least 20 per cent of the stated capital, whichever is the higher, it shall be allowed a tax
credit by way of deduction from its income tax otherwise payable for the income year
immediately preceding the income year in which the shares were acquired and at the option of
the company -
(a) for each of the 3 subsequent income years, of an amount equal to 15 per cent of the
amount actually paid in cash; or
(b) for each of the 5 subsequent income years, of an amount equal to 10 per cent of the
amount actually paid in cash.

(2) Subject to subsection (3), where the deduction under subsection (1) in respect of an income
year exceeds the amount of income tax otherwise payable for that income year, the excess may
be carried forward to the following income year.

(3) No deduction under subsection (2) in respect of an investment shall be carried forward beyond
a period of 5 consecutive income years starting from the income year in which the investment
was made.

* Please refer to endnotes at Appendix 1 Page 346 of 491

MRA THE INCOME TAX ACT 1995 347

(4) Where a deduction has been allowed under this section and the qualifying(2) company has not
started operations by 30 June 2006, the deduction allowed shall be withdrawn and the total
amount of tax credit claimed shall be deemed to be income tax payable to the Commissioner in
the income year following the income year ending 30 June 2006.

(5) Where -
(a) the shares or any part of the shares are sold or transferred;
(b) the qualifying(2) company reduces its capital and makes a repayment to the
shareholder; or
(c) the trade carried on by the qualifying(2) company is permanently discontinued,
no tax credit under this section in respect of those shares or any part thereof shall be allowed
by way of deduction for the income year in which the sale, transfer, repayment or cessation
takes place.

(6) No deduction under this section shall be allowed where a company has claimed a deduction
under section 69 in respect of the same investment.
(7)(3) For the purposes of this section, “qualifying company” means a company set up for the
purpose of operating a spinning, weaving or dyeing factory.

(1)
Section 69A added by FA 2003. Effective as from year of assessment 2003/2004.
(2)
The word “qualifying” replaced the word “spinning” by FA 2005. Effective as from assessment year
2005-06.
(3)
Subsection (7) added by FA 2005. Effective as from assessment year 2005-06.
439
FA 2006 – Sub-Part D deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
70. Tax credit to modernisation and expansion enterprises

(1) Subject to the other provisions of this section and to section 72, where a company which is the
holder of an investment certificate in respect of a modernisation and expansion enterprise,
issued under the Investment Promotion Act 2000 (1) has incurred capital expenditure, of not
less than 10,000,000 rupees within 2 years from the date of the issue of the certificate, on the
acquisition of new plant and equipment or technology for modernisation and expansion, it
shall be allowed a tax credit by way of deduction from the income tax otherwise payable by it
of an amount equal to 10 per cent of the capital expenditure so incurred.

(2) The tax credit under subsection (1) may be spread in such manner as the company may opt for
over a period of 3 years starting from the income year in which the expenditure was incurred.

(3) Where a tax credit under subsection (1) has for any income year been allowed and within 5
years following that income year -

(a) the company ceases to be engaged wholly or mainly in the qualifying activity; or

(b) the company sells or otherwise transfers the new plant and equipment or technology,

an amount equal to the tax credit or the proportionate part of the tax credit allowed under this
section shall be included in the income tax payable by the company in the income year in
which the cessation, sale or transfer takes place.

(4) The tax credit allowed under this section shall be in addition to the allowances to which the
company is entitled under sections 63 and 64.

(5) For the purposes of this section, "qualifying activity" has the meaning assigned to it in the
Industrial Expansion Act 1993.

* Please refer to endnotes at Appendix 1 Page 347 of 491

MRA THE INCOME TAX ACT 1995 348

(6) This section shall not apply to a company which is a tax incentive company.
(1)
The words “an investment certificate in respect of a modernisation and expansion enterprise,
issued under the Investment Promotion Act 2000” replaced “a modernisation and expansion
enterprise certificate under the Industrial Expansion Act 1993” by FA 2001. Effective as from
income year 2001-02.
440
FA 2006 – Sub-Part D deleted shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
71. Tax credit for exports

(1) Subject to subsection (2) and to section 72, every company, engaged in the export of goods
which are manufactured or produced in Mauritius or in the provision of services to a non-
resident, shall, in an income year, be allowed a tax credit by way of deduction from the income
tax otherwise payable by the company in that income year of such amount as may be
prescribed.

(2) Subsection (1) shall not apply to a company which is a tax incentive company.

72. Limitation to tax credits

Where, in an income year, the amount of income tax otherwise payable by a company after deducting
the aggregate amount of tax credits specified in sections 69, 70 and 71 -

(a) exceeds 15 per cent of its chargeable income, the aggregate amount of tax credits shall be
allowed as a deduction; or

(b) does not exceed 15 per cent of its chargeable income, the aggregate amount of tax credits
shall be limited to such amount that would not reduce the tax payable after deducting that
amount to less than 15 per cent of the chargeable income of the company.
441
FA 2006 – Existing provision numbered (1) w.e.f 07.08.06.
442
Paragraph (a) amended by FA 1997. Effective as from income year 1996-97. Previously ITA 1995 as
amended -
(a) an individual, means a person who has been present in Mauritius -
(i) in that income year, for a period of, or an aggregate period of, 183 days or more; or
(ii) in that income year and the 2 preceding income years, for an aggregate period of 270 days
or more;
443
THE FOUNDATIONS ACT 2012 – New paragraph (da) inserted w.e.f . 1 July 2012 - Proclamation
No.30 of 2012.
444
FA 2006 – Subsection (2) added w.e.f 07.08.06.

445
FA 2012 – Section 73(3) amended, the words “, and paid such service fee as may be prescribed” added
w.e.f. 22 December 2012.

FA 2006 – Subsection (3) added w.e.f 07.08.06.

446
FA 2019 - Section 73A amended, subsection (1) repealed and replaced, shall be deemed to have come
into operation on 1 July 2019.

Previously:

* Please refer to endnotes at Appendix 1 Page 348 of 491

MRA THE INCOME TAX ACT 1995 349

(1) Notwithstanding section 73, a company which is incorporated in Mauritius shall be treated as
non-resident if its place of effective management is situated outside Mauritius.

FA 2018 – Section 73A repealed and replaced - shall come into operation on 1 October 2018.

73A. Residence in the case of company holding a Category 2 Global Business Licence

A company holding a Category 2 Global Business Licence or a special purpose fund established under
the Financial Services Act 2007 shall not be resident for the purposes of section 76.

FA 2012 – Section 73A amended, the words “or a special purpose fund established” inserted after the
word “Licence” w.e.f. 22 December 2012.

Section 73A added by the Companies Act 2001. Effective as from 1.12.2001 - Proclamation No. 21 of
2001.
447
FA 2022 – Section 73B amended, by repealing subsection (4), w.e.f 02 August 2022.

Previously:

(4) In this section –

“premium visa” means a visa issued by the passport officer to a non-citizen on the
recommendation of the Economic Development Board established under the Economic
Development Board Act.

FA 2021 – New Section 73B inserted after section 73A – shall be deemed to have come into operation
on 1 November 2020.

448
FA 2008 - Section 74(1) amended by inserting after paragraph (a), paragraph (aa)- shall be deemed to
have come into operation on 1 July 2008 in respect of the income year commencing 1 July 2008 and in
respect of every subsequent income year.
449
FA 2021- Section 74(1)(f) amended, the words “ in a company resident in Mauritius” inserted after the
words “shares” - shall come into operation in respect of the year of assessement commencing on 1 July
2022 and in respect of every subsequent year of assessement.
450
The word “and” added and the word “; and” deleted by FA 2001.Effective as from income year 200102.

Paragraph (j) deleted by FA 2001. Effective as from income year 2001-02. Previously ITA 1995 as
amended -
(j) income derived from outside Mauritius by a resident of Mauritius.
452
FA 2022 – new section 74A added, w.e.f 02 August 2022.
453
FA 2021- Section 75 amended, the words “or from Mauritius” inserted after the words “in Mauritius”
wherever they appear – we.f 05 August 2021.
454
FA 2021- Section 75 amended, the words “or from Mauritius” inserted after the words “in Mauritius”
wherever they appear – we.f 05 August 2021.
455
FA 2021- Section 75 amended, the words “or from Mauritius” inserted after the words “in Mauritius”
wherever they appear – we.f 05 August 2021.
456
FA 2021- Subsection (1A) inserted after subsection (1) –w.e.f 05 August 2021.

* Please refer to endnotes at Appendix 1 Page 349 of 491

MRA THE INCOME TAX ACT 1995 350

457
FA 2021- Subsection (2) amended, the words “ or from Mauritius” inserted after the words “in
Mauritius”-w.e.f 05 August 2021.
458
FA 2022 - The heading amended by deleting the heading and replaced, w.e.f 02 August 2022.

Previously:

76. Arrangements for relief from double taxation and for the exchange of information

FA 2009 – The heading amended by adding the words “and for the exchange of information”, after the
words “double taxation” w.e.f. 30 July 2009.
459
FA 2015 – Paragraph (a) of subsection (1) of section 76 amended, the words “income tax” deleted and
replaced by the words “taxes of every kind and description covered under the arrangement; or ” w.e.f.
14 May 2015.

FA 2009 – Subsection (1)(a) amended by deleting the word “and” appearing at the end and
replacing it by the word “or” w.e.f. 30 July 2009.

460
FA 2015 – Subparagraph (i) amended, the words “income tax and foreign tax” deleted and replaced by
the words “taxes of every kind and description, and foreign tax covered under the arrangement; or”
w.e.f. 14 May 2015.

461
FA 2015 – Subparagraph (iii) repealed w.e.f. 14 May 2015.

(iii) in the administration of the laws in relation to income tax and foreign tax.
462
FA 2015 – New paragraph (c) added w.e.f. 14 May 2015.
463
FA 2022 - Subsection (1) amended, by adding paragraph (d), the full stop at the end of paragraph (c)
being deleted and replaced by a semicolon and the word “or” at the end of paragraphs (a) and (b) being
deleted, w.e.f 02 August 2022.
464
FA 2022 - Subsection (1) amended, by adding paragraph (e), w.e.f 02 August 2022.
465
FA 2015 – Subsections (2) and (3) amended , the words “income tax” deleted and replaced by the
words “taxes of every kind and description covered under the arrangement” w.e.f. 14 May 2015.
466
FA 2015 – Subsections (2) and (3) amended , the words “income tax” deleted and replaced by the
words “taxes of every kind and description covered under the arrangement” w.e.f. 14 May 2015.
467
FA 2009 – Subsection (3) amended by adding, after paragraph (f), paragraph (g) - w.e.f. 30 July 2009.
468
FA 2015 – Subsection (5) amended, the words “section 154” deleted and replaced by the words “any
Revenue Law” w.e.f. 14 May 2015.
469
FA 2015 – New subsection (5A) inserted after subsection (5) w.e.f. 14 May 2015.
470
FA 2017 - New subparagraph (iii) added w.e.f 24 July 2017.
471
FA 2017 - New subsection (5B) inserted after subsection (5A) w.e.f 24 July 2017.
472
FA 2022 - subsection (6) amended, by deleting the words “under this section” and replacing them by the
words “under this section and to implement internationally-agreed measures to address the tax
challenges arising from the digitalisation of the economy”, w.e.f 02 August 2022.
473
FA 2009 – Section 76A inserted w.e.f. 30 July 2009.

* Please refer to endnotes at Appendix 1 Page 350 of 491

MRA THE INCOME TAX ACT 1995 351

474
FA 2018 – New subsection (4) inserted, 4(a) shall come into operation on 1 January 2019 and 4(b) shall
come into operation in respect of the year of assessment commencing on 1 July 2020 and in respect of
every subsequent year of assessment.
475
FA 2019 - Section 77(4)(b) amended, the words “at the rate of 5 per cent” deleted, shall be deemed to
have come into operation in respect of the year of assessment commencing on 1 July 2019 and in
respect of every subsequent year of assessment.
476
FA (No.2) 2009 - Section 81 subsection (3) repealed w.e.f. 19.12.09.

ITA 1995:-

(3) Every receiver or receiver and manager of the property of a company, or every liquidator of a
company, shall be deemed to be the agent of the company in respect of any income derived by
the company in any income year.
477
FA (No.2) 2009 -New section 81A added, w.e.f. 19.12.09.

478
FA 2006 – Subsection (2)(a) amended by deleting the words “10,000 rupees” and replacing them by
the words “50,000 rupees” in so far as it relates to individuals shall be deemed to have come into
operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of every
subsequent income year.

ITA 1995:-
(a) 10,000 rupees; or
479
The words “benefit referred to in section 86A” replaced “dividend” by FA 2001. Effective as from
income year 2001-02.
480
FA 2011 – Section 86A amended the words “10(1)(f)” deleted and replaced by the words “10(1)(g)”
w.e.f. 15 December 2011.

FA 2006 – Subsection 86A amended by replacing section 10(1)(e) by section 10(1)(f) w.e.f 01.07.06.

Section 86A added by FA 2001. Effective as from income year 2001-02.

86A. Benefit to shareholder
Where a benefit of any nature, whether in money or money’s worth, other than payment of dividend, is
made by a company to any shareholder or a relative of the shareholder, the value of that benefit, to the
extent that it exceeds the payment, if any, made therefor, shall be deemed to be income referred to in
section 10(1)(e) and received by the shareholder or the relative of the shareholder, as the case may be.
481
FA 2019 – New section 90A inserted after section 90, shall come into operation in respect of the year of
assessment commencing on 1 July 2020 and in respect of every subsequent year of assessmment.
482
FA 2015 – Section 91 amended , the words “1 January” deleted and replaced by the words “1 July”
shall come into operation on 1 July 2015.

FA 2009 – Section 91 amended by deleting the words “1 July” and replacing them by the words
“1 January” shall come into operation on 1 January 2010.
483
FA 2017 - Section 92 amended the words “This Sub-part” deleted and replaced by the words “Subject
to section 93(2), this Sub-part” w.e.f 24 July 2017.
484
FA 2023 – Subsection (1) amended, by deleting the words “including the solidarity levy under section
16C” shall be deemed to have come into operation in respect of the income year commencing on 1 July
2023 and in respect of every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 351 of 491

MRA THE INCOME TAX ACT 1995 352

FA 2020 – Subsection (1) amended, the words “, including the solidarity levy under section 16C,”
inserted after the words “income tax” - shall be deemed to have come into operation on 1 July 2020.

485
FA 2011 –New subsection(1A) inserted after subsection (1) shall come into operation in respect of the
income year commencing 1 January 2012 and in respect of every subsequent income year.
486
FA 2017 - New subsection (2) inserted after subsection (1A) w.e.f 24 July 2017.

FA 2006 – Subsection (2) deleted in so far as it relates to individuals shall be deemed to have come
into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of
every subsequent income year.
.
ITA 1995:-
(2) The tax shall be calculated -
(a) on the chargeable income of the employee determined under section 96; and
(b) in accordance with either Part A, Part B, Part C or Part D of the Fifth Schedule, as
the case may be.

487
FA 2007 - Section 93 amended, by adding immediately after subsection (3), subsection (4) and (5) w.e.f
22.08.07-
488
FA 2011 – New subsection (4A) inserted after subsection (4) - w.e.f. 15 December 2011.
489
FA 2020 – Subsection (4A)(b) amended, the words “, by registered post,” deleted w.e.f 7 August 2020.
490
FA 2015 – Paragraph (d) repealed shall come into operation on 1 July 2015.

(d) Where an employer is aggrieved by a claim made under paragraph (b), he may, within 28 days
of the date of the claim, lodge with the Clerk to the Assessment Review Committee
written representations in accordance with section 19 of the Mauritius Revenue Authority Act.

491
FA 2007 - Section 93 amended, by adding immediately after subsection (3), subsection (4) and (5) w.e.f
22.08.07-
492
FA 2018 - Subsection (1) repealed and replaced w.e.f 9 August 2018.
(1) Subject to subsection (2), every employee who, for an income year, is entitled to –
(a) the income exemption threshold under section 27;
(b) interest relief under section 27A; and
(c) relief for medical or health insurance premium under section 27B,

in respect of that income year and who wishes to have the income exemption threshold, interest relief
and relief for medical or health insurance premium taken into account for the purposes of determining
his chargeable income and the amount of income tax, if any, to be withheld from his emoluments under
section 93 during that income year, shall submit to his employer an Employee Declaration Form in
such manner and on such conditions as may be prescribed.

FA 2013 – Section 95(1) repealed and replaced - shall come into operation in respect of the year of
assessment commencing 1 January 2015 and in respect of every subsequent year of assessment.

(1) Subject to subsection (2), every employee who, for an income year, is entitled to the income
exemption threshold under section 27 and interest relief under section 27A in respect of that
income year and who wishes to have the income exemption threshold taken into account for the
purposes of determining his chargeable income and the amount of income tax, if any, to be

* Please refer to endnotes at Appendix 1 Page 352 of 491

MRA THE INCOME TAX ACT 1995 353

withheld from his emoluments under section 93 during that income year shall submit to his
employer an Employee Declaration Form in such manner and on such conditions as may be
prescribed.

FA 2010 – Section 95 subsection (1) amended by inserting, after the words “section 27”, the words
“and interest relief under section 27A” - shall come into operation as from the income year
commencing 1 January 2011.

FA 2006 – Section 95 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

ITA 1995:-

95. Employee declaration

(1) Subject to subsections (2) and (3), every employee who, for an income year, is entitled to
personal reliefs and deductions under sections 30, 31, 32, 33, 34, 36, 36B(1), 37, 37A, 37B,
37C(2), 38, 39, 40, 41, 41A, 42 and 42A(3) in respect of that income year and who wishes to
have those deductions taken into account for the purposes of determining his chargeable
income and the amount of income tax, if any, to be withheld from his emoluments under
section 93 during that income year, shall submit to his employer an Employee Declaration
Form in such manner and on such conditions as may be prescribed.

(2) The relief by way of deductions under sections [31,] (4) 32, 33 and 34 shall be subject to the
limit under section 35.

(3) Where any of the reliefs or deductions referred to in subsection (1) has been claimed, that
relief or deduction shall not be claimed for the purposes of Sub-Part B of PART VIII.
(1)
The figure “36B” inserted by FA 2000. Effective as from income year 2000-01.
(2)
The figures “37, 37A, 37B, 37C” inserted by FA 1997. Effective as from income year 1997-
98.
(3)
The figures "41A" & "42A" inserted by FA 1998. Effective as from income year 1998-99.
(4)
The figure “31,” deleted by FA 1999. Effective as from income year 1999-00.
493
FA2023 – Subsection (1)(a) amended, by deleting the words “income exemption threshold” and
replacing them by the words “personal reliefs and deductions” shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2023 and in respect of every subsequent
income year.
494
FA 2023 – Subsection (1) amended, by deleting the words “income exemption threshold and” and
replacing them by the words “personal reliefs and deductions under Sub-part C of Part III and” shall be
deemed to have come into operation in respect of the income year commencing on 1 July 2023 and in
respect of every subsequent income year.
495
FA 2023 – Subsection (2) amended, by deleting the words “the income exemption threshold” and “that
income exemption threshold” and replacing them by the words “the personal reliefs and deductions”
and “those personal reliefs and deductions” respectively shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subsequent income year.
496
FA 2023 – Subsection (3) amended, by deleting the words “income exemption threshold” and
“additional exemption” and replacing them by the words “personal reliefs and deductions” and
“additional deduction” respectively shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2018 - Subsection (3) repealed and replaced w.e.f 9 August 2018.

* Please refer to endnotes at Appendix 1 Page 353 of 491

MRA THE INCOME TAX ACT 1995 354

(3) Where an employee has, in his Employee Declaration Form, claimed, in respect of an income
year, an additional exemption under paragraph (ix) of the Third Schedule or interest relief
under section 27A or relief for medical or health insurance premium under section 27B and
the claim is thereafter found to be unjustified or in excess of the amount to which he is entitled,
by 10 per cent or more, he shall be liable, in addition to the amount of the income tax
underpaid, to a penalty not exceeding 25 per cent of the underpaid amount.
FA 2013 – Subsection (3) amended the words “or relief for medical or health insurance premium
under section 27B” inserted, after the words “section 27A” - shall come into operation in respect of
the year of assessment commencing 1 January 2015 and in respect of every subsequent year of
assessment.
FA 2010 – New Subsection (3) added – shall come into operation as from the income year
commencing 1 January 2011.
497
FA 2006 – Section 96 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.
96. Ascertainment of chargeable income

(1) Where an employee has submitted an Employee Declaration Form under section 95, his
chargeable income in respect of each pay period shall, subject to subsections (3) and (4), be
the difference between his emoluments for that pay period and the sum of -

(a) the deductions allowable under sections 28 and 29 and which are attributable to that
pay period; and
(b) such appropriate fraction as may be prescribed of the total amount of deductions
claimed by the employee in his Employee Declaration Form.
(2) (a) Where an employee has not submitted an Employee Declaration Form under section
95, his chargeable income in respect of each pay period shall, subject to subsections
(3) and (4), be the difference between his emoluments for that pay period and the
total amount of the deductions allowable under sections 28 and 29 attributable to that
pay period.

(b) Where any fees are payable -

(i) by a company to any of its directors; or

(ii) by a statutory body to any member of its Board, Council, Commission,
Committee or by whatever name called,whether or not the director or
member, as the case may be, is an exempt person, and that director or
member does not receive any other emoluments from that company or
statutory body, the chargeable income of the director or member shall be the
difference between the fees payable and the amount of the deduction
allowable under section 28.(1)

(c) Where emoluments are derived from Mauritius by expatriate pilots and flight
engineers approved by the Minister, the chargeable income of the pilot or flight
engineer in respect of each pay period shall, subject to subsections (3) and (4) be the
difference between his emoluments for that pay period and the total amount of the
deductions allowable under sections 28 and 29 attributable to that pay period.

(d) Notwithstanding item 12 of Part II of the Second Schedule, a seaman who is

employed on a vessel registered in Mauritius or on a foreign vessel may, by notice in
writing given simultaneously to the Director-General and to his employer, elect that
his chargeable income shall, in respect of each pay period, be the amount of his
emoluments for that pay period.(2)

* Please refer to endnotes at Appendix 1 Page 354 of 491

MRA THE INCOME TAX ACT 1995 355

(e) (3) Where, in respect of an employee, tax has been withheld in an income year under
section 93 on the chargeable income determined under paragraphs (c) or (d) (4) , the
amount of tax so withheld shall be deemed to be the final amount of tax payable by
that employee for that income year and in relation to that chargeable income, the
provisions of Sub-Part C of PART VIII shall not apply.

(3) Where an end-of-year bonus and leave pay prescribed by an enactment is received or made
available to an employee other than an exempt person, the chargeable income on that bonus
and leave pay shall be equal to the chargeable income on the emoluments exclusive of the
bonus and leave pay for the month in which the bonus and the leave pay is received provided
that the end-of-year bonus represents one month bonus.

(4) Where the end-of-year bonus referred to in subsection (3) either exceeds or is less than one
month bonus, the chargeable income shall be calculated proportionately.
(1)
Paragraph (b) amended by FA 2002. Effective as from income year 2002-03. Previously ITA 1995 as
amended -
(b) Where any fees are payable to a director of a company, whether or not he is an exempt person, and
that director does not receive any other emoluments from that company, his chargeable income
shall be the difference between the fees payable and the amount of the deduction allowable under
section 28.
(2)
Paragraph (d) added by FA 1998. Effective as from income year 1998-99.
(3)
Previous paragraph (d) relettered (e) by FA 1998.
(4)
The words "under paragraphs (c) or (d)" replaced "under paragraph (c)" by FA 1998. Effective as from
income year 1998-99.
498
FA 2023 – Subsection (2) amended, by deleting the words “Subject to subsection (2A), where” and
“shall withhold tax from the emoluments of the employee at the rate of 15 per cent of those emoluments”
and replacing them by the words “Where” and “shall withhold tax from the emoluments of the employee
at the rate of 15 per cent, or at the option of the employee, withhold tax at the rate of 20 per cent of those
emoluments” respectively shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2020 – Subsection (2) amended, the words “Where” deleted and replaced by the words “Subject to
subsection (2A), where” - shall be deemed to have come into operation on 1 July 2020.

FA 2017 - Section 96(2) amended the words “or has made a request pursuant to subsection 93(2)”
inserted after the words “Declaration Form” w.e.f 24 July 2017.

FA 2007 - Section 96 amended, by deleting the words “20 per cent” wherever they appear and
replacing them by the words “15 per cent” shall be deemed to have come into operation on 1 July 2007.

499
FA 2023 – Subsection (2A) repealed, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.

Previously was:

(2A) Where the emoluments referred to in subsection (2) exceeds 230,769 rupees in a month, the
employer shall withhold an additional tax on the amount exceeding 230,769 rupees at the rate of 25 per
cent, provided that the additional tax withheld does not exceed 10 per cent of total emoluments.

FA 2020 – New subsection (2A) inserted after subsection (2) shall be deemed to have come into
operation on 1 July 2020.

500
FA 2023 – Subsection (2B) repealed, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.

Previously was:

* Please refer to endnotes at Appendix 1 Page 355 of 491

MRA THE INCOME TAX ACT 1995 356

(2B) (a) A person who, in respect of an income year, has not submitted an Employee Declaration Form
and derives –

(i) emoluments, including pension in relation to past employment; or

(ii) annuity, pension or other similar payment,

not exceeding 230,769 rupees in a month, may make a request, on such form as the Director-General
may approve, to his employer or the person responsible for the payment of the emoluments, pension,
annuity or similar payment for the solidarity levy payable under section 16C to be withheld.

(b) Where a request is made under paragraph (a), the employer or person responsible for the payment
shall, in addition to income tax required to be withheld under subsection (2A), withhold income tax
at the rate of 10 or 25 per cent, as requested by the person, from the emoluments, pension, annuity
or similar payment.

(c) A request to withhold income tax under paragraph (b) shall be made in such form and manner as
the Director-General may determine and it shall remain applicable until it is revoked by the
person or the Director-General.

(d) Sections 93(3), (4), (4A) and (5), 94, 99, 100, 101A and 102 shall apply to the person responsible
for the payment of any pension, annuity or similar payment in the same manner as it applies to an
employer.

FA 2022 – New subsection (2B) inserted, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2022 and in respect of every subsequent income year.
501
FA 2023 – Subsection (3) amended, by deleting the words “tax shall be withheld from the fees of the
director or member, as the case may be, at the rate of 15 per cent of those fees” and replacing them by
the words “tax shall be withheld from the fees of the director or member, as the case may be at the rate
of 15 per cent, or at the option of the director or member, at the rate of 20 per cent of those fees” shall
be deemed to have come into operation in respect of the income year commencing on 1 July 2023 and
in respect of every subsequent income year.

502
FA 2023 – Subsection (4) amended, by inserting, after the words “tax so withheld”, the words “, tax so
withheld, at the option of the employee, director or member, as the case may be,” shall be deemed to
have come into operation in respect of the income year commencing on 1 July 2023 and in respect of
every subsequent income year.

FA 2008 - Section 96 amended by adding after subsection (3), subsection (4) - shall be deemed to have
come into operation on 1 July 2008.
503
FA 2017 – Subsection (1) repealed and replaced w.e.f 24 July 2017.

Section 99A added by MRA Act 2004.

(1) Where in respect of an employee, tax is required to be withheld by an employer under section
93 at any time in an income year, the employer shall -

(a) unless the employee has a Tax Account Number, make the necessary arrangements to
obtain from the Director-General a Tax Account Number in respect of that employee;
and

* Please refer to endnotes at Appendix 1 Page 356 of 491

MRA THE INCOME TAX ACT 1995 357

(b) insert the Tax Account Number of the employee in his payroll at the time of
withholding any tax under that section.

504
FA 2017 – New Subsection (2) added w.e.f 24 July 2017.

FA 2011 –Subsection (2) repealed shall come into operation on 1 January 2012.

(2) Every employee, in respect of whom a Tax Account Number under section 93 has been
allotted, shall be deemed to be a registered person for the purposes of section 112.
505
FA 2017 – Paragraph (a) amended the words “who, at any time, has in his employment 25 or more
employees “deleted w.e.f 24 July 2017.

FA 2011 – Section 100(1A)amended, the figure ‘50’ deleted and replaced by the figure ‘25’ - shall
come into operation on 1 January 2012.

Subsections (1A) & (1B) added by FA 2003. Effective as from year of assessment 2003/2004.
506
FA 2017 – Paragraph (b) repealed w.e.f 24 July 2017.

(b) A person registered as an employer for the purposes of PAYE who, at any time, has in his
employment fewer than 25 employees may submit his PAYE return and remit the tax withheld
in accordance with paragraph (a).

FA 2015 – Section 100(1A) amended, new paragraph (b) added, the existing provision being lettered as
paragraph (a) - shall come into operation on 1 July 2015.

Subsections (1A) & (1B) added by FA 2003. Effective as from year of assessment 2003/2004.
507
FA 2017 – Subsection (1B) amended the words “irrespective of the number of employees in his
employment,” deleted w.e.f 24 July 2017.

Subsections (1A) & (1B) added by FA 2003. Effective as from year of assessment 2003/2004.
508
FA 2016 -Section 100 amended, subsection (1C) repealed and replaced w.e.f 7 September 2016.

FA (No.2) 2009 –Section 100 amended by inserting, after subsection (1B), subsection (1C) w.e.f.
19.12.09.

(1C) The due date for submission of the PAYE return and remittance of the tax withheld under
subsection (1A) in respect of the month of November shall, notwithstanding subsection (1B), be 2
days, excluding Saturdays and public holidays, before the end of December.
509
FA 2006 – Section 101 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

ITA 1995:-
(1) Where an employer fails to pay the amount of tax required to be withheld under this Sub-Part,
he shall be liable to pay to the Director-General, in addition to the tax, a penalty representing
2 per cent of the amount of the tax, excluding the penalty under this section, for each month or
part of the month during which the tax remains unpaid .

(1) The penalty under this section shall not, in the aggregate, exceed the amount of income tax
remaining unpaid.
510
FA 2016 -Subsection (1) amended, the figure “5” deleted and replaced by the figure “10” w.e.f 7
September 2016.

* Please refer to endnotes at Appendix 1 Page 357 of 491

MRA THE INCOME TAX ACT 1995 358

511
FA 2006 – Section 101A added, in so far as it relates to individuals shall be deemed to have come into
operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of every
subsequent income year..
512
FA 2017 – Section 102 amended new subsection (3) added shall come on a date to fixed by
Proclamation.
513
FA 2011 – Section 105 amended, subsection (2) repealed and replaced - shall come into operation in
respect of the income year commencing 1 January 2012 and in respect of every subsequent income year.

FA 2007 – Subsection (2) amended by adding immediately after paragraph (c), the following
new paragraph, the word “or” at the end of paragraph (b) being deleted and the full stop at the end of
paragraph (c) being deleted and replaced by the words “; or” – shall be deemed to have come into
operation on 1 July 2007.
(2) This Sub-Part shall not apply to an individual -
(a) Deleted

(b) who derives gross income exclusively from rent of an amount not exceeding the
amount specified in the the Fourth Schedule;

(c) who derives rent of an amount referred to in paragraph (b) and other gross income
consisting exclusively of emoluments; or

(d) in respect of gross income derived from the cultivation of sugar

cane and from the growing of tobacco leaves.

FA 2007 - Paragraph (b) amended, by deleting the words “Part I of” shall be deemed to have come into
operation on 1 July 2007.
FA 2006 – Paragraph (b) amended by deleting the words “Sixth Schedule” and replacing them by the
words “Part I of the Fourth Schedule” in so far as it relates to individuals shall be deemed to have
come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.
ITA 1995:-
(b) who derives gross income exclusively from rent of an amount not exceeding the amount
specified in the Sixth Schedule; or

MRA Act 2004 - Paragraph (a) deleted w.e.f 01.07.06.

ITA 1995:-
(a) who is an exempt person;
(b)
514
FA 2011 – Section 105A repealed - shall come into operation on 1 January 2012.

Section 105A added by MRA Act 2004.

105A. Registration of persons under this Sub-Part
(1) Every individual who, in a CPS period, derives gross income falling under
this Sub-Part and whose turnover or gross income, as the case may be, exceeds the CPS
threshold, shall -

(a) unless he has a Tax Account Number, make the necessary arrangements to obtain
from the Director-General a Tax Account Number in his name; and

(b) insert the Tax Account Number in his Statement of Income under section 106 and in
his return of income under section 112.

* Please refer to endnotes at Appendix 1 Page 358 of 491

MRA THE INCOME TAX ACT 1995 359

(2) Every individual, in respect of whom a Tax Account Number has been allotted, shall be
deemed to be a registered person for the purposes of sections 106 and 112;
515
FA 2015 – Section 106(1) amended, the table deleted and replaced - shall come into operation in
respect of the year of assessment commencing on 1 July 2015 and in respect of every subsequent year
of assessment.

In respect of CPS quarter Due date for submission of CPS Statement and
payment of tax

1 January to 31 March 30 June

1 April to 30 June 30 September

1 July to 30 September 2 days, excluding Saturdays and public holidays,

before the end of December 1

FA 2011 –Section 106 repealed and replaced - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.

1 FA (No.2) 2009 – Section 106(1) amended, the words “31 December” deleted and replaced by
the Words “2 days, excluding Saturdays and public holidays, before the end of
December” w.e.f. 19.12.09.

106. Statement of Income and payment of tax

(1) Every individual who, in a CPS quarter, derives gross income falling under this Sub-Part -
(a) which exceeds the CPS threshold, whether or not he has a chargeable income
for that CPS quarter; or

(b) which does not exceed the CPS threshold but he has a chargeable income for that quarter,

shall submit to the Director-General, in respect of that CPS quarter, a Statement of

Income in such form and manner as may be approved by the Director-General and at the
same time pay the tax, if any, as follows –

In respect of quarter Due date for submission of Statement of Income and payment
of tax

1 January to 31 March 30 June

1 April to 30 June 30 September

1 July to 30 September 2 days, excluding Saturdays and public holidays, before the end
of December (FA (No.2) 2009 – Section 106(1) amended, the words
“31 December” deleted and replaced by the Words “2 days,
excluding Saturdays and public holidays, before the end of
December” w.e.f. 19.12.09.)

(2) Where the gross income of an individual exceeds the CPS threshold in any one quarter in an
income year, that individual shall submit the Statement of Income for each of the remaining
quarters in that income year, whether or not his gross income exceeds the CPS threshold.

* Please refer to endnotes at Appendix 1 Page 359 of 491

MRA THE INCOME TAX ACT 1995 360

(3) The Statement of Income under subsection (1) shall, in respect of each quarter, show the gross
income, the allowable deductions, the net income, the income exemption threshold, the
chargeable income and the tax payable thereon, if any.

(4) Where a resident société or the estate of a deceased person derives gross income referred to in
section 105, the associate of the société or the beneficiary in the estate shall include in his
Statement of Income his share of income from that gross income.

FA 2009 – Section 106 subsection(1) repealed and replaced shall be deemed to have come into
operation on 1 July 2009.

106. Statement of Income and payment of tax

(1) Every individual –

(a) who is a registered person under section 105A, whether or not he has a chargeable
income for a CPS quarter; or

(b) who, in a CPS quarter, derives gross income under this Sub-Part which does not
exceed the CPS threshold but has a chargeable income for that quarter,

shall submit to the Director-General, in respect of that CPS quarter, a Statement of Income in
such form and manner as may be approved by the Director-General and at the same time pay
the tax, if any, as follows –

In respect of quarter Due date for submission of Statement of Income

and payment of tax
1 July to 30 September 31 December
1 October to 31 December 31 March
1 January to 31 March 30 June

FA 2006 – Section 106 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

106. Statement of Income and payment of tax (Valid up to 30.06.06 deleted and replaced by FA
15/2006)
(1) Every individual –

(a) who is a registered person under section 105A(2), whether or not he has a chargeable income
for a CPS period; or

(b) who, in a CPS period, derives gross income under this Sub-Part which does not exceed the
CPS threshold but has a chargeable income for that period,

shall submit to the Director-General, in respect of that CPS period, not later than 31 March
immediately following that period, a Statement of Income in such form and manner as may be approved
by the Director-General and at the same time pay the tax, if any, in accordance with the Statement of
Income. (1)

(2)(2) The Statement of Income under subsection (1) shall [,in respect of each quarter,] (3) show the
gross income, the allowable deductions, the net income, the personal reliefs and deductions, the
chargeable income and the tax payable thereon, if any.

* Please refer to endnotes at Appendix 1 Page 360 of 491

MRA THE INCOME TAX ACT 1995 361

(3)(4) Where a resident société or the estate of a deceased person derives gross income referred to in
section 105, the associate of the société or the beneficiary in the estate shall include in his Statement of
Income his share of income from that gross income.
(1)
Subsection (1) deleted and replaced by MRA Act 2004.

Subsection (1) amended and previous subsection (2) deleted by FA 1997. Effective as from income
year 1997-98.
(1) Every person, other than an exempt person, who, in a CPS period, derives gross income
falling under this Sub-Part -
(a) which exceeds the CPS threshold, whether or not he has a chargeable
income for that period; or
(b) which does not exceed the CPS threshold but he has a chargeable income
for that period,
shall submit to the Commissioner, not later than 31 March immediately following that period, a
Statement of Income in such manner and in such form as may be approved by the Commissioner and at the
same time pay the tax, if any, in accordance with the Statement of Income.

Previously ITA 1995 as amended -

(1) Every person, other than an exempt person, who, in a CPS quarter, derives gross income falling
under this Sub-Part -
(a) which exceeds the CPS threshold, whether or not he has a chargeable income for that quarter;
or
(b) which does not exceed the CPS threshold but he has a chargeable income for that quarter,
shall submit to the Commissioner a Statement of Income in such manner and in such form as may be
approved by the Commissioner and at the same time pay the tax if any, as follows -
In respect of quarter Due date for submission of
Statement of Income and payment of tax
1 July to 30 September 31 December
1 October to 31 December 31 March
1 January to 31 March 30 June.
(2) Where the gross income of a person exceeds the CPS threshold in any one quarter in an income
year, that person shall submit the Statement of Income for each of the remaining quarters in that
income year, whether or not his gross income exceeds the CPS threshold.
(2)
Previous subsection (3) renumbered (2) by FA 1997.
(3)
The words “, in respect of each quarter,” deleted by FA 1997. Effective as from income year 1997-98.
(4)
Previous subsection (4) renumbered (3) by FA 1997.
516
FA 2020 – Section 106(1) amended, the word “electronically” inserted after the word “submit” and the
words “and at the same time pay tax, if any,” deleted and replaced by the words “and pay tax, if any,
electronically,” w.e.f 7 August 2020.

517
FA 2012 – Section 106(2)(a) amended, the figure “2” deleted and replaced by the figure “4” shall come
into operation in respect of the income year commencing 1 January 2013 and in respect of every
subsequent income year.
518
FA 2019 – section 106(2)amended, new paragraph (c) added, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2019 and in respect of every subsequent
income year.
519
FA 2011 –Section 107 repealed and replaced - shall come into operation in respect of the income year
commencing 1 January 2012 and in respect of every subsequent income year.

107. Ascertainment of chargeable income

(1) Subject to subsection (2), the chargeable income of an individual in respect of each CPS
quarter in an income year shall, at the option of the individual, be –

* Please refer to endnotes at Appendix 1 Page 361 of 491

MRA THE INCOME TAX ACT 1995 362

(a) the difference between -

(i) 25 per cent of the net income for the year preceding that income year uplifted
by 10 per cent or such other percentage as may be prescribed; and
(ii) 25 per cent of the income exemption threshold to which the individual is entitled
under section 27 in respect of that income year; or

(b) the difference between –

(i) the gross income for that quarter, and

(ii) the sum of –

(A) the amount of allowable deductions for that quarter including any
allowable loss brought forward from the year preceding that income year
or any previous quarter, as the case may be, that relates to the derivation
of the gross income; and

(B) 25 per cent of the income exemption threshold to which the individual
is entitled under section 27 in respect of that income year.

(2) Where any income exemption threshold referred to in subsection (1) has been claimed for the
purposes of this Sub-Part, that income exemption threshold shall not be claimed for the
purposes of Sub-Part A of PART VIII.

FA 2006 – Section 107 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

107. Ascertainment of chargeable income (Valid up to 30.06.06, deleted and replaced by FA

15/2006,)
(1) 1 Subject to subsection (2), the chargeable income of a person in respect of the CPS period in an
income year shall, at the option of the person, be -

(a) the difference between -

(i) 50 per cent of the net income for the year preceding that income year
uplifted by 10 per cent or such other percentage as may be prescribed; and

(ii) 50 per cent of the personal reliefs and deductions to which the person is
entitled under sections 28A, 30, 31, 32, 33, 34, 36, 36B 519, 37, 37A, 37B, 37C, 38, 39,
40, 41, 41A, 42 and 42A 519 in respect of that income year; or

(b) the difference between -

(i) the gross income for that period, and

(ii) the sum of -

(A) the amount of allowable deductions for that period including any
loss brought forward from the year preceding that income year that
relates to the derivation of the gross income; and

(B) 50 per cent of the personal reliefs and deductions to which the
person is entitled under sections 28A, 30, 31, 32, 33, 34, 36, 36B,
37, 37A, 37B, 37C, 38, 39, 40, 41, 41A, 42 and 42A in respect of
that income year.

* Please refer to endnotes at Appendix 1 Page 362 of 491

MRA THE INCOME TAX ACT 1995 363

(2) The relief by way of deductions under sections [31,]519 32, 33 and 34 shall be subject to the
limit under section 35.

(3) Where any of the reliefs or deductions referred to in subsection (1) has been claimed, that
relief or deduction shall not be claimed for the purposes of Sub-Part A of PART VIII.
1
Subsection (1) amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as
amended -
(1) Subject to subsection (2), the chargeable income of a person in respect of each CPS quarter in
an income year shall, at the option of the person, be -
(a) the difference between -
(i) 25 per cent of the net income for the year preceding that income year uplifted by 10 per
cent or such other percentage as may be prescribed; and
(ii) 25 per cent of the personal reliefs and deductions to which the taxpayer is entitled under
sections 30, 31, 32, 33, 34, 36, 38, 39, 40, 41 and 42 in respect of that income year; or
(b) the difference between -
(i) the gross income for that quarter; and
(ii) the sum of -
(A) the amount of allowable deductions for that quarter including any loss brought
forward from the year preceding that income year or any previous quarter, as the
case may be, that relates to the derivation of the gross income; and
(B) 25 per cent of the personal reliefs and deductions to which the taxpayer is entitled
under sections 30, 31, 32, 33, 34, 36, 38, 39, 40, 41 and 42 in respect of that income
year.
2
The figure “36B” inserted by FA 2000. Effective as from income year 2000-01.
3
The figures "41A" & "42A" inserted by FA 1998. Effective as from income year 1998-99.
4
The figure “31,” deleted by FA 1999. Effective as from income year 1999-00.
520
FA 2023 – Subsection (2)(b)(ii) amended, by deleting the words “income exemption threshold” and
replacing them by the words “personal reliefs and deductions” shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2023 and in respect of every subsequent
income year.
521
FA 2023 – Subsection (3) amended, by deleting the words “any income exemption threshold” and “that
income exemption threshold” and replacing them by the words “personal reliefs and deductions” and
“those personal reliefs and deductions”, respectively; shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subsequent income year.

522
FA 2023 – Section 108 amended, by deleting the words “and at the rate as applicable in Part I of the
First Schedule” and replacing them by the words “in such manner as may be prescribed”, shall be
deemed to have come into operation in respect of the income year commencing on 1 July 2023 and in
respect of every subsequent income year.

FA 2021- Section 108 amended, the words “in accordance with Part IV of the First Schedule” deleted
and replaced by the words “ at the rate as applicable in Part I of the First Schedule” –shall be deemed to
have come into operation in respect of the income year commencing on 1 July 2021 and in respect of
every subsequent income year.

FA 2018 - “Part I” deleted and replaced by the words “Part IV”- Shall come into operation in respect of
the year of assessment commencing on 1 July 2019 and in respect of every subsequent year of
assessment.

FA 2017 – Section 108 amended the words “the First Schedule” deleted and replaced by the words
“Part I of the First Schedule” shall be deemed to have come into operation on 1 July 2017.

FA 2007- Section 108 amended, by deleting the words “Part II of the Fourth Schedule” and
replacing them by the words “the First Schedule” w.e.f 01.07.07.

* Please refer to endnotes at Appendix 1 Page 363 of 491

MRA THE INCOME TAX ACT 1995 364

FA 2006 – Section 108 amended by deleting the words “Seventh Schedule” and replacing them by the
words “Part II of the Fourth Schedule” in so far as it relates to individualsshall be deemed to have come
into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of
every subsequent income year.

ITA 1995:-
108. Calculation of tax
The income tax payable under this Sub-Part shall be calculated on the chargeable income ascertained
under section 107 and in accordance with the Seventh Schedule.
523
FA 2006 – Section 109 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.
.
ITA 1995:-
109. Penalty for late submission of Statement of Income
Where a person fails to submit a Statement of Income under section 106, he shall be liable to pay to the
Commissioner a penalty representing 5,000 rupees (1) per month or part of the month or such other
amount as may be prescribed, until such time as the Statement of Income is submitted, provided that the
total penalty payable shall not exceed 50,000 rupees (2).
(1)
Amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as
amended - Rs 1,000.
(2)
The words “provided that the total penalty payable shall not exceed 50,000 rupees” added by
FA 2002. Effective as from 1.7.2002.
524
FA 2006 – Section 110 deleted and replaced, in so far as it relates to individuals shall be deemed to
have come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

ITA 1995:-
Where a taxpayer fails to pay any income tax due on or before the last day on which it is payable under
section 106, he shall be liable to pay to the Commissioner, in addition to the tax, a penalty representing
25 per cent of the amount of tax remaining unpaid.
525
FA 2006 – Paragraph (a) amended by deleting the words “the amount” and replacing them by the
words “the aggregate amount” in so far as it relates to individuals shall be deemed to have come into
operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in respect of every
subsequent income year.
.
The word “aggregate” deleted by FA 1997. Effective as from income year 1997-98.
526
FA 2006 – Subsection (3) amended by deleting the words “60 per cent” wherever they appear and
replacing them by the words “35 per cent” in so far as it relates to individuals shall be deemed to have
come into operation on 1 July 2006 in respect of the income year commencing 1 July 2006 and in
respect of every subsequent income year.

Subsection (3) amended by FA 1997. Effective as from income year 1997-98.

(3) Subject to subsection (4), where the amount of tax payable on the income falling under this
Sub-Part exceeds the amount of any tax paid in accordance with the Statement of Income by
more than 60 per cent of the amount of tax payable, the person shall, at the time the return
under section 112 is submitted, pay, in addition to the difference referred to in subsection (2),
a penalty representing 25 per cent of the amount in excess of the 60 per cent.(2)
Previously ITA 1995 as amended -
(3) Subject to subsection (4), where the difference referred to in subsection (2) exceeds 35 per
cent of the tax payable on the income falling under this Sub-Part, the person shall pay, in
addition to the difference, a penalty representing 25 per cent on the excess amount at the time
the return under section 112 is submitted.

* Please refer to endnotes at Appendix 1 Page 364 of 491

MRA THE INCOME TAX ACT 1995 365

527
FA 2011 –Subsection (4) repealed and replaced shall come into operation on 1 January 2012.
(4) The penalty under subsection (3) shall not apply where, in respect of the CPS quarter in an
income year, the taxpayer has opted to compute his net income in accordance with section
107(1)(a).

FA 2006 – Subsection (4) amended by deleting the words “CPS period” and “section 107(1)(a)(i)” and
replacing them by the words “CPS quarter” and “section 107(1)(a)” respectively in so far as it relates to
individuals shall be deemed to have come into operation on 1 July 2006 in respect of the income year
commencing 1 July 2006 and in respect of every subsequent income year.

The words “CPS period” replaced “CPS quarters” by FA 1997. Effective as from income year 1997-98.
(4) The penalty under subsection (3) shall not apply where, in respect of the CPS period(3) in an
income year, the taxpayer has opted to compute his net income in accordance with section
107(1)(a)(i).
528
FA 2006 – Sub-Part BA added, in so far as it relates to Sub-Part BB – National Residential Property
Tax shall be deemed to have come into operation on 1 July 2006 in respect of the income year
commencing 1 July 2006 and in respect of every subsequent income year.
529
FA 2018 - Section 111A (1) amended, new definition inserted in the appropriate alphabetical w.e.f 9
August 2018.

530
FA 2011 –The definitions of “depositor” deleted – shall come into operation on 1 January 2012.

(b) “depositor”, in section 111B(a) -

(i) means any individual, société or succession holding a deposit with a financial
institution or holding Government securities, Bank of Mauritius Bills, debentures or
any other loan instrument; and(ii) includes an individual holding a deposit,
Government securities, Bank of Mauritius Bills, debentures or any other loan
instrument jointly with another individual or individuals; but

(iii) does not include -

(A) an individual who is a non-resident;

(B) a société which is a non-resident or holds a Category 1 Global Business

Licence under the Financial Services Act 2007; or

(C) a société falling under Part I of the Second Schedule;

FA 2008 - Paragraph (b)(i) and (ii) amended by deleting the words “Treasury Bills” and replacing them
by the words “Government securities”- w.e.f 19 July 2008.

531
FA 2011 –The definitions of “financial institution” deleted, shall come into operation on 1 Jan 2012.

(c) “financial institution”, in section 111B(a) –

(i) means any bank or non-bank deposit taking institution regulated under the Banking Act
2004; and

(ii) includes -
(A) the Bank of Mauritius; and

(B) any person issuing debentures or any other loan instrument;

532
FA 2011 –The definitions of “individual” deleted – shall come into operation on 1 January 2012.

* Please refer to endnotes at Appendix 1 Page 365 of 491

MRA THE INCOME TAX ACT 1995 366

“individual”, in paragraph (b) includes a minor; “individual”, in paragraph (b) includes a minor;
533
FA 2011 – The definition of “interest” amended the words “including deposits with a financial
institution” deleted - shall come into operation on 1 January 2012.

534
FA 2008 – Paragraph (f) amended, by deleting the words “, in relation to section 111C(1),”-
w.e.f 19 July 2008.
“payee”, in relation to section 111C(1), means any person to whom an amount is made available by the
payer;

535
FA 2015 – Section 111A(1) amended, the definition of “payer” deleted and replaced shall come into
operation on 1 July 2015.

(g) “payer” means any person responsible for the payment of –

(i) interest, royalties or rent;
(ii) any sum to contractors and sub-contractors; or
(iii) any sum to a provider of specified services;
536
FA 2017 – The definition of “payer” repealed and replaced w.e.f 24 July 2017.
(b) does not include a company which has an annual turnover not exceeding 6 million rupees;
537
FA 2020 – Section 111A (1) amended, in the definition of “work”, by deleting the words “(a) and (j)”
and replacing them by the words “(b) and (k)” w.e.f 7 August 2020.

538
FA 2011 – The definition “work”, in paragraph (a) amended, the words “, and includes mechanical or
electrical works” added, after the words “works contract” - shall come into operation on 1 January 2012.
539
FA 2019 – Section 111B amended, paragraph (a) repealed and replaced – shall be deemed to have come
into operation on 1 July 2019.

Previously:

interest, other than interest falling under Sub-part B of Part II of the Second Schedule, payable by any
person, other than an individual, to any person, other than a company resident in Mauritius;

FA 2013 – Paragraph (a) amended, the words “a non-resident” deleted and replaced by the words “any
person, other than a company resident in Mauritius” shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.

FA 2011 – Paragraph (a) repealed and replaced - shall come into operation on 1 March 2012.
(a) interest payable to any depositor by a financial institution;

540
FA 2018 – Paragraph (b) amended, the words “Category 1” deleted - shall come into operation on 1
January 2019.

FA 2017 – Paragraph (b) amended, the word “by” deleted and replaced by the words “, other than a
citizen in respect of royalties for artistic or literary work, by” w.e.f 24 July 2017.

FA 2012 – Paragraph (b) amended, the words “companies and societés, other than corporations”
deleted and replaced by the words “any person, other than an individual or a corporation” w.e.f. 22
December 2012.
541
FA 2011 – Paragraph (c) repealed and replaced - shall come into operation on 1 March 2012.

* Please refer to endnotes at Appendix 1 Page 366 of 491

MRA THE INCOME TAX ACT 1995 367

(c) rent payable to any person, except a body of persons specified in Part I of the Second Schedule,
by any person, other than an individual;
542
FA 2023 – Paragraph (e) amended, by inserting, after the words “services”, the words “except a
company holding a management licence and an investment adviser holding a licence issued by the
Financial Services Commission established under the Financial Services Act”, w.e.f 20 July 2023.
543
FA 2011 – New paragraph (f), (g) and (h) added - shall come into operation on 1 March 2012.
544
FA 2012 – Paragraph (f)(iii) amended, the words “other than telephone, insurance, postal, air travel
and hotel services,” inserted, after the words “contract,” w.e.f. 22 December 2012.

545
FA 2016 - New paragraph (i) and (j) added - shall come into operation on 1 October 2016.
546
FA 2018 - Paragraph (k) repealed and replaced w.e.f 9 August 2018.

(k) fees, in lieu of director’s fees, payable by any company to a person, other than an individual.

FA 2017 – New paragraph (k) added w.e.f 24 July 2017.

547
FA 2023 – Paragraph (l) repealed and replaced, w.e.f 20 July 2023.

ITA 1995:
(l) payments by any person, other than an individual, to consultants other than those specified in the Fifth
Schedule.

FA 2022 - new paragraph (l) inserted, the full stop at the end of paragraph (k) being deleted and
replaced by a semicolon and the word “and” at the end of paragraph (j) being deleted, shall come into
operation on 3 October 2022.
548
FA 2022 - new paragraph (m) inserted, shall come into operation on 3 October 2022.
549
FA 2023 – Paragraph (n) repealed and replaced, w.e.f 20 July 2023.

ITA 1995:

(n) payments by insurance companies to motor surveyors and mechanics for repairs of motor vehicles
of policy holder.

FA 2022 - new paragraph (n) inserted, shall come into operation on 3 October 2022.
550
FA 2013 – Section 111C(1) amended , the words “Part I of” deleted w.e.f 21 December 2013.
551
FA 2012 –Section 111C amended, the following new subsection (1A) inserted after subsection (1),
- w.e.f. 22 December 2012.
552
FA 2011 –Subsections (2) and (3) repealed - shall come into operation on 1 January 2012.

(2) No income tax shall be deducted from interest payable to a depositor -

(a) unless the aggregate amount of deposits, Government securities, Bank of Mauritius
Bills, debentures and any other loan instrument held by the depositor in a financial
institution including its branches exceeds, at any time in an income year, the amount
specified in Part II of the Sixth Schedule; and

(b) in respect of interest which accrued prior to 1 October 2006.

* Please refer to endnotes at Appendix 1 Page 367 of 491

MRA THE INCOME TAX ACT 1995 368

(3) Where, at any time in an income year, income tax has been deducted by a financial institution
from interest payable to a depositor and the aggregate amount of deposits held by the
depositor in the financial institution including its branches no longer exceeds the amount
specified in Part II of the Sixth Schedule, the financial institution shall continue to deduct
income tax from any amount of interest payable to the depositor in that income year.

FA 2008 - Section 111C(2)(a) amended by inserting after the word “deposits”, the words
“,Government securities, Bank of Mauritius Bills, debentures and any other loan instrument” w.e.f 19
July 2008.
553
FA 2018 - Subsection (4) amended, the words, “or rent referred to in section 111B (c)”
inserted after the words “111B (b)” w.e.f 9 August 2018.

FA 2016 - Subsection (4) amended, the words “and royalties referred to in section 111B(b)” deleted
and replaced by the words “, royalties referred to section 111B(b) and payments to an entertainer or
sportsperson referred to in section 111B(j)” shall come into operation on 1 October 2016.

FA 2011 – Subsection (4) amended, the words “interest referred to in section 111B(a) and” inserted
after the word “Where” and the words “Item 2(b) of’ deleted - shall come into operation on 1 January
2012.
FA (No.2) 2009 - Section 111C amended, by adding, after subsection (3), the new subsections (4) and (5)
- shall come into operation as from the year of assessment commencing on 1 January 2011
554
FA 2023 – Subsection (5) amended, by deleting the words “tax so deducted”and replacing them by the
words “tax so deducted, at the option of the payee”, shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2023 and in respect of every subsequent income year.

FA 2018 - Subsection (5) amended, the words “or from rent” inserted after the word “sportsperson,”
w.e.f 9 August 2018.

FA 2016 - Subsection (5) amended –

(A) The words “, payments to an entertainer or sportsperson,” inserted after the words “from the
interest”.
(B) The words “, payments to the entertainer or sportsperson,” inserted after the words “of the
interest”.
shall come into operation on 1 October 2016.

FA 2011 – Subsection (5) amended by inserting after the words “from the” and “in respect of the”,
the words “interest or”, respectively shall come into operation on 1 January 2012.

555
FA 2016 - New subsection (6) added shall come into operation on 1 October 2016.

556
FA 2013 – Section 111D repealed and replaced - shall be deemed to have come into operation in
respect of the year of assessment commencing 1 January 2014 and in respect of every subsequent year
of assessment.
111D. Remittance of tax deducted
A payer who has deducted income tax under section 111C shall remit to the Director-General the
income tax so deducted, within 20 days from the end of the month in which the income tax was
deducted, electronically or in such other manner as may be approved by the Director-General.

FA 2011 –Section 111D repealed and replaced - shall come into operation on 1 January 2012.
111D. Remittance of tax deducted

* Please refer to endnotes at Appendix 1 Page 368 of 491

MRA THE INCOME TAX ACT 1995 369

A payer who has deducted income tax under section 111C shall remit to the Director-General the
income tax so deducted, electronically or in such other manner as may be approved by the Director-
General -

(a) in the case of a financial institution, where the income tax is deducted at any time -

(i) during the first 15 days of a month, not later than the 22nd day of that month; and

(ii) from the 16th day of a month to the end of the month, not later than 7 days from the
end of that month;

(b) in any other case, within 20 days from the end of the month in which the income tax was
deducted.

557
FA 2017 – Subsection (1)(a) amended, the word “electronically” inserted after the words “are made”
w.e.f 24 July 2017.
558
FA 2016 - Section 111D amended, subsection (2) repealed and replaced w.e.f 7 September 2016.

(2) The remittance and the return referred to in subsection (1) shall, in respect of the month of
November, be made 2 days, excluding Saturdays and public holidays, before the end of December.

559
FA 2015 – Section 111F amended, the words “122D” deleted and replaced by the words “122D(1)(a)”
shall come into operation on 1 July 2015.

560
FA 2007 – section 111G amended , by adding the following new subsection (2), the existing provision
being numbered (1) accordingly, shall be deemed to have come into operation on 1 July 2007.

561
FA 2008 - Heading deleted and replaced - shall be deemed to have come into operation on 1 July 2008.
Statement of tax deducted
562
FA 2015 – Subsection (1) amended, the words “15 February” deleted and replaced by the words “15
August” shall come into operation on 1 July 2015.
FA 2009 – The words “31 July” deleted and replaced by the words “15 February” shall come into
operation on 1 January 2010.
563
FA 2008 - Subsection (1)(a) amended, by deleting the words “a statement of income tax deduction” and
replacing them by the words “a statement of any amount or sum made available to him and referred to in
section 111B”- shall be deemed to have come into operation on 1 July 2008.

(a) give to each payee, a statement of income tax deduction, in duplicate, in respect of the preceding
income year; and
564
FA 2012 – Section 111K(1) paragraph (b) repealed and replaced w.e.f. 22 December 2012.

(b) submit to the Director-General, a statement giving, in respect of the preceding income year,
the particulars of the payee, the amount or sum made available and income tax deducted
therefrom.
565
FA 2010 – Section 111K(2) amended by deleting the words “5,000 rupees” and replacing them by the
words “50,000 rupees” w.e.f. 24.12.2010.
566
Section 111K amended, by adding immediately after subsection (4), the following new subsection
(4A) w.e.f. 15 December 2011.
567
FA 2020 – Section 111K (4A)(b) amended, the words “,by registered post,” deleted –w.e.f 7 August
2020.

* Please refer to endnotes at Appendix 1 Page 369 of 491

MRA THE INCOME TAX ACT 1995 370

568
FA 2015 – Subsection (4A) amended, paragraph (d) repealed shall come into operation on 1 July 2015.

(d) Where a payer is aggrieved by a claim made under paragraph (b), he may, within 28 days of
the date of the claim, lodge with the Clerk to the Assessment Review Committee written
representations in accordance with section 19 of the Mauritius Revenue Authority Act.

569
FA 2007 - Section 111K amended, by adding immediately after subsection (4), the following new
subsection (5) – w.e.f 22.08.07.
570
FA 2010 – Sub-part BB of Part VIII repealed shall be deemed to have come into operation as from the
year of assessment 2011.

Sub-Part BB – National Residential Property Tax

111L. Interpretation

In this Sub-Part -

“dividends” means dividends paid by -

(a) a company resident in Mauritius; or

(b) a co-operative society registered under the Co-operatives

Act 2005;

“individual” includes a minor;

“National Residential Property Tax” means the National Residential Property Tax imposed
by section 111M;

“owner”, in relation to any residential property -

(a) includes -

(i) the owner of a residential property on any leased land; 1

(ii) the person who receives or, if such residential property were to be
let, would be entitled to receive, the rent, whether for his own benefit or
that of any other person; or

(iii) where the owner cannot be found or ascertained, the occupier thereof; but

(b) does not include any body of persons specified in Part I of the Second Schedule;

“property tax” means the National Residential Property Tax;

2
“residential property” -

(a) means any immovable property including any building, part of a building,
apartment, flat, tenement, campement or bungalow, used, or available for use, as
residence; and

(b) includes any tourist residence as defined in the Tourism Authority Act 2006; but

(c) does not include -

(i) any hotel or guest house as defined in the Tourism Authority Act 2006;
(ii) any plot of land on which there is no residential property;

* Please refer to endnotes at Appendix 1 Page 370 of 491

MRA THE INCOME TAX ACT 1995 371

“total income”, in relation to an individual, means the sum of his net income and dividends.
1
FA 2007 - in the definition of “owner”, in paragraph (a), subparagraph (i) repealed and
replaced, shall be deemed to have come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.

FA 2006 - (i) the lessee of any campement site lease under the Pas Géométriques Act;

2
FA 2007 - The definition of “residential property” deleted and replaced, shall be deemed to
have come into operation on 1 July 2007 in respect of the year of assessment commencing 1
July 2007 and in respect of every subsequent year of assessment.
“residential property” -

(a) means any immovable property including part of a building, apartment, flat,
tenement, campement or bungalow, used, or available for use, as residence; and
(b) includes any bare land in a residential area;

571
FA 2010 – FA 2010 – Sub-part BB of Part VIII repealed shall be deemed to have come into operation as
from the year of assessment 2011.

111M. Imposition of property tax

(1) Subject to the other provisions of this Sub-Part, National Residential Property Tax shall, in
and for every year -

(a) be paid to the Director-General by every owner on any residential property owned
by him at any time during the preceding year; and

(b) be calculated by reference to -

(i) in the case of an apartment, flat or tenement, its floor area as specified in
the title deed or contract; or 1

(ii) in the case of any other residential property including any residential
property on leased land, the surface area of the land, 2

at the appropriate rate specified in the Seventh Schedule, after deducting therefrom the general
rate, if any, leviable under the Local Government Act.

(2) Where the owner is an individual, the National Residential Property Tax payable under this
section shall, subject to section 111N(11), not exceed 5 per cent of his total income.

1 FA 2007 - subparagraph (i) repealed and replaced, shall be deemed to have come into operation
on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.
FA 2006 – (i) in the case of an apartment, flat or tenement, the floor area of the
apartment, flat or tenement, as the case may be; or

FA 2007 – paragraph (b)(ii) amended by inserting immediately after the words “residential
property”, the words “including any residential property on leased land”

2 FA 2007 - Subsection (2) added , the existing provision being numbered (1) accordingly - shall
be deemed to have come into operation on 1 July 2007 in respect of the year of assessment
commencing 1 July 2007 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 371 of 491

MRA THE INCOME TAX ACT 1995 372

572
FA 2010 – FA 2010 – Sub-part BB of Part VIII repealed shall be deemed to have come into operation as
from the year of assessment 2011.

111N. Application of property tax

(1) Where the owner is an individual and his total income in an income year does not exceed
400,000 rupees 1, no property tax shall be paid.
1 FA (No.2) 2009 - Section 111N, amended by deleting the figure “385,000” wherever
it appears and replacing it by the figure “400,000” - shall come into operation on 1
January 2010 in respect of the income year commencing on 1 January 2010 and in
respect of every subsequent income year.
FA 2007 - Section 111N amended by deleting the words “215,000 rupees”
wherever they appear and replacing them by the words “385,000 rupees” shall be
deemed to have come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of
assessment.

(2) Where a residential property is acquired, sold or transferred at any time in an income year,
the owner shall be liable to pay property tax on a pro rata basis in respect of that income
year.

(3) Where the owner is married, and -

(a) the total income of each spouse in an income year exceeds 400,000 rupees and each
spouse is under the obligation to submit a return of income under Sub-Part C of Part
VIII for that income year, the property tax shall, at their option, be deemed to be
payable by them in equal proportion or by one spouse in full; or

(b) the total income of one spouse in an income year exceeds 400,000 rupees and that of
the other spouse does not exceed 400,000 rupees in that income year, the property
tax shall, notwithstanding this Sub-Part and any other enactment, be deemed to be
payable by the spouse whose total income exceeds 400,000 rupees.

(4) Where no option is made by the couple under subsection (3)(a), the property tax shall be
deemed to be payable by them in equal proportion.

(5) Where a residential property - 1

(a) has been acquired by inheritance or legacy and no division-in-kind has been effected
among the heirs or legatees; or
(b) is owned by 2 or more individuals,

the property tax thereon shall, subject to subsection (3), be payable by each of the heirs,
legatees or co-owners, as the case may be, on his share of the property, provided that his total
income, in an income year, exceeds 400,000 rupees.
1
FA 2007 - Subsection (5), amended by deleting the word “legaties” wherever they appear and
replacing it by the word “legatees” shall be deemed to have come into operation on 1 July 2007
in respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent
year of assessment.

(6) Where the owner is a minor -

(a) the residential property of the minor shall be included in that of the legal
administrator;
(b) and there is no legal administrator, the legal guardian shall be liable to pay the
property tax, provided that the total income of the minor in an income year exceeds
400,000 rupees.

(7) Where a building used as residence is located on a portion of land -

* Please refer to endnotes at Appendix 1 Page 372 of 491

MRA THE INCOME TAX ACT 1995 373

(a) used for agriculture for the purpose of making a profit and the gross income derived
therefrom is declared by the owner in his return of income; or 2
2
FA 2007 - Paragraph (a) repealed and replaced, shall be deemed to have come into operation
on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.
FA 20006 - (a)used for agriculture; or

(b) at any other place outside a residential area,

the owner shall be liable 3 to pay in respect of each residential property, the property tax on
the surface area of the land on which stands the building, garage and related structures as
well as on the surface area of the backyard, grounds and garden, up to a maximum area of 1A
25(0.5276 hectare).

3
FA 2007 – Subsection (7) amended by inserting immediately after the words “liable to pay”,
the words “in respect of each residential property,” shall be deemed to have come into operation
on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.

(8) Where a person is the owner of a building used both for business and residential purposes or
where the residential part is located above that on which stands the non-residential part, the
owner shall be liable to pay in respect of each residential property, the property tax on the
whole surface area of the land.

(9) A residential building constructed on top of an existing building by virtue of a right so to

construct (droit de surélévation) shall be deemed to be a flat for the purposes of section 111M.

(10) Where the owner -

(a) is a person other than an individual;

(b) in an income year, is a non-resident or a person whose place of abode is outside

Mauritius;

(c) is the proprietor of a residence under the Real Estate Development Scheme
prescribed under the Investment Promotion Act Economic Development Board Act
2017, 1

the property tax shall be payable, irrespective of the total income of the owner.

(11) Section 111M(2) shall not apply to an owner referred to in subsection (10). 2
1
Economic Development Board Act, in section 111N(10)(c), by deleting the words “Investment
Promotion Act” and replacing them by the words “Economic Development Board Act 2017”w.e.f. 7
Aug 2017
FA 2008 - Subsection (10)(c) amended, by deleting the words “under the Integrated Resort Scheme”
w.e.f 19.07.08.
FA 2007 – Subsection (10)(c) amended, by inserting immediately after the words “Integrated
Resort Scheme”, the words “under the Real Estate Development Scheme” shall be deemed to have
come into operation on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in
respect of every subsequent year of assessment.
2
FA 2007 - Subsection (11) added , shall be deemed to have come into operation on 1 July 2007 in
respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent year of
assessment.

* Please refer to endnotes at Appendix 1 Page 373 of 491

MRA THE INCOME TAX ACT 1995 374

573
FA 2018 - New Sub-Part Sub-part BC inserted after Sub-Part BB of Part VIII - shall come into
operation on 1 September 2018.
574
FA 2019 – Section 111(O) amended, new definition inserted w.e.f 25 July 2019.
575
FA 2021- Section 111O amended, in the definition of “Operator”, the words “, operator of the Loterie
Vert” inserted after the words “Mauritius National Lottery Operator” – w.e.f 05 August 2021.
576
FA 2019 – Section 111P(2) amended, the words “amount payable as winnings” deleted and replaced by
the words “total cumulative winnings paid to a person on any given date” w.e.f 25 July 2019.
577
FA 2019 – Part VIII amended, new Sub-part BD inserted after Sub-part BC – shall come into operation
in respect of the year of assessment commencing on 1 July 2020 and in respect of every subsequent
year of assessment.
578
FA 2023 – Subsection (2) amended, by deleting the words “at source under section 111B” and
replacing them by the words “under sections 93 and 111B”, w.e.f 20 July 2023.
579
FA 2023 – Subsection (3) amended, by deleting the words “Income Exemption Threshold,”, shall be
deemed to have come into operation in respect of the income year commencing on 1 July 2023 and in
respect of every subsequent income year.

Previously was:

Where a small enterprise has made an election under subsection (1), it shall not be entitled to claim any
deduction, Income Exemption Threshold, relief or allowance under Sub-part B, C, D or E of Part III or
Sub-part C of Part IV, as the case may be.
580
Covid M A 2020- Part VIII amended, new Sub-part BE inserted after Sub-part BD –shall be deemed to
have come into operation on 23 March 2020.

581
FA 2012 – Section 112 subsection (1) repealed and replaced shall come into operation in respect of
the year of assessment commencing on 1 January 2013 and in respect of every subsequent year of
assessment.
(1) Subject to this Act, every person who, in an income year –
(a) derives –

(i) emoluments in respect of which tax has been withheld under PAYE;

(ii) Repealed;

(iii) net income which exceeds 380,000 rupees;

(iv) income which has been subject to tax deduction at source under section
111C;

(v) Repealed; or

(vi) Repealed;

(b) owns –

(i) more than one residence or one or more immoveable properties acquired for
an aggregate price which exceeds 2,000,000 rupees or on which he has

* Please refer to endnotes at Appendix 1 Page 374 of 491

MRA THE INCOME TAX ACT 1995 375

incurred expenditure for the construction of a building or any other structure

of an aggregate amount which exceeds 2,000,000 rupees;

(ii) a car with an engine capacity which exceeds 2000 cubic centimeters; or

(iii) a pleasure craft as defined in the Tourism Authority Act; or

(c) is registered as a registered person under section 99A or 105A(2), whether or not he
is a taxpayer;

(d) claims an additional exemption threshold referred to in paragraph (ix) of the Third
Schedule;

(e) claims a relief under section 27A in his Employee Declaration Form;

(ea) pays the required contributions declared under section 17C of the National
Pensions Act to the Director-General; or

(f) has a chargeable income,

shall, in respect of that income year, submit to the Director-General, not later than 31 March
following that income year, a return in such form and manner as may be determined by the
Director-General, specifying –

(i) Repealed;

(ii) the income exemption threshold to which the person is entitled under section
27;

(iii) the interest relief allowable under section 27A; and

(iv) such other particulars as may be required and specified in the form of the
return,

and, at the same time, pay any tax payable in accordance with the return.
582
FA 2020 – Section 112 amended, subsection (1) repealed and replaced – shall be deemed to have come
into operation in respect of the year of assessment commencing on 1 July 2020 and in respect of every
subsequent year of assessment.

Previously was:
(1) Subject to this Act, every person who, in an income year -
(a) derives -
(i) total net income of an amount exceeding the Category A Income Exemption
Threshold specified in the Third Schedule;
(ii) gross income derived from any business, exceeding 2 million rupees;
(iii) emoluments in respect of which tax has been withheld under section 93;
(iv) income which has been subject to tax deduction at source under section
111C; or

* Please refer to endnotes at Appendix 1 Page 375 of 491

MRA THE INCOME TAX ACT 1995 376

(b) Repealed
(c) Repealed
(d) has a chargeable income,
shall, in respect of that income year, submit to the Director-General, not later than 30
September following that income year, a return in such form and manner as may be
determined by the Director-General, specifying -

(i) the income exemption threshold to which the person is entitled under section 27;

(ii) the interest relief allowable under section 27A; and

(iii) such other particulars as may be required in the form of the return and, at the same
time, pay any tax payable in accordance with the return.

FA 2017 – Section 112(1) amended, paragraphs (b) and (c) repealed shall come into operation in
respect of the year of assessment commencing on 1 July 2017 and in respect of every subsequent year
of assessment.
(b) acquires -
(i) an immoveable property, the cost of which, including the cost of
construction of any building or structure thereon, exceeds 5 million rupees;
(ii) a motor vehicle, the cost of which exceeds 2 million rupees or in respect of
which he paid registration duty of 75,000 rupees or more under the
Registration Duty Act;
(iii) a pleasure craft as defined in the Tourism Authority Act, the cost of which,
including the cost of its engine, exceeds one million rupees;
(c) pays the required contribution declared under section 17C of the National
Pensions Act to the Director-General; or

FA 2015 – Subsection (1) amended, the words “31March” deleted and replaced by the words “30
September” shall come into operation in respect of the year of assessment commencing on 1 July 2015
and in respect of every subsequent year of assessment.

FA 2011 – Paragraph (a) subparagraphs (ii) repealed - shall come into operation on 1 January 2012.

(ii) gross income falling under CPS which exceeds the CPS threshold;

FA 2011 – Paragraph (a) subparagraphs (v) repealed - shall come into operation on 1 January 2012

(v) total income referred to in section 16A which exceeds

2 million rupees; or

FA 2011 – Paragraph (a) subparagraphs (vi) repealed - shall come into operation on 1 January 2012

(vi) gains referred to in section 10A which exceeds 2 million rupees;

FA 2011 – Subparagraph (iii) amended, the figure “365,000” deleted and replaced by the figure
“380,000” - shall come into operation on 1 January 2012.
FA 2011 – New paragraph (ea) inserted after paragraph (e) - shall come into operation on 1 January
2012.

* Please refer to endnotes at Appendix 1 Page 376 of 491

MRA THE INCOME TAX ACT 1995 377

FA 2011 –Subparagraph (i) repealed shall come into operation on 1 January 2012.
(i) all income including specified exempt income as defined in section 16A;

FA 2011 –New subsection (4) added w.e.f. 15 December 2011.

FA 2010 – Section 112 repealed and replaced w.e.f 24.12.2010.

FA 2006 – Section 112 deleted and replaced , shall be deemed to have come into operation on 1 July
2006 in respect of the income year commencing 1 July 2006 and in respect of every subsequent income
year.

Subject to this Act –

(a) every registered person under section 99A or 105A(2), whether or not he is a taxpayer in
respect of an income year;

(b) every person, other than a registered person referred to in paragraph (a), who, at any time
during an income year, owns –

(i) more than one residence or one or more immoveable properties acquired for an
aggregate price exceeding 2,000,000 rupees or on which he has incurred expenditure
for the construction of a building or any other structure of an aggregate amount
exceeding 2,000,000 rupees;

(ii) a car with an engine capacity exceeding 2000 c.c.; or

(iii) a pleasure craft as defined in the Tourism Act 2004;

(c) every owner of a residential property referred to in Sub-Part BB of Part VIII whose total
income in an income year for the purposes of that Sub-Part exceeds 400,000 rupees, 1 other
than a person referred to in paragraph (a) or (b); or

(d) every other person who, in an income year, has a chargeable income,

shall, in respect of that income year, submit to the Director-General, not later than 31 March 2 following that
income year, a return in such manner and in such form as may be approved by him specifying –

(i) all income including exempt income, derived by him during that income year;

(ii) the income exemption threshold to which he is entitled under section 27 in respect of that
income year;

(iii) the amount of tax payable in respect of the National Residential Property Tax under
Sub-Part BB of Part VIII and any information required in relation thereto; and

(iv) such other particulars as may be required by the Director-General, and

at the same time pay any tax payable in accordance with his return.
1
FA (No.2) 2009 -Section 112(c) amended, by deleting the figure “385,000” and replacing it by the
figure “400,000” - shall come into operation on 1 January 2010 in respect of the income year
commencing on 1 January 2010 and in respect of every subsequent income year.
FA 2007 - Section 112 amended, by deleting the words “215,000 rupees” and replacing them by the
words “385,000 rupees”; shall be deemed to have come into operation on 1 July 2007 in respect of the
year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
2
FA 2009 – The words “30 September” deleted and replaced by the words “31 March” shall come into
operation on 1 January 2010.

* Please refer to endnotes at Appendix 1 Page 377 of 491

MRA THE INCOME TAX ACT 1995 378

FA 2006 – Section 112 deleted and replaced , shall be deemed to have come into operation on 1 July
2006 in respect of the income year commencing 1 July 2006 and in respect of every subsequent income
year.

 I n c o m e y e a r s 1 9 9 6 -9 7 t o 1 9 9 9 -0 0

112. R e t u r n a n d p a y m e n t o f t a x b y i n d i v i d u a ls

(1 ) (a ) S u b je c t to th e o th e r p r o v is io n s o f th is A c t, e v e r y in d iv id u a l w h o is
a ta x p a y e r , o r w h o d e riv e s g r o s s in c o m e f a llin g u n d e r S u b -P a r t B
o f P a r t V III e x c e e d in g th e C P S th r e s h o ld , w h e th e r o r n o t h e is a
ta x p a y e r , s h a ll s u b m it to th e C o m m is s io n e r , n o t la te r th a n 3 0
S e p te m b e r , a r e tu r n in s u c h m a n n e r a n d in s u c h f o r m a s m a y b e
a p p r o v e d b y h im s p e c if y in g -

(i) a ll in c o m e d e r iv e d b y th e in d iv id u a l d u r in g th e p r e c e d in g
in c o m e y e a r ;

(ii) th e p e r s o n a l r e lie f s a n d d e d u c tio n s to w h ic h h e is e n title d

[u n d e r s e c tio n s 2 8 , 2 9 , 3 0 , 3 1 , 3 2 , 3 3 , 3 4 , 3 6 , 3 7 , 3 8 , 3 9 ,
4 0 , 4 1 a n d 4 2 ] ( 1 ) in r e s p e c t o f th e p r e c e d in g in c o m e y e a r ;
and

(iii) s u c h o th e r p a r tic u la r s as m ay be r e q u ir e d by th e
C o m m is s io n e r , a n d
a t th e s a m e tim e p a y a n y ta x p a y a b le in a c c o r d a n c e w ith h is
r e tu r n .

(b ) T h e r e lie f b y w a y o f d e d u c tio n s u n d e r s e c tio n s 3 1 , 3 2 , 3 3 a n d 3 4

s h a ll b e s u b je c t to th e lim it u n d e r s e c tio n 3 5 .

(2 ) S u b je c t to s u b s e c tio n (3 ), w h e r e , a t th e e n d o f a n in c o m e y e a r , a n
e x e m p t p e r s o n h a s a c h a r g e a b le in c o m e f o r th a t in c o m e y e a r , h e s h a ll
s u b m it th e r e tu r n r e q u ir e d to b e s u b m it te d u n d e r s u b s e c tio n (1 ) a n d a t
th e s a m e tim e p a y a n y ta x p a y a b le .

(3 ) S u b je c t to s e c tio n 1 1 3 , w h e r e , in r e la tio n to a n in c o m e y e a r , a n
in d iv id u a l h a s a c h a r g e a b le in c o m e o n w h ic h th e a m o u n t o f ta x d u e
d o e s n o t e x c e e d 7 5 0 ru p e e s , h e s h a ll b e u n d e r n o o b lig a tio n to s u b m it a
r e tu r n u n d e r th is s e c tio n o r to p a y a n y ta x d u e o n th a t c h a r g e a b le
in c o m e .

(4 ) S u b je c t to s e c tio n 1 1 3 , w h e r e , in r e s p e c t o f a n in c o m e y e a r , th e ta x o n
th e c h a r g e a b le in c o m e o f a n in d iv id u a l w h o s e g r o s s in c o m e f a lls u n d e r
S u b -P a r t A a n d S u b -P a r t B o f P a r t V III e x c e e d s th e a m o u n t o f ta x
w ith h e ld a n d p a id u n d e r th o s e S u b -P a r ts f o r th a t in c o m e y e a r b y a n
a m o u n t n o t e x c e e d in g 2 5 0 r u p e e s , th a t p e r s o n s h a ll b e u n d e r n o
o b lig a t io n to s u b m it a r e tu r n u n d e r th is s e c tio n o r to p a y th a t a m o u n t o f
ta x .

(1 )
T h e w o r d s “ u n d e r s e c t io n s 2 8 , 2 9 , 3 0 , 3 1 , 3 2 , 3 3 , 3 4 , 3 6 , 3 7 , 3 8 , 3 9 , 4 0 , 4 1 a n d 4 2 ”
d e le t e d b y F A 1 9 9 7 .

* Please refer to endnotes at Appendix 1 Page 378 of 491

MRA THE INCOME TAX ACT 1995 379

 Income year 2000-01

112. Return and payment of tax by individuals

(1) (a) Subject to the other provisions of this Act, every individual who is
a taxpayer, or who derives gross income falling under Sub-Part B
of Part VIII exceeding the CPS threshold, whether or not he is a
taxpayer, shall submit to the Commissioner, not later than 30
September, a return in such manner and in such form as may be
approved by him specifying -

(i) all income derived by the individual during the preceding

income year;

(ii) the personal reliefs and deductions to which he is entitled

[under sections 28, 29, 30, 31, 32, 33, 34, 36, 37, 38, 39,
40, 41 and 42](1) in respect of the preceding income year;
and

(iii) such other particulars as may be required by the

Commissioner, and

at the same time pay any tax payable in accordance with his
return.

(b) The relief by way of deductions under sections [31,](2) 32, 33 and
34 shall be subject to the limit under section 35.

(2) Subject to subsection (3), where, at the end of an income year, an exempt
person has a chargeable income for that income year, he shall submit the
return required to be submitted under subsection (1) and at the same
time pay any tax payable.
(3)
(3) Subject to section 113, where, in respect of an income year, the tax on
the chargeable income of an individual whose gross income falls under
Sub-Part A and Sub-Part B of Part VIII exceeds the amount of tax
withheld and paid under those Sub-Parts for that income year by an
amount not exceeding 250 rupees, that person shall be under no
obligation to submit a return under this section or to pay that amount of
tax.

(1)
The words “under sections 28, 29, 30, 31, 32, 33, 34, 36, 37 , 38, 39, 40, 41 and 42”
deleted by FA 1997.
(2)
The figure “31,” deleted by FA 2000.
(3)
Previous subsection (4) renumbered (3) by FA 2000, the previous subsection (3) being
deleted. Effective as from income year 2000-01. Previously ITA 1995 as amended –
(3) Subject to section 113, where, in relation to an income year, an individual has a
chargeable income on which the amount of tax due does not exceed 750 rupees, he shall
be under no obligation to submit a return under this section or to pay any tax due on that
chargeable income.
* Please refer to endnotes at Appendix 1 Page 379 of 491
MRA THE INCOME TAX ACT 1995 380

Income years 2002-2003

Sub-Part C - Returns

112. Return and payment of tax by individuals

(1)
(1) Subject to this Act, every registered person under section 99A(2) or 105A(2), whether
or not he is a taxpayer, shall, in respect of an income year, submit to the
Commissioner, not later than 30 September following that income year, a return in
such form and manner as may be approved by the Commissioner specifying -

(a) all income derived by him during that income year;

(b) the personal reliefs and deductions to which he is entitled in respect of that
income year; and

(c) such other particulars as may be required by the Commissioner; and

at the same time pay any tax payable in accordance with his return.

(1)
(2) The relief by way of deductions under sections 32, 33 and 34 shall be subject to the
limit under section 35.

(1)
(3) Where, at the end of an income year, a person(2) has a chargeable income for that
income year, he shall submit the return required to be submitted under subsection
(1) and at the same time pay any tax payable.

[(4)] (1)(3)
(1)
Subsection (1) deleted and replaced by MRA Act 2004.
Previous subsection (1) deleted and replaced by subsections(1) & (2) - FA 2001, the
previous subsections (2) & (3) being renumbered (3) & (4) respectively. Effective as
from income year 2001-02.
(1) Subject to the other provisions of this Act, every individual who, whether or not he is a
taxpayer, derives during an income year gross income falling under -

(a) section 10(1)(a) exceeding 400,000 rupees; or

(b) Sub-Part B of Part VIII exceeding the CPS threshold,

shall submit to the Commissioner, not later than 30 September following that income
year, a return in such manner and in such form as may be approved by him specifying -

(i) all income derived by the individual during that income year;
(ii) the personal reliefs and deductions to which he is entitled in respect of that
income year; and
(iii) such other particulars as may be required by the Commissioner; and

at the same time pay any tax payable in accordance with his return.
Previously ITA 1995 as amended - see page 93
(2)
The words “Where, at the end of an income year, a person” replaced “Subject to
subsection (4)(i), where, at the end of an income year, an exempt person” by FA 2002.
Effective as from 1.7.2002.
(i) The words “subsection (4)” replaced “subsection (3)” by FA 2001.
(3)
See footnote (1) above. Subsection (4) as renumbered is deleted by FA 2002. Effective
as from 1.7.2002. Previously ITA 1995 as amended -
(4) Subject to section 113, where, in respect of an income year, the tax on the chargeable
income of an individual, other than an individual falling under subsection (1)(a) or
(1)(b)(i), whose gross income falls under Sub-Part A and Sub-Part B of Part VIII exceeds the
amount of tax withheld and paid under those Sub-Parts for that income year by an amount
not exceeding 250 rupees, that person shall be under no obligation to submit a return
under this section or to pay that amount of tax.
(i)
The words “other than an individual falling under subsection (1)(a) or (1)(b),”
inserted by FA 2001

* Please refer to endnotes at Appendix 1 Page 380 of 491

MRA THE INCOME TAX ACT 1995 381

583
FA 2023 – Paragraph (a)(i) amended, by deleting the words “the Category A Income Exemption
Threshold specified in the Third Schedule” and replacing them by the words “390,000 rupees”, shall be
deemed to have come into operation in respect of the income year commencing on 1 July 2023 and in
respect of every subsequent income year.
584
FA 2023 – Subsection (1)(b) amended, by deleting the words “leviable income under section 16B or”
and replacing them by the word “a”, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.
585
FA 2023 – Subsection (1)(b)(i) amended, by deleting the words “income exemption threshold” and “is
entitled” and replacing them by the words “personal reliefs and deductions” and “are entitled”,
respectively, shall be deemed to have come into operation in respect of the income year commencing on
1 July 2023 and in respect of every subsequent income year.
586
FA 2012 – New subsection (1A) inserted after subsection (1) - shall come into operation in respect of
the year of assessment commencing on 1 January 2013 and in respect of every subsequent year of
assessment.
587
FA 2020 – Subsection (3) repealed – shall be deemed to have come into operation in respect of the
year of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.

Previously was:

Notwithstanding subsection (1), where an individual submits his return electronically through the
computer system of the Authority and at the same time makes payment, through internet banking, to the
Director-General, of the tax payable in accordance with the return, the due date for the submission and
for payment shall be
15 October.

FA 2015 – Subsection (3) amended, the words “15 April” deleted and replaced by the words “15
October” - shall come into operation in respect of the year of assessment commencing on 1 July 2015
and in respect of every subsequent year of assessment.
588
FA 2020 – Subsection (4) repealed –shall be deemed to have come into operation in respect of the year
of assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.

Previously was:

Where the total income of a person exceeds 2 million rupees, he shall submit his return under
subsection(1) electronically through such computer system as may be approved by the Director-
General.
589
FA 2021- New section 112A inserted after section 112 – shall be deemed to have come into operation
in respect of the year of assessment commencing on 1 July 2021 and in respect of every subsequent
year of assessment.
590
FA 2006 – Subsection (1) deleted and replaced w.e.f 01.07.06.
ITA 1995:-
(1) For the purposes of ascertaining for any income year the chargeable income of a person -

(a) who has not submitted a return under section 112 and the Commissioner has reason
to believe that the person is a taxpayer; or

(b) who is not required to submit a return under section 112(3) [or 112(4)] (1),

the Commissioner may, by notice in writing, require that person to submit to him a return in
such manner and in such form as may be approved by him giving the particulars specified in
section 112(1).

* Please refer to endnotes at Appendix 1 Page 381 of 491

MRA THE INCOME TAX ACT 1995 382

(1)
The words [or 112(4)] deleted by FA 2000. Effective as from income year 2000-01.
591
Proclamation No. 10 of 2016 – The amendment made below shall come into operation on 1 June 2016.
FA 2015 – Section 114(1) amended, the figure “4” deleted and replaced by the figure “3” shall come
into operation on a date to be fixed by Proclamation.
592
MRA Act 2004. Subsection (3) deleted and replaced.
Subsection (3) amended by FA 2001.
Any person aggrieved by a notice under subsection (2) may lodge written representations with the
Secretary, Assessment Review Committee, in accordance with section 8E of the Unified Revenue Act
1983.

Previously ITA 1995 as amended -

(3) Any person aggrieved by a notice under subsection (2) may appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984.
593
THE FOUNDATIONS ACT 2012 – Subsection (1) amended , the word “Foundation,” inserted after
the words “protected cell company,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.

FA 2011 – Subsection (1) amended , the words “cell of a protected cell company,” inserted after the
words “non-resident société,” - shall come into operation in respect of the year of assessment
commencing 1 January 2013 and in respect of every subsequent year of assessment.

FA 2007 – Subsection (1) amended by deleting the words “the date specified in subsection (2)” and
replacing them by the words “six months from the end of the month in which its accounting period ends”;
in relation to companies shall come into operation on 1 July 2008 in respect of the year of
assessment commencing 1 July 2008 and in respect of every subsequent year of assessment.

The words “other than a trust to which section 46(3) applies” added by the Trusts Act 2001. Effective
as from 1.12.2001 - Proclamation No. 22 of 2001.

Subject to the other provisions of this Act, every company, non-resident société, trust other than a trust
to which section 46(3) applies or trustee of a unit trust scheme, whether or not it is a taxpayer, shall
submit to the Director-General, not later than the date specified in subsection (2), a return in such
manner and in such form as may be approved by him specifying -
594
FA 2010 –Section 116(1) paragraph (b) repealed shall be deemed to have come into operation as from
the year of assessment 2011.
(b) the amount of tax payable in respect of the National Residential Property Tax under Sub-Part
BB of Part VIII and any information required in relation thereto;
595
FA 2006 – Paragraphs (a) and (b) repealed and replaced shall come into operation on 1 July 2007 in
respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent year of
assessment.
(a) all income derived by it during the preceding income year; and

(b) such other particulars as may be required by the Commissioner, and at the same time pay any
tax payable in accordance with its return.
596
FA 2013 – Subsection (2) amended the words “on 30” deleted and replaced by the words “in the
month of” - shall be deemed to have come into operation in respect of the year of assessment
commencing 1 January 2014 and in respect of every subsequent year of assessment.
FA (No.2) 2009 - Section 116 amended, by inserting, after subsection (1), the new subsection (2) w.e.f.
19.12.09.
FA 2007 - Subsection (2) repealed , in relation to companies shall come into operation on 1 July 2008 in
respect of the year of assessment commencing 1 July 2008 and in respect of every subsequent year of
assessment.

* Please refer to endnotes at Appendix 1 Page 382 of 491

MRA THE INCOME TAX ACT 1995 383

For the purposes of subsection (1), the date specified shall be –

(a) where the company, non-resident société, trust or trustee of a unit trust scheme, as the case
may be, has an approved return date, not later than 30 September following the income year;
or
(b) in any other case, not later than 31 January 1 following the income year.
1
The words “31 January” replaced “31 December” by FA 1997. Effective as from year of
assessment 1997-98.
597
FA 2015 – Subsection (2A) amended, the words “44A or” deleted - shall come into operation in
respect of the income year commencing on 1 July 2015 and in respect of every subsequent income year.

FA 2013 – New Subsection (2A) inserted - shall be deemed to have come into operation in respect of
the year of assessment commencing 1 January 2014 and in respect of every subsequent year of
assessment.

598
FA 2015 – New subsections (2B) and (2C), inserted after subsection (2A) w.e.f. 14 May 2015.
599
FA 2015 – New subsections (2B) and (2C), inserted after subsection (2A) w.e.f. 14 May 2015.
600
FA 2017 – Subsection (3) repealed and replaced, shall come into operation on 1 January 2018.
(3) Where in an income year, a company derives gross income and exempt income exceeding 10
million rupees or is an employer submitting PAYE return and remitting tax withheld
electronically under Sub -Part A of Part VIII, or is a corporation holding a Category 1 Global
Business Licence under the Financial Services Act it shall, unless otherwise authorised -

(a) submit its return and pay any tax payable under subsection (1) electronically in
accordance with section 128A; and
(b) continue to submit its return and pay tax electronically until such time as it ceases to
be required to submit a return under subsection (1).

FA 2013 – Subsection (3)(a) amended, the words “through such computer system as may be approved
by the Director-General” deleted and replaced by the words “in accordance with section 128A” shall
be deemed to have come into operation in respect of the year of assessment commencing 1 January
2014 and in respect of every subsequent year of assessment.

FA 2011 – Subsection (3) amended, the words “or is a corporation holding a Category 1 Global
Business Licence under the Financial Services Act”; inserted after the words “Part VIII” - w.e.f. 15
December 2011.
FA 2009 – The words “30 million rupees” deleted and replaced by the words “10 million rupees” w.e.f.
30 July 2009.

FA 2007 - Subsection (3) repealed and replaced, , in relation to companies shall come into operation
on 1 July 2008 in respect of the year of assessment commencing 1 July 2008 and in respect of every
subsequent year of assessment.

Subsection (3) added by FA 2003. Effective as from 1st September 2003.

(3) Where a company is an employer submitting PAYE return and remitting tax withheld
electronically under Sub-Part A of Part VIII, it shall, unless otherwise authorised, submit its
return and pay any tax payable under subsection (1) electronically through such computer
system as may be approved by the Director-General.

* Please refer to endnotes at Appendix 1 Page 383 of 491

MRA THE INCOME TAX ACT 1995 384

601
FA 2016 - New Section 116A inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2017 and in respect of every subsequent year of assessment.

FA 2011 – Section 116A repealed, shall come into operation on 1 January 2012.
FA 2010 – New section 116A inserted, after section 116 – shall come into operation on 1 January 2011.
116A. Return of dividends by companies

(1) Every company which pays a dividend in an accounting period shall, within one month after
the end of its accounting period, submit to the Director-General, in respect of that accounting
period, a return specifying in respect of every person to whom dividend exceeding 50,000
rupees has been paid –

(a) the full name and address; and

(b) such other particulars as may be prescribed.
(2) Where in an accounting period, a company pays dividend and its gross income and exempt
income, in the aggregate, exceeds 10 million rupees, the company shall submit the return
under subsection (1) electronically, unless otherwise authorised, through such computer
system as may be approved by the Director-General.
(3) For the purposes of subsection (1) –
“person” –
(a) means any individual, société or succession, resident in Mauritius; but
(b) does not include a société falling under Part I of the Second Schedule.
602
FA 2016 - New Section 116B inserted, shall come into operation on 1 January 2017.
603
FA 2024 – New Subsection 1A inserted after subsection 1 w.e.f 27 July 2024.
604
FA 2020 – Section 116B(3) amended, the words “by a company or a société” deleted w.e.f 7 August
2020.
605
FA 2016 - New Section 116C inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2016 and in respect of every subsequent year of assessment.
606
FA 2017 –New section 116D inserted after section 116C shall come into operation in respect of income
year commencing on 1 July 2017 and in respect of every subsequent income year.
607
FA 2021 – Section 116D amended, subsection(2) added – shall come into operation in respect of the
year of assessment commencing on 1 July 2022 and in respect of every subsequent year of assessment.

608
Section 117A added by FA 2005. Effective as from assessment year 2005-06.

609
FA 2009 – The words “section 112 or 116” deleted and replaced by the words “section 116” shall be
deemed to have come into operation on 1 July 2009.

610
FA 2009 – The words “12 months” deleted and replaced by the words “18 months” shall be deemed to
have come into operation on 1 July 2009.

611
FA 2015 – Section 117A(2) amended, the words “31 December” deleted and replaced by the words “30
June” shall come into operation in respect of the year of assessment commencing on 1 July 2015 and in
respect of every subsequent year of assessment.
FA 2009 –Subsection (2) repealed and replaced by the following subsection shall be deemed to have
come into operation on 1 July 2009.
FA 2007 - Section 117A(2) amended, by deleting the words “for the purposes of section 116(2)”; in

* Please refer to endnotes at Appendix 1 Page 384 of 491

MRA THE INCOME TAX ACT 1995 385

relation to companies shall come into operation on 1 July 2008 in respect of the year of
assessment commencing 1 July 2008 and in respect of every subsequent year of assessment.

(2) Where the annual balance of the accounts ends on a date other than 30 June, that date shall be
deemed to be an approved return date and the return submitted under subsection (1) shall be
deemed to have been made in relation to the income year ending on 30 June following that
date.

ITA 1995
(2) Where the annual balance of the accounts ends on a date other than 30 June, that date shall be
deemed to be an approved return date for the purposes of section 116(2) and the return
submitted under subsection (1) shall be deemed to have been made in relation to the income
year ending on 30 June following that date.
612
118. Approved return date
(1) Any person required to submit a return under section 112 or 116 may, with the approval of the
Commissioner, elect to submit a return for the period of 12 months ending with the date of the
annual balance of his accounts, and that return shall, for the purposes of section 112 or 116,
be deemed to have been made in relation to the income year ending with 30 June which follows
the end of the period.
(2) Where a return date is approved under this section, the Commissioner shall determine the
basis on which the income derived by the person concerned in the income year in which the
return date is changed and in the subsequent 2 years shall be computed, and that person shall
be liable to income tax accordingly.
(3) Where a person in relation to whom a return date has been approved under this section ceases
permanently to carry on the business or any other income earning activity which he carried on
at the time of the approval, the Commissioner shall determine the basis on which the income
derived by the person concerned in the income year in which the cessation occurs and in the
previous income year shall be computed and that person shall be liable to income tax
accordingly.
(4) The Commissioner may, after giving not less than 3 months' notice to a person who has made
an election under subsection (1), withdraw his approval under that subsection.
(5) A person who has made an election under subsection (1) may, with the Commissioner's prior
written consent, elect for a new return date.

613
FA (No.2) 2009 - Section 118(1) amended, by deleting the words “3 months” and replacing them
by the words “6 months” w.e.f. 19.12.09.

614
FA 2009 – The words “section 112 or 116” deleted and replaced by the words “section 116” shall be
deemed to have come into operation on 1 July 2009.

615
FA 2009 –Subsection (5) repealed, shall be deemed to have come into operation on 1 July 2009.

FA 2008 - Subsection (5) added w.e.f 19.07.08.

(5) Where the due date of six months provided under section 116 for the submission of return in
respect of an accounting period by a company with an approved return date falls on a date
which does not form part of the year of assessment in which the income of that accounting
period is taxable, that date shall, for the purposes of section 4, be deemed to fall in that year of
assessment.
616
FA 2015 – Section 118A repealed and replaced shall come into operation on 1 July 2015.

118A. Return of income in respect of approved return date

* Please refer to endnotes at Appendix 1 Page 385 of 491

MRA THE INCOME TAX ACT 1995 386

Subject to the other provisions of this Act –

(a) where a person has an approved return date ending on any date falling on or between 1
January and 30 June, a return submitted under section 116 shall be deemed to have been
made in relation to the income year ending on 31 December preceding that return date; and

(b) where a person has an approved return date ending on any date falling on or between 1 July
and 30 December, a return submitted under section 116 shall be deemed to have been made in
relation to the income year ending on 31 December following that return date.

FA 2009 – Section 118A added, shall be deemed to have come into operation on 1 July 2009.

617
The words “other than a trust to which section 46(3) applies” added by the Trusts Act 2001. Effective
as from 1.12.2001. - Proclamation No. 22 of 2001.
618
FA 2020 – Subsection (1) amended, the word “electronically” inserted after the word “submit” w.e.f 7
August 2020.

FA 2015 – Sections 119, 119A and 120 amended, the words “31 March” deleted and replaced by the
words “30 September” wherever they appear, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

FA 2009 – In section 119, the words “30 September” deleted and replaced by the words “31 March”
wherever they appear, shall come into operation on 1 January 2010.

619
FA 2007 – Section 119(1) amended : paragraphs (a), (b) and (c) repealed and replaced by the
following paragraphs (a) and (b) - and the words “at the same time pay the tax payable referred to in
paragraph (b) in accordance with its return” deleted w.e.f 22.08.07 .
.

(a) the full name of the beneficiaries and the amount distributed to each of them;

(b) the amount of tax payable in respect of the National Residential Property Tax under
Sub-Part BB of Part VIII and any information required in relation thereto; and

(d) such other particulars as may be required by the Director-General, and

at the same time pay the tax payable referred to in paragraph (b) in accordance with its return.

FA 2006 – Subsection (1) amended by repealing and replacing paragraphs (a) and (b) shall come into
operation on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.
ITA 1995:-
(a) the full name of the beneficiaries and the amount distributed to each of them; and
(b) such other particulars as may be required by the Commissioner.

620
FA 2020 – Subsection (2) amended, the word “electronically” inserted after the word “submit” w.e.f 7
August 2020.

FA 2012 – Section 119 subsection (2) repealed and replaced shall come into operation in respect of
the year of assessment commencing on 1 January 2013 and in respect of every subsequent year of
assessment.

* Please refer to endnotes at Appendix 1 Page 386 of 491

MRA THE INCOME TAX ACT 1995 387

(2) Notwithstanding section 47, every resident société shall, in respect of an income year, submit
to the Director-General, not later than 31 March following that income year, a return in such
manner and in such form as may be approved by him specifying -

(a) all income derived by it during that income year;

(b) the full name of the associates and the share of income accruing to each of them;

(c) Repealed

(d) such other particulars as may be required by the Director-General, and

at the same time pay the tax payable referred to in paragraph (c) in accordance with its return.

FA 2009 – Subsection (2) amended, the word “Every” deleted and replaced by the words
“Notwithstanding section 47, every” shall come into operation on 1 January 2010.

FA 2009 – In section 119, the words “30 September” deleted and replaced by the words “31 March”
wherever they appear, shall come into operation on 1 January 2010.
FA 2010 – Section 119(2) amended by repealing paragraph (c) - shall be deemed to have come into
operation as from the year of assessment 2011.
(c) the amount of tax payable in respect of the National Residential Property Tax under Sub-Part
BB of Part VIII and any information required in relation thereto; and
FA 2006 –Subsection (2) amended by repealing paragraphs (b) and (c) and replacing them by the
following paragraphs , shall come into operation on 1 July 2007 in respect of the year of assessment
commencing 1 July 2007 and in respect of every subsequent year of assessment.
ITA 1995:-
(b) the full name of the associates and the share of income accruing to each of them; and
(c) such other particulars as may be required by the Commissioner.
621
FA 2015 – Sections 119, 119A and 120 amended, the words “31 March” deleted and replaced by the
words “30 September” wherever they appear, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.
FA 2012 –New section 119A inserted after section 119 shall come into operation in respect of the year
of assessment commencing on 1 January 2013 and in respect of every subsequent year of assessment.
622
FA 2020 – Section 120(1) amended, the word “electronically” inserted after the word “submit” w.e.f 7
August 2020.

FA 2015 – Sections 119, 119A and 120 amended, the words “31 March” deleted and replaced by the
words “30 September” wherever they appear, shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

FA 2009 – Section 120 (1), the words “30 September” deleted and replaced by the words “31 March”
shall come into operation on 1 January 2010.

623
FA 2007 - Section 120 amended, by repealing subsections (1) and (2) and replacing them by the
following subsection w.e.f 22.08.07.
(1) Subject to subsection (4), where the estate of a deceased taxpayer has not been distributed,
any person liable to income tax under section 83 shall submit to the Director-General, not later than
the date specified in subsection (2), a return in such manner and in such form as may be approved by
him specifying -
(a) all income derived by the estate during the preceding income year;

* Please refer to endnotes at Appendix 1 Page 387 of 491

MRA THE INCOME TAX ACT 1995 388

(b) the full name of the beneficiaries and the respective share of their income in the
estate;

(c) the amount of tax payable in respect of the National Residential Property Tax under
Sub-Part BB of Part VIII and any information required in relation thereto; and

(d) such other particulars as may be required by the Director-General, and

at the same time pay the tax payable referred to in paragraph (c) in accordance with its return.

(2) For the purposes of subsection (1), the date specified shall be -

(a) where the estate has an approved return date, not later than 30 September following
the income year; or
(b) in any other case, not later than 31 December following the income year.

FA 2006 –Subsection (1) amended by repealing paragraphs (b) and (c) and replacing them by the
following paragraphs, shall be deemed to have come into operation on 1 July 2006 in respect of the
income year commencing 1 July 2006 and in respect of every subsequent income year.

ITA 1995:-
(b) the full name of the beneficiaries and the respective share of their income in the estate; and
(c) such other particulars as may be required by the Commissioner.
624
FA 2021- Section 121(1) amended, the words “section 112” deleted and replaced by the words
“sections 112,112A” – shall be deemed to have come into operation in respect of the year of assessment
commencing on 1 July 2021 and in respect of every subsequent year of assessment.

FA 2015 – Subsection (1) amended, the word “Where” deleted and replaced by the words “Subject to
subsection (1A), where” shall come into operation in respect of the year of assessment commencing on
1 July 2015 and in respect of every subsequent year of assessment.
FA 2009 – Section 121 subsection (1) amended, the words “ section 112, 116, 129 or 131” deleted
and replaced by the words “section 112, 116 or 119” w.e.f. 30 July 2009.

FA 2006 –Section 121 amended by repealing subsection (1) and replacing it by the following
subsection shall come into operation on 1 July 2007 in respect of the year of assessment commencing 1
July 2007 and in respect of every subsequent year of assessment.

(1) Where -

(a) (1) a person deriving gross income -

(i) falling under section 10(1)(a) exceeding 400,000 rupees; or

(ii) specified in section 10(1)(b) and rent specified in section 10(1)(c),

fails to submit a return under section 112; or

(b) a company, société, trust or trustee fails to submit a return under section 116,

the person shall be liable to pay to the Commissioner a penalty representing 5,000 rupees (2) per month
or part of the month or such other amount as may be prescribed, until the time the return is submitted,
provided that the total penalty payable shall not exceed 50,000 rupees.(3)
(1)
Paragraph (a) amended by FA 2002. Effective as from year of assessment 2002-03. Previously ITA
1995 as amended -
(a) a person deriving gross income specified in section 10(1)(b) and rent specified in section
10(1)(c) fails to submit a return under section 112; or

* Please refer to endnotes at Appendix 1 Page 388 of 491

MRA THE INCOME TAX ACT 1995 389

(2)
Amended by FA 1997. Effective as from year of assessment 1997-98. Previously ITA 1995 as
amended - Rs 1,000 .
(3)
The words “, provided that the total penalty payable shall not exceed 50,000 rupees” added by FA
2000.
625
FA 2018 - Section 121 (1A) amended, new paragraph (b) added the existing provision being lettered as
paragraph (a) w.e.f 9 August 2018.

FA 2016 - Subsection (1A) amended, the words “or an individual who is not in business” inserted after
the words “10 million rupees” w.e.f 7 September 2016.

FA 2015 – New subsection(1A) inserted after subsection (1) w.e.f. 14 May 2015.

626
FA 2009 –Subsection (2) repealed and replaced w.e.f. 30 July 2009.

FA 2008 - Section 121 subsection (2) repealed and replaced – shall be deemed to have come into
operation on 1 July 2008.

(2) Where a company, société , trust or trustee submits a return under section 116 but does not -

(a) fill in the fields in the form of the return all the particulars required to be filled
in; or

(b) attach to the return its profit and loss account and balance sheet or in the case
of a trust or trustee such other appropriate statement of account,

it shall be deemed not to have submitted a return under section 116 and shall be liable to pay to the
Director-General the penalty specified in subsection (1).
ITA 1995 -
(2) Where a company, société, trust or trustee submits a return under section 116 but does not
attach to the return its profit and loss account and balance sheet or in the case of a trust or trustee such
other appropriate statement of account, it shall be deemed not to have submitted a return under section
116 and shall be liable to pay to the Director-General the penalty specified in subsection (1).
627
FA 2015 – Subsection (3) repealed and replaced - shall come into operation in respect of the year of
assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.

(3) Where a person deriving gross income specified in section 10(1)(b) and rent specified in
section 10(1)(c) submits a return under section 112 but does not attach to the return his profit
and loss account and balance sheet or such other statement of account as may be necessary to
ascertain his net income, he shall be deemed not to have submitted a return under section 112
and shall be liable to pay to the Director-General the penalty specified in subsection (1).

628
FA 2015 – Subsection (1) amended, the word “Where” deleted and replaced by the words “Subject to
subsection (1A), where” w.e.f. 14 May 2015.

FA 2006 – Section 122 deleted and replaced shall come into operation on 1 July 2007 in respect of the
year of assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
.
ITA 1995:-
122. Penalty for late payment of tax [specified in return] (1)

(1) Subject to subsection (2), where a taxpayer fails to pay any income tax due on or before the
last day on which it is payable under section 112 or 116, he shall be liable to pay to the
Commissioner, in addition to the tax, a penalty representing 2 per cent of the amount of tax,
excluding any penalty imposed under this section and under section 109, 110, 111 or 121, as
the case may be, for each month or part of the month during which the tax remains unpaid.

* Please refer to endnotes at Appendix 1 Page 389 of 491

MRA THE INCOME TAX ACT 1995 390

(2) The penalty under this section shall not, in the aggregate, exceed the amount of income tax
remaining unpaid excluding any penalty imposed under this section and under section 109,
110, 111 or 121.
(1)
The words “specified in return” deleted by FA 1997.

629
FA 2012 – Sections 122(1), 122D(1) and 132(1) amended , the words “, 129A” inserted after the figure
“129” w.e.f. 22 December 2012.

FA 2009 – Section 122(1) amended, the words “119,” inserted after, the words “116,” w.e.f. 30 July 2009.
630
FA 2018 - Section 122 (1A) amended, new paragraph (b) added the existing provision being lettered as
paragraph (a) w.e.f 9 August 2018.

FA 2016 - Subsection (1A) amended, the words “or an individual who is not in business” inserted after
the words “10 million rupees” w.e.f 7 September 2016.

FA 2015 – New subsection(1A) inserted after subsection (1) w.e.f. 14 May 2015.
631
MRA Act 2004. Section 122A amended.

Section 122A added by FA 1999-00. Effective as from income year 1999-00.

(1) Notwithstanding section 8A of the Unified Revenue Act 1983 and section 154 of this Act but
subject to subsection (2), where a company fails to submit a return under section 116, the
Commissioner may, without prejudice to any action he may take under this Act, with the
approval of the Authority established under the Unified Revenue Act 1983, cause to be
published, not later than 5 months after the due date, in 2 newspapers in circulation in
Mauritius, the name of the company, the name and address of its directors and the year of
assessment in respect of which the return has not been submitted.
(2) The Commissioner shall, prior to the publication referred to in subsection (1), notify the
company in writing of his intention to publish the name of the company in accordance with
subsection (1), unless the company submits the return due within 7 days of the date of the notice.
632
FA2024 – Section 122A(1) amended, by deleting the words “not later than 5 months” and replacing
them by the words “not less than 3 months” w.e.f 27 July 2024.

FA 2022 - subsection (1) being amended, by deleting the words “in 2 newspapers in circulation in
Mauritius” and replacing them by the words “on the website of the Authority”, w.e.f 02 August 2022.
633
FA 2022 - subsection (2) being amended, by inserting, after the word “writing”, the words “or
electronically”;w.e.f 02 August 2022.
634
Section 122B added by FA 2002. Effective as from year of assessment 2002-03
635
FA 2006 –Section 122 C added, shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
636
FA 2007 - Section 122C amended, the words “a penalty of 20 per cent of the tax payable, provided
that the penalty payable shall not exceed 100,000 rupees” deleted and replaced w.e.f 22.08.07.

Any person who is required to submit his return under section 11(3) and make any payment of tax
electronically, but fails to do so, after written notice being given to hm by the Director-General, and his
failure within a period of 7 days from the date of the notice to justify the failure, shall be liable to pay to
the Director-General, a penalty of 20 per cent of the tax payable, provided that the penalty payable
shall not exceed 100,000 rupees.

* Please refer to endnotes at Appendix 1 Page 390 of 491

MRA THE INCOME TAX ACT 1995 391

637
FA 2006 –Section 122 D added, shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
638
FA 2015 – Section 122D amended, subsection (1) repealed and replaced w.e.f. 14 May 2015.
(1) Any person who fails to pay any tax under section 50F, 100, 106, 112, 116, 129,129A or 131 shall
be liable to pay, in addition to the tax and penalty under sections 50F, 101, 101A, 109, 110, 111,
121, 122 and 122C, interest at the rate of 1 per cent per month or part of the month during which
the tax remains unpaid.

FA 2007 - Subsection (1)amended by deleting the words “section 100” and “sections 101” and
replacing them by the words “section 50F, 100” and “sections 50F, 101” respectively; w.e.f 01.07.08.

639
FA 2009 – Section 122D(2) amended, the words “and 122C” deleted and replaced by the words
the words “, 122C and 129(1A)” w.e.f. 30 July 2009.
FA 2007 - Subsection (2) amended, by deleting the words “sections 101” and replacing them by the
words “sections 50F, 101” w.e.f 01.07.08
640
FA 2016 - New section 122DA inserted after section 122D w.e.f 7 September 2016.
641
FA 2015 – Part VIII amended, new Sub-Part D added shall come into operation on 1 July 2015.
642
FA 2023 – Subsection (1) amended, by deleting the word “Every” and replacing it by the words
“Notwithstanding any other enactment, every”, w.e.f 20 July 2023.

FA 2021- Section 123(1) amended, the words “or sent electronically” inserted after the word
“writing” wherever it appears – w.e.f 05 August 2021.
643
FA 2021- Section 123(2) amended, the words “or sent electronically” inserted after the word
“writing” wherever it appears – w.e.f 05 August 2021.

FA 2017 – Subsection (2) amended, the words “Subject to subsection (3), any” deleted and replaced by
the words “Any” w.e.f 24 July 2017.
644
FA 2017 – Subsection (3) Repealed w.e.f 24 July 2017.

(3) Subsection (2) shall not apply to any person -

(a) who, under any other enactment, is prohibited from communicating any information
relating to any other person, but only in so far as that information is concerned; or

(b) who carries on a banking business, but only in so far as information relating to
transactions made by any person with the bank are concerned.
645
FA 2023 – Subsection (4) amended, by inserting, after the words “Banking Act”, the words “, the Data
Protection Act, the Information and Communication Technologies Act”, w.e.f 20 July 2023.

FA 2017 – Subsection (4) amended, the words “subsection (3)(b),” deleted w.e.f 24 July 2017.

Subsection (4) amended by Banking Act 2004. The words “sections 39 and 51(2) of the Banking Act
1988” deleted and replaced by “section 64 of the Banking Act 2004”. Effective date 10 November
2004 - Proclamation No. 39 of 2004.
646
FA 2006 –Paragraphs (a) repealed and replaced w.e.f 7.08.06.
ITA 1995:- (a) any amount paid as interest to depositors;

* Please refer to endnotes at Appendix 1 Page 391 of 491

MRA THE INCOME TAX ACT 1995 392

647
FA 2022 – subsection (4)(b) amended, by deleting the words “or in the name of any other person” and
replacing them by the words “in the name of any other person or is held jointly with any other person”,
w.e.f 02 August 2022.

648
FA 2022 – subsection (4)(b)(i) amended, by deleting the words “dangerous weapons” and replacing
them by the words “dangerous weapons, or an offence of money laundering or financing of
terrorism”w.e.f 02 August 2022.

FA 2010 – subsection (4)(b)(i) amended by deleting the word “and” and replacing it by the word “or” –
w.e.f. 24.12.2010.
649
FA 2023 – New Subsection (123)(b)(iii) inserted, w.e.f 20 July 2023.
650
MRA Act 2004 - Subsection (5) deleted and replaced.
Where any person who is required to furnish any information under subsection (4)(b) considers that the
Commissioner's request is unreasonable, he may lodge written representations with the Secretary,
Assessment Review Committee, in accordance with section 8E of the Unified Revenue Act 1983.

The words “lodge written representations with the Secretary, Assessment Review Committee, in
accordance with section 8E of the Unified Revenue Act 1983” replaced “appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984” by FA 2001.
651
Subsection (6) amended by FA 2001. Previously ITA 1995 as amended -
(6) On an appeal it shall be sufficient for the Commissioner to satisfy the Tribunal that he has
reasonable grounds to request the disclosure of the information.
652
FA 2010 –Subsection (7) repealed - w.e.f. 24.12.2010.
(7) For the purposes of this section, "Commissioner" includes the Director-General appointed
under the Unified Revenue Act 1983.

The words "Director-General" replaced "Director, Fiscal Investigations" by FA 1999. Effective as from
1.7.99. Previously FA 1998 -"Director, Fiscal Investigations" replaced "Commissioner for Fiscal
Investigations"
653
The words “following the hearing on the representations before the Committee” replaced “on appeal”
by FA 2001.
654
The words “by the Intermediate Court” deleted by Unified Revenue (Amendment) Act 2003.
655
Subsection 9 deleted by Unified Revenue (Amendment) Act 2003, Previously Income Tax Act 1995 –
(9) Notwithstanding any other enactment, the Intermediate Court shall have jurisdiction to impose
the fine specified in subsection (8).
656
Proclamation No. 10 of 2016 – The New section 123A shall come into operation on 1 June 2016.
FA 2015 – New section 123A, inserted after section 123 shall come into operation on a date to be fixed
by Proclamation.

657
FA 2016 - Subsection (1) amended, the words “and subject to sections 127 and 130” inserted after the
words “Notwithstanding this Act,” w.e.f 7 September 2016.

658 FA 2021- Subsection (1) amended, the words “unless the Director-General applies ex parte for and
obtains the authorisation of the Independent Tax Panel under the Mauritius Revenue Authority Act”
deleted and replaced by the words “unless a return of income under section 112, 116 or 119, as the case
may be, in respect of a year of assessment, has not been submitted by a taxpayer or in case of fraud” –
w.e.f 05 August 2021.
659
FA 2021 – Subsection (2) repealed – w.e.f 05 August 2021.

* Please refer to endnotes at Appendix 1 Page 392 of 491

MRA THE INCOME TAX ACT 1995 393

(2) An authorisation under subsection (1) shall be granted where the Director-General establishes
to the satisfaction of the Independent Tax Panel that there is prima facie evidence of fraud or non-
submission of return by a person liable to tax.

FA 2016 - Subsection (2) amended, the word “fraud” deleted and replaced by the words “fraud or non-
submission of return by a person liable to tax” w.e.f 7 September 2016.
660
FA 2021 – Subsection (3) repealed – w.e.f. 05 August 2021.

(3) In an application under subsection (1), the Director-General shall specify the period in respect
of which he proposes to do the act or thing referred to in subsection (1)

661
FA 2015 – New section 123B, inserted after section 123 shall come into operation on 1 July 2015.
662
FA 2016 - New Section 123C inserted after Section 123B Shall come into operation in respect of the
year of assessment commencing on 1 July 2017 and in respect of every subsequent year of assessment.
663
FA 2017 – Subsection (1) repealed and replaced w.e.f 24 July 2017.

(1) Every person who, in an income year –

(a) derives net income and exempt income exceeding 15 million rupees; or

(b) owns assets the cost of which exceed 50 million rupees, shall submit to the Director-
General a statement of assets and liabilities at the time of submission of his return
under section 112.
664
FA 2017 – Subsection (2) amended, the words “submitted in such form and manner as may be
prescribed” deleted and replaced by the words “in the form set out in the Twelfth Schedule” w.e.f 24
July 2017.
665
FA 2018 - Section 123C amended, new subsections (4) and (5) added w.e.f 9 August 2018.
666
FA 2017 – New section 123D inserted after section 123C shall come into operation in respect of
income year commencing on 1 July 2017 and in respect of every subsequent income year.
667
FA2024 – Subsection (1)(a) of Section 123D has been repealed and replaced w.e.f 27 July 2024.

(a) Subject to this section, every bank or non-bank deposit taking institution under the Banking Act
shall furnish to the Director-General, on or before 15 August in every year, a statement of
financial transactions effected by –

(i) an individual in his own name or jointly with any other person654*, a société or a
succession that made a deposit exceeding 250,000 rupees or deposits exceeding 2 million
rupees in the aggregate in the preceding year; or

(ii) a person, other than an individual, a société or succession, who made a deposit exceeding
500,000 rupees or deposits exceeding 4 million rupees in the aggregate in the preceding
year.655*
668
FA2024 – New subparagraph (aa) inserted after subparagraph (a) w.e.f 27 July 2024.
669
FA 2021- Subsection (2)(a) amended, the words “200,000 Mauritian rupees” deleted and replaced by the
words “100,000 Mauritian rupees” – shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2021 and in respect of every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 393 of 491

MRA THE INCOME TAX ACT 1995 394

670
FA 2021- Subsection (3(a) amended, the words “500,000 rupees” deleted and replaced by the words
“250,000 rupees” - shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2021 and in respect of every subsequent income year.
671
FA 2023 – New Subsection (3A) inserted, w.e.f 20 July 2023.
672
FA 2023 – New Subsection (3B) inserted, w.e.f 20 July 2023.
673
FA 2024 – Paragraph (b)(ii) in Subsection 4 amended, by deleting the word “transactions” and
replacing it by the words “transactions, other than those credited in a credit or prepaid card account”
w.e.f 27 July 2024.
674
FA 2018 - New section 123E inserted after Section 123D shall come into operation on 1 January 2019.
675
FA 2021- Section 123E(1) amended, the words “50,000 rupees” deleted and replaced by the words
“20,000 rupees” –w.e.f 05 August 2021.

FA 2019 – Section 123E(1) amended, the words “100,000 rupees” deleted and replaced by the words
“50,000 rupees” – w.e.f 25 July 2019.
676
FA 2021- Section 123E(3) amended, by inserting, after the word “Lottery”, the words “, operator of the
Loterie Vert” –w.e.f 05 August 2021.
677
FA 2021- Section 123F inserted after Section 123E –shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2021 and in respect of every subsequent income year.
678
FA 2022 - Subsection (1) amended, by deleting the words “or section 64 of the Banking Act” and
replacing them by the words “, section 64 of the Banking Act, section 46(1) of the Foundations Act or
section 33(2) of the Trusts Act”, w.e.f 02 August 2022.

FA 2021- Subsection (1) amended, the words “, or submit electronically” inserted after the words “or in
writing” – w.e.f 05 August 2021.

FA 2017 – Subsection (1) amended, the words “, sections 24 and 25 of the Data Protection Act, section
14(7) of the Companies Act” inserted after the words “Financial Services Act” w.e.f 24 July 2017.

FA 2015 – Section 124(1) amended, the words “or section 64 of the Banking Act” inserted after the
word “Act” w.e.f. 14 May 2015.

Subsection (1) deleted and replaced by FA 2000. Effective as from 1.7.2000. Previously ITA 1995 as
amended –
(1) Every person, when so required by the Commissioner, shall, within the time fixed by the
Commissioner, give orally or in writing, as may be required, all such information as may be
demanded of him by the Commissioner for the purpose of enabling the Commissioner to make an
assessment or to collect tax.

Financial Services Act 2007 - Section 124(1) amended, by deleting the words “section 27(6) of the
Financial Services Development Act 2001” and replacing them by the words “section 44(6) of the
Financial Services Act 2007” w.e.f 28.09.07.
The words “section 27(6) of the Financial Services Development Act 2001” replaced “section 5 of the
Mauritius Offshore Business Activities Act 1992” by the Financial Services Development Act 2001.
Effective as from 1.8.2001 - Proclamation No. 8 of 2001.
679
FA 2017 – New subsection (1A) inserted after subsection (1) w.e.f 24 July 2017.
680
FA 2021 - Subsection (2) amended, the words “or sent electronically” inserted after the words
“writing” –w.e.f 05 August 2021.
681
The word “and” deleted by FA 2000.
682
Paragraph (d) added by FA 2000. Effective as from 1.7.2000.

* Please refer to endnotes at Appendix 1 Page 394 of 491

MRA THE INCOME TAX ACT 1995 395

683
FA 2018 - Section 124 (3) paragraph (a) repealed and replaced w.e.f 9 August 2018.

(a) The Minister may, in cases of non-compliance with any request for the exchange of
information under an arrangement pursuant to section 76, make such regulations as he thinks
fit.

FA 2017 – New subsection (3) added w.e.f 24 July 2017.

684
FA 2022 – subsection 4(a) amended, by deleting the words “or section 44(6) of the Financial Services
Act” and replacing them by the words “, section 44(6) of the Financial Services Act, section 46(1) of
the Foundations Act or section 33(2) of the Trusts Act”, w.e.f 02 August 2022.

FA 2019 – Section 124 amended, new subsection added – w.e.f 25 July 2019.
685
The words “whether on computer or otherwise,” added after the word “documents” by FA 2004.
Effective as from 17 August 2004
686
FA 2021- Section 125 amended, new paragraph (c) added – w.e.f 05 August 2021.
687
Paragraphs (a), (b), (c) of Section 126(1) deleted and replaced by FA 2004. Effective as from 17 August
2004.
688
Paragraph 126A added by FA 2004. Effective as from 17 August 2004
689
The words “subsections (2) and (3)” replaced “subsection (2)” by FA 2002. Effective as from 1.7.2002
690
Proclamation No. 10 of 2016 – The amendments made shall come into operation on 1 June 2016.
FA 2015 – Section 127(1) and (2) amended, the figure “4” deleted and replaced by the figure “3” shall
come into operation on a date to be fixed by Proclamation.
691
Proclamation No. 10 of 2016 – The amendments made shall come into operation on 1 June 2016.
FA 2015 – Section 127(1) and (2) amended, the figure “4” deleted and replaced by the figure “3” shall
come into operation on a date to be fixed by Proclamation.

New subsection (2) inserted by FA 2002. Effective as from 1.7.2002.

692
Previous subsections (2) and (3) renumbered (3) and (4) respectively by FA 2002.
693
The words “subsection (1) or (2)” replaced “subsection (1)” by FA 2002. Effective as from 1.7.2002
694
Previous subsections (2) and (3) renumbered (3) and (4) respectively by FA 2002.
695
The words “subsection (3)” replaced “subsection (2)” by FA 2002. Effective as from 1.7.2002
696
MRA Act 2004. Subsection (4) deleted and replaced.
Any person aggrieved by a notice under subsection (3)(2) may lodge written representations with the
Secretary, Assessment Review Committee, in accordance with section 8E of the Unified Revenue Act
1983.

The words “may lodge written representations with the Secretary, Assessment Review Committee, in
accordance with section 8E of the Unified Revenue Act 1983” replaced “may appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984” by FA 2001.
697
FA 2006 –Section 128 deleted and replaced w.e.f 07.08.06.
ITA 1995:-
128. Power to waive penalty
The Commissioner may waive the whole or part of any penalty imposed under this Act where he is
satisfied that failure to comply with this Act was attributable to a just or reasonable cause.

* Please refer to endnotes at Appendix 1 Page 395 of 491

MRA THE INCOME TAX ACT 1995 396

698
Section 128A added by FA 2001.
699
MRA Act 2004 – Subsection (1) amended .
FA 2001.
Notwithstanding the other provisions of this Act and subject to section 8D of the Unified Revenue Act
1983, the Commissioner may authorise a return, document and payment of income tax or any act or
thing which is required to be done in relation thereto, to be made, submitted or done electronically
through such computer system as may be approved by him.
700
MRA Act 2004 – Subsection (4) deleted.
FA 2001:-
With effect from such date as may be notified in the Gazette, the Commissioner may direct that any
matter, act or thing referred to in subsection (1) shall be made, submitted or done electronically, unless
otherwise authorised.
701
Heading amended by FA 2001. Previously ITA 1995 as amended - “ASSESSMENTS AND
APPEALS”

702
FA 2021- Section 129(1)(a) amended, the words “section 112” deleted and replaced by the words
“sections 112, 112A”- shall be deemed to have come into operation in respect of the year of assessment
commencing on 1 July 2021 and in respect of every subsequent year of assessment.

FA 2009 – Section 129(1)(a) amended, the words “section 112, 113 or 116” deleted and replaced by
the words “section 112, 113, 116 or 119” w.e.f. 30 July 2009.

The words “section 112, 113 or 116” replaced “section 112 or 116” by FA 2002. Effective as from
1.7.2002
703
FA 2011 – Section 129(1) amended by deleting the words “solidarity income tax, where applicable,”-
shall come into operation on 1 January 2012.
FA 2010 – Section 129(1) amended by inserting, after the words “chargeable income of,”, the words
“solidarity income tax, where applicable,”- w.e.f. 24.12.2010.

FA 2006 –Section 129(1) amended by deleting the words “sections 109, 110, 111, 121 and 122,” and
replacing them by the words “sections 109, 110, 111, 121, 122 and 122C and any interest under section
122D,” shall come into operation on 1 July 2007 in respect of the year of assessment commencing 1
July 2007 and in respect of every subsequent year of assessment.

(1) Where, in respect of a year of assessment, the Director-General -

(a) is not satisfied with the return submitted by a person under section 112, 113 or 116(2),
as the case may be; or

(b) has reason to believe that a person who has not submitted a return of income is a
taxpayer,

he may, according to the best of his judgement, make an assessment of the amount of chargeable income
of, and income tax payable by, including any penalty under sections 109, 110, 111, 121 and 122, that
person for that year of assessment and give him written notice of the assessment.

704
FA 2018 - Section 129 (1A) amended, the word “additional” deleted wherever it appears;

FA 2006 –Subsection (1A) added , shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment. .

* Please refer to endnotes at Appendix 1 Page 396 of 491

MRA THE INCOME TAX ACT 1995 397

705
Subsection (3) deleted by FA 1997. Previously ITA 1995 as amended - “Any person who is aggrieved
by an assessment under subsection (1) may appeal to the Tribunal in accordance with the Tax Appeal
Tribunal Act 1984.”
706
FA 2011 – New section 129A. Assessments on employers and payers inserted - shall come into
operation on 1 January 2012.

707
FA 2016 -Section 129A amended, new subsection (1A) inserted after subsection (1) w.e.f 7
September 2016.
708
FA 2020 – Section 129A(3)(a) amended, the words “registered post” deleted and replaced by the words
“registered post or electronically” w.e.f 7 August 2020.
709
Proclamation No. 10 of 2016 – The amendment made shall come into operation on 1 June 2016.
FA 2015 – Section 130 amended, the figure “4” deleted and replaced by the figure “3” shall come into
operation on a date to be fixed by Proclamation.

FA 2012 – Section 130 amened, the words “, or 129A” inserted after the figure “129” w.e.f. 22
December 2012.

FA (No.2) 2009 - Subsection (1)amended, by deleting the words “section 112, 113 or 116” and
replacing them by the words “section 112, 113, 116 or 119” w.e.f. 19.12.09.
The words “preceding the year of assessment in which a return under section 112, 113 or 116, as the
case may be, is made” replaced “preceding that year of assessment” by FA 2002. Effective as from
1.7.2002.
710
FA 2021 – Section 130 amended, new subsection (2) added –w.e.f 05 August 2021.

FA 2015 – Subsection (2) repealed shall come into operation on a date to be fixed by Proclamation.
(2) The Director-General may, at any time, make an assessment under section 129 -
(a) where a return of income under section 112, 116 or 119 710 *, as the case may be, in
respect of a year of assessment has not been made; or
(b) in case of fraud or wilful neglect.

Subsection (2) amended by FA 2002. Effective as from 1.7.2002. Previously ITA 1995 as amended -
(2) The Commissioner may, in case of fraud or wilful neglect, at any time make an assessment
under section 129.
711
FA 2006 –Section 131(1) amended by inserting immediately after the words “section 109, 110, 111,
121 or 122, as the case may be,” the words “and any interest under section 122D,” shall come into
operation on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of
every subsequent year of assessment.
ITA 1995:-
(1) Where the Commissioner is not satisfied with the return submitted by a person under section
115 or 117, as the case may be or has reason to believe that a person who has not submitted a return
under those sections is a taxpayer, he may make an assessment of the amount of chargeable income of
and income tax payable by, including any penalty under section 109, 110, 111, 121 or 122, as the case
may be, that person and give him written notice of the assessment.
712
Subsection (3) deleted by FA 1997. Previously ITA 1995 as amended -
(3) Any person who is aggrieved by an assessment under subsection (1) may appeal to the
Tribunal in accordance with the Tax Appeal Tribunal Act 1984.
713
Section 131A added by FA 1997.
714
The words “subsection (6)” replaced “subsection (5)” by FA 2002. Effective as from 1.1.2003

* Please refer to endnotes at Appendix 1 Page 397 of 491

MRA THE INCOME TAX ACT 1995 398

715
FA 2015 – Subsection (1) amended, the words “or electronically through such computer system as the
Director-General may approve under section 128A(1)” added shall come into operation on 1 July 2015.
FA 2011 – Section 131A(1) amended, the words “129 or 131” deleted and replaced by the words “129,
129A or 131” shall come into operation on 1 January 2012.
FA (No.2) 2009 - Subsection (1) amended, by deleting the words “by letter sent to the Director-
General by registered post” and replacing them by the words “in a form approved by the Director-
General and sent to him by registered post”

716
FA 2015 – Subsection (2)(b) amended, the figure “30” deleted and replaced by the figure “10” w.e.f. 14
May 2015.
717
FA 2016 - Paragraph (b) repealed and replaced w.e.f 7 September 2016.

(b) subject to subsection (2A), at the same time, pay 10 per cent of the amount of income tax
claimed in the notice of assessment.

718
FA 2016 - New paragraph (c) added w.e.f 7 September 2016.
719
FA 2016 - Subsection (2A) amended, the words “(2)(b)” deleted and replaced by the words “(2)(b) or
(c)” w.e.f 7 September 2016.
720
FA (No.2) 2009 - Subsection (2) repealed and replaced by the following subsections w.e.f. 19.12.09.

FA 2008 – Section 131A(2), paragraph (b) repealed and replaced w.e.f 19.07.08.
(2) Where a person makes an objection under subsection (1), he shall -

(a) specify in his letter of objection, in respect of each of the items in the notice of
assessment, the detailed grounds of the objection; and

(b) at the same time -

(i) pay 30 per cent of the amount of income tax claimed in the notice of
assessment; or

(ii) where he satisfies the Director General on reasonable

grounds that he is unable to pay the 30 per cent of the
amount of income tax under sub-paragraph (i), give
security by way of a bank guarantee on such terms and
conditions as the Director General may determine.

(b) at the same time pay 30 per cent of the amount of income tax claimed in the notice of
assessment.
Subsection (2) deleted and replaced by subsections (2) & (3) - FA 2002, the previous subsections (3),
(4), (5), (6), (7) & (8) being renumbered (4), (5), (6), (7), (8) & (9) respectively. Effective as from
1.1.2003. Previously FA 1997 -

(2) Where a person makes an objection under subsection (1), he shall specify fully in his letter of
objection, in respect of each of the items in the notice of assessment, the grounds of the
objection.
721
FA 2016 - Subsection (3) amended, the words “(2)(b)” deleted and replaced by the words “(2)(b)(iii)
or (c)(iii)” w.e.f 7 September 2016.
722
Subsection (3) deleted by FA 1997. Previously ITA 1995 as amended -
(3) Any person who is aggrieved by an assessment under subsection (1) may appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984.

* Please refer to endnotes at Appendix 1 Page 398 of 491

MRA THE INCOME TAX ACT 1995 399

723
FA 2012 – Sections 131A(5) and 131C(2) amended, the word “unit” deleted and replaced by the word
“directorate” w.e.f. 22 December 2012.

724
FA (No.2) 2009 - Subsection (6)(a) amended, by deleting the words “subsection (2)” and replacing
them by the words “subsections (2) and (2A)” w.e.f. 19.12.09.
725
The words “subsection (4)” replaced “subsection (3)” by FA 2002. Effective as from 1.1.2003.
726
FA 2006 –Section 131A(8) amended by deleting the words “any penalty under section 133” and
replacing them by the words “any interest under section 122D” shall come into operation on 1 July
2007 in respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent
year of assessment.
(8) Where a notice under subsection (6) or (7)(b) (1) is given, the tax specified in the notice of
assessment together with any penalty under section 133 (2) shall be paid within 28 days of the date of
the notice under subsection (6) or (7)(b) (1), as the case may be.
(1)
The words “subsection (6) or (7)(b)” replaced “subsection (5) or (6)(b)” by FA 2002.
Effective as from 1.1.2003
(2)
The words “together with any penalty under section 133” inserted by FA 2001. Effective as
from income year 2001-02.
475
MRA Act 2004. Subsection (9) deleted and replaced.
Any person who is aggrieved by a decision under subsection (6) or (7)(b) may lodge written
representations with the Secretary, Assessment Review Committee, in accordance with section 8E of the
Unified Revenue Act 1983

The words “may lodge written representations with the Secretary, Assessment Review Committee, in
accordance with section 8E of the Unified Revenue Act 1983” replaced “may appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984” by FA 2001.
728
FA 2017 – New subsection (10) inserted after subsection (9) w.e.f 24 July 2017.
729
FA 2015 – New section 131AA inserted after section 131A shall come into operation on 1 July 2015.
730
Covid M A 2020- Section 131AA(1) amended,by deleting the words “section 93, 111K or 123B(5)”and
replacing them by the words “section 93, 111K, 111Z(5) or 123B(5)” – shall be deemed to have come
into operation on 23 March 2020.
731
Covid M A 2020 – section 131AA(3) repealed and replaced – shall be deemed to have come into
operation on 23 March 2020.

Previously was:

Where a person who has made an objection under subsection (1), has not, for the relevant year,
submitted the Return of Employees or statement, as the case may be, he shall, within 28 days of the date
of the claim, submit the Return of Employees or statement, as the case may be.
732
Covid M A 2020- section 131AA(7) amended,the words “the penalty”deleted and replaced by the
words “the levy and penalty”- shall be deemed to have come into operation on 23 March 2020.
733
FA 2015 – Section 131B amended, new subsections (8A) and 10 inserted after subsection (8) shall
come into operation on 1 July 2015.

Section 131B added by FA 1997.

734
FA 2006 –Section 131B(5) amended by deleting the words “any penalty under section 133” and
replacing them by the words “any interest under section 122D” shall come into operation on 1 July

* Please refer to endnotes at Appendix 1 Page 399 of 491

MRA THE INCOME TAX ACT 1995 400

2007 in respect of the year of assessment commencing 1 July 2007 and in respect of every subsequent
year of assessment.
Where a notice of determination under subsection (2) or (4) is given, the tax specified in the notice of
determination together with any penalty under section 133(1) shall be paid within 28 days of the date of
the notice of determination.
(1)
The words “notice of determination together with any penalty under section 133” replaced
“notice of assessment” by FA 2001. Effective as from income year 2001-02.
735
FA 2023 – Section (131B)(6) amended, by deleting the word “Repo” and replacing it by the word
“Key”, shall be deemed to have come into operation on 16 January 2023.

FA 2013 – Section 131B(6) amended the words “bank rate” deleted and replaced by the words “Repo
rate determined by the Bank of Mauritius” - shall come into operation in respect of the income year
commencing 1 January 2014 and in respect of every subsequent income year.

New subsection (6) inserted by FA 2002. Effective as from 1.1.2003.

736
Previous subsections (6), (7) & (8) renumbered (7), (8) & (9) respectively by FA 2002
737
FA 2006 –Section 131B(7) repealed and replaced w.e.f 07.08.06.
A notice of determination under subsection (2) or (4) in respect of an assessment made on or after 1
July 1997, shall be given to the person within 6 months of the date on which the objection is lodged.
738
Covid M A 2020 – Section 131B amended, subsection (8A)(a) amended, the words “penalty charged
under section 93,111K or 123B (3) deleted and replaced by the words “levy or penalty charged under
section 93,111K, 111Z (5) or 123B (3) – shall be deemed to have come into operation on 23 March
2020.
739
MRA Act 2004- Subsection (9) deleted and replaced.
Any person who is aggrieved by a determination under this section may lodge written representations
with the Secretary, Assessment Review Committee in accordance with section 8E of the Unified
Revenue Act 1983

The words “may lodge written representations with the Secretary, Assessment Review Committee in
accordance with section 8E of the Unified Revenue Act 1983” replaced “may appeal to the Tribunal in
accordance with the Tax Appeal Tribunal Act 1984” by FA 2001.
740
FA 2015 – Section 131B amended, new subsections (8A) and 10 inserted after subsection (8) shall
come into operation on 1 July 2015.
741
FA 2010 – Section 131C(1) amended by deleting the words “by letter sent to the Director-General by
registered post specifying in his letter of objection the detailed grounds of objection” and replacing
them by the words “in a form approved by the Director-General specifying the detailed grounds of
objection and sent to the Director-General by registered post” w.e.f. 24.12.2010.

Section 131C added by FA 2003. Effective as from 1 July 2003.

742
FA 2012 – Sections 131A(5) and 131C(2) amended, the word “unit” deleted and replaced by the word
“directorate” w.e.f. 22 December 2012.

743
FA 2018 – Section 132 ) repealed and replaced w.e.f 9 August 2018.

Proclamation No. 10 of 2016 – The amendment made shall come into operation on 1 June 2016.
FA 2015 – Section 132(2) amended, the figure “4” deleted and replaced by the figure “3” shall come
into operation on a date to be fixed by Proclamation.
132. Time limit to amend assessments

* Please refer to endnotes at Appendix 1 Page 400 of 491

MRA THE INCOME TAX ACT 1995 401

(1) Subject to subsection (2), the Director-General may amend an assessment made under section
129, 129A or 131.

(2) An assessment shall not be amended after 3 years of assessment from the year of assessment to
which the assessment relates.

FA 2012 – Sections 122(1), 122D(1) and 132(1) amended , the words “, 129A” inserted after the figure
“129” w.e.f. 22 December 2012.

744
FA 2006 –Section 133 repealed, shall come into operation on 1 July 2007 in respect of the year of
assessment commencing 1 July 2007 and in respect of every subsequent year of assessment.
133. Penalty for non-payment of income tax assessed
(1) Subject to subsection (2), where a person fails to pay any income tax payable on or before the
last day on which it is payable under section 129 or 131,(1) he shall be liable to pay to the
Commissioner, in addition to the tax, a penalty representing 2 per cent of the amount of tax,
excluding any penalty imposed under this section and under section 109, 110, 111 or 121(2),
for each month or part of the month during which the tax remains unpaid.
(2) The penalty under this section and section 122 shall not, in the aggregate, exceed the amount
of income tax, excluding any penalty imposed under this Act, remaining unpaid under section
129 or 131.(3)
(1)
The words “section 129 or 131” replaced “section 129, 131, 131A, 131B or 149” by FA 2001.
Effective as from income year 2001-02. Previously FA 1997 - “section 129, 131, 131A, 131B or 149”
replaced “section 129 or 131”.
(2)
The words “and under section109, 110, 111 or 121” inserted by FA 2002. Effective as from
1.7.2002.
(3)
Subsection (2) amended by FA 2002. Effective as from 1.7.2002. Previously ITA 1995 as
amended -
(2) The penalty under this section shall not, in the aggregate, exceed the amount of income tax
remaining unpaid under section 129 or 131(i)
(i)
The words “section 129 or 131” replaced “section 129, 131, 131A, 131B or 149” by FA 2001.
Effective as from income year 2001-02. Previously FA 1997 - “section 129, 131, 131A, 131B
or 149” replaced “section 129 or 131”.
745
MRA Act 2004. Section 134 repealed and replaced
Representations to Assessment Review Committee
Any person who is aggrieved by a decision, or determination, under sections 98, 114(2), 123(4), 127(2),
131A, 131B and 131C(1) may lodge written representations with the Secretary, Assessment Review
Committee, in accordance with section 8E of the Unified Revenue Act 1983.
Section 134 repealed and replaced by FA 2001.
Representations to Assessment Review Committee
Any person who is aggrieved by a decision, or determination, under sections 98, 114(2), 123(4),
127(2), 131A, 131B and 131C may lodge written representations with the Secretary, Assessment
Review Committee, in accordance with section 8E of the Unified Revenue Act 1983.
Previously ITA 1995 as amended -
134. Appeals
(1) Any person who is aggrieved by a decision, or determination, under sections 20, 59, 98,
114(2), 123(4), 127(2), 131A and 131B may appeal to the Tribunal in accordance with the Tax
Appeal Tribunal Act 1984.
(2) Where on the determination of an appeal, the Tribunal orders a taxpayer to pay interest on the
amount of tax payable, that interest shall be deemed to be income tax and shall be recoverable
as such.
(i)
The words "under sections 20, 59, 98, 114(2), 123(4), 127(2), 131A and 131B" replaced "or an
assessment, under sections 20, 59, 98, 114(3), 123(5), 127(3), 131A and 131B(ii)" by FA 1999.
Effective as from 1.7.99.
(ii)
The words “131A and 131B” replaced “129(3) and 131(3)” by FA 1997
(1)
The words “Sections 20,59,98,114(2),123(4),127(2),131A and 131B” replaced by “sections
98, 114(2), 123(4), 127(2), 131A, 131B and 131C” by FA 2003. Effective as from 1 July 2003.

* Please refer to endnotes at Appendix 1 Page 401 of 491

MRA THE INCOME TAX ACT 1995 402

The words "on objection to assessments under section 131A or" inserted by FA 1999.
The words “on the hearing of representations” replaced “on appeal” by FA 2001. The words “Sections
20,59,98,114(2),123(4),127(2),131A and 131B” replaced by “sections 98, 114(2), 123(4), 127(2),
131A, 131B and 131C” by FA 2003. Effective as from 1 July 2003.
The words "on objection to assessments under section 131A or" inserted by FA 1999.
The words “on the hearing of representations” replaced “on appeal” by FA 2001.
746
FA 2015 – Section 134 amended , the words “93, 98, 111K,” deleted and replaced by the figure “98”
shall come into operation on 1 July 2015.

FA 2011 – Section 134 amended the words “83, 98” deleted and replaced by the words “83, 93, 98,
111K,” - w.e.f. 15 December 2011.
FA 2007 - Section 134 amended by deleting the words “sections 98” and replacing them by the words
“sections 83, 98” w.e.f 22.08.07.

747
FA 2023 – Section (134) amended, by deleting the words “127(2),” and replacing them by the words
“127(3), w.e.f 20 July 2023.

FA 2016 - Section 134 amended, the words “, 131AA(6)(b)” inserted after the words “131A” w.e.f 7
September 2016.

748
FA 2018 – Section 136 repealed and replaced w.e.f 9 August 2018.

136. Application of Part XI

This Part shall apply to any tax which has remained unpaid under this Act.

FA 2007 - Section 136 repealed and replaced w.e.f 22.08.07.

This Part shall apply to any tax which has not been paid in accordance with section 100, 101, 106, 109,
110, 111,111C, 111F, 111M 1 , 112, 113, 115, 116, 117, 121, 122, 122B 2, 129, 131, 131A, 131B 3,133,
149 or 4 a decision of the Assessment Review Committee.
1
FA 2006 –Section 136 amended by inserting immediately after the figure “111”, the words “111C,
111F, 111M w.e.f 01.07.06.

The figure “122B” inserted by FA 2002. Effective as from year of assessment 2002-03.
2
The figures “131A, 131B” inserted by FA 1997.
3
The words “133, 149 or a determination of the Tribunal under section 6 of the Tax Appeal Tribunal
Act 1984” replaced “133 or 149” by FA 2000. See footnote (4)
4
The words “a decision of the Assessment Review Committee” replaced “a determination of the
Tribunal under section 6 of the Tax Appeal Tribunal Act 1984” by FA 2001.
749
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

137. Recovery of tax in arrears from emoluments

(1) The Director-General may, for the purpose of securing and enforcing payment of income tax
in arrears payable by an employee, issue a notice to the employer requiring him to make
deductions from the emoluments of that employee on account of income tax payable by him.

(2) The deductions shall be made at such times and in such amount as the Director-General may
specify in the notice.

(3) The aggregate of the amount of tax deducted under this section and tax withheld under Sub-
Part A of Part VIII shall not, except at the employee's request, exceed one third of his
emoluments.

* Please refer to endnotes at Appendix 1 Page 402 of 491

MRA THE INCOME TAX ACT 1995 403

(4) An employer to whom a notice under subsection (1) has been issued shall pay the tax deducted
under this section to the Director-General within 20 days from the end of the month in which
the tax was deducted.

(5) The provisions of sections 100, 101, 102, 103 and 104 shall apply to this section and shall be
construed with such modifications, adaptations, qualifications and exceptions as may be
necessary to bring them into conformity with the provisions of this section.
750
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

138. Recovery of tax by attachment

The Director-General may, without prejudice to any other remedy which he may have, enforce payment
of any tax under this Act by attachment in the same manner as is provided in the Attachment (Rates and
Taxes) Act.
751
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

139. Recovery of tax by distress and sale

(1) The Director-General may issue a warrant in a form specified in Part I of the Eighth Schedule
to an usher of the Supreme Court to recover income tax by distress and sale of the goods,
chattels and effects of the person charged or of the person answerable for its payment.

(2) Three days' notice of such sale shall be given in the Gazette.

752
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

140. Contrainte

(1) Where any income tax is due under this Act, the Director-General may apply to a Judge in
Chambers for an order (Contrainte) to issue against the debtor.

(2) Any order issued under subsection (1) shall -

(a) be served on the debtor; and

(b) be executory.
(3) Any debtor aggrieved by an order issued under subsection (1) may within 10 days of the
service of the order appeal to the Supreme Court.

(4) No costs shall be awarded against an unsuccessful party except disbursement for -

(a) stamp duty under the Stamp Duty Act 1990;

(b) service of the order; and
(c) execution of the order.

753
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

Section 140A added by FA 2002

140A. Proceedings for temporary closing down of business

(1) Where a person fails to pay any amount of income tax assessed under this Act, the Director-
General may notify the person in writing of his intention to close down part or the whole of the
business of that person for a temporary period not exceeding 14 days, unless the person,
within a period of 7 days of the date of the notice -

* Please refer to endnotes at Appendix 1 Page 403 of 491

MRA THE INCOME TAX ACT 1995 404

(a) pays the amount of income tax unpaid; or

(b) gives security to the satisfaction of the Director-General for payment of the amount of
the income tax unpaid.

(2) (a) Where the person fails to comply with the notice issued under subsection (1), the
Director-General may, with the concurrence of the Revenue Authority established
under the Unified Revenue Act, make an application under oath, in such form as may
be prescribed, to a District Magistrate for an order to close down part or the whole
of the business of that person for a period not exceeding 14 days.

(b) Where an application under oath is made to a Magistrate in the manner specified in
paragraph (a), the Magistrate may forthwith grant the application.

(c) Upon granting an application under paragraph (b), the Magistrate shall issue an
order to an Usher, in such form as may be prescribed, to close down the business of
the person in

(3) Where an Usher executes an order under subsection (2), he shall affix in a conspicuous place
on the front of the premises of the business or part of the business which has been closed, a
notice duly certified by the Director-General bearing the words ”CLOSED TEMPORARILY
FOR NOT PAYING INCOME TAX”.

(4) Where an order under subsection (2) has been executed and the person -

(a) effects payment of the amount of income tax unpaid; or

(b) gives security to the satisfaction of the Director-General for payment of the amount of
the income tax unpaid,

the order shall lapse and the Director-General shall, in writing, notify the person accordingly.

(5) Any person who, contrary to the order, carries on the business or part of the business
concerned or who commits any act in breach of the order under this section, shall commit an
offence.
754
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

141. Privilege

(1) The Government shall have, in respect of any income tax due and so long as the income tax is
not paid in full, a privilege on all immovable properties belonging to the person by whom the
income tax is payable.

(2) Where the Director-General thinks it necessary for securing the recovery of any income tax
due to inscribe the privilege provided for under subsection (1), he shall deposit with the
Conservator of Mortgages 2 identical memoranda in the form specified in Part II of the Eighth
Schedule and shall forthwith notify the person by whom the income tax is payable of the
deposit of the memoranda.

(3) The Conservator of Mortgages shall, upon deposit of the memoranda, inscribe the privilege
generally on all immovable properties belonging, or which may subsequently belong, to the
person by whom the income tax is payable, and shall return one of the memoranda to the
Director-General with a statement written or stamped on it to the effect that the privilege has
been duly inscribed.

* Please refer to endnotes at Appendix 1 Page 404 of 491

MRA THE INCOME TAX ACT 1995 405

(4) Where a privilege is inscribed under this section, it shall take effect from the date of the
inscription.
(5) (a) Where any income tax in respect of which an inscription has been taken under
this section is paid in full or the tax liability is discharged, the Director-General
shall forthwith send to the Conservator of Mortgages a request in the form
specified in Part III of the Eighth Schedule to erase the inscription.

(b) The Director-General may send a request to the Conservator of Mortgages to erase
the inscription in respect of any property belonging to the person by whom income
tax is payable where the Director-General is satisfied that the value of the other
properties of the person is sufficient to secure payment of the amount which has
remained unpaid.

(6) (a) The inscription of a privilege under this section shall be erased by the Conservator of
Mortgages at the request of the Director-General.

(b) Where an inscription of privilege is erased pursuant to paragraph (a), the Director-
General shall, within 5 working days of the date of the notification of the erasure by
the Conservator of Mortgages, give written notice of that fact to the person who owed
the income tax.

(7) Any inscription or erasure which is required to be taken or made under this section shall be
free from stamp duty under the Stamp Duty Act 1990 or registration dues leviable under the
Registration Duty Act or any other costs.
755
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

142. Uninscribed privilege

(1) Notwithstanding section 141, but subject to subsection (2), the privilege for the recovery of
direct taxes under Articles 2148 and 2152 of the Code Napoleon shall operate on account of
income tax payable under this Act independently of and without the necessity for inscription,
upon -

(a) personal property wherever found;

(b) the proceeds of the sale of immovable property; and

(c) the crops, fruits, rents and revenues,

belonging to the person owing the tax.

(2) The privilege conferred under subsection (1) shall operate only in respect of tax payable in
any one year of assessment, at the discretion of the Director-General, and shall rank
immediately after the privilege for judicial costs.
756
* FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

143. Security

(1) The Director-General may, for the purposes of securing payment of any income tax due, order
a person to furnish security in such manner and in such amount as the Director-General thinks
fit.

(2) Any person who fails to comply with an order under subsection (1) shall commit an offence.

* Please refer to endnotes at Appendix 1 Page 405 of 491

MRA THE INCOME TAX ACT 1995 406

757
FA 2018 – Sections 137 to 144 repealed w.e.f 9 August 2018.

144. No limitation of action for recovery of tax

No law relating to the limitation of action shall bar or affect any action or remedy for recovery of
income tax.
758
The Busines Facilitation (Miscellaneous Provisions) Act 2017 – Section 144A (COLLECTION AND
RECOVERY OF SOCIAL CHARGES) shall come into operation on 1 January 2018 by Proclamation
No. 41 of 2017.

MRA Act 2004 – Part XI A Deleted.

Part XIA repealed and replaced by FA 2001.

PART XIA - COMMISSIONER, LARGE TAXPAYER DEPARTMENT

144A. Interpretation of Part XIA

In this Part -

“Commissioner, Large Taxpayer Department,” means the Commissioner, Large Taxpayer Department,
referred to in section 8B of the Unified Revenue Act 1983;

“large taxpayer” has the same meaning as in section 8B of the Unified Revenue Act 1983.

144B. Administration of Income Tax enactments by Commissioner, Large Taxpayer

Department

(1) Notwithstanding the other provisions of this Act or any regulations made thereunder, the
Commissioner, Large Taxpayer Department, shall administer the Income Tax enactments in so
far as they relate to large taxpayers.

(2) Where, according to the records of the Commissioner of Income Tax, a person qualifies as a
large taxpayer -

(a) the Commissioner of Income Tax shall -

(i) transfer all accounts, returns, assessments and other documents in respect of
that person, to the Commissioner, Large Taxpayer Department; and

(ii) as from the date of transfer under subparagraph (i), cease to administer
income tax in relation to that person; and

(b) the Commissioner, Large Taxpayer Department shall, as from the date of the
transfer, administer income tax in respect of that person.

Previously FA 1999 - effective as from 1.12.1999 (Proclamation No. 19 of 1999) -

PART XIA - COMMISSIONER OF INLAND REVENUE
144A. Payment of tax under PAYE
(1) Notwithstanding sections 100 and 101 and regulations 22(5) and (6) of the Income Tax
Regulations 1996, where in respect of a month, an employer submits a single return for both
PAYE and VAT or a return for VAT or PAYE(i) to the Commissioner of Inland Revenue
under section 8B of the Unified Revenue Act 1983 and pay tax, if any, in accordance with that
section, he shall be deemed to have submitted and paid tax, if any, to the Commissioner under
this Act for that month.
(2) For the purposes of this section, "VAT" has the same meaning as in the Value Added Tax Act
1998.
144B. Power to require information and production of books and records
Without prejudice to section 127(2) of this Act and to sections 7A and 8 of the Unified Revenue Act
1983, where, in respect of a period, the Commissioner of Inland Revenue is satisfied that a person
has complied with the requirements of any of the provisions of section 8C of the Unified Revenue

* Please refer to endnotes at Appendix 1 Page 406 of 491

MRA THE INCOME TAX ACT 1995 407

Act 1983, that person shall be deemed to have complied with the requirements under section 123,
124, 125 or 126 of this Act, as the case may be, for that period.
(i)
The words “or a return for VAT or PAYE” inserted by FA 2000.
759
MRA Act 2004 – Paragraph (aa) added.
760
FA 2016 - Section 145 amended, the figure “50,000” and the words “6 months” deleted and replaced
by the words “one million” and “8 years”, respectively, shall come into operation on 1 January 2017.
761
FA 2006 –Section 146A added w.e.f 07.08.06.
762
FA 2016 - Section 146A amended, the figure “50,000” and “2” deleted and replaced by the words “one
million” and the figure “8”, respectively, shall come into operation on 1 January 2017.
763
FA 2018 – New section 146B inserted shall come into operation on 1 September 2018.

764
FA 2019 –New Section 146C inserted –w.e.f 25 July 2019.

765
FA 2009 – Section 147(2) amended, the words “be equivalent to” deleted and replaced by the words
“not exceed” w.e.f. 30 July 2009.
766
MRA Act 2004 - Paragraph (aa) added.
767
FA 2017 – New paragraph (ea) inserted after paragraph (e) w.e.f 24 July 2017.
768
MRA Act 2004 – Section 148A deleted.

Section 148A added by FA 1998.

148A Prosecution by Commissioner

(1) The Commissioner may institute criminal proceedings against any person for failure to submit
a return under section 112, 113, 116, 119 or 120.

(2) In any proceedings under this section, a certificate in writing signed by the Commissioner
certifying that the return so required has not been received from the person shall, in the
absence of proof to the contrary, be evidence of the fact stated therein.
769
MRA Act 2004 – Subsection (1) deleted and replaced.

(1) The Commissioner may, with the concurrence of the Revenue Authority established under the
Unified Revenue Act 1983(2), compound any offence committed by a person under this Act,
where such person agrees in writing to pay such amount acceptable to the Commissioner
representing -
(a) any income tax unpaid; and

(b) an amount not exceeding the maximum pecuniary penalty imposable under this Act
for such offence.
770
FA 2012 – Section 149(1)(a) amended , the words “, with the consent of the Director of Public
Prosecutions,” inserted after the word “may” - w.e.f. 22 December 2012.
771
FA 2017 – New PART XIIA inserted after PART XII shall come into operation on a date to be fixed
by Proclamation.

* Please refer to endnotes at Appendix 1 Page 407 of 491

MRA THE INCOME TAX ACT 1995 408

772
FA 2018 – Subsections (1), (2) and (3) repealed and replaced, in so far as it relates to subsections (1)
and (2) shall be deemed to have come into operation on 1 July 2017 and in so far as it relates to
subsection (3) shall be deemed to have come into operation on 1 January 2018.

(1) Subject to this section, the Director-General shall pay to every individual who derives
earnings of 9,900 rupees or less in a month, a Negative Income Tax allowance as specified in
the Eleventh Schedule.

(2) No allowance under this Part shall be payable unless –

(a) the individual is a citizen of Mauritius;

(b) the individual is in full-time employment, working for a minimum of 30 hours in a

week over at least 5 days;

(c) the individual has been in continuous employment for a period of 6 months prior to
the month in respect of which the allowance under subsection (1) is payable;

(d) the aggregate net income of the individual and that of his spouse, including any
dividend and interest, in the current year did not exceed 390,000 rupees; (b)

(e) the individual and the person by whom he is employed, are both fully compliant with
their contributions to the National Pensions Fund and the National Savings Fund.

(3) An individual who meets the requirements of subsections (1) and (2) shall be paid the Negative
Income Tax allowance where he has submitted an application in such form and manner as the
Director-General may determine.
773
FA 2018 –New subsection subsection (3A) inserted after subsection (3) w.e.f 9 August 2018.
774
FA 2018 – Subsection (6) repealed and replaced shall be deemed to have come into operation on 1 July
2017.

(6) In this Part –

earnings –

(a) means all salary, wages, overtime pay, leave pay, and other allowances in money or
money’s worth, other than travelling and end-of-year bonus derived from
employment; and

(b) includes any annuity, pension and basic retirement pension.

775
Covid M A 2020 – The following new part XIIB inserted after Part XIIA – shall be deemed to have
come into operation on 23 March 2020, except for Section 150B(12) which will come into operation on
16 May 2020.
776
FA 2021- Subsection (1) amended, the following new definition inserted in the appropriate
alphabetical order- shall be deemed to have into operation on 1 March 2021.
777
FA 2022 – subsection (8) amended, by deleting the words “National Minimum Wage” and replacing
them by the words “national minimum wage”, w.e.f 02 August 2022.
778
FA 2021- Subsection (10) (a) amended, the word “Where” deleted and replaced by the words “Subject
to paragraph (aa), where ”- shall de deemed to have come into operation on 1 March 2021.
779
FA 2021- Subsection (10) amended, new paragraph (aa) inserted after paragraph (a) –shall be deemed
to have come into operation on 1 March 2021.

* Please refer to endnotes at Appendix 1 Page 408 of 491

MRA THE INCOME TAX ACT 1995 409

780
Covid M A 2020 – The following new part XIIC– shall be deemed to have come into operation on 23
March 2020, except for Section 150C(9) which will come into operation on 16 May 2020.
781
FA 2021- Subsection (3) amended, new paragraph (ea) inserted after paragraph (e) and the word “or ”at
the end of paragraph (e ) deleted – shall be deemed to have come into operation on 1 July 2021.
782
FA 2021 –Section 150C amended, new subsection (3A) inserted after subsection(3) – shall be deemed
to have come into operation on 1 July 2021.
783
FA 2024 – heading of Part XIID amended, by deleting the words “COMPENSATION 2021, 2022 AND
2023” and replacing them by the words “COMPENSATION 2021, 2022, 2023 AND 2024”, w.e.f 27
July 2024.

FA 2023 – heading of Part XIID amended, by deleting the words “COMPENSATION 2021 AND
2022” and replacing them by the words “COMPENSATION 2021, 2022 AND 2023”, w.e.f 20 July
2023.

FA 2022 – heading of Part XIID being amended, by deleting the words “COMPENSATION 2021” and
replacing them by the words “COMPENSATION 2021 AND 2022”, w.e.f 02 August 2022.

FA 2021- New Part XIID inserted after Part XIIC –shall be deemed to have come into operation on 1
January 2021.
784
FA 2022 – subsection (2) repealed and replaced, w.e.f 02 August 2022.

Previously:

(2) Subject to this Part, the Director-General shall, in respect of every eligible employee, pay to
his employer an allowance equivalent to –

(a) 235 rupees where the employer is an export enterprise; or

(b) 375 rupees in any other case,

for each month beginning January 2021 and ending June 2022.
785
FA 2022 – new section 150E inserted, w.e.f 02 August 2022.
786
FA 2023 – New Section (150EA) inserted, w.e.f 20 July 2023.
787
FA 2024 – In subsection 1 of Section 150EA amended by inserting new definition of “apparel
industry”, w.e.f 27 July 2024.
788
FA2024 - In subsection 1 of Section 150EA amended by inserting new definition of “textile
industry”, w.e.f 27 July 2024.
789
FA 2024 – New Subsection 2A inserted after Subsection 2, w.e.f 27 July 2024.
790
FA 2024 – New Subsection 2B inserted after Subsection 2A, w.e.f 27 July 2024.
791
FA 2024 – New Subsection 2C inserted after Subsection 2B, w.e.f 27 July 2024.
792
FA 2024 – New Section (150EB) inserted, w.e.f 27 July 2024.
793
FA 2022 – new Part XIIE inserted, w.e.f 02 August 2022.
794
FA 2022 – new section 150F inserted, w.e.f 02 August 2022.
795
FA2024 – Subsection 1 of Section 150F amended, by deleting the definition of “Covid-19 Solidarity
Fund”, w.e.f 27 July 2024.

* Please refer to endnotes at Appendix 1 Page 409 of 491

MRA THE INCOME TAX ACT 1995 410

“COVID-19 Solidarity Fund” means the COVID-19 Solidarity Fund established under the Finance and
Audit (COVID-19 Solidarity Fund) Regulations 2020;
796
FA 2023 – Subsection (1) amended, by inserting new definition, w.e.f on 20 July 2023.
797
FA 2023 – Subsection (1) amended, by inserting new definition, w.e.f 20 July 2023.
798
FA 2024 – New subparagraph (iia) inserted after subparagraph (ii), w.e.f 27 July 2024.
799
FA2024 – Subparagraph (iii) amended, by deleting the words “is above the age” and replacing them by
the words “subject to subparagraph (iiia), is above the age”, w.e.f 27 July 2024.
800
FA2024 – New subparagraph (iiia) inserted after subparagraph (iii), w.e.f 27 July 2024.
801
FA2024 – Subparagraph (iv) amended, by deleting the words “one year” and replacing them by the
words “3 months”, shall be deemed to have come into operation on 17 November 2023.
802
FA 2024 – Subsection 1 amended, by inserting new definition, w.e.f 27 July 2024.
803
FA 2024 – Subsection (2)(aa) amended, by deleting the words “30 June 2024” and replacing them by
the words “30 June 2025”, w.e.f 27 July 2024.

FA 2023 – New Subsection (2)(aa) inserted, w.e.f 20 July 2023.

804
FA 2024 – New Subsection (2)(ab) inserted , shall be deemed to have come into operation on 17
November 2023.
805
FA 2023 – Subsection (2)(b) amended, by deleting the words “paragraph (a)” and replacing them by the
words “paragraphs (a) and (aa)”, w.e.f 20 July 2023.
806
FA 2023 – Subsection (3)(a) amended, by deleting the words “eligible employee” and replacing them
by the words “eligible employee or qualifying employee”, w.e.f 20 July 2023.
807
FA 2023 – Subsection (3)(c) amended, by deleting the words “eligible employee” and replacing them
by the words “eligible employee or qualifying employee”, w.e.f 20 July 2023.
808
FA2024 – Subparagraph (d)(iii) amended, by deleting the words “COVID-19 Solidarity Fund” and
replacing them by the words “Solidarity Fund”, w.e.f 27 July 2024.
809
FA2024 – Subsection (4)(aa) amended, by deleting the words “qualifying employee” and replacing
them by the words “qualifying employee who is employed on a full-time basis”, w.e.f 27 July 2024.

FA 2023 – New Subsection (4)(aa) inserted, w.e.f 20 July 2023.

810
FA 2024 – New paragraph (ab) inserted after paragraph (aa), w.e.f 27 July 2024.
811
FA 2023 – Subsection (4)(b) amended, by deleting the words “paragraph (a)” and replacing them by the
words “paragraphs (a) and (aa)” , w.e.f 20 July 2023.
812
FA 2023 – Subsection (4)(c) amended, by deleting the words “eligible employee” and replacing them
by the words “eligible employee or qualifying employee”; w.e.f 20 July 2023.
813
FA 2023 – New Subsection (5)(aa) inserted, w.e.f 20 July 2023.
814
FA 2024 – New paragraph 5(ab) inserted after paragraph 5(aa), w.e.f 27 July 2024.
815
FA 2023 – Subsection (5)(b) amended, the full stop at the end of paragraph (b) being deleted and
replaced by the words “; and”, w.e.f 20 July 2023.
816
FA 2023 – New Subsection (5)(c) inserted, w.e.f 20 July 2023.

* Please refer to endnotes at Appendix 1 Page 410 of 491

MRA THE INCOME TAX ACT 1995 411

817
FA 2024 – New paragraph (5)(d) inserted, w.e.f 27 July 2024.
818
FA 2023 – Subsection (6) amended, by deleting the words “eligible employee” and replacing them by
the words “eligible employee or qualifying employee”, w.e.f 20 July 2023.
819
FA2024 – Subsection (11)(a) amended, by deleting the words “COVID-19 Solidarity Fund” and
replacing them by the words “Solidarity Fund”, w.e.f 27 July 2024.
820
FA 2024 – Subsection (11)(b) amended, by deleting the words “COVID-19 Solidarity Fund” and
replacing them by the words “Solidarity Fund”, w.e.f 27 July 2024.

FA 2023 – Subsection (11)(b) amended, by deleting the words “eligible employee” and replacing them
by the words “eligible employees or qualifying employees”, w.e.f 20 July 2023.
821
FA 2023 – Subsection (12) amended, by deleting the words “an eligible employee” and “that eligible
employee” and replacing them by the words “an eligible employee or a qualifying employee” and “that
eligible employee or qualifying employee,” respectively, w.e.f 20 July 2023.
822
FA 2023 – New Part XIIF inserted, w.e.f 20 July 2023.
823
FA 2024 – Subsection (3) amended, by deleting the words “June 2024” and replacing them by the
words “June 2025”, w.e.f 27 July 2024.
824
FA 2024 – Subsection (11) repealed and replaced, w.e.f 27 July 2024.

“When an application is made by an individual under the Scheme, the Director-General may pay the
allowance for 3 consecutive months immediately prior to the month in which the application is made.”
825
FA 2024 – Subsection (12) amended, by deleting the words “30 September 2024” and replacing them
by the words “31 December 2025”, w.e.f 27 July 2024.
826
FA 2018 – Section 151A (1) amended, the words “27A,” inserted after the words “19,” w.e.f 9
August 2018.

FA 2008 - Section 151A inserting w.e.f 19.07.08.

827
FA 2010 – Section 152 amended by repealing and replacing subsections (1) and (2) by subsections (1)
and (2) and (2A)– w.e.f. 24.12.2010.

(1) Where, in respect of an income year, an employee whose gross income consists exclusively of
emoluments, has, under PAYE, suffered tax of an amount in excess of the income tax liability
on his chargeable income, he may claim a refund of the tax so paid or suffered or of the excess
amount, as the case may be, by submitting a return of income for that income year in
accordance with section 112.

Subsection (1) amended by FA 2001. Effective as from income year 2000-01. Previously ITA 1995 as
amended -
(1) Where, in respect of an income year -
(a) an individual whose tax liability on his chargeable income does not exceed 750 rupees
has paid or suffered tax; or
(b) an employee whose gross income consists exclusively of emoluments, has under
PAYE suffered tax of an amount in excess of the income tax liability on his
chargeable income,
he may claim a refund of the tax so paid or suffered or of the excess amount, as the case may
be, by submitting a return of income for that income year in accordance with section 112.
828
FA 2023 – Subsection (1)(a) amended, by inserting, after the words “chargeable income”, the words “or
gross income”; and by deleting the words “section 112” and replacing them by the words “section
111V, 112”, w.e.f 20 July 2023.

* Please refer to endnotes at Appendix 1 Page 411 of 491

MRA THE INCOME TAX ACT 1995 412

829
FA 2023 – Subsection (1)(b) amended, by deleting the words “section 112” and replacing them by the
words “section 111V, 112”, w.e.f 20 July 2023.
830
FA 2020 – Section 152 amended, subsection(2)repealed and replaced –shall come into operation on 1
September 2020.

Previously was:

A refund under subsection (1) shall be made –

(a) in the case of an employee whose gross income consists exclusively of emoluments,
within a period of 3 months of the due date for submission of the return or the date of
receipt of the claim, whichever is the later;

(b) in any other case, within a period of 6 months of the due date for submission of the
return or the date of receipt of the claim, whichever is the later.

FA 2016 - Subsection (2)(a) and (b) amended, the words “date of the claim” deleted and replaced by
the words “due date for submission of the return or the date of receipt of the claim, whichever is the
later” w.e.f 7 September 2016.

FA 2010 – Section 152 amended by repealing and replacing subsections (1) and (2) by subsections (1)
and (2) and (2A)– w.e.f. 24.12.2010.
Previously ITA 1995 -

831
FA 2023 – Section (2A) amended, by deleting the word “Repo” and replacing it by the word “Key”,
shall be deemed to have come into operation on 16 January 2023.

FA 2013 – Section 152(2A) amended the words “bank rate” deleted and replaced by the words
“Repo rate determined by the Bank of Mauritius” - shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
(2) (a) A refund under subsection (1) shall be made within 3 months of the date of submission of the
return of income.
(b) Where the refund is made after 3 months from the date the return of income is submitted, the
refund shall carry interest free of income tax at the prevailing Bank rate.
832
Proclamation No. 10 of 2016 – The amendment made shall come into operation on 1 June 2016.
FA 2015 – Section 152(3) amended, the figure “4” deleted and replaced by the figure “3” shall come
into operation on a date to be fixed by Proclamation.
833
FA 2016 - New subsections (4A) and (4B) inserted after subsection (4) w.e.f 7 September 2016.
834
FA 2007- Section 152A inserted w.e.f 22.08.07.
835
FA 2015 – Section 152A(3) amended, the word “one” deleted and replaced by the figure “0.5” w.e.f. 14
May 2015.
836
FA 2021 – Section 153(1) amended, the word “Every ” deleted and replaced by the words “Subject to
subsection (4), every ” –w.e.f 05 August 2021.

FA 2010 – Section 153 amended by repealing and replacing subsection (1) – w.e.f. 24.12.2010.

(1) Every person carrying on business or deriving income other than emoluments shall keep a full
and true record, whether on computer or otherwise, in the English or French language, of all
transactions and other acts engaged in by him that are relevant for the purpose of enabling his
gross income and allowable deductions under this Act to be readily ascertained by the
Director-General.

* Please refer to endnotes at Appendix 1 Page 412 of 491

MRA THE INCOME TAX ACT 1995 413

Subsection (1) deleted and replaced by FA 2004. Effective as from 17 August 2004.
837
FA 2021- Section 153 amended, new subsection(4) added- w.e.f 05 August 2021.
838
The Financial Crimes Commission Act 2023, Section 154(2) amended, paragraph (f) repealed and
replaced, w.e.f 29 March 2024 (by proclamation).

Previously was:

(f) the Prevention of Corruption Act 2002;

FA 2008 - section 154(2) amended by inserting after paragraph (c), the following paragraphs(d) and
(e), the existing paragraphs (d) and (e) being relettered (f) and (g) respectively w.e.f 19.07.08.

Subsection (2) deleted and replaced by FA 2004. Effective as from 17 August 2004. Previously was -
(2) Except for the purpose of administering this Act or any other revenue law or the National Pensions
(Registration of Employers) Regulations 1977(i), or where he is authorised to do so by the
Minister, no officer shall communicate to any person any matter relating to this Act.
(i) The words “or the National Pensions (Registration of Employers) Regulations 1977” inserted
by FA 2000.
839
FA 2022 – Section 154(2)(e) amended, by deleting the words “or (ac)” and replacing them by the words “,
(ac) or (ad)”, w.e.f 02 August 2022.

FA 2021- Section 154(2) amended, paragraph (e) repealed and replaced –w.e.f 05 August 2021.

(e) notifying the Economic Development Board that a non-citizen –

(i) has not satisfied or is not satisfying the criteria referred to in items 1, 8 and 9 of Part I,
and items 1 and 3 of Part II, of the First Schedule to the Economic Development Board
Act 2017; or

(ii) no more satisfies the requirements of paragraph (a) of subsection (5AA) of section 5A
of the Immigration Act;

Economic Development Board Act 2017 – Section 154(2)(e) amended, by deleting the words “Board of
Investment under the Investment Promotion Act” and replacing them by the words “Economic
Development Board” and subparagraph (i) amended by deleting the words “items 1,2 and 3 of Part I
and Part II of the Schedule to the Investment Promotion Act” and replacing them by the words “items 1,
8 and 9 of Part I, and items 1 and 3 of Part II, of the First Schedule to the Economic Development
Board Act 2017; – w.e.f 07 August 2017.
840
The Financial Crimes Commission Act 2023, Section 154(2) amended, paragraph (f) repealed and
replaced, w.e.f 29 March 2024 (by proclamation).
841
FA 2018 – Section 154 (2) amended new paragraph(h) added w.e.f 9 August 2018.
842
FA 2011 – Section 154(2A) amended, the words “, for the purposes of the Statistics Act,” inserted after
the word “shall” w.e.f. 15 December 2011.

Act No.20 of 2011 (THE ECONOMIC AND FINANCIAL MEASURES (MISCELLANEOUS

PROVISIONS) ACT 2011 – Section 154 amended, by inserting, after subsection (2), the following new
subsection (2A) – w.e.f 16 July 2011.
843
The Financial Crimes Commission Act 2023, Section 154(3) amended, by deleting the words “or in any
proceedings instituted under the Prevention of Corruption Act” and replacing them by the words “or in
any proceedings instituted under the Financial Crimes Commission Act 2023”, w.e.f 29 March 2024
(by proclamation).

* Please refer to endnotes at Appendix 1 Page 413 of 491

MRA THE INCOME TAX ACT 1995 414

FA 2013 – Section 154(3) amended , the words “or in any proceedings instituted under the Prevention
of Corruption Act” inserted after the words “Regulations 1977” - shall come into operation in respect
of the income year commencing 1 January 2014 and in respect of every subsequent income year.

The words “or the National Pensions (Registration of Employers) Regulations 1977” inserted by FA
2000
844
FA 2015 – Section 154 amended, new subsection(4A) inserted after subsection (4) w.e.f. 14 May 2015.

845
FA 2008 - Subsection (1) amended by deleting the words “sent by post to, or left at the office of the
Director - General” and replacing them by the words “forwarded so as to reach the office of the
Director-General not later than the due date” - w.e.f 19.07.08.

(1) Any return, Statement of Income, payment or other document required or authorised to be
served on or given or made to the Director-General shall be sent by 1post to or left at the
office of the Director-General.
1
The word “registered” deleted by FA 2004. Effective as from 17 August 2004.
846
FA 2008 - Subsection (2) repealed- w.e.f 19.07.08.
(2) Where any return, Statement of Income, payment or other document is sent by post to the
Director-General, the date of the postmark shall be deemed to be the date on which the return,
Statement of Income, payment or other document has been served, given or made.

Subsection (2) replaced by FA 2004. Effective as from 17 August 2004. Previously was
(2) Any return, Statement of Income, payment or other document sent by registered post to the
Commissioner under subsection (1) shall be post free and the date of the postmark shall be
deemed to be the date on which the return, Statement of Income, payment or other document
has been served, given or made.
847
FA 2013 – Section 155(3)(c) amended the words “through computer or” deleted and replaced by the
words “or through any”- shall come into operation in respect of the income year commencing 1
January 2014 and in respect of every subsequent income year.

FA 2008 – Subsection (3) amended by inserting after paragraph (b), the following paragraph, the word
“or” at the end of paragraph (a) being deleted and the full-stop at the end of paragraph (b) being deleted
and replaced by the words“; or” - w.e.f 19.07.08.

848
FA 2019 – New Section 155A inserted –w.e.f 25 July 2019.
849
FA 2017 – New section 157 inserted after section 156 shall be deemed to have come into operation on
1 January 2015.

MRA Act 2004 – Section 157 deleted.

157. Power to write off arrears of tax
Notwithstanding section 144, the Commissioner may, subject to the approval of the Revenue Authority
established under the Unified Revenue Act 1983, write off any arrears of tax which, in his opinion, are
required to be written off.
850
FA 2021- Subsection (3) amended, the words “subsection (3A)” deleted and replaced by the words
“subsection (3B) ” –w.e.f 05 August 2021.

FA 2017 – Subsection (3) amended, the words “subject to subsection (3A),” inserted after the word
“shall,” w.e.f 24 July 2017.
851
FA 2021- Section 159 amended, new subsections (3A) and (3B) inserted after subsection (3), the
existing subsection (3A) being renumbered as subsection (3C) - w.e.f 05 August 2021.

* Please refer to endnotes at Appendix 1 Page 414 of 491

MRA THE INCOME TAX ACT 1995 415

852
FA 2021- Section 159 amended, new subsections (3A) and (3B) inserted after subsection (3), the existing
subsection (3A) being renumbered as subsection (3C) - w.e.f 05 August 2021.
853
FA 2021- Section 159 amended, the existing subsection (3A) being renumbered as subsection (3C) -
w.e.f 05 August 2021.

FA 2017 –New subsection (3A) inserted after subsection (3) w.e.f 24 July 2017.
854
Section 159A added by FA 2005.
855
Existing provisions numbered (1) by FA 2003.
856
Inserting in the new subsection (1) the words “subject to subsection (2)” just after the words “a
Magistrate shall” by FA 2003.
FA 2006 – section 160(2) amended by deleting the words “the enactments” and replacing them by the
words “this Act”;
857
MRA Act 2004 – Subsection (2) added and existing provision being renumbered (1).

(2) The prosecution of an offence under any of the sections of the enactments specified in the
Fourth Schedule to the Mauritius Revenue Authority Act 2004 shall take place, at the discretion of the
Director of Public Prosecutions, before a Judge sitting without a jury, the Intermediate Court or a
District Court.
[URA Act 17 of 2003 (not proclaimed read as this)]
The prosecution for an offence under the sections of the Act specified in the Fifth Schedule to the
Unified Revenue Act shall take place, at the sole discretion of the Director of Public Prosecutions,
before the Revenue Division of the Supreme Court, the Intermediate Court, or the District Court.

Adding after the new subsection (1) the new subsection numbered (2) by FA 2003.
858
FA 2009 – Section 161(1)(b) amended, the words “Part I, Part II, and Part III of ” deleted w.e.f. 30 July
2009.

The words “PART I, PART II and PART III” replaced “PART I, PART II, PART III and PART IV” by
FA 2000. Effective as from year of assessment 2001-02.
859
Section 161A added by FA 2000.
The amendments (2), (3), (5), (7) and (8) were made by the Financial Services Development Act
2001. Effective as from 1.8.2001 - Proclamation No. 8 of 2001 -
860
FA 2007 – Subsection (1) and their heading repealed w.e.f. 22.08.07.
Taxation of qualified corporations

(1) (a) Subject to paragraph (c), a qualified corporation may, at any time, by irrevocable
notice in writing given simultaneously to the Director-General, and to the
Commission or the Bank of Mauritius, as the case may be 3, elect to be governed by
this Act.

Where a qualified corporation 4 5 has made an election under paragraph (a), it shall be liable
to income tax in the same manner as a tax incentive company in respect of its income
as from the income year in which the notice is given.

Subject to paragraphs (d) and (e), where a qualified corporation(7) has not made an election
under paragraph (a) it shall, notwithstanding section 162(1) of this Act, be governed
by the Income Tax Act 1974 in relation to-

(i) the ascertainment of its chargeable income;

(ii) the rate at which income tax is calculated;

* Please refer to endnotes at Appendix 1 Page 415 of 491

MRA THE INCOME TAX ACT 1995 416

(iii) the exemption from income tax of interest and of any dividends paid out
of its income; and

(iv) the submission of its annual return of income.

(d) Where a qualified corporation6 which is a société does not elect to be governed by
this Act, the société may, by notice in writing given simultaneously to the Director-
General and to the Commission 7, opt not to be liable to income tax.
(e) Where a société has exercised an option under paragraph (d), every associate of the
société shall be liable to income tax in respect of his share of income in that société at
the rate specified in paragraph 6 of the First Schedule to the Income Tax Act 1974.
Section 161A added by FA 2000.
The amendments (2), (3), (5), (7) and (8) were made by the Financial Services Development Act 2001.
Effective as from 1.8.2001 - Proclamation No. 8 of 2001 -
Previous paragraph (a) - FA 2000 -
(a) Subject to paragraph (c), an offshore corporation may, at any time, by irrevocable notice in writing
given simultaneously to the Commissioner and to the Authority or, where the offshore corporation is
a bank, to the Bank of Mauritius, elect to be governed by this Act.
3
The words ”Commissioner and to the Commission or the Bank of Mauritius, as the case may be” replaced
“Commissioner and to the Commission” by Banking Act 2004. Effective as from 10 November 2004 -
Proclamation No. 39 of 2004.
4
The words “a qualified corporation other than a trust under the Offshore Trusts Act 1992” replaced “an
offshore corporation”
5
The words “other than a trust under the Offshore Trusts Act 1992” deleted by Banking Act 2004. Effective as
from 10 November 2004 - Proclamation No. 39 of 2004.
6
The words “a qualified corporation” replaced by “an offshore corporation”.
7
The words “Commission” replaced “Authority”
(f) A company holding a management licence shall- 1
(i) notwithstanding this Act, be governed by the Income Tax Act 1974 in respect
of its income prior to 1 July 1998; and
(ii) be liable to income tax in the same manner as a tax incentive company in
respect of its income as from 1 July 1998.
(g) 2 “Commission” means the Commission established under the Financial Services Act
2007;
“company holding a management licence” means a company holding a management
licence under the Financial Services Act 2007;
“qualified corporation” 3 means –
(a) a corporation holding a Category 1 Global Business Licence under the
Financial Services Act 2007, or
(b) a bank holding a banking licence under the Banking Act 2004 so far as its
banking transactions with non-residents and corporations holding a Global
Business Licence under the Financial Services Act 2007 are concerned,
and having been in operation before 1 July 1998.
(h) Where a qualified corporation 4 does not make an election under paragraph (a) by 30
June 2002, the qualified corporation 5 shall be deemed to be liable to income tax in
the same manner as a tax incentive company in respect of its income for the year of
assessment commencing on 1 July 2003 and for every subsequent year of assessment.
1
The words “A company holding a management licence shall” replaced “An offshore management company
shall”
2
Previous paragraph (g) - FA 2000 -
(g) For the purposes of this subsection-
“Authority” has the same meaning as in the Mauritius Offshore Business Activities Act 1992;

* Please refer to endnotes at Appendix 1 Page 416 of 491

MRA THE INCOME TAX ACT 1995 417

“offshore corporation” means a corporation holding a certificate issued under, or an offshore trust as
defined in, the Mauritius Offshore Business Activities Act 1992, or a corporation holding an Offshore
Banking Licence issued under the Banking Act 1988, and having been in operation before 1 July 1998;
“offshore management company” means a company holding an offshore companies management licence
under section 23, or a company holding an offshore certificate under section 16, of the Mauritius Offshore
Business Activities Act 1992, and providing management services to offshore companies or international
companies or acting as corporate trustee.
3
Paragraph (g) amended by Banking Act 2004. New definition for “qualified Corporation”. Effective date
10 November 2004. Proclamation No. 39 of 2004. Previously -
“qualified corporation” means a corporation holding a Category Global Business Licence under the
Financial Services Development Act 2001 or a trust under the Offshore Trusts Act 1992 or a bank holding
a category 2 Banking Licence(i) under the Banking Act 1988, and having been in operation before 1 July
1998.
(i) The words “Category 2 Banking Licence” replaced “Class B Banking Licence” FA 2002.
4
he words “Where a qualified Corporation [other than a trust under the Offshore Trusts Act 1992]”(ii)
replaced “Where an Offshore Corporation”.
5
The words “the qualified corporation [other than a trust under the Offshore Trusts Act 1992] (ii)”
replaced “the offshore corporation”
(ii)
The words “other than a trust under the Offshore Trusts Act 1992” deleted by Banking Act 2004.
Effective as from 10 November 2004 – Proclamation No. 39 of 2004.
861
FA 2007 – Subsection (2) and its heading repealed w.e.f. 22.08.07.
Tax credits for companies

(2) (a) Notwithstanding this Act, relief in respect of investments made in certain companies
under section 34A of the Income Tax Act 1974, or in respect of capital expenditure
incurred under section 54J of the Income Tax Act 1974, prior to 1 July 1995 shall
continue to be allowed as tax credits.

(b) Any tax credit allowable under sections 69 and 70 shall, in respect of investments
made or capital expenditure incurred, prior to 1 July 1995, not be taken into account
for the purposes of calculating the limitation to tax credits under section 72.

(c) 861 Tax credit in respect of any amount paid prior to 1 July 2004 as subscription in the
share capital of a company which is a tax incentive company shall continue to be
allowed, provided that the requirements of section 69 are satisfied.
862
FA 2006 – Subsection (2A), (2B), (2C) and (2D) added .
863
Economic Development Board Act 2017- Section 161A(2C) amended, the words “Investment
Promotion Act” deleted and replaced by the words “Economic Development Board Act 2017” – w.e.f
07 August 2017.
864
FA 2007 – Subsection (2D) repealed w.e.f. 22.08.07.
(2D) Notwithstanding the repeal of sections 71 and 72, the provisions of those sections and
regulation 21 of the Income Tax Regulations 1996 shall continue to apply to every company
engaged in the export of goods which are manufactured or produced in Mauritius or in the
provision of services to a non-resident.
865
FA 2007 – Subsection (3) and its heading repealed w.e.f. 22.08.07.
Investment tax credits for individuals
(3) Notwithstanding this Act, relief in respect of investments made in certain companies under
section 34A of the Income Tax Act 1974 prior to 1 July 1996 shall continue to be allowed as
investment tax credit.
866
FA 2007 – Subsection (4) and its heading repealed w.e.f. 22.08.07.
Savings
(4) Notwithstanding section 162 and subject to the other provisions of this section, the Income Tax
Act 1974 and the Income Tax (Collection, Recovery and Repayment) Act shall remain in force
until the coming into operation of this Act.

* Please refer to endnotes at Appendix 1 Page 417 of 491

MRA THE INCOME TAX ACT 1995 418

867
FA 2007 – Subsection (5) and its heading repealed w.e.f. 22.08.07.
Interest Relief
(5) Any credit facility obtained by way of bank overdraft prior to 1 July 2001 shall qualify as a
loan until 30 June 2002 for the purposes of section 30, provided that the requirements of the
provisions of that section are satisfied.
Subsection (5) amended and subsection (6) deleted by FA 2001. Effective as from income year 2001-02.
Previously FA 2000 -
(5) Section 30(2) and (3) shall apply in respect of loans raised on or after 1 June 1996.
(6) The provisions of section 30 prior to the coming into force of section 10(e) of the Finance Act 1999
shall continue to apply in respect of loans raised prior to 1 July 1999.
868
FA 2007 – Subsection (6) repealed w.e.f. 22.08.07.
(6) Section 30(2) and (3) shall not apply in respect of loans raised prior to 1 June 1996.
New Subsections (6) and (6A) added by FA 2003. Deemed to have come into operation as from the
income year commencing 01.07.2001.
869
FA 2007 – Subsection (6A) repealed w.e.f. 22.08.07.
(6A) Subject to subsections (2), (3), (4) and (5) of section 30, any interest paid in respect of a loan
raised during the period 1 June 1996 to 30 June 1999 and -
(a) secured by mortgage or fixed charge on immovable property;
(b) raised on the security of an insurance policy on his life or on the life of his dependent
spouse or on the life of his dependent children;
(c) raised on the security of a standing crop or the proceeds of a crop; or
(d) raised on the pledge of shares or debentures,

shall qualify as a deduction under that section.

870
FA 2007 – Subsection (7) repealed w.e.f. 22.08.07.
(7) The amendments made-
(a) to item 3 of Part III of the Second Schedule to the Act by the Income Tax (Amendment
of Schedule) Regulations 2000; and
(b) to regulation 3(2) of, and the First Schedule to, the Income Tax Regulations 1996 by
the Income Tax (Amendment) Regulations 2000,
shall not apply to bonds and debentures, the prospectus in respect of which was issued prior to 31
March 2000.
871
FA 2006 – Subsection (7A), (7B), (7C) , (7D) and (7E), added .
872
FA 2017 – The words “the First Schedule” deleted and replaced by the words “Part I of the First
Schedule” shall be deemed to have come into operation on 1 July 2017.

FA 2007 - Subsection (7C) amended, by deleting the words “the rate specified in Sub - Part C of Part
II of the First Schedule” wherever they appear and replacing them by the words “the rate specified in
the First Schedule” ) in relation to companies shall come into operation on 1 July 2008 in respect of
the year of assessment commencing 1 July 2008 and in respect of every subsequent year of
assessment.
873
FA 2017 – The words “the First Schedule” deleted and replaced by the words “Part I of the First
Schedule” shall be deemed to have come into operation on 1 July 2017.
874
FA 2023 - New Subsection (8) inserted, w.e.f 20 July 2023.

FA 2007 – Subsection (8) and its heading repealed w.e.f. 22.08.07.

Contributions to superannuation fund
(8) (a) Where the terms of the instrument establishing a superannuation fund established
prior to 27 February 1999 do not contain the provisions of regulation 5(2)(c)(xvii)
and (xviii) of the Income Tax Regulations 1996, the employer shall, not later than 30
June 2001, apply to the Director-General under regulation 5(4) of those regulations
to vary the terms of the instrument in order to incorporate therein those provisions.

* Please refer to endnotes at Appendix 1 Page 418 of 491

MRA THE INCOME TAX ACT 1995 419

(b) Where an employer-

(i) makes an application under subparagraph (a), the Director-General shall

approve the variation with effect from the commencement date of the fund in
respect of employees in the service of the employer as at 1 July 2000; or
(ii) fails to make an application under subparagraph (a), the Director-General
shall direct the employer to include the provisions of regulation 5(2)(c)(xvii)
and (xviii) of the Income Tax Regulations 1996 in the terms of the instrument
of the fund with effect from the commencement date of the fund.

(c) Where a direction is issued under subparagraph (b)(ii), the provisions of regulation
5(2)(c)(xvii) and (xviii) of the Income Tax Regulations 1996 shall be deemed to have
been included in the terms of the instrument of the fund with effect from the
commencement date of the fund in respect of employees in the service of the employer
as at 1 July 2000.
875
FA 2007 – Subsection (9) and its heading repealed w.e.f. 22.08.07.

Investment relief

(9) Relief in respect of any amount paid prior to 1 July 2004 as subscription in the share capital
of a company which is a tax incentive company shall continue to be allowed provided that the
requirements of section 36 are satisfied.
Subsection (9) inserted by FA 2004. Effective as from 17 August 2004.

876
FA 2006 – Subsection (10), (11), (12), (13), (14), (15) and (16) added .
877
FA 2007 – Subsection (11) and its heading repealed w.e.f. 22.08.07.
Tax rate of duty free shops licensed on or before 30 September 2006

(11) Notwithstanding this Act, a company operating a duty free shop at a place, other than at the
port or airport, which has elected to operate under the Deferred Duty and Tax Scheme under
the Customs Act shall pay income tax at the rate specified in Sub Part A of Part II of the First
Schedule.
878
FA 2008 - Subsection (12) repealed , shall be deemed to have come into operation on 1 July 2007.

(12) Notwithstanding the repeal of items 13, 14 and 18 of Part II of the Second Schedule, the
provisions of those items shall continue to apply to an expatriate employee or a specified
Mauritian entitled to the exemption as at 30 June 2006.
879
FA 2011 – Subsection (13) amended the words “or freeport operator” deleted in paragraphs (a), (b)
and (c) - w.e.f. 15 December 2011.

FA 2010 – Subsection (13) amended, the words “30 June 2011” deleted wherever they appear and
replaced by the words “31 December 2013” w.e.f. 24.12.2010.
880
FA 2013 – Paragraphs (a) and (b) repealed - shall come into operation in respect of the income year
commencing 1 January 2014 and in respect of every subsequent income year.

(a) but subject to the other provisions of this subsection, a private freeport developer shall be
exempt from income tax payable for income years up to and including income year ending 31
December 2013 and thereafter be subject to tax at the rate specified in the First Schedule;

The Additional Stimulus Package (Miscellaneous Provisions) Act 2009 - subsection (13) amended,
by deleting the words “30 June 2009”, wherever they appear, and replacing them by the words “30 June
2011” w.e.f 16.04.2009.

* Please refer to endnotes at Appendix 1 Page 419 of 491

MRA THE INCOME TAX ACT 1995 420

FA 2007 - Paragraphs (a) (b) and (c) amended by deleting the words “the rate specified in Sub -Part C
of Part II of the First Schedule” wherever they appear and replacing them by the words “the rate
specified in the First Schedule” in relation to companies shall come into operation on 1 July 2008 in
respect of the year of assessment commencing 1 July 2008 and in respect of every subsequent year
of assessment.

881
FA 2013 – Paragraphs (a) and (b) repealed - shall come into operation in respect of the income year
commencing 1 January 2014 and in respect of every subsequent income year.

(b) where a private freeport developer is authorised by virtue of its licence to carry out any
specified manufacturing or processing activities, it shall, subject to paragraph (c), be liable to income
tax on its chargeable income at the rate specified in the First Schedule;
882
FA 2017 – The words “the First Schedule” deleted and replaced by the words “Part I of the First
Schedule” shall be deemed to have come into operation on 1 July 2017.
883
FA 2007 - Paragraphs (d), (e) and (f) repealed w.e.f 22.08.07.
(d) where a private freeport developer or freeport operator, other than one referred to in
paragraphs (b) or (c), is authorised to provide goods and services to a person outside the
freeport zone, it shall be liable to income tax on its income from the provision of those goods
and services -

(i) at the rate specified in Sub Part C of Part II of the First Schedule, where the sale is
made to a company holding an investment certificate in respect of an export
enterprise, or export service enterprise, issued as at 30 September 2006 under the
Investment Promotion Act or to a duty free shop under the Customs Act; and

(ii) in the case of a sale made to any person other than the persons referred to in
subparagraph (i) -

(A) at the rate specified in Sub-Part A of Part II of the First Schedule for
companies in operation as at 30 June 2006; or

(B) at the rate specified in Sub-Part B of Part II of the First Schedule for
companies starting operation after 30 June 2006;
884
FA 2007 - Paragraphs (d), (e) and (f) repealed w.e.f 22.08.07.

(e) where a company is licensed to carry out activities as an occasional operator, it shall be liable
to income tax on its income derived from those activities -

(i) at the rate specified in Sub Part A of Part II of the First Schedule for operators in
operation as at 30 June 2006;

(ii) at the rate specified in Sub Part B of Part II of the First chedule or operators entering
into operation after 30 June 2006;
885
FA 2007 - Paragraphs (d), (e) and (f) repealed w.e.f 22.08.07.
(f) every third party freeport developer shall be liable to income tax on its chargeable income at
the rate specified in Sub Part C of Part II of the First Schedule;
886
FA 2007 - Paragraph (g) amended by deleting the words “, (c) and (d)” and replacing them by the
words “and (c)” w.e.f 22.08.07.

887
FA 2011 – Paragraphs (h) amended, the words “freeport operator” and’ deleted - w.e.f. 15 December
2011.

* Please refer to endnotes at Appendix 1 Page 420 of 491

MRA THE INCOME TAX ACT 1995 421

FA 2007 - Paragraph (h) repealed and replaced w.e.f 22.08.07.

(h) in this subsection, "freeport operator", "occasional operator", "private freeport developer"
and "third party freeport developer" means a company licensed as such under the Freeport
Act 2004.
888
FA 2009 –Paragraph (i) added w.e.f. 30 July 2009.
889
FA 2018 –New subsection (13A) inserted after subsection (13) w.e.f 9 August 2018.
890
Economic Development Board Act 2017 – Section 14(a) amended, the words “Investment Promotion
Act” deleted and replaced by the words “ Economic Development Board Act 2017” w.e.f 27 July 2017
7 August 2017.
891
FA 2015 – Subsection (14A) repealed and replaced w.e.f. 14 May 2015.

(14A) Notwithstanding section 24 and regulation 7 and the Second Schedule to the Income Tax
Regulations 1996, accelerated annual allowance shall be granted in respect of capital
expenditure incurred during income years 2013 and 2014 as follows

Rate of annual allowance –

Capital expenditure incurred on Percentage of

Base value Cost

30
Industrial premises dedicated to manufacturing

Plant or machinery costing 50,000 rupees or less - 100

-
Electronic and high-precision machinery (including computer 50
hardware and software)
-
Plant and machinery (excluding passenger car) by a 50
manufacturing company
-
Green technology equipment 50
-
Scientific research 50
-
Landscaping and other earth works for 50
embellishment purposes
-
Renovation works undertaken by hotels, restaurants and retail 33
outlets

FA 2012 – Section 161A amended - new subsection (14A) inserted after subsection (14) w.e.f. 22
December 2012.
892
FA 2012 – Subsection (15) amended, the words “subsection (14)(h)” – deleted and replaced by the
words “subsections (14)(h) and (14A)” - w.e.f. 22 December 2012.
893
FA 2012 – Subsection (15) amended, new definition inserted - w.e.f. 22 December 2012.

894
FA 2007 – Subsection (17) – (23) added shall be deemed to have come into operation on 1 July 2007.
895
FA 2011 – After subsection (20), the following words - Tax arrears payment incentive scheme
(TAPIS) deleted and replaced by the following words -Tax Arrears Settlement Scheme (TASS) -
shall come into operation on 1 January 2012.

* Please refer to endnotes at Appendix 1 Page 421 of 491

MRA THE INCOME TAX ACT 1995 422

896
FA 2017 – under the heading “Tax Arrears Settlement Scheme (TASS)”, subsection (21) repealed and
replaced w.e.f 24 July 2017.

(21) (a) Where tax arrears as at 31 December 2012 are paid by a person on or before 30 Novembre
2013, any penalty included therein shall be reduced -

(i) by 100 per cent where the penalty is charged under sections 101, 109, 110, 111, 121
or 133; and

(ii) by 75 per cent where the penalty is charged under section 122,

provided that an application for the reduction is made to the Director-General on or

before 30 September 2013.

(b) In paragraph (a) -

“tax arrears” -

(a) means tax and penalty due and payable under an assessment issued or a
return submitted on or before 30 June 2006; but

(b) does not include tax due under an assessment which is pending before the
Assessment Review Committee, Supreme Court or Judicial Committee
of the Privy Council.

FA 2012 – Paragraph (a) amended, the words “31 December 2011”, “30 September 2012” and “30 June
2012” deleted and replaced by the words “31 December 2012”, “30 November 2013” and “30
September 2013”, respectively- w.e.f. 22 December 2012.

FA 2011 –Subsections (21), (22) and (23) repealed and replaced shall come into operation on 1 January
2012.
(21) Where tax arrears as at 30 June 2007 is paid by a person on or before 31 December 2007,
any penalty under section 133 included therein for non-payment of the tax shall be reduced by
75 per cent.

(22) For the purposes of subsection (21), “tax arrears” means -

(a) tax liability which is final and conclusive pursuant to section 135 and which has
remained unpaid;

(b) tax remaining unpaid and pending following an objection made under section 131A
or under review by the Assessment Review Committee; or

(c) tax remaining unpaid and pending an appeal before the Supreme Court or an
appeal before the Judicial Committee of the Privy Council.

(23) Subsections (17) and (21) shall not apply to any person who has been convicted on or after 1
July 2001 or against whom any civil or criminal proceedings are pending or contemplated or
enquiry is being conducted into or relating to the trafficking of dangerous drugs, arms
trafficking, offences related to terrorism under the Prevention of Terrorism Act 2002, money
laundering under the Financial Intelligence and Anti-Money Laundering Act 2002 or

* Please refer to endnotes at Appendix 1 Page 422 of 491

MRA THE INCOME TAX ACT 1995 423

corruption under the Prevention of Corruption Act 2002.

897
FA 2012 - Subsection (22) repealed and replaced - w.e.f. 22 December 2012.
(22) (a) Any person may apply to the Director-General on or before 30 June 2012 for a
reduction of penalty under subsection (21) in respect of tax due under an
assessment pending under objection or which is pending before the Assessment
Review Committee, Supreme Court or Judicial Committee of the Privy Council.

(b) Where an application is made under paragraph (a) and the applicant withdraws his
objection, representation or appeal, as the case may be, the Director-General shall
grant the reduction.
898
FA 2007 - Subsection (24) in relation to companies shall come into operation on 1 July 2008 in
respect of the year of assessment commencing 1 July 2008 and in respect of every subsequent year
of assessment.

899
FA 2007 - Subsection (25) shall come into operation on 1 July 2009 in respect of the year of assessment
commencing 1 July 2009 and in respect of every subsequent year of assessment.
900
FA 2008 - Subsection (26) added w.e.f 19.07.08.

901
The Additional Stimulus Package (Miscellaneous Provisions) Act 2009 - Section 161A amended by
adding, after subsection (26), the following new subsections – subsections (27) to subsection (33) shall be
deemed to have come into operation on 1 January 2009.

902
FA 2009 – Subsection (27), paragraphs (a) and (b) amended, the words “a plot of land” deleted and
replaced by the words “a plot of freehold land” shall be deemed to have come into operation on 1 July
2009.

903
FA 2009 – Subsection (27), paragraphs (a) and (b) amended, the words “a plot of land” deleted and
replaced by the words “a plot of freehold land” shall be deemed to have come into operation on 1 July
2009.

904
FA 2009 – New Heading and subsection (34)added- shall be deemed to have come into operation on 1
July 2009.

905
FA 2009 – New Heading and subsection (35)added- shall be deemed to have come into operation on 1
July 2009.
906
FA 2010 – New subsection (37) added after subsection (36) – w.e.f. 24.12.2010.
907
Act No.20 of 2011 (THE ECONOMIC AND FINANCIAL MEASURES (MISCELLANEOUS
PROVISIONS) ACT 2011 - Section 161A amended by adding the following new subsection (38).
908
FA 2012 –Subsections (39) to (42) repealed and replaced w.e.f. 22 December 2012.
FA 2011 – New sections (39) to (49) added shall come into operation on 1 January 2012.

(39) (a) Where, on or before 30 June 2012, a person makes a voluntary disclosure of his
undeclared income in respect of any year of assessment preceding the year of
assessment ending on 31 December 2012, he shall, at the same time, pay tax on that
income at the rate of 15 per cent of his chargeable income, free from any penalty
and interest that may have become due in accordance with this Act.

(b) The disclosure under paragraph (a) shall be made in such form and manner and
under such conditions as may be determined by the Director-General.

* Please refer to endnotes at Appendix 1 Page 423 of 491

MRA THE INCOME TAX ACT 1995 424

(c) Any undeclared income disclosed under paragraph (a) shall be deemed to have
been derived in respect of the year of assessment ending on 31 December 2011.

(40) Where a person who has been assessed to tax in respect of a year of assessment -

(a) has objected to the assessment under section 131A;

(b) has lodged a representation with the Clerk to the Assessment Review Committee; or

(c) has made an appeal to the Supreme Court or to the Judicial Committee of the Privy
Council,
and the objection, representation or appeal is pending as at 31 December 2011, he may apply
to the Director-General for the income assessed to be considered as a voluntary disclosure of
his undeclared income under subsection (39).
(41) Where a person who has made an application undersubsection (40) withdraws his objection,
representation or appeal, as the case may be, his tax liability in respect of the income assessed
shall be re-computed as provided under subsection (39).
(42) Where the tax under subsection (39) is not paid in full on or before 30 June 2012, any unpaid tax
shall carry interest at the rate of one per cent per month.

909
FA 2015 – Subsection (42)(a) amended, the word “one” deleted and replaced by the figure “0.5” w.e.f.
14 May 2015.
910
FA 2020 – Subsection (45) amended, the words “30 June 2019” deleted wherever they appear and
replaced by the words “31 December 2020” –w.e.f 7 August 2020.

FA 2013 – Subsection (45) amended, the figures “2013” wherever it appears and “2015” deleted and
replaced by the figures “2014” and “2016”, respectively - shall come into operation in respect of the
income year commencing 1 January 2014 and in respect of every subsequent income year.
911
FA 2016 - Subsection (45) amended, the figure “2018” deleted and replaced it by the figure” 2019”
w.e.f 7 September 2016.

FA 2015 – Subsections (45) and (46) amended, the words “31 December 2014” deleted and replaced by
the words “30 June 2018” w.e.f. 14 May 2015.
912
FA 2020 – Paragraph (b) amended, the words “30 June 2020” deleted and replaced by the words 30
June 2022” –w.e.f 7 August 2020.

FA 2016 - Paragraph (b) amended, the words “31 December 2019” deleted and replaced by the words
“30 June 2020” w.e.f 7 September 2016.

FA 2015 – Subsection (45)(b) amended, the words “not later than 30 June 2016” deleted and replaced
by the words “not later than 31 December 2019” w.e.f. 14 May 2015.
913
FA 2015 – Subsections (45) and (46) amended, the words “31 December 2014” deleted and replaced by
the words “30 June 2018” w.e.f. 14 May 2015.
914
FA 2020 – Paragragh (c) amended, the words “December 2019” deleted and replaced by the words “
December 2021” w.e.f 7 August 2020.

FA 2016 - Paragraph (c) amended, the words “30 June 2019” deleted and replaced by the words “31
December 2019” w.e.f 7 September 2016.

FA 2015 – Subsection (46)(c) amended, the words “31 December 2015” deleted and replaced by the
words “30 June 2019” w.e.f. 14 May 2015.

* Please refer to endnotes at Appendix 1 Page 424 of 491

MRA THE INCOME TAX ACT 1995 425

FA 2013 – Subsection (46)(c) amended, the figure “2014” deleted and replaced by the figure “2015” -
shall come into operation in respect of the income year commencing 1 January 2014 and in respect of
every subsequent income year.

915
FA 2013 – Subsection (46)(d) amended, the figure “2015” deleted and replaced by the figure “2014” -
shall come into operation in respect of the income year commencing 1 January 2014 and in respect of
every subsequent income year.

FA 2012 – Subsection (46) amended, paragraph (d) repealed and replaced w.e.f. 22 December 2012.
(d) the sale value of a residential unit shall not exceed 2.5 million rupees.
916
FA 2016 - Paragraph (d)(ii) amended, the figures “2018” and “4” deleted and replaced by the figures
“2019” and “6”, respectively w.e.f 7 September 2016.

FA 2015 – Subsections (45) and (46) amended, the words “31 December 2014” deleted and replaced by
the words “30 June 2018” w.e.f. 14 May 2015.
917
FA 2020 – Paragraph (d) amended by adding the following new paragraph (iii), the full stop at the end
of subparagraph (ii) being deleted and replaced by the words “; or” and the word “or” at the end of
subparagraph (i) being deleted w.e.f 7 August 2020.
918
FA 2016 - Paragraph (a) of Subsection (50) amended, the words “the Ninth Schedule” deleted and
replaced by the words “column 1 of the Ninth Schedule” w.e.f 7 September 2016.

FA 2016 - Paragraph (a) of Subsection (50) amended, the words “31 December 2018” deleted and
replaced by the words “30 June 2016” w.e.f 7 September 2016.

FA 2013 – New subsections 50(a) to 50(e) added – shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
919
FA 2013 – New subsections 50(a) to 50(e) added – shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
920
FA 2013 – New subsections 50(a) to 50(e) added – shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
921
FA 2013 – New subsections 50(a) to 50(e) added – shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
922
FA 2013 – New subsections 50(a) to 50(e) added – shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.
923
FA 2017 – Paragraph (a) repealed and replaced shall be deemed to have come into operation on 1 July
2017.

50A) (a) Subject to this subsection, where during the period 1 July 2016 to 30 June 2020 –
(i) a company which carries on in Mauritius the business of manufacturing or
producing any of the goods or products specified in the Ninth Schedule has
incurred capital expenditure on new plant and machinery and such plant
and machinery is used in that activity; or

(ii) a company has invested in the share capital of a subsidiary company

engaged primarily in the setting up and management of an accredited
business incubator, it shall be allowed, by way of a deduction from its
income tax otherwise payable in respect of the year of acquisition or
investment and for each of the 2 subsequent income years, a tax credit –

* Please refer to endnotes at Appendix 1 Page 425 of 491

MRA THE INCOME TAX ACT 1995 426

(A) at the rate specified in the Ninth Schedule; or

(B) of an amount equal to 15 per cent of the investment in the share

capital of a subsidiary company engaged primarily in the setting up
and management of an accredited business incubator subject to a
maximum of 3 million rupees.

FA 2016 - New subsection (50A) inserted after subsection (50) w.e.f 7 September 2016.
924
FA 2017 – New paragraphs (aa) and (ab) inserted after paragraph (a) shall be deemed to have come into
operation on 1 July 2017.
925
FA 2015 – New subsections (51) and (52) added w.e.f. 14 May 2015.
926
FA 2015 – New subsections (51) and (52) added w.e.f. 14 May 2015.
927
FA 2017 – Subsection (52) amended, in paragraphs (c) and (d) the words “section 59(b)” and “section
59(c)” deleted and replaced by the words “section 59(2)” and “section 59(3)”, respectively, shall come
into operation in respect of the year of assessment commencing on 1 July 2017 and in respect of every
subsequent year of assessment.
928
FA 2017 – FA 2017 – Subsection (52) amended, in paragraphs (c) and (d) the words “section 59(b)”
and “section 59(c)” deleted and replaced by the words “section 59(2)” and “section 59(3)”,
respectively, shall come into operation in respect of the year of assessment commencing on 1 July 2017
and in respect of every subsequent year of assessment.
929
FA 2017 – New subsection (52A) inserted w.e.f 24 July 2017.
930
FA 2016 - New subsections (53) and (54) added w.e.f 7 September 2016.
931
FA 2021- Subsection (55) amended, the figure ‘‘2022’’ deleted wherever it appears and replaced by the
figure ‘‘2027 ’’ –w.e.f 05 August 2021.
932
FA 2018 – New subsection (56) added w.e.f 9 August 2018.
933
FA 2018 – New subsection (57) added w.e.f 9 August 2018.
934
FA 2020 –Subsection (57)(b) amended, the words “as may be prescribed” deleted and replaced by the
words “as the Director- General may determine” w.e.f 7 August 2020.
935
FA 2018 – New subsection (58) added w.e.f 9 August 2018.
936
FA 2020 – New subsection (58A) inserted w.e.f 7 August 2020.
937
FA 2024 – Subsection (58A)(a) amended, by deleting the words “new plant and machinery” and
replacing them by the words “new plant and machinery, artificial intelligence and patents”, shall be
deemed to have come into operation on 01 July 2024.

FA 2023 - Subsection (58A)(a) amended, by deleting the figure “2023” and replacing it by the figure
“2026”, w.e.f 20 July 2023.
938
FA 2021- Subsection (58A) amended, new paragraphs (aa) and (ab) inserted – w.e.f 05 August 2021.
939
FA 2024 – Subsection (58A)(ab) amended, by deleting the words “new plant and machinery” and
replacing them by the words “new plant and machinery, artificial intelligence and patents”, shall be
deemed to have come into operation on 01 July 2024.

FA 2023 – New Subsection (58A)(ab) inserted, w.e.f 20 July 2023.

940
FA 2023 – Subsection (58A)(ab) amended, by being reletterred as (ac), w.e.f 20 July 2023.

* Please refer to endnotes at Appendix 1 Page 426 of 491

MRA THE INCOME TAX ACT 1995 427

FA 2021- Subsection (58A) amended, new paragraphs (aa) and (ab) inserted – w.e.f 05 August 2021.
941
FA 2024 – New definition inserted, shall be deemed to have come into operation on 01 July 2024.
942
FA 2018 – New subsection (59) added w.e.f 9 August 2018.
943
FA 2018 – New subsection (60) added w.e.f 9 August 2018.
944
FA 2023 – Subsection (61) amended, by deleting the words “on or after 1 September 2016” and
replacing them by the words “during the period starting on 1 September 2016 and ending on 8 August
2018”, w.e.f 20 July 2023.

FA 2018 – New subsection (61) added w.e.f 9 August 2018.

945
FA 2018 – New subsection (62) added w.e.f 9 August 2018.
946
FA 2019 – New subsection (63) added – w.e.f 25 July 2019.
947
Covid M A 2020- Subsection (63) amended, the words “31 March 2020”deleted wherever they appear
and replaced by the words “26 June 2020” – shall be deemed to have come into operation on 23 March
2020.
948
Covid M A 2020 – Subsection (63) amended, the words “31 March 2020” deleted wherever they appear
and replaced by the words “26 June 2020”-shall be deemed to have come into operation on 23 March
2020.
949
New subsection (64) added w.e.f 7 August 2020.
950
New subsection (65) added w.e.f 7 August 2020.
951
New subsection (66) added w.e.f 7 August 2020.
952
FA 2021 -New subsection (67) added w.e.f 05 August 2021.
953
FA 2021 -New subsection (68) added w.e.f 05 August 2021
954
FA 2021 -New subsection (69) added w.e.f 05 August 2021
955
FA 2021 -New subsection (70) added w.e.f 05 August 2021
956
FA 2021- New subsection (71) added – shall come into operation in respect of the year of assessment
commencing on 1 July 2022 and in respect of every subsequent year of assessment.
957
FA 2021- New subsection (72) added – shall come into operation in respect of the year of assessment
commencing on 1 July 2022 and in respect of every subsequent year of assessment.
958
FA 2021 - New subsection (73) added w.e.f 05 August 2021.
959
FA 2022 - New subsection (74) added w.e.f 02 August 2022
960
FA 2022 - New subsection (75) added w.e.f 02 August 2022.
961
The words “Subject to section 161A” replaced “Subject to section 11 of the Finance Act 1995” by FA
2000.
962
FA 2023 – Part I repealed and replaced, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2023 and in respect of every subsequent income year.

ITA 1995:

* Please refer to endnotes at Appendix 1 Page 427 of 491

MRA THE INCOME TAX ACT 1995 428

Rate of
income tax
An individual having an annual net income –

(a) not exceeding 700, 000 rupees 10 per cent

(b) exceeding 700, 000 rupees but not 12.5 per cent
exceeding 975,000 rupees

(c) exceeding 975, 000 rupees 15 per cent

FA 2022 – Part I repealed and replaced, shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2022 and in respect of every subsequent income year.

Previously:

PART I
Rate of
income tax
An individual having an annual net income –

(a) not exceeding 650, 000 rupees 10 per cent

(b) exceeding 650, 000 rupees 15 per cent

FA 2018 - Part I repealed and replaced – shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2018 and in respect of every subsequent income year.
PART I
Rate of income tax 15 per cent

FA 2017 – The First Schedule repealed and replaced shall be deemed to have come into operation on 1
July 2017.
FIRST SCHEDULE
[Section 4]

Rate of income tax 15 per cent

FA 2011 – The First Schedule repealed and replaced - shall be deemed to have come into operation on
5 November 2011.

(a) Rate of income tax on income, other than gains 15 per cent

(b) Rate of income tax on gains –

(i) in the case where the property is sold or transferred, 10 per cent
otherwise than in the ordinary course of business, by an
individual or co-owner who is an individual;

(ii) in the case where the property is sold or transferred by a

trust; 10 per cent

(iii) in any other case

15 per cent

FA 2010 –The First Schedule repealed and replaced w.e.f. 24.12.2010.

* Please refer to endnotes at Appendix 1 Page 428 of 491

MRA THE INCOME TAX ACT 1995 429

FIRST SCHEDULE
(section 4)

Rate of income tax … … … 15 per cent

FA 2007 - The First Schedule repealed and replaced in relation to companies shall come into operation
on 1 July 2008 in respect of the year of assessment commencing 1 July 2008 and in respect of
every subsequent year of assessment.

FA 2006 s.18(zzf) – effective as from income year commencing on 1 July 2006.

FIRST SCHEDULE
(section 4)
PART I – INDIVIDUALS

Income year commencing Chargeable income Rate of tax

on -
(a) 1 July 2006 Chargeable income relating to net income other
than income from interest -
On the first 500,000 rupees 15.0 per cent
On the remainder 22.5 per cent
Chargeable income relating to income from
interest 15.0 per cent
(b) 1 July 2007 Chargeable income relating to net income other
than income from interest -
On the first 500,000 rupees 15.0 per cent
On the remainder 20.0 per cent
Chargeable income relating to income from
interest 15.0 per cent
(c) 1 July 2008 Chargeable income relating to net income other
than income from interest -
On the first 500,000 rupees 15.0 per cent
On the remainder 17.5 per cent
Chargeable income relating to income from
interest 15.0 per cent
(d) 1 July 2009 and in On the total chargeable income 15.0 per cent
respect of every
subsequent income year
963
FA 2023 – Part III amended, by repealing the heading “Sub-Part A” and by repealing Sub-parts B and
C, w.e.f 20 July 2023.

Previously was:

Sub-Part B
Chargeable income – Rate of income
tax
(a) first 1.5 billion rupees 5 per cent

(b) exceeding 1.5 billion rupees up to the amount equivalent to the chargeable 15 per cent
income of the base year

(c) remainder 5 per cent

Sub-Part C

* Please refer to endnotes at Appendix 1 Page 429 of 491

MRA THE INCOME TAX ACT 1995 430

Rate of income tax 5 per cent

FA 2018 – New Parts added shall come into operation in respect of the year of assessment commencing
on 1 July 2020 and in respect of every subsequent year of assessment.

964
FA 2004. (effective as from income year commencing on 1 July 2004)
FIRST SCHEDULE
(section 4)
Rates of income tax
.
PART I - INDIVIDUALS(1)

Chargeable income Rate of tax

On the first 25,000 rupees 10 per cent

On the next 25,000 rupees 20 per cent
On the next 450,000 rupees 25 per cent
On the remainder 30 per cent
(1)
 FA 1996 (effective as from income year commencing on 1 July 1996)

PART I - INDIVIDUALS
Chargeable income Rate of tax
On the first 15,000 rupees 5 per cent
On the next 20,000 rupees 15 per cent
On the next 20,000 rupees 25 per cent
On the remainder 30 per cent

 FA 1999 – Income year 1999-2000(effective as from income year commencing on 1 July 1999)

PART I - INDIVIDUALS
Chargeable income Rate of tax
On the first 15,000 rupees 5 per cent
On the next 25,000 rupees 15 per cent
On the next 25,000 rupees 25 per cent
On the remainder 28 per cent

 FA 2000 – Income year 2000-2001(effective as from income year commencing on 1 July 2000)
PART I - INDIVIDUALS
Chargeable income Rate of tax
On the first 25,000 rupees 15 per cent
On the remainder 25 per cent

965
FA 2006 s.18(zzf) – effective as from year of assessment 2007/2008.

PART II – COMPANIES

Sub-Part A - Companies liable to tax at the rate of 25 per cent in respect of the year of assessment
commencing on 1 July 2006

Rate of tax on chargeable income

Year of assessment commencing on - Rate of tax

(a) 1 July 2007 22.5 per cent

* Please refer to endnotes at Appendix 1 Page 430 of 491

MRA THE INCOME TAX ACT 1995 431

(b) 1 July 2008 20.0 per cent

(c) 1 July 2009 17.5 per cent
(d) 1 July 2010 and in respect of every subsequent year 15.0 per cent
of assessment

Sub-Part B - Companies incorporated or registered on or after 1 July 2006 which, had they been
in operation, would have been liable to tax at the rate of 25 per cent in respect of the year of
assessment commencing on 1 July 2006

Rate of tax on chargeable income

Year of assessment commencing on - Rate of tax

(a) 1 July 2007 22.5 per cent
(b) 1 July 2008 20 per cent
(c) 1 July 2009 17.5 per cent
(d) 1 July 2010 and in respect of every subsequent year 15.0 per cent
of assessment

Sub-Part C - Companies liable to tax at the rate of 15 per cent in respect of the year of
assessment commencing on 1 July 2006 and companies incorporated or registered on or
after 1 July 2006 and not falling under Sub-Part B

Rate of tax on chargeable income

Year of assessment commencing on - Rate of tax

1 July 2007 and in respect of every subsequent year of 15 per cent
assessment

PART II - TAX INCENTIVE COMPANIES(1)

The rate of tax on chargeable income shall be 15 per cent.

(1)
Part II amended by FA 2000. Effective as from year of assessment 2001-02. Previously -
ITA 1995 as amended - Year of assessment 1996-97
PART II - TAX INCENTIVE COMPANIES
The rate of tax on chargeable income shall be 15 per cent.
 FA 1998 – Year of assessment 1998-99
PART II - TAX INCENTIVE COMPANIES
1. Subject to item 2, the rate of tax on chargeable income shall be 15 per cent.
2. In respect of a tax incentive company specified in item 16(a) or 16(b) of Part V of the First Schedule
and which elects, by notice in writing given simultaneously to the Authority or the Bank of Mauritius
respectively, and to the Commissioner to pay income tax at a rate exceeding 15 per cent, the rate of
tax on its chargeable income shall be the rate specified in that notice.
(2)
Previous PART IV renumbered PART III by FA 2000, the previous PART III being deleted. Effective
as from year of assessment 2001-02. Previously ITA 1995 – year of assessment 1996-97
PART III(2) - OTHER COMPANIES

The rate of tax on chargeable income shall be 25 per cent(3).

(2)
Previous PART IV renumbered PART III by FA 2000, the previous PART III being deleted. Effective
as from year of assessment 2001-02. Previously ITA 1995 – year of assessment 1996-97
PART III - STOCK EXCHANGE COMPANIES
The rate of tax on chargeable income shall be 25 per cent in respect of the following -
1. A company listed on the Stock Exchange other than a tax incentive company
2. A subsidiary of a listed company other than a subsidiary which qualifies as a tax incentive company.
(3)
The words “25 per cent” replaced “35 per cent” by FA 2000. Effective as from year of assessment 2001-
02.

* Please refer to endnotes at Appendix 1 Page 431 of 491

MRA THE INCOME TAX ACT 1995 432

PART IV(1) - LIST OF TAX INCENTIVE COMPANIES

1.(2) A company holding an investment certificate in respect of an export ]
enterprise(3) ] under
]
2.(2) A company holding an investment certificate in respect of a strategic local ]
enterprise ] the
]
3.(2) A company holding an investment certificate in respect of modernisation and ]
expansion enterprise other than a company engaged in the manufacture of ] Investment
excisable goods under the Excise Act 1994 ]
] Promotion
]
]
4.(2) A company holding an investment certificate in respect of an industrial ] Act
building enterprise ]
]
5.(2) A company holding an investment certificate in respect of a pioneer status ] 2000
enterprise ]

6.(2) A company registered with the Small and Medium Industries Development Organisation

7. A company holding an export service certificate under the Export Service Zones Act 1981

8.(4) A company operating an aerodrome

9.(4) A company holding an investment certificate in respect of hotel development under the Investment
Promotion Act 2000
(1)
Previous PART V renumbered PART IV by FA 2000.
(2)
Items 1-6 amended by FA 2001. Effective as from income year 2001-02. Previously ITA 1995 as amended -
1. A company holding an export enterprise certificate ]
2. A company holding a strategic local enterprise certificate ] under
3. A company holding a modernisation and expansion enterprise certificate other ] the
than a company engaged in the manufacture of excisable goods under the Excise Act ] Industrial
1994
4. A company holding an industrial building enterprise certificate ] Expansion
5. A company holding a pioneer status certificate ] Act
6. A company registered with the Small and Medium Industries Development ] 1993
Organisation
(3)
Exempt from income tax from year of assessment 1997-98 to year of assessment 2000-01. Previously
Second Schedule, Part I, Item 28 which was added by FA 1996 and deleted by FA 1998 -
28. A company holding an export enterprise certificate under the Industrial Expansion Act 1993
(4)
Items 8 & 9 amended by FA 2001. Effective as from income year 2000-01. Previously ITA 1995 as
amended -
8. A company holding a development certificate under the Development Incentives Act
9. A company holding a hotel management service certificate under the Hotel Management
(Incentives) Act 1982, notwithstanding section 7 of that Act

10. An investment trust company listed on the Stock Exchange or designated as an approved investment
institution under section 50A of the Stock Exchange Act 1988

11. An authorised mutual fund under the Companies Act 1984

12. A trustee of a unit trust scheme

13. A company holding a housing development certificate issued by the Minister

* Please refer to endnotes at Appendix 1 Page 432 of 491

MRA THE INCOME TAX ACT 1995 433

14.(1) A polyclinic holding an investment certificate in respect of health services under the Investment
Promotion Act 2000

15. A manufacturing company

16.(2) A corporation holding a Category 1 Global Business Licence under the Financial Services
Development Act 2001

17. A société which opts to be liable to income tax under section 47(6)

18. A company engaged wholly in the management of -

(a) a venture capital fund;

(b) a company holding an investment certificate in respect of a strategic local enterprise under the
Investment Promotion Act 2000(3)
(1)
Item 14 amended by FA 2001. Effective as from income year 2001-02. Previously ITA 1995 as
amended -
14. A polyclinic holding a health development certificate under the Health Development Certificate Act
1992
(2)
Item 16 amended by Banking Act 2004. Effective date 10 November 2004. Proclamation No. 39 of
2004. Previously was:
16. (a) A corporation holding a Category 1 Global Business Licence under the Financial Services
Development Act 2001.
(b) A bank holding a Category 2 Banking Licence(i) under the Banking Act 1988 in respect of the
business activities covered by that licence(ii)
(i) The words “Category 2 Banking Licence” replaced “Class B Banking Licence” by FA
2002
(ii) The words “in respect of the business activities covered by that licence” added by GN 124
of 2002 - 13.08.2002.
Item 16 amended by the Financial Services Development Act 2001. Effective as from 1.8.2001 - Proclamation
No. 8 of 2001. Previously -
 ITA 1995 as amended -
16. A corporation certified to be engaged in international business activity by the Mauritius Offshore
Business Activities Authority established under the Mauritius Offshore Business Activities Act 1992
 FA 1998 -
16. (a) A corporation certified to be engaged in international business activity by the Mauritius
Offshore Business Activities Authority established under the Mauritius Offshore Business Activities
Act 1992
(b) A company holding an Offshore Banking Licence under the Banking Act 1988.
(3)
Paragraph (b) of item 18 amended by FA 2001. Effective as from income year 2001-02. Previously -
 ITA 1995 as amended -
18. A company engaged wholly in the management of a venture capital fund.
 GN 4 of 1998 - 19.12.1997

19. A venture capital fund

20. A bus company operating a bus or a fleet of buses and holding a road service licence in respect of those
buses
21.(1) A company engaged in the agro-based industry and holding in that respect, an investment certificate
under the Investment Promotion Act or a certificate under Part VIII of the Industrial Expansion Act, as
the case may be
22. A company deriving at least 75 per cent of its gross income from agriculture, [other than sugar cane
cultivation, but including] (2) fishery and livestock
23.(3) A company whose main activity is to provide lease financing, as may be approved by the Financial
Services Commission established under the Financial Services Development Act 2001
24.(4) A company deriving at least 75 per cent of its gross income from construction activities in Mauritius

* Please refer to endnotes at Appendix 1 Page 433 of 491

MRA THE INCOME TAX ACT 1995 434

25.(5) A company duly authorised by the Financial Services Commission established under the Financial
Services Development Act 2001, to conduct business in -
(a) actuarial services and related activities;
(b) investment management expertise and services;
(c) investment management and advisory services;
(d) investment management, pension fund management, investment advice and portfolio and asset
management;
(e) investment advisory and management services to funds and other corpus in relation to
portfolio investments;
(f) treasury management within the same group.
26.(5) A company holding an investment certificate in respect of fishing development under the Investment
Promotion Act
27.(5) A company holding an investment certificate in respect of leisure development under the Investment
Promotion Act
28.(6) A company holding an investment certificate under the Investment Promotion (Regional Development
Scheme) Regulations 2001
29.(7) A company engaged in the hotel industry

(1)
Item 21 amended by GN 124 of 2002 - 13.8.2002. Previously ITA 1995 as amended -
21. A company engaged in the agro-based industry approved by the Minister of Agriculture and Natural
Resources
(2)
The words “other than sugar cane cultivation, but including” deleted by FA 1999. Effective as from
income year 1999-00.
(3)
Item 23 amended by GN 124 of 2002 - 13.8.2002. Previously ITA 1995 as amended -
23. A company whose main activity is to provide lease financing, as may be approved by the Minister
(4)
Item 24 deleted and replaced by FA 2004. Effective as from 1 July 2004. Previously was:
24. A company deriving at least 75 per cent of its gross income from the construction of buildings, roads,
bridges and dams(i)
(i) The words “bridges and dams” replaced “and bridges” by FA 2000. Effective as from year
of assessment 2000-01
(5)
Items 25, 26 and 27 amended by GN 124 of 2002 - 13.8.2002. Previously FA 1997 - year of assessment
1997-98
25. A company holding a pioneer financial services certificate issued by the Minister
26. A company holding a fishing development certificate issued by the Minister to whom
responsibility for the subject of fisheries is assigned
27. A company holding a leisure development certificate issued by the Minister to whom responsibility
for the subject of leisure is assigned.
(6)
Item 28 amended by GN 124 of 2002 - 13.8.2002. Previously FA 1998-
28. A company holding a regional development certificate issued [under the Development Incentives
Act](i) by the Minister to whom responsibility for the subject of regional development is assigned
(i)
The words “under the Development Incentives Act” deleted by FA 2001. Effective as from
income year 2001-02
(7)
Item 29 added by FA 1999. Effective as from income year 1999-00.

30.(1) An ICT company

31.(2) A company operating a duty free shop, other than a duty free shop at the port or airport, under the
Customs Act 1988

32.(2) A company approved by the Minister responsible for the subject of education or by the Tertiary
Education Commission established under the Tertiary Education Commission Act 1988, as a company
engaged in the provision of pre-primary, primary,(2)(b) secondary or tertiary education, as the case may
be

* Please refer to endnotes at Appendix 1 Page 434 of 491

MRA THE INCOME TAX ACT 1995 435

33.(3) A company holding an investment certificate under the Investment Promotion (Regional Headquarters
Scheme) Regulations 2001.
34.(4)
35.(5) A company deriving at least 75 per cent of its gross income from the provision of training and
registered as such with the Industrial and Vocational Training Board

36.(5) A company duly licensed to carry on the business of restaurant

37.(5) A company carrying on business as -

(a) tour operator;

(b) scuba diving centre or helmet diving centre;
(c) cruise or boat house operator;
(d) big game fishing operator;
(e) musical and other entertainment services provider,(6)

and registered as such with the Ministry responsible for the subject of tourism
(1)
Item 30 amended by GN 124 of 2002 - 13.8.2002. Previously -
FA 1999 – income year 1999-00
30. A company deriving at least 75 per cent of its gross income from software development
FA 2000 - year of assessment 2001-02 -
30. A company deriving at least 75 per cent of its gross income from software development, hosting of
web sites or multimedia development
(2)
Items 31 & 32 added by FA 1999. Effective as from income year 1999-00.
(2)(b)
The words “pre-primary, primary” added by FA 2003. Effective as from year of assessment
2003/2004.
(3)
Item 33 amended by GN 124 of 2002 - 13.8.2002. Previously GN 55 of 2000 - 18.4.2000 -
33. A company holding a regional headquarters certificate issued by the Minister to whom
responsibility for the subject of industry is assigned and deriving at least 80 per cent of its gross
income from outside Mauritius
Item 33 replaced by FA 2004. Effective as from Assessment year 2003/04. Previously was:
33. A company holding an investment certificate under the Investment Promotion (Regional
Headquarters Scheme) Regulations 2001 and deriving at least 80 per cent of its gross income from
outside Mauritius
(4)
Item 34 deleted by GN 124 of 2002 - 13.8.2002. Previously FA 2000 - year of assessment 2001-02
34. A company operating as internet service provider or network service provider
(5)
Items 35 to 37 added by FA 2000. Effective as from year of assessment 2001-02.
(6)
Paragraph (e) added by GN 124 of 2002 - 13.8.2002

38.(1) A company set up to operate the Stock Exchange established under the Stock Exchange Act 1988

39.(1) A company set up to provide a central depository, clearing and settlement service to the Stock
Exchange established under the Stock Exchange Act 1988

40.(2) A company holding a management licence under the Financial Services Development Act 2001

41.(3) A company managing an equity fund

42.(4) A company licensed under section 14 of the Financial Services Development Act 2001 to conduct
business activity in the financial services sector, other than insurance business.

43.(5) A guarantee fund established under section 3(8)(a) of the Securities (Central Depository, Clearing and
Settlement) Act.
(1)
Items 38 and 39 added by FA 2000. Effective as from year of assessment 2001-02.

* Please refer to endnotes at Appendix 1 Page 435 of 491

MRA THE INCOME TAX ACT 1995 436

(2)
Item 40 amended by the Financial Services Development Act 2001. Effective as from
1.8.2001 - Proclamation No. 8 of 2001. Previously FA 2000 - year of assessment 2001-02 -
40. A company holding an offshore companies management licence under section 23, or a company
holding an offshore certificate under section 16, of the Mauritius Offshore Business Activities Act
1992, and providing management services to offshore companies or international companies or
acting as corporate trustee
(3)
Item 41 added by GN 124 of 2002 - 13.8.2002.
(4)
Item 42 added by FA 2003. Effective as from year of assessment 2003/2004.
(5)
Item 43 added by FA 2004. Effective as from 1 July 2004.
966
FA 2006 s.18(zzf) effective as from income year commencing 1July 2006 for individuals and as from
year of assessment 2007/2008 for companies.
SECOND SCHEDULE
(section 7)
Exempt Income

PART I - INCOME DERIVED BY -

1. A charitable institution or a charitable trust.

2. A société de secours mutuels.

3. A benevolent association.

4. A trade union.

5. A co-operative society registered under the Co-operative Societies Act.

6. A local authority.

7. The National Pensions Fund established under the National Pensions Act.

8. The registered owner of a foreign vessel from the operation of the vessel.

9. The registered owner of a local vessel registered in Mauritius provided the income is derived from deep
sea international trade only.

10. The Agricultural Research Fund.

11. The Food and Agricultural Research Council.

12. The Mauritius Sugar Authority.

13. The Mauritius Sugar Industry Research Institute.

14. The Mauritius Sugar Terminal Corporation.

15. The Sugar Employees Fund.

16. The Sugar Industry Pension Fund.

17. The Sugar Insurance Fund.

18. The Sugar Planters Fund.

* Please refer to endnotes at Appendix 1 Page 436 of 491

MRA THE INCOME TAX ACT 1995 437

19. The Sugar Investment Trust.

20. A trust in respect of a superannuation fund.

21. A superannuation fund.

22. An investment club formed in accordance with the Stock Exchange Act 1988.

23. A non-citizen who is approved by the Minister or is a member of a class approved by the Minister, from
personal or professional services performed by him within Mauritius, where in the opinion of the Minister -

(a) the services rendered or to be rendered by the non-citizen are primarily and principally
directed at assisting the Government in the development of Mauritius; and

(b) the income derived by the non-citizen is liable to income tax in another country.

24. A non-citizen who is approved by the Minister or is a member of a class approved by the Minister -

(a) from personal or professional services performed by him in Mauritius for or on behalf of an
employer who is also a non-citizen; or
(b) from any maintenance allowance, scholarship or bursary provided for or paid to him,
where the income is derived by him during and in respect of his presence in Mauritius for the purpose
of providing professional or expert advice or assistance, teaching or lecturing, making investigations,
or receiving education, training or experience, under an arrangement for assistance entered into by the
Government of Mauritius with the government of any other country or with an international
organisation for the purpose of providing, on any basis, professional, expert, educational, economic,
technical or cultural assistance or administrative or other training, or the means or facilities for
investigations.

25. A non-resident expatriate engineering and support service personnel required by a pioneer status
enterprise or by any company engaged in electronics and high-technology activities for the installation
and maintenance of equipment and training of local staff.

26.(1)

27. An international organisation approved by the Minister.

28.(2) (a) A company holding a Human Resource Development Certificate provided that -

(i) the company starts operations within a period not exceeding 3 years of 1 July 2001;
and

(ii) the period of exemption of the income of the company does not exceed 5 income years
as from the income year in which the company starts operations.

(b) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraph (a) during the period of exemption of its income shall be available for carry
forward under section 59.
(1)
Item 26 deleted by FA 2004. Effective as from 1 July 2004.
(2)
Item 28 added by FA 2001. Effective as from income year 2001-02. See footnote relating to item (1)
of Part IV of First Schedule.

29.(1) (a) A company holding an investment certificate under the Investment Promotion (ICT Scheme)
Regulations 2002, provided that the period of exemption of the income of the company shall,
subject to the other paragraphs of this item, be limited up to the income year ending
30 June 2012.

* Please refer to endnotes at Appendix 1 Page 437 of 491

MRA THE INCOME TAX ACT 1995 438

(b) Where during the period of exemption referred to in paragraph (a), a company provides
services to residents, the net income derived therefrom shall be subject to income tax at the
rate specified in Part II of the First Schedule to the Act.

(c) Where on or after 1 July 2008 a company holding an investment certificate issued on or
before 30 June 2005 does not satisfy the requirements of regulation 5 of the Investment
Promotion (ICT Scheme) Regulations 2002, the net income of the company shall,
notwithstanding paragraph (a), be subject to income tax at the rate specified in Part II of the
First Schedule to the Act.

(d) A company holding an investment certificate issued prior to 1 July 2008 in respect of business
process outsourcing/back office operations, call centres or contact centres may, within 60
days of the date of the investment certificate, by irrevocable notice in writing to the Director-
General, elect to have two-thirds of its net income exempted.

(b) Where a company has made an election in accordance with paragraph (d), two-thirds of its
net income shall be exempted from income tax.
(1)
Item 29 deleted and replaced by GN 100 of 2005 dated 25.6.2005. Previously GN 150 of 2002 dated
20.9.2002 –

29.(i) (a) A company holding an investment certificate under the Investment Promotion (ICT
Scheme) Regulations 2002, provided that the period of exemption of the income of the
company shall, subject to paragraphs (b) and (c), be limited up to the income year ending
30 June 2008.
(b) A company holding an investment certificate issued prior to 1 July 2008 in respect of
business process outsourcing/back office operations, call centres or contact centres
under the Investment Promotion (ICT Scheme) Regulations 2002 may, within 60 days of
the date of the investment certificate, by irrevocable notice in writing to the
Commissioner, elect to have two-thirds of its net income exempted.
(c) Where a company has made an election in accordance with paragraph (b), two-thirds of
its net income shall be exempted from income tax.
(d)(ii) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraphs (a) and (c) during the period of exemption of its income shall be available for
carry forward under section 59.
(i)
Item 29 amended by GN 124 of 2002 dated 13.8.2002, previously –
29. A company holding an investment certificate in respect of specified information
and communication services under the Investment Promotion (ICT Scheme) Regulations 2002
provided that the period of exemption of the income of the company shall be limited up to the
year of assessment ending 30 June 2009.
(ii)
Item 29(d) inserted by FA 2003. Effective as from year of assessment 2003/2004.

(f) Paragraph (b) shall not apply to the net income derived up to
30 June 2008 by a company holding an investment certificate issued on or before 30 June
2005.

(g) Notwithstanding the other provisions of this Act, any loss incurred by a company referred to
in this item during the period of exemption of its net income shall be available for carry
forward under section 59.
30.(1)(2)

31.(1) An equity fund.

32.(1) A non-citizen from outside Mauritius and who is resident in Mauritius.

33.(3) (a) A company set up for the purpose of operating a spinning, weaving or dyeing factory(4),
provided that -
(i) the company starts operations by 30 June 2006, and

* Please refer to endnotes at Appendix 1 Page 438 of 491

MRA THE INCOME TAX ACT 1995 439

(ii) the period of exemption of the income of the company does not exceed 10 income
years as from the income year in which the company starts operations.
(b) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraph (a) during the period of exemption of its income shall be available for carry
forward under section 59.
34.(5) A trust set up under the Trusts Act 2001 to administer an employees' share scheme.
35.(5) The Employees’ Real Estate Investment Trust referred to in section 10A of the Employees’ Welfare
Fund Act.
(1)
Items 30 to 32 added by GN 124 of 2002 - 13.8.2002.
(2)
Item 30 deleted by FA 2003. Effective as from year of assessment 2003/2004.
(3)
Item 33 added by FA 2003. Effective as from year of assessment 2003/2004.
(4)
The words “A company set up for the purpose of operating a spinning, weaving or dyeing factory” replaced
the words “A company engaged in spinning” by FA 2005. Effective as from assessment year 2005-06.
(5)
Items 34 and 35 added by FA 2004. Effective as from 17 August 2004.

SECOND SCHEDULE Part II -(ITA 1995)

PART II - EMOLUMENTS

1. Emoluments derived from the office of the President or Vice-President.

2. Any lump sum or gratuity paid under a pension law.

3. Income derived by way of basic retirement pension payable under the National Pensions Act.

4. The first 1,400,000 rupees(1) of any sum received by way of severance allowance determined in
accordance with the Labour Act.

5. The first 1,400,000 rupees(1) of any sum received by way of retiring allowance by a person(2) who has
attained the appropriate retiring age and retires after completing not less than 10 years' employment
on such conditions as may be prescribed.

For the purposes of this item -

"employment" includes any employment of the taxpayer -

(a) with any company which in the opinion of the Director-General -

(i) consisted wholly or substantially of the same shareholders; or

(ii) was under the control of the same persons, as the company from whose employment
the taxpayer retired;

(b) with the same employer, whether or not the business of the employer was the same;

(c) in the same business, whether or not there had been a change of ownership of the business; or

(d) which, in the opinion of the Director-General, was substantially the same employment as that
from which the taxpayer retired.
(3)

6. Any lump sum received by way of death gratuity or as consolidated compensation for death or injury or
as commutation of pension and paid -

(a) by virtue of any enactment;

* Please refer to endnotes at Appendix 1 Page 439 of 491

MRA THE INCOME TAX ACT 1995 440

(b) from a superannuation fund; or

(1)
The words “one million rupees” deleted and replaced by the words “1,400,000 rupees”. Amended by FA
2003. Effective as from income year 2002/2003.
(2)
The words "The first one million rupees of any sum received by way of retiring allowance by a person"
replaced "That portion of the retiring allowance which does not exceed the specified sum paid to a person"
by GN 158 of 1998. Effective as from 1.7.97.
(3)
The definition of "specified sum" deleted by GN 158 of 1998. Effective as from 1.7.97. Previously ITA
1995 as amended - “specified sum” means an amount equal to one third of the emoluments of a person
from an employment in the 36 months preceding the date of his retirement.

(c) under a personal pension scheme approved by the Director-General.

7. That portion of any sum payable by the Government of Mauritius by way of a gratuity in relation to a
public officer employed on a contract which is equivalent to 7½ per cent of the basic salary payable
under the contract in respect of the contract period.

8. Any rent allowance payable to a person appointed to an office in -

(a) the Police Force;

(b) the Fire Services;

(c) the Forests Division of the Ministry of Agriculture and Natural Resources;

(d) the Prisons and Industrial School Service;

(e) the Ministry of Fisheries;

(f) the Department of Civil Aviation; and

(g) the Fire Unit of the Mauritius Marine Authority.

9. Any housing allowance not exceeding 100 rupees per month payable by an employer to an employee
under any enactment or by virtue of an award made under an enactment.

10. Any transport allowance payable by an employer to an employee by virtue of the terms and conditions
of service equivalent to -

(a) the return bus fare between residence and place of work;

(b) commuted travelling allowance and travel grant payable by the Government of Mauritius and
the local authority to their employees;

(c) the actual allowance paid or 25 per cent of the monthly basic salary up to a maximum of 6,200
rupees(1) , whichever is the lesser, provided that the employee makes use of a private car
registered in his own name for attending duty and for the performance of the duties of his
office or employment.

11. Any reimbursement of medical expenses to home-based staff of overseas missions.

12. The emoluments derived by a seaman who is employed on a vessel registered in Mauritius or on a
foreign vessel.
(1)
Amended by FA 2003 by deleting “5,730 rupees” and replacing by “6,200 rupees”. Effective as from
income year 2003/2004.
 ITA 1995 as amended - Rs 4,000

* Please refer to endnotes at Appendix 1 Page 440 of 491

MRA THE INCOME TAX ACT 1995 441

 FA 1997 - Income year 1996-97 - Rs 5,250

 FA 2001 - Income year 2001-02 - Rs.5,730

13. That portion of the emoluments of an expatriate employee, or of a specified Mauritian employee(1) of a
pioneer status enterprise, an export enterprise, a company engaged in electronics and high-technology
activities, a company holding a regional headquarters certificate,(2) or a company engaged wholly in
the management of a venture capital fund, that will, in respect of an income year, reduce his tax
liability otherwise payable on the emoluments derived by him from the enterprise or company to 50 per
cent, provided that the number of employees entitled to the exemption shall not exceed 2 for each
enterprise or company, as the case may be, and that the period of exemption granted to the expatriate
employee and specified Mauritian employee does not exceed, in the aggregate, 4 income years for each
enterprise or company.(3)
(1)
The words ", or of a specified Mauritian employee" inserted by FA 1999. Effective as from income year
1999-00.
(2)
The words “a company holding a regional headquarters certificate” inserted by GN 55 of 2000 - 18.4.00
(3)
The words "and that the period of exemption granted to the expatriate employee and specified Mauritian
employee does not exceed, in the aggregate, 4 income years for each enterprise or company" added by FA
1999. Effective as from income year 1999-00.

14. (a)(1) That portion of the emoluments of an expatriate employee or of a specified Mauritian
employee of a company -
(i) operating in the freeport zone;
(ii) duly authorised by the Financial Services Commission established under the
Financial Services Act 2007, to conduct any of the business activities referred to in
item 25 of Part IV of the First Schedule;
(iii) holding a Category 1 Global Business Licence under the Financial Services Act
2007;
(iv)(2) holding a banking licence under the Banking Act 2004 and who is employed by that
company to carry out banking transactions with non-residents and corporations
holding a Global Business Licence under the Financial Services Development Act
2001; [or](3)
(v) managing an equity fund; or(4)
(5)
(vi) engaged in spinning activities,

that will, in respect of an income year, reduce the tax liability of the employee otherwise
arising from the emoluments derived by him from the company to 50 per cent, provided that
the period of exemption granted to the employee does not exceed, in the aggregate, 4 income
years for each company.
(1)
Paragraph (a) amended by GN 124 of 2002 - 13.8.2002. Previously ITA 1995 as amended -
(a)(1)That portion of the emoluments of an expatriate employee, or of a specified Mauritian employee(2) of a
company operating in the freeport zone, of a company holding a pioneer financial services certificate,(3)
or holding a Category 1 Global Business Licence under the Financial Services Development Act 2001
or a bank holding a Class B Banking Licence under the Banking Act 1988(4), that will, in respect of an
income year, reduce his tax liability otherwise payable on the emoluments derived by him from the
company to 50 per cent, provided that the period of exemption granted to the expatriate employee and
specified Mauritian employee does not exceed, in the aggregate, 4 income years for each enterprise or
company.(5)
(1)
Previous provisions lettered as paragraph (a) by FA 1999.
(2)
The words ",or of a specified Mauritian employee" inserted by FA 1999. Effective as from
income year 1999-00.
(3)
The words "of a company holding a pioneer financial services certificate" inserted by FA 1997.
Effective as from income year 1996-97
(4)
The words “holding a Category 1 Global Business Licence under the Financial Services
Development Act 2001 or a bank holding a Class B Banking Licence under the Banking Act
1988” replaced “of such other kind of corporation as may be approved by the Minister” by the

* Please refer to endnotes at Appendix 1 Page 441 of 491

MRA THE INCOME TAX ACT 1995 442

Financial Services Development Act 2001. Effective as from 1.8.2001- Proclamation No. 8 of
2001
(5)
The words "provided that the period of exemption granted to the expatriate employee and
specified Mauritian employee does not exceed, in the aggregate, 4 income years for each
enterprise or company" added by FA 1999. Effective as from income year 1999-00.
(2)
Paragraph (iv) deleted and replaced by Banking Act 2004. Effective as from 10 November 2004.
Proclamation No. 39 of 2004. Previously was
(iv) “holding a Category 2 Banking Licence under Banking Act and who is employed by that
company to carry out the business activities covered by that licence; or”
(3)
The word “or” at the end of paragraph (iv) deleted by FA 2004. Effective as from year of
assessment 2004-05.
(4)
The comma at the end of subparagraph (v) deleted and replaced by “; or” by FA 2004.
(5)
Subparagraph (vi) added by FA 2004. Effective as from Assessment year 2004/05.

(b) 1 For the purposes of paragraph (a) and item 13 –

(i) ”specified Mauritian employee" means an employee who is a citizen of Mauritius and
who has, immediately before taking up employment in Mauritius, been abroad for a
period of, or an aggregate period of, 270 days or more in each of the 10 income years
immediately preceding the income year in which he is employed in Mauritius;
(ii) “company” means a company which is resident in Mauritius.
1
Paragraph (b) amended by FA 2000. Effective as from 1.7.2000. Previously FA 1999 - income year
1999-00.
(b) For the purposes of paragraph (a) and item 13, "specified Mauritian employee" means an employee who is
a citizen of Mauritius and who has, immediately before taking up employment in Mauritius, been abroad
for a period of, or an aggregate period of, 270 days or more in each of the ten income years immediately
preceding the income year in which he is employed in Mauritius.
2
Item 17 added by the Sugar Industry Efficiency Act 2001. Effective as from 17.9.2001 - Proclamation No. 15
of 2001.

15. Emoluments of a non-citizen who holds office in Mauritius as an official of a Government other than
the Government of Mauritius and is posted to Mauritius for that purpose.

16. Director's fees payable to a non-resident director of a company.

17.2 Any advantage in money or in money’s worth received as lump sum by an employee voluntarily
terminating his contract of employment in the context of a factory closure pursuant to the Cane
Planters and Millers Arbitration and Control Board Act or under the Voluntary Retirement Scheme
under the Sugar Industry Efficiency Act 2001.

18.(1) (a) That portion of the emoluments of an expatriate employee or of a specified Mauritian
employee of a company holding an investment certificate in respect of specified information
and communication services under the Investment Promotion (ICT Scheme) Regulations 2002
that will, in respect of an income year, reduce the tax liability of the employee otherwise
arising from the emoluments derived by him from the company to 50 per cent provided that the
number and the full names of the expatriate employees or specified Mauritian employees and
the period of the exemption in respect of each of the employees are specified by the Board of
Investment established under the Investment Promotion Act.

(b) For the purposes of paragraph (a), “specified Mauritian employee” has the same meaning as
in item 14(b)(i).
(1)
Item 18 added by GN 124 of 2002 - 13.8.2002

PART III - DIVIDENDS, INTEREST AND ROYALTY

* Please refer to endnotes at Appendix 1 Page 442 of 491

MRA THE INCOME TAX ACT 1995 443

1.(1) Dividends -
(a) paid by a company resident in Mauritius;
(b) paid by a co-operative society registered under the Co-operative Societies Act; or
(c) receivable from outside Mauritius by a company holding a regional development certificate.
2. (a) The first 100,000 rupees(2) receivable in any income year by an individual personally or as an
associate in a société or as a beneficiary in the estate of a deceased person in respect of
interest on -
(i) Government securities;
(ii) bills issued by the Mauritius Civil Service Mutual Aid Association Ltd; [or] (3)
(iii) fixed deposit or savings accounts in Mauritius with a bank or other institution
authorised by any other enactment to accept money on fixed deposit or savings
accounts and to pay interest on it in Mauritius; or
(iv) Bank of Mauritius Bills issued under the Bank of Mauritius Act.(4)

(b) Where, in the case of a couple, the interest receivable referred to in paragraph (a) is in the
joint name of the spouses and neither spouse is a dependent spouse, the exemption under
paragraph (a) shall be allowed in any proportion as may be claimed by the spouses, provided
that, in the aggregate, the exemption does not exceed 200,000 rupees(5).

(1)
Item 1 amended by FA 2000. Effective as from 1.7.2000. Previously ITA 1995 as amended –
1. Dividends -
(a) receivable by a company from another company which is liable to income tax at the rate
specified in Part IV of the First Schedule;
(b) paid by a tax incentive company;
(c) paid by a company listed on the Stock Exchange or by a subsidiary of that company;
(d) paid out of income derived by a company from the operations of -
(i) a gaming house; or
(ii) a coin-operated machine,
pursuant to a gaming house licence or a licence to operate a coin-operated machine issued under
the Gaming Act;
(e) paid to non-resident shareholders of companies which own foreign vessels to the extent that they
were paid out of income derived from the operation of the vessels;
(f) paid by the Sugar Investment Trust;
(g) paid by a co-operative society registered under the Co-operative Societies Act;
(h) paid by a company licensed under the Freeport Act 1992;(i)
(i) paid by a company which is liable to income tax at the rate specified in Part IV of the First
Schedule to any other person;(ii)
(j) receivable from outside Mauritius by a company holding a regional development certificate.(iii)
(i)
Item 1 (h) added by FA 1996 Effective as from year of assessment 1996-97.
(ii)
Item 1 (i) added by FA 1996. Effective as from year of assessment 1997-98.
(iii)
Item 1 (j) added by FA 1998.
(2)
Amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as amended -
Rs 50,000.
Words “75,000 rupees” replaced by “100,000 rupees” by FA 2004. Effective from income year 2004-05
(3)
Deleted by GN 31 of 2004. Effective as from 1 July 2003.
(4)
Added by GN 31 of 2004. Effective as from 1 July 2003.
(5)
Amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as amended -
Rs 100,000.
Amended by FA 2004. Effective as from income year 2004-05. Previously was “150,000 rupees”

3. Interest payable on -
(a) a tax reserve certificate issued under the Tax Reserve Certificates Act;
(b) a debenture issued under the Loans Act or a loan chargeable on the Consolidated Fund where
the debenture was issued or the loan was made with the condition that the interest on it would
be so exempt;
(c) a balance maintained in a bank holding a banking licence under the Banking Act 2004(1) by an
individual who is not resident in Mauritius;

* Please refer to endnotes at Appendix 1 Page 443 of 491

MRA THE INCOME TAX ACT 1995 444

(d)(2) a deposit made and maintained for a continuous period of not less than 3 years by an
individual in a bank holding a banking licence or in a non-bank financial institution
authorised to carry on deposit-taking business in Mauritius under the Banking Act 2004;
(e)(3) such bonds, bearing interest at progressive or variable rate and issued by the Bank of
Mauritius, as may be approved by the Minister;
(f)(3) call and deposit accounts held with any bank under the Banking Act 2004(4) by a corporation
holding a Category 1 Global Business Licence under the Financial Services Development Act
2001;(5)
(1)
The words “bank holding a banking licence under the Banking Act 2004” replaced “domestic bank” by
Banking Act 2004. Effective as from 10 November 2004 – Proclamation No. 39 of 2004.
Item 3(c) amended by FA 2000. Effective as from 1.7.2000. Previously ITA 1995 as amended –
(c) a balance maintained by a non-resident at any bank in Mauritius;
(2)
Item 3(d) deleted and replaced by Banking Act 2004. Effective date 10 November 2004. Proclamation
No. 39 of 2004. Previously -
(d) a deposit made and maintained for a continuous period of not less than 3 years by an individual in a
domestic bank or in non-bank financial institution authorised to carry on deposit-taking business in
Mauritius by the Central Bank under section 13A(2) of the Banking Act 1988;
Item 3(d) amended by GN 184 of 1998 - 11.12.98. Previously ITA 1995 as amended -
(d) a deposit made and maintained for a continuous period of not less than 3 years in a domestic bank
by an individual;
(3)
Items 3(g), 3(i) and 3(j) renumbered 3(e), 3(f) and 3(g) by GN 43 of 2000, the previous items 3(e), 3(f) and
3(h) being deleted. Effective on 31.3.2000. Previously ITA 1995 as amended –
(e) bonds issued by such statutory bodies and such bodies corporate as the Minister may prescribe;
(f) such bonds, satisfying the requirements of the Stock Exchange Act 1988 for quotation on the
Official List; [as may be approved by the Minister](i)
(h) debentures issued by companies -
(i) engaged in the cultivation of sugar cane or in the manufacture of sugar;
(ii) engaged in the production of firm electrical power; or
(iii) to finance such plan or scheme,
as may be approved by the Minister.
(i)
The words “as may be approved by the Minister” deleted by FA 1997. Effective as from
income year 1997-98.
(4)
The words “Banking Act 1988” replaced by the words “Banking Act 2004” by FA 2005.
(5)
Item 3(f) amended by the Financial Services Development Act 2001. Effective as from 1.8.2001 -
Proclamation No. 8 of 2001. Previously FA 1997 - Income year 1997-98 –
(f) call and deposit accounts held with any domestic bank or offshore bank by a corporation certified to
be engaged in international business activity by the Mauritius Offshore Business Activities
Authority established under the Mauritius Offshore Business Activities Act 1992;

(g) (1) bank deposits held as guarantee by a company engaged in aircraft leasing and approved by
the Minister;
(h) (2) the Special Savings Scheme for Public Officers administered by the Accountant-General;
(i) (3) a loan made to the Employees’ Real Estate Investment Trust referred to in section 10A of the
Employees’ Welfare Fund Act.

4. Any interest and bonus derived from the Housing Savings Scheme of the Mauritius Housing
Corporation Ltd.

5.(4) Interest paid to a non-resident not carrying on any business in Mauritius by a corporation holding a
Category 1 Business Licence under the Financial Services Development Act 2001 or by a bank holding
a banking licence under the Banking Act 2004 in so far as the interest is paid out of the gross income

* Please refer to endnotes at Appendix 1 Page 444 of 491

MRA THE INCOME TAX ACT 1995 445

derived from its banking transactions with non-residents and corporations holding a Global Business
Licence under the Financial Services Development Act 2001.

6.(5) Royalty payable to a non-resident by a corporation holding a Category 1 Global Business Licence
under the Financial Services Development Act 2001 or by a bank holding a banking licence under the
Banking Act 2004 in so far as the royalty is paid out of gross income derived from its banking
transactions with non-residents and corporations holding a Global Business Licence under the
Financial Services Development Act 2001, or a trust, as the case may be.

7.(6) Dividends or other distributions paid by a company holding a Category 2 Global Business Licence
under the Financial Services Development Act 2001 to any person.

8.(6) Interest paid by a company holding a Category 2 Global Business Licence under the Financial Services
Development Act 2001 to a non-resident.
(1)
Item 3 (g) added by FA 1997. Effective as from income year 1997-98.
(2)
Subparagraph (h) added and full stop at end of paragraph (g) replaced by a semi-colon by FA 2004.
Effective as from assessment year 2004-05.
(3)
New paragraph (i) added by FA 2004. Effective as from Assessment year 2004/05.
(4)
Item 5 amended by Banking Act 2004. Effective date 10 November 2004. Proclamation No. 39 of 2004 -
Previously –
5. Interest paid to a non-resident not carrying on any business in Mauritius by a corporation holding a
Category 1 Business Licence under the Financial Services Development Act 2001 or by a bank
under the Banking Act in so far as it relates to its business covered by a Category 2 Banking
Licence.
Item 5 amended by GN 124 of 2002 - 13.8.2002. Previously ITA 1995 as amended -
5. Interest paid to a non-resident by a corporation of a kind approved by the Minister.
(5)
Item 6 amended by Banking Act 2004. Effective date 10 November 2004. Proclamation No. 39 of 2004. -
Previously –
6. Royalty payable to a non-resident by a corporation holding a Category 1 Global Business Licence
under the Financial Services Development Act 2001 or by a bank holding a Category 2 Banking
Licence(i) under the Banking Act 1988 or a trust, as the case may be.
(i)
The words “Category 2 Banking Licence” replaced “Class B Banking Licence” by FA 2002.
Item 6 amended by the Financial Services Development Act 2001. Effective as from 1.8.2001 –
Proclamation No. 8 of 2001. Previously - FA 1996 as amended by GN 79 of 1996 - year of assessment
1996-97-
6. Royalty payable to a non-resident.
 FA 1999 - Effective as from 1.7.1999
6. Royalty payable to a non-resident by an offshore corporation holding a certificate or licence under the
Mauritius Offshore Business Activities Act 1992, the Offshore Trusts Act 1992 or the Banking Act
1988, as the case may be.
(6)
Items 7 & 8 added by the Companies Act 2001. Effective as from 1.12.2001 - Proclamation No. 21 of
2001.

PART IV - MISCELLANEOUS

1. Gains or profits derived from the sale of units or of securities [quoted on the Official List or on such
Stock Exchanges or other exchanges and capital markets as may be approved by the Minister] (1).

2.(2)

3.(3) The income derived from a sugar growing unit -

(a) in the case of a couple, where the income is in their joint names, in respect of the first
120 tonnes of sugar accruing, provided that the exemption is allowed in the same proportion
as the income is declared by the couple in their tax returns; or

(b) in any other case, in respect of the first 60 tonnes of sugar accruing,

on such conditions as may be prescribed.

* Please refer to endnotes at Appendix 1 Page 445 of 491

MRA THE INCOME TAX ACT 1995 446

4. Payments to a planter in respect of bagasse for uses other than the manufacture of sugar.

5.(4)

6.(4)

7. 50 per cent of the premium paid by the Mauritius Sugar Syndicate to millers producing such types of
sugar as may be approved by the Mauritius Sugar Authority.

8. 50 per cent of the incremental net income obtained through an increase in output from a sugar growing
unit after at least 50 per cent of the land cultivated in cane are incorporated in one or more Land Area
Management Units, on such conditions as may be prescribed.
(1)
The words “quoted on the Official List or on such Stock Exchanges or other exchanges and capital markets
as may be approved by the Minister” deleted by FA 2000. Effective as from 1.7.2000.
(2)
Item 2 deleted by FA 2000. Effective as from 1.7.2000. Previously ITA 1995 as amended –
2. Gains or profits derived from the sale of securities by a venture capital fund.
(3)
Item 3 amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as amended –
3. The income derived from a sugar growing unit in respect of the first 40 tonnes of sugar accruing, on
such conditions as may be prescribed.
(4)
Items 5 and 6 deleted by FA 2004. Effective as from Assessment year 2005/06. Previously was:

5. 75 per cent of the proceeds from the sale of bagasse by a miller to another miller for the purpose of
generating firm electrical power.

6. 60 per cent of the proceeds from the sale of firm electrical power or continuous electrical power(i)
generated from bagasse by a miller to the Central Electricity Board after deduction of the exemption
under item 5.

(i) the words “or continuous electrical power” inserted by FA 1999. Effective as from 1.7.99.
9. Profits derived from the cultivation of sugar cane on new lands certified by the Sugar Insurance Fund
Board to have been brought under cultivation during the calendar years 1996 and 1997 for a period of
6 consecutive years as from the year following the year in which the new lands were brought under
cultivation.

For the purposes of this item -

"new land" -

(a) means any land which at any time during the period 1 June 1991 to 31 May 1995 was not
registered by a planter under the Sugar Insurance Fund Act as being sugar cane plantation;
but

(b) does not include -

(i) sugar cane land between 2 sugar cane cycles; and

(ii) land authorised to be put under cane cultivation under section 5 of the Sugar Industry
Efficiency Act 1988.

10. Income derived by a planter and by a person with whom the planter has entered into a management
contract duly registered with the Mauritius Sugar Authority for the cultivation of sugar cane on lands
owned by the planter.

* Please refer to endnotes at Appendix 1 Page 446 of 491

MRA THE INCOME TAX ACT 1995 447

11. Income derived by a holder of a gaming house licence under the Gaming Act from the operation of his
gaming house.

12. Income derived by any person in the form of maintenance allowance or other benefit provided in
respect of his attendance at a university, college, school or other educational institution in terms of a
scholarship, bursary, exhibition or other education award.

13. Income which is expressly exempt from income tax by any other enactment to the extent of the
exemption so provided.

14.(1) Value of equity shares in a start-up company received in consideration for legal, accounting,
advertising and other professional services rendered in connection with the setting up of the company
provided that the shares are held for a period of at least 3 years.

15.(2) Income derived by a company holding a Category 2 Global Business Licence under the Financial
Services Development Act 2001.

16.(2) Rents, royalties, compensations and other amounts paid by a company holding a Category 2 Global
Business Licence under the Financial Services Development Act 2001 to a non-resident.

17.(2) Gains or profits derived from the sale of shares, debt obligations or other securities of a company
holding a Category 2 Global Business Licence under the Financial Services Development Act 2001 by
a non-resident.
(1)
Item 14 added by FA 2000. Effective as from year of assessment 2001-02.
(2)
Items 15, 16 & 17 added by the Companies Act 2001. Effective as from 1.12.2001 - Proclamation No. 21
of 2001.

18.(1) Gains derived by a planter, miller or service provider from the sale of land provided that the proceeds
are used exclusively for the implementation of the Voluntary Retirement Scheme under the Sugar
Industry Efficiency Act 2001 or used exclusively by a miller in compliance with the conditions imposed
under section 24 of the Cane Planters and Millers Arbitration and Control Board Act, as the case may
be.

19.(2) Gains derived by any person from the sale of land previously acquired by him from a planter
implementing the Voluntary Retirement Scheme under the Sugar Industry Efficiency Act 2001.

20.(2) Gains derived by the Trust established under the Sugar Industry Efficiency Act 2001 or a body
controlled by the Trust from the sale of land acquired pursuant to sections 10 and 12 of that Act.

21.(3) Gains derived from the sale of land converted pursuant to section 29(1)(c)(ii)(B), (e) or (f) of the Sugar
Industry Efficiency Act 2001 provided that the proceeds are used exclusively for the implementation of
the schemes specified in that section.

22.(4) (a) (5) That portion of the gross income of a company holding an investment certificate under the
Investment Promotion (Regional Headquarters Scheme) Regulations 2001 that is derived from
a related company incorporated outside Mauritius and not registered in Mauritius or holding
a Category 1 Global Business Licence under the Financial Services Development Act 2001,
provided that -

(i) the company derives at least 80 per cent of its gross income from those related
companies; and

* Please refer to endnotes at Appendix 1 Page 447 of 491

MRA THE INCOME TAX ACT 1995 448

(ii) the period of exemption in respect of its gross income from those related companies
shall not exceed 10 consecutive income years as from the income year in which the
company starts operations.

(b) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraph (a) during the period of exemption of its income shall be available for deduction
and carry forward under section 59.
(1)
Item 18 amended by GN 124 of 2002 - 13.8.2002. Previously Sugar Industry Efficiency Act 2001 -
17.9.2001 (Proclamation No. 15 of 2001) -
18. Gains derived by a planter from the sale of land provided that the proceeds are used exclusively for
the implementation of the Voluntary Retirement Scheme under the Sugar Industry Efficiency Act
2001.
(2)
Items 19 & 20 added by the Sugar Industry Efficiency Act 2001. Effective as from 17.9.2001 –
Proclamation No. 15 of 2001.
(3)
Item 21 added by GN 124 of 2002 – 13.8.2002
(4)
Item 22 added by FA 2003. Effective as from year of assessment 2003/2004.
(5)
Paragraph (a) replaced by FA 2004. Effective as from Assessment year 2003/04.- Previously was:
(a) That portion of the gross income of a company holding an investment certificate under the
Investment Promotion (Regional Headquarters Scheme) Regulations 2001 that is derived from
outside Mauritius, provided that -
(i) the company derives at least 80 per cent of its gross income from outside Mauritius; and
(ii) the period of exemption in respect of its gross income from outside Mauritius shall not exceed
10 income years as from the income year in which the company starts operations.
23.(1) (a) Subject to paragraph (b), value of shares to the extent of 200,000 rupees received by an
employee from an employees' share scheme.

(b) Where any of the shares referred to under paragraph (a) are disposed of, other than on death
of the employee, within a period of 3 years of the date on which the shares are offered to the
employee, the value of the shares so disposed of shall be deemed to be the gross income of the
employee in the income year in which the disposal occurs.

24(1) Value of units received by an employee under the National Savings Fund Act from, or any distributions
made by, the Employees’ Real Estate Investment Trust referred to in section 10A of the Employees’
Welfare Fund Act.
(1)
Items 23 and 24 added by FA 2004. Effective as from 17 August 2004.
967
THE FOUNDATIONS ACT 2012 – Item (1) amended , the words “charitable Foundation,” inserted
after the word “institution,” w.e.f . 1 July 2012 - Proclamation No.30 of 2012.
968
FA 2012 –Item 14 deleted and replaced w.e.f. 22 December 2012.
14. The Mauritius Sugar Authority.
969
FA 2012 – Item 16 deleted and replaced w.e.f. 22 December 2012.
16. The Mauritius Sugar Industry Research Institute.

970
FA 2012 – Item 17 deleted w.e.f. 22 December 2012.
17. The Mauritius Sugar Terminal Corporation.

971
FA 2018 – Item 19. deleted shall come into operation on 1 January 2019.

19. A company holding a Category 2 Global Business Licence under the Financial Services Act
2007.

* Please refer to endnotes at Appendix 1 Page 448 of 491

MRA THE INCOME TAX ACT 1995 449

972
FA 2007 - Part I amended , by adding immediately after item 20, item 21 in relation to companies
shall come into operation on 1 July 2008 in respect of the year of assessment commencing 1
July 2008 and in respect of every subsequent year of assessment.
973
GN No. 76 of 2019 – Part I of the second schedule amended, new item inserted – shall be deemed to
have come into operation on 26 December 2015.
974
FA 2018 – New item inserted w.e.f 9 August 2018.
975
FA 2020 – Item 23 deleted w.e.f 7 August 2020.

23. The SIC Development Co. Ltd

FA 2019 – Part I amended, new item 23 inserted after item 22 – shall be deemed to have come into
operation on 14 December 2017.
976
FA 2020 – New item inserted w.e.f 7 August 2020.
977
FA 2020 – New item inserted w.e.f 7 August 2020.
978
GN No.27 of 2020 – Part I of the Second Schedule amended, new item added - shall be deemed to have
come into operation on 14 July 2017.
979
GN 286 of 2020 – Part I of the Second Schedule amended , new item inserted- shall be deemed to have
come into operation on 16 November 2012.

980
FA 2021-Part I of the Second Schedule amended, the item “ Independent Support Programme (ISP)
Limited” and replaced – shall be deemed to have come into operation on 5 July 2019.

GN 286 of 2020 – Part I of the Second Schedule amended , new item inserted- shall be deemed to have
come into operation on 5 July 2019.

981
FA 2022 - The Second Schedule to the Act is amended, in Sub-part A of Part II, in item 4(c), the figure
"11,500" deleted and replaced by the figure "20,000", shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2022 and in respect of every subsequent income year.
GN No.46 of 2017 – The Second Schedule to the Act is amended, in Sub-part A of Part II, in item 4(c),
the figure "10,200" deleted and replaced by the figure "11,500"- shall be deemed to have come into
operation on 1 July 2016.
GN No.5 of 2014 – The Second Schedule to the Act is amended, in Sub-part A of Part II, in item 4(c),
the figure "9,050" deleted and replaced by the figure "10,200"- shall be deemed to have come into
operation on 1 January 2013.
GN 54 of 2013 - Item 4(c) amended, by deleting the words “8,480 rupees” and replacing them by the
words “9,050 rupees” shall be deemed to have come into operation on 1 January 2013
GN 128/2008 - Item 4(c) amended, by deleting the words “7,375 rupees” and replacing them by the
words “8,480 rupees” shall be deemed to have come into operation on 1 July 2008 in respect of the
income year commencing 1 July 2008 and in respect of every subsequent income year.
FA 2007 – Item 4(c) amended, by deleting the words “6,980 rupees” and replacing them by the words
“7,375 rupees” shall be deemed to have come into operation on 1 July 2006 in respect of the income
year commencing 1 July 2006 and in respect of every subsequent income year.

982
FA 2024 - Item 6 amended, the figure “2.5” deleted and replaced by the figure “3” shall be deemed to
have come into operation on 07 June 2024.

* Please refer to endnotes at Appendix 1 Page 449 of 491

MRA THE INCOME TAX ACT 1995 450

FA 2018 - Item 6 amended, the figure “2” deleted and replaced by the figure “2 .5” shall be deemed to
have come into operation on 14 June 2018.

FA 2015 – Item 6 of Sub-part A amended, the words “one million and five hundred thousand” deleted
and replaced by the words “2 million” shall come into operation on 1 July 2015.
FA 2010 – Item 6 of Sub-part A amended, the words “one million rupees” deleted and replaced by the
words “one million and five hundred thousand rupees” shall come into operation as from the income
year commencing 1 January 2011.

983
FA 2012 - New paragraph (e) inserted, after paragraph (d) – shall be deemed to have come into
operation on 1 February 2009.
984
GN 129/2006 – Item 7 replaced w.e.f 01.07.06.
FA 2006 –
7. Any reimbursement of medical expenses to home-based staff of overseas mission.
985
GN 129/2006 – Item 12 added w.e.f 01.07.06.
986
FA 2023 – Item 13 repealed, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2023 and in respect of every subsequent income year.

Previously was:

Any retirement pension not exceeding the income exemption threshold in respect of Category A payable
to a citizen of Mauritius who is not resident in Mauritius.

GN 129/2006 – Item 13 added w.e.f 01.07.06.

987
GN 214 of 2011 New Item 14 added – shall be deemed to have come into operation on 1 July 2008.
988
GN 3 of 2015 – Sub-Part A of Part II of the Second Schedule amended – New item 15. added shall be
deemed to have come into operation on 25 September 2007.
989
GN 231 of 2016 – Sub-part A of Part II of the Second Schedule amended, New items 16 and 17 added
w.e.f 5 November 2016.
990
FA 2021- Sub-part A of Part II of the Second Schedule amended, the figure ‘‘100’’ in sub-item (1)
deleted and replaced by the figure “50”– shall be deemed to have come into operation in respect of the
income year commencing on 1 July 2021 and in respect of every subsequent income year.

GN 231 of 2016 – Sub-part A of Part II of the Second Schedule amended, New items 16 and 17 added
w.e.f 5 November 2016.
991
FA 2021- Sub-part A of Part II of the Second Schedule amended, the figure ‘‘5’’ in sub-item (2) deleted
and replaced by the figure “10” – shall be deemed to have come into operation in respect of the income
year commencing on 1 July 2021 and in respect of every subsequent income year.
992
GN 286 of 2020 – Item 18 added –shall be deemed to have come into operation in the income year
commencing on 1 July 2020 and in respect of every subsequent income year.
993
GN 294 of 2021 - Sub-part A of Part II of the Second Schedule amended, new item 19 added – shall be
deemed to have come into operation on 1 September 2020.
994
FA 2024 – New item 20 inserted in Part II of the Second Schedule, shall be deemed to have come into
operation on 01 January 2024.

995
GN 128 of 2018 – item 2 deleted shall come into operation on 1 January 2019.

2. Dividends or other distributions paid by a company holding a Global Business Licence under the

* Please refer to endnotes at Appendix 1 Page 450 of 491

MRA THE INCOME TAX ACT 1995 451

Financial Services Act to another company holding a Global Business Licence under the
Financial Services Act.

FA 2011 – Item 2 of Sub-part B of Part II of the following Second Schedule, deleted and replaced -
shall come into operation in respect of the income year commencing 1 January 2012 and in respect of
every subsequent income year.

2. Dividends or other distributions paid by a company holding a Category 2 Global Business

Licence under the Financial Services Act 2007.
996
GN 128 of 2018 – Sub-item (b) deleted shall come into operation on 1 January 2019.

(b) call and deposit accounts held with any bank under the Banking Act 2004 by a corporation
holding a Global Business Licence under the Financial Services Act 2007;

FA 2018 – Item 3 amended , the words “Category 1” deleted - shall come into operation on 1 January
2019.
997
FA 2010 –Item 3 of Sub-part B amended, paragraph (c) and paragraph (d ) added, after paragraph (b)
shall be deemed to have come into operation on 1 January 2010.
998
FA 2018 – Sub-item (d) amended, the words “and sukuks” inserted after the word “debentures” w.e.f 9
August 2018.

FA 2012 –Paragraph (d) of item 3 of Sub-Part B amended the words “, debentures quoted on the
stock exchange” , inserted, after the words “Government Securities” w.e.f. 22 December 2012.
999
FA 2018 – Sub-item (e) amended, the words “and sukuks” inserted after the word “bonds” w.e.f 9
August 2018.

FA 2015 – Item 3 of Sub-part B amended, new paragraph (e) added, the full stop at the end of
paragraph (d) being deleted and replaced by a semicolon - shall come into operation in respect of the
year of assessment commencing on 1 July 2015 and in respect of every subsequent year of assessment.
1000
FA 2023 – Item 3A repealed and replaced, w.e.f 20 July 2023.

Previously was:

Interest derived by individuals and companies from debentures, bonds or sukuks issued by a company
to finance renewable energy projects, the issue of which has been approved by the Director-General on
such terms and conditions as he may determine.

FA 2018 – Item 3A amended, the words “or bonds” deleted and replaced by the words “, bonds or
sukuks” w.e.f 9 August 2018.

FA 2017 –New item 3A inserted after item 3 shall be deemed to have come into operation on 1 July
2017.
1001
FA 2024 – New item 3B inserted, w.e.f 27 July 2024.
1002
FA 2010 –Item 4 deleted and replaced shall come into operation as from the year of assessment 2012.
4. Interest paid to a non-resident not carrying on any business in Mauritius by a corporation
holding a Category 1 Global Business Licence under the Financial Services Act 2007 or by a
bank holding a banking licence under the Banking Act 2004 in so far as the interest is paid out
of gross income derived from its banking transactions with non-residents and corporations
holding a Global Business Licence under the Financial Services Act 2007.
1003
GN 128 of 2018 – Item 5 deleted and replaced shall come into operation on 1 January 2019.

* Please refer to endnotes at Appendix 1 Page 451 of 491

MRA THE INCOME TAX ACT 1995 452

Royalty payable to a non-resident –

(a) by a corporation holding a Global Business Licence under the Financial Services Act out of its
foreign source income;

(b) by a bank holding a banking licence under the Banking Act insofar as the royalty is paid out of
gross income derived from its banking transactions with non-residents and corporations
holding a Global Business Licence under the Financial Services Act; or

(c) by a trust.

FA 2010 –Item 5 deleted and replaced shall come into operation as from the year of assessment 2012.

5. Royalty payable to a non-resident by a corporation holding a Category 1 Global Business

Licence under the Financial Services Act 2007 or by a bank holding a banking licence under
the Banking Act 2004 in so far as the royalty is paid out of gross income derived from its
banking transactions with non-residents and corporations holding a Global Business Licence
under the Financial Services Act 2007or a trust, as the case may be.
1004
FA 2018 – New items 6. And 7. Added shall come into operation on 1 January 2019.
1005
FA 2023 – Item 7(a) amended, by deleting the words “sub-item (b)” and replacing them by the words
“sub-items (aa) and (b)”, shall come into operation in respect of the year of assessment commencing on
1 July 2024 and in respect of every subsequent year of assessment.
1006
GN 295 of 2020 – Sub-Part B amended, Item 7(a)(i) added –shall be deemed to have come into operation
on 1 January 2019. By deleting item 7(1) and replacing it by new item 7(a) – Item 7(a)(i) and (iii) to
(vii) shall be deemed to have come into operation on 1 January 2019 and Item 7(a)(ii) shall come into
operation in respect of year of assessment commencing on 1 July 2021 and in respect of every
subsequent year of assessment.
Was previously:
7. (1) Subject to sub-item (b), 80 per cent of interest derived by a company other than –

(a) a bank referred to in section 44C;

(b) a non-bank deposit taking institution;

(c) a money changer;

(e) a foreign exchange dealer;

(f) an insurance company;

(g) a leasing company; or

(h) a company providing factoring, hire purchase facilities, or credit sales facilities.
1007
GN 295 of 2020 – Sub-Part B amended, Item 7(a)(ii) added –shall come into operation in respect of year
of assessment commencing on 1 July 2021 and in respect of every subsequent year of assessment.
1008
GN 295 of 2020 – Sub-Part B amended, Item 7(a)(iii) added –shall be deemed to have come into
operation on 1 January 2019.

* Please refer to endnotes at Appendix 1 Page 452 of 491

MRA THE INCOME TAX ACT 1995 453

1009
GN 295 of 2020 – Sub-Part B amended, Item 7(a)(vii) added –shall be deemed to have come into
operation on 1 January 2019.

GN 286 of 2020 – Sub –Part B amended, item 7(a) deleted and replaced by new Item 7(1)– W.e.f 1
January 2019 in respect of item 7(a)(i),(iii), (iv), (v), (vi) and (vii) while item 7(a)(ii) shall come into
operation in respect of year of assessment commencing on 1 July 2021 and in respect of every
subsequent year of assessment.
7. (a) Subject to sub-item (b), 80 per cent of interest derived by a company other than a bank
referred to in section 44C.

FA 2018 – New items 6. And 7. Added shall come into operation on 1 January 2019.
1010
FA 2023 – New Item 7(aa) inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2024 and in respect of every subsequent year of assessment.

1011
FA 2023 – Item 7(b) amended, by inserting, after the words “sub-item (a)”, the words “or (aa)”, shall
come into operation in respect of the year of assessment commencing on 1 July 2024 and in respect of
every subsequent year of assessment.

GN 128 of 2018 – Item 7(b) amended, the words “in respect of interest derived from overseas” deleted
shall come into operation on 1 January 2019.
1012
FA 2019 – Sub-part B amended, new item 9 added – shall be deemed to have come into operation on 1
July 2019.
1013
Gn No 27 of 2020 – Sub-part B amended, new item 10 added – made by the Minister on 14 January
2020.
1014
FA 2010 – Sub-part C amended, items 1, 2 and 3 deleted shall come into operation as from the year of
assessment 2012.
1. Gains derived by a planter, miller or service provider from the sale of land provided that the
proceeds are used exclusively for the implementation of the Voluntary Retirement Scheme
under the Sugar Industry Efficiency Act 2001 or used exclusively by a miller in compliance with
the conditions imposed under section 24 of the Cane Planters and Millers Arbitration and
Control Board Act, as the case may be.
1015
FA 2010 – Sub-part C amended, items 1, 2 and 3 deleted shall come into operation as from the year of
assessment 2012.
2. Gains derived by any person from the sale of land previously acquired by him from a planter
implementing the Voluntary Retirement Scheme under the Sugar Industry Efficiency Act 2001.
1016
FA 2010 – Sub-part C amended, items 1, 2 and 3 deleted shall come into operation as from the year of
assessment 2012.
3. Gains derived from the sale of land converted pursuant to section 29(1)(c)(ii)(B), (e) or (f) of
the Sugar Industry Efficiency Act 2001 provided that the proceeds are used exclusively for the
implementation of the schemes specified in that section.
1017
FA 2011 – Item 5 of Sub-Part C of The Second Schedule deleted - shall be deemed to have come into
operation on 1 October 2011.

Gambling Regulatory Authority Act 2007 - The Second Schedule is amended in Part II, in Sub-Part C,
by deleting item 5 and replacing it by the following item –

5. Income derived by a casino operator, a gaming house operator or a gaming machine operator
under the Gambling Regulatory Authority Act 2007 from the operation of his casino, gaming
house or gaming machine, as the case may be.

* Please refer to endnotes at Appendix 1 Page 453 of 491

MRA THE INCOME TAX ACT 1995 454

FA 2006 :-
Income derived by a holder of a gaming house licence under the Gaming Act from the operation of his
gaming house.
1018
FA 2018 – Item 6 amended, the words “a company holding a Category 2 Global Business Licence”
deleted shall come into operation on 1 January 2019.

FA 2012 – Item 6 of Sub-Part C amended, the words “or a special purpose fund established”; inserted,
after the word “Licence” - w.e.f. 22 December 2012.
1019
GN 128 of 2018 – Item 7 deleted and replaced shall come into operation on 1 January 2019.

7. Gains or profits derived from the sale of units or of securities by a company holding a Global
Business Licence under the Financial Services Act 2007.

1020
GN 128 of 2018 – Item 7A deleted shall come into operation on 1 January 2019.

7A. Gains or profits derived from the sale of gold, silver or platinum, held for a continuous period of
at least 6 months, by a company holding a Global Business Licence under the Financial Services
Act.

FA 2018 – Items 7, 7A and 7B amended , the words “Category 1” deleted - shall come into operation
on 1 January 2019;

GN 3 of 2015 – Sub-Part C of Part II of the Second Schedule amended – New item 7A., 7B. and 7C.
inserted - w.e.f 24 January 2015.

1021
GN 128 of 2018 – Item 7B deleted and replaced shall come into operation on 1 January 2019.

7B. Gains or profits derived from the sale of units, securities, gold, silver or platinum, held for a
continuous period of at least 6 months, by a person other than a company holding a Global
Business Licence under the Financial Services Act.

FA 2018 – Items 7, 7A and 7B amended , the words “Category 1” deleted - shall come into operation
on 1 January 2019;

GN 3 of 2015 – Sub-Part C of Part II of the Second Schedule amended – New item 7A., 7B. and 7C.
inserted - w.e.f 24 January 2015.
1022
GN 28 of 2016 – Item 7C of Sub-Part C of Part II of the Second Schedule amended –the words
"paragraph (c) under Category D of item 3" deleted and replaced by the words "item 3(n)" w.e.f 27
February 2016

GN 3 of 2015 – Sub-Part C of Part II of the Second Schedule amended – New item 7A., 7B. and 7C.
inserted - w.e.f 24 January 2015.

1023
GN 128 of 2018 – Item 8 deleted shall come into operation on 1 January 2019.
8. Gains or profits derived from the sale of shares, debt obligations or other securities of a
company holding a Global Business Licence under the Financial Services Act 2007 by a non-
resident.
FA 2018 – Item 8 amended , the words “Category 1 Global Business Licence or Category 2” deleted -
shall come into operation on 1 January 2019.

GN 129/2006 – Item 8 amended by inserting immediately after the words “a company holding a ”, the
words “ Category 1 Global Business Licence or ” w.e.f 01.07.06.

* Please refer to endnotes at Appendix 1 Page 454 of 491

MRA THE INCOME TAX ACT 1995 455

FA 2006 – Item 8 reads :

Gains or profits derived from the sale of shares, debt obligations or other securities of a company
holding a Category 2 Global Business Licence under the Financial Services Development Act 2001 by
a non-resident.
1024
FA 2013 – Item 9 of Sub-Part C of Part II of the Second Schedule amended, the words “, including any
income derived from the chartering of such vessel” added – w.e.f 21 December 2013.
1025
GN No. 156 of 2014 – New Item 10A inserted after Item 10 w.e.f 9 August 2014.
1026
FA 2021- Sub-part C amended, item 10B deleted – w.e.f 05 August 2021.

10B.The income derived by a company from bunkering of low Sulphur Heavy Fuel Oil for a period of 4
succeeding years starting from the income year ending 30 June 2019 or for a company set up after 1
July 2019, 4 succeeding years as from the income year in which that company starts its operations.

FA 2019 – New Item 10B inserted after Item 10A – shall come into operation in respect of the year of
assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.

1027
SME Act 2017 – Sub-Part C of Part II of the Second Schedule amended – In item 11, in paragraph (a), by
deleting the words “under the Small and Medium Enterprises Development Authority Act” and
replacing them by the words “registered under the repealed Small and Medium Enterprises
Development Authority Act or the Small and Medium Enterprises Act 2017” w.e.f 18 January 2018.
1028
GN No. 22 of 2011- Item 11 amended paragraph (a) deleted and replaced w.e.f. 29.01.2010.

(a) Income derived by a small enterprise or handicraft enterprise under the Small Enterprises and
Handicraft Development Authority Act 2005 provided that -

(i) the enterprise operated by the person, other than a company, is converted into a
company on or after 10 June 2006; or

(ii) the enterprise is operated by a company incorporated on or after 10 June 2006; and

(iii) the period of exemption of the income of the company does not exceed 4 succeeding
income years as from the income year the company starts its operation.

GN 129/2006 – Item 11(a) (iii) amended by deleting the words “4 income years” and replacing them by
the words “4 succeeding income years” w.e.f 01.07.06
1029
FA 2018 – Items 11(b), 11A(b) and 13 (c) deleted shall come into operation on 1 January 2019.

11(b) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraph (a) during the period of exemption of its income shall be available for deduction
and carry forward under section 59.
1030
SME Act 2017- Item 11A amended, the words “Small and Medium Enterprises Development Authority
Act deleted wherever they appear and replaced by the words “ repealed Small and Medium Enterprises
Development Authority Act” – w.e.f 18 January 2018.

FA 2018 – Items 11(b), 11A(b) and 13 (c) deleted shall come into operation on 1 January 2019.

11A(b) Notwithstanding this Act, any loss incurred by a small enterprise under paragraph (a) during
the period of exemption of its income shall be available for deduction and carry forward under
sections 20 and 59.

* Please refer to endnotes at Appendix 1 Page 455 of 491

MRA THE INCOME TAX ACT 1995 456

FA 2016 - New item 11A inserted after item 11 shall come into operation in respect of the year of
assessment commencing on 1 July 2016 and in respect of every subsequent year of assessment.

1031
FA 2007 - Item 12 repealed , shall be deemed to have come into operation on 1 July 2007 in respect of
the income year commencing 1 July 2007 and in respect of every subsequent income year.
12. Income derived from outside Mauritius by a non-citizen who is resident in Mauritius.
1032
FA 2021- Sub-part C amended, item 13(a) deleted –w.e.f 05 August 2021.

13. (a) Income derived by a company registered with the Economic Development Board, as a
company engaged in the provision of health services, provided that the period of exemption of the
income of the company does not exceed 5 succeeding income years as from the income year the
company starts its operation.

Economic Development Board Act 2017- Sub- part C of Part II of the Second Schedule amended – In
item 13(a), by deleting the words “Board of Investment established under the Investment Promotion Act”
and replacing them by the words “Economic Development Board” –w.e.f 07 August 2017.
1033
FA 2018 – Items 11(b), 11A(b) and 13 (c) deleted shall come into operation on 1 January 2019.

13(b) Notwithstanding the other provisions of this Act, any loss incurred by a company under
paragraph (a) during the period of exemption of its income shall be available for deduction and
carry forward under section 59.

GN 129/2006 – New Item 13 inserted immediately after item 12, the existing item 13 being renumbered
14 accordingly w.e.f 01.07.06.
1034
FA 2007 – Sub–Part C of Part II of the Second Schedule amended by adding immediately after item 13,
the following new item 14, the existing item 14 being renumbered 15 accordingly - shall be deemed to
have come into operation on 1 July 2007 in respect of the income year commencing 1 July 2007 and
in respect of every subsequent income year.
1035
Income expressely exempt from Income Tax by virtue of the relevant Act:*

1 The Employees Welfare Fund

2 The Edgar Laurent Tuberculosis Foundation
3 The Mohunlall Mohith Foundation
4 The Soomunth Balgobin & Maya Luchman Balgobin Trust
5 The Cheong Shu Li Kwan Society
6 The Mauritius Ports Authority
7 The Farmers Service Corporation
8 The Industrial and Vocational Training Board
9 The Central Electricity Board
10 The Sugar Industry Labour Welfare Fund
11 The Mauritius Sugar Producers Association
12 The Agricultural Products Export Promotion Authority
13 The Amédée Maingard de la Ville-Es-Offrans Foundation
14 The Cheshire Foundation Homes For The Sick
15 The Comité National Mauricien De L’Organisation Mondiale pour L’Education Prescolaire
16 The Construction Industry Development Board

* Please refer to endnotes at Appendix 1 Page 456 of 491

MRA THE INCOME TAX ACT 1995 457

17 The Divine Life Society (Mauritius)

18 The Employees Superannuation Fund
19 The Export Processing Zones Development Authority
20 The Export Processing Zones Labour Welfare Fund
21 The Fishermen welfare Fund
22 The Gahlot Rajput Foundation
23 The Gandhi Ashram Khadi Vidyalaya Institute
24 The Hindu Maha Jana Sangham
25 The Ilois Welfare Fund
26 The Loïs Lagesse Trust Fund
27 The Louis Espitalier-Noel Foundation
28 The Mahatma Gandhi Institute
29 The Mauritius Broadcasting Corporation
30 The Mauritius College of the Air
31 The Mauritius Commercial Bank Foundation
32 The Mauritius Co-operative Institute
33 The Mauritius Council of Social Service
34 The Mauritius Export Development and Investment Authority
35 The Mauritius Film Development Corporation
36 The Mauritius Girls Guides Association
37 The Mauritius Institute of Health
38 The Mauritius Mental Health Association
39 The Mauritius Oceanography Institute
40 The Mauritius Red Cross Society
41 The Mauritius Research Council
42 The Mauritius Scouts Association
43 The Mauritius Standards Bureau
44 The Mauritius Sugar Industry Research Institute
45 The Mauritius Tourism Promotion Authority
46 The Murugan Foundation
47 The National Adoption Council
48 The National Agency For The Treatment And Rehabilitation Of Substance Abusers
49 The National Art Gallery
50 The National Computer Board
51 The National Eclof Committee
52 The National Handicraft Promotion Agency
53 The National Heritage Trust Fund
54 The National Library
55 The National Solidarity Fund
56 The National Trust Fund For Community Health

* Please refer to endnotes at Appendix 1 Page 457 of 491

MRA THE INCOME TAX ACT 1995 458

57 The Nunkeesor Saddul Foundation

58 The Outer Islands Development Corporation
59 The Prajapita Brahma Kumaris World Spiritual University Trust (Mauritius Branch)
60 The Rabita-Al-Alam-Al-Islami (Mauritius Branch)
61 The ST John Ambulance
62 The Sir Seewoosagur Ramgoolam Botanical Garden Trust
63 The Sir Seewoosagur Ramgoolam Foundation
64 The Society For The Welfare Of The Deaf
65 The State Of Jersey – Mauritius Foundation
66 The Statutory Bodies Family Protection Fund
67 The Sugar Cane Planters Trust
68 The Sugar Industry Pension Fund
69 The Sugar Planters Mechanical Pool Corporation
70 The Tea Industry Control Board
71 The Tertiary Education Commission
72 The Trade Union Trust Fund
73 The Women’s Self Help Association and
74 The African Reinsurance Corporation - Order made by the Minister under section 19 of The
International Organisations and Conferences (Privileges and Immunities) Act, 1978, as
contained in the Government Notice No. 106 of 1979.

75 The International Federation of Red Cross and Red Crescent Societies - Order made by the
Minister under section 19 of The International Organisations and Conferences (Privileges and
Immunities) Act, 1978, as contained in the Government Notice No. 226 of 2006.

76 The income of the Employees’ Real Estate Investment Trust and the value of any unit received
by an employee under the National Savings Fund Act from, or any distributions made by, the
Employees’ Real Estate Investment Trust.

77 The Early Childhood Care and Education Authority

78 The Investment Promotion (Smart City Scheme) Regulations 2015 - the income derived by:

i. a smart city company;

ii. a smart city developer; and
iii. a Special Purpose Vehicle (SPV) or a Smart City Management Company.

* Please note that the above list is not exhaustive.

1036
FA 2017 – Item 16 amended the words “whose members are” inserted after the word “society” shall
come into operation in respect of the year of assessment commencing on 1 July 2017 and in respect of
every subsequent year of assessment.

FA 2010 – In Sub-part C items 16 to 23 added, shall come into operation as from the year of assessment
2012.
1037
GN 231 of 2016 – Sub-part C of Part II of the Second Schedule amended, New items 16A added w.e.f
5 November 2016.
1038
FA 2011 – Items18 deleted and replaced shall be deemed to have come into operation on 5 November
2011.

* Please refer to endnotes at Appendix 1 Page 458 of 491

MRA THE INCOME TAX ACT 1995 459

18. Gains derived by a company from the sale or transfer of an immovable property between
companies within the same group.
1039
FA 2011 – Items19 deleted and replaced shall be deemed to have come into operation on 5 November
2011.
19. Gains derived by a company from the sale or transfer of an immovable property upon
production to the Director-General of a certificate from the ERCP Committee under the
Economic Restructuring and Competitiveness Package referred to in the Ministry’s document
entitled ‘Facing The Euro Zone Crisis and Restructuring for Long Term Resilience’ and dated
August 2010 and published as a General Notice in the Gazette of Thursday 9 December 2010,
certifying that the transfer is made under the Package.
1040
FA 2011 – Items 20 deleted and replaced shall be deemed to have come into operation on 5 November
2011.
20. Gains derived by a bank under the Banking Act from the sale or transfer of an immovable
property to a person pursuant to an arrangement entered into between the bank and the
person whereby the bank initially purchased the immovable property with a view to selling or
transferring the same to that person.
1041
FA 2011 –Items 21 to 24 deleted - shall be deemed to have come into operation on 5 November 2011.

21. Gains derived by the heirs of a deceased person upon the transfer between the heirs of an
immovable property acquired by inheritance, or from other heirs, of undivided rights of the
immovable property, from that person, provided that the transfer is made within 5 years of the
date of death of the person.

22. Gains derived from the sale or transfer of an immovable property from an ascendant to a
descendant.

23. Gains derived from the sale or transfer of an immovable property or any interest in an
immovable property by –

(a) an individual;

(b) an associate in a société, in respect of his share in that immovable property; or

(c) an heir of a deceased person, in respect of his undivided rights in that immovable
property when sold or transferred to a person who is not an heir of the deceased
person,

provided that –

(i) the sale or transfer is the first one made after 31 December 2010 by the
seller or transferor; and

(ii) the proceeds from the sale or transfer do not exceed 5 million rupees.

24. Gains derived by a resident from the sale or transfer of an immovable property, or any interest
in an immovable property, situated outside Mauritius.

GN No. 22 of 2011- New Item 24 added after Item 23 w.e.f. 1 January 2011.
1042
FA 2015 – Sub-part C amended, New items 25, 26 and 27 added w.e.f. 14 May 2015.
1043
FA 2017 – New item 25A inserted after Item 25 shall come into operation in respect of the year of
assessment commencing on 1 July 2017 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 459 of 491

MRA THE INCOME TAX ACT 1995 460

1044
Economic Development Board Act 2017- Sub-Part C of Part II of the Second Schedule amended – In
Item 27, by deleting the words “Investment Promotion Act” and replacing them by the words
“Economic Development Board Act 2017” –w.e.f 07 August 2017.

FA 2017 –The existing provision being lettered as sub-item (a) and in the newly lettered sub-item (a),
the word “Income” deleted and replaced by the words “Subject to sub-item (b), income” shall come
into operation in respect of income year commencing on 1 July 2017 and in respect of every subsequent
income year.
1045
FA 2017 – New sub-item (b) added shall come into operation in respect of income year commencing
on 1 July 2017 and in respect of every subsequent income year.
1046
FA 2024 – item 28(a) amended, by deleting the words “from the coming into operation of the Act or
such other period as may be prescribed” and replacing them by the words “starting from the income
year in which the company starts its operation”, w.e.f 27 July 2024.

Act No.32 of 2015, Captive Insurance Act – New item 28 added w.e.f 29 January 2016 (Proclamation
No.6 of 2016).
1047
FA 2018 – Item 28 amended, new sub-item (a) added, the existing provision being lettered as sub-item
(a) shall come into operation on 1 January 2019.
1048
GN 231 of 2016 – Sub-part C of Part II of the Second Schedule amended, New items 29 to 32 added
w.e.f 5 November 2016.
1049
FA 2018 – Item 30 (1) amended, sub-item (c) deleted w.e.f 9 August 2018.

(c) an Investment Banking Licence

1050 FA 2021- Paragragh (d) repealed – shall come into operation in respect of the year of assessement
commencing on 1 July 2022 and in respect of every subsequent year of assessment.

(d) [an Family Office (Single) Licence; or]

GN 286 of 2020 – Item 30 amended, the word “Overseas” deleted wherever it appears –w.e.f 28
November 2020.

1051 FA 2021- Paragragh (e) repealed – shall come into operation in respect of the year of assessement
commencing on 1 July 2022 and in respect of every subsequent year of assessment.

(e) [an Family Office (Multiple) Licence,

GN 286 of 2020 - Item 30 amended, the word “Overseas” deleted wherever it appears –w.e.f 28
November 2020.

1052
FA 2021- Sub-part C amended, new item 30A inserted after item 30 - shall come into operation in
respect of the year of assessment commencing on 1 July 2022 and in respect of every subsequent year
of assessment.
1053
Economic Development Board Act 2017- Sub-part C of Part II of the Second Schedule amended- In item
31(1), by deleting the words “Board of Investment” wherever they appear and replacing them by the
words “Economic Development Board w.e.f 07 August 2017.
1054
Economic Development Board Act 2017- Sub-part C of Part II of the Second Schedule amended- In item
31(1), by deleting the words “Board of Investment” wherever they appear and replacing them by the
words “Economic Development Board w.e.f 07 August 2017.
1055
FA 2021- Sub-part C amended, item 32 deleted-w.e.f 05 August 2021.

* Please refer to endnotes at Appendix 1 Page 460 of 491

MRA THE INCOME TAX ACT 1995 461

32. Income derived from fishing activities by an industrial fishing company incorporated on or
after 1 September 2016 and approved by the Economic Development Board, for a period of 8 years
starting as from the income year in which the company starts its operation.

Economic Development Board Act 2017- Sub-part C of Part II of the Second Schedule amended - In
item 32, by deleting the words “Board of Investment” and replacing them by the words “Economic
Development Board”w.e.f 07 August 2017.
1056
The Sport Act 2016 – New item 33 added w.e.f. 11 January 2017 - Proclamation No. 1 of 2017.
1057
FA 2019 –Item 34(a) of Sub-part C of Part II of the Second Schedule amended, the words “or income
derived by a company from intellectual property assets which are developed in Mauritius on or after 10
June 2019” –shall come into operation in respect of the year of assessment commencing on 1 July 2020
and in respect of every subsequent year of assessment.

FA 2017 – New items 34, 35 and 36 added w.e.f 24 July 2017 .

1058
GN No.107 of 2019 – Item 34(b) of Sub-part C of Part II of the Second Schedule amended, the words
“innovation-driven activities” deleted and replaced by the words “innovation-driven activities and shall
be granted provided that the company satisfies such conditions as may be prescribed” – w.e.f 11 June
2019.
1059
FA 2021-Sub-part C amended, item 35 deleted-w.e.f 05 August 2021.

35. Income derived from the manufacture of pharmaceutical products, medical devices and high-
tech products by a company which has started its operations on or after 8 June 2017, for a period of 8
income years starting from the income year in which the company starts its operations.

FA 2020 – Item 35 of Sub-part C of Part II of the Second Schedule amended, the word “incorporated”
deleted and replaced by the words “which has started its operations on or” w.e.f 7 August 2020.
1060
GN 22 of 2018 – Item 36 amended, the words “8 income years” deleted and replaced by the words ,“8
income years starting from the income year in which the company starts its operations” shall be deemed
to have come into operation on 1 January 2018.
1061
FA 2021-Sub-part C amended, item 37 deleted-w.e.f 05 August 2021.

37. Income derived from food processing activities by a company incorporated under the
Companies Act on or after 8 June 2017 and holding a registration certificate issued by the Economic
Development Board to operate a food processing plant, for a period of 8 income years starting as from
the income year in which the company starts its operations.

GN 22 of 2018 – New Item 37 added shall be deemed to have come into operation on 1 January 2018.
1062
FA 2018 – New item 38 added w.e.f 9 August 2018.
1063
FA 2018 – New item 39 added w.e.f 9 August 2018.
1064
FA 2018 – New item 40 added shall come into operation on 1 January 2019.
1065
FA 2023 – Item 41(a) repealed and replaced, shall come into operation in respect of the year of
assessment commencing on 1 July 2024 and in respect of every subsequent year of assessment.

Previously was:

Subject to sub-item (b), 80 per cent of income derived by a collective investment scheme (CIS), closed end
fund, CIS manager, CIS administrator, investment adviser, investment dealer or asset manager, as the

* Please refer to endnotes at Appendix 1 Page 461 of 491

MRA THE INCOME TAX ACT 1995 462

case may be, licensed or approved by the Financial Services Commission established under the Financial
Services Act.

FA 2021- Item 41(a) amended, the words “, investment dealer”; inserted after the words “investment
adviser”- shall be deemed to have come into operation on 1 July 2021.

FA 2018 – New item 41 added shall come into operation on 1 January 2019.
1066
FA 2024 – Item 41(aa) amended, by deleting the words “or approved”, w.e.f 27 July 2024.

FA 2023 – New Item 41(aa) inserted, shall come into operation in respect of the year of assessment
commencing on 1 July 2024 and in respect of every subsequent year of assessment.
1067
FA 2023 – Item 41(b) amended, by deleting the words “sub-item (a)” and replacing them by the words
“sub-items (a) and (aa)”, shall come into operation in respect of the year of assessment commencing on 1
July 2024 and in respect of every subsequent year of assessment.

FA 2019 – Item 41 (b) amended, the words “required by the Financial Services Commission established
under the Financial Services Act” deleted and replaced by the words “may be prescribed” – shall come
into operation in respect of the year of assessment commencing on 1 July 2020 and in respect of every
subsequent year of assessment.

GN 128 of 2018 – Item 41(b) amended, the words “in respect of income derived from overseas by a
collective investment scheme, closed end fund, CIS manager, CIS administrator, investment adviser or
asset manager, as the case may be,” deleted shall come into operation on 1 January 2019.
1068
FA 2021- Item 42(a) amended, the words “ship and aircraft leasing” deleted and replaced- shall come
into operation in respect of the year of assessment commencing on 1 July 2022 and in respect of every
subsequent year of assessment.

FA 2018 – New item 42 added shall come into operation on 1 January 2019.
1069
GN 128 of 2018 –Item 42(b) amended, the words “in respect of income derived from overseas by a
company engaged in ship and aircraft leasing” deleted shall come into operation on 1 January 2019.
1070
FA 2021- Sub-part C amended, item 43 deleted-w.e.f 05 August 2021.

43. Income derived by a company registered with the Economic Development Board and engaged
in the manufacturing of automotive parts during 8 successive income years as from the income year in
which the company starts the activity.

FA 2018 – New item 43 added w.e.f 9 August 2018.

1071
GN No. 232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 44 deleted – w.e.f 3
October 2020.

Previously was:

44. (a) Subject to sub-item (b), 80 per cent of income derived by a company from reinsurance and
reinsurance brokering activities.

(b) The exemption under sub-item (a) shall be granted provided the company satisfies such
conditions as may be prescribed relating to the substance of its activities.

FA 2019 – New item 44 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
1072
GN No. 97 of 2019- Sub-Part C of Part II of the Second Schedule amended, new item added – shall be
deemed to have come into operation on 1 January 2016.

* Please refer to endnotes at Appendix 1 Page 462 of 491

MRA THE INCOME TAX ACT 1995 463

1073
GN No. 232 of 2020 – Sub-Part C of Part II of the Second Schedule amended, item 45 deleted –w.e.f 3
October 2020.

Previously was:

45. (a) Subject to sub-item (b), 80 per cent of income derived by a company from leasing and
provision of international fibre capacity.

(b) The exemption under sub-item (a) shall be granted provided the company satisfies such
conditions as may be prescribed relating to the substance of its activities.

FA 2019 – New item 45 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
1074
GN No. 27 of 2020 – Sub-part C of Part II of the second schedule amended, new item 45A added –made
by the Minister on 14 January 2020.
1075
GN No. 232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 46 added –shall be
deemed to have come into operation on 1 July 2020.

GN No.232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 46 deleted –w.e.f 3
October 2020.

Previously was:

46. (a) Subject to sub-item (b), 80 per cent of income derived by a company from the sale,
financing arrangement, asset management of aircraft and its spare parts and aviation
advisory services related thereto.

(b) The exemption under sub-item (a) shall be granted provided the company satisfies such
conditions as may be prescribed relating to the substance of its activities.

FA 2019 – New item 46 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
1076
GN No.232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 47 added – shall be
deemed to have come into operation on 1 July 2020.

GN No. 232 of 2020 - Sub-part C of Part II of the Second Schedule amended, item 47 deleted –w.e.f 3
October 2020.

Previously was:

47. (a) Subject to sub-item (b), income derived by a company set up on or before 30 June 2025 and
issued with an e-Commerce certificate by the Economic Development Board provided that –

(i) the income is derived from the operation of the e-Commerce platform; and

(ii) the company satisfies such conditions as may be prescribed relating to the substance
of its activities.

(b) The exemption under sub-item (a) shall be for a period of 5 succeeding income years as from
the income year in which the activities referred to in sub-item (a) started.

FA 2019 – New item 47 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 463 of 491

MRA THE INCOME TAX ACT 1995 464

1077
GN No.232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 48 added –shall be
deemed to have come into operation on 1 July 2020.

GN No. 232 of 2020 - Sub-part C of Part II of the Second Schedule amended, item 48 deleted –w.e.f 3
October 2020.

Previously was:

48. (a) Subject to sub-item (b), income derived by a person from the operation of a Peer to- Peer
Lending platform, operated under a licence issued by the Financial Services Commission
under the Financial Services Act, provided that –

(i) the person has started its operations prior to 31 December 2020;

(ii) the income is derived from the activities covered under that licence; and

(iii) the person satisfies the conditions relating to the substance of its activities, as
specified by the Financial Services Commission established under the Financial
Services Act.

(b) The exemption under this item shall be for a period of 5 succeeding income years as from the
income year inwhich the person started its operations.

FA 2019 – New item 48 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
1078
GN No. 232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 49 added – shall be
deemed to have come into operation on 1 July 2020.

GN No. 232 of 2020 - Sub-part C of Part II of the Second Schedule amended, item 49 deleted – w.e.f 3
October 2020.

Previously was:

49. Income derived by a company set-up on or after 10 June 2019 and engaged in the development of a
marina for a period of 8 income years starting from the income year in which the company starts its
operation.

FA 2019 – New item 49 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.
1079
GN 286 of 2020 - Sub-part C of Part II of the Second Schedule amended, in item 50, in sub-item (a)(i), by
deleting the words “31 December 2020” and replacing them by the words “31 December 2021”, w.e.f 28
November 2020.

GN No.232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 50 added – shall be
deemed to have come into operation on 1 July 2020.

GN No.232 of 2020 – Sub-part C of Part II of the Second Schedule amended, item 50 deleted – w.e.f 3
October 2020.

Previously was :

50. The first 50,000 rupees of the amount receivable by an individual in an income year from a REIT.

FA 2019 – New item 50 added –shall come into operation in respect of the year of assessment
commencing on 1 July 2020 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 464 of 491

MRA THE INCOME TAX ACT 1995 465

1080
FA 2021-Sub-part C amended, item 51 deleted –w.e.f 05 August 2021.

51. Income derived by a company set-up on or after 10 June 2019 and engaged in the development of a
marina for a period of 8 income years starting from the income year in which the company starts its
operation.

GN No. 232 of 2020 – New item 51 added – shall be deemed to have come into operation on 1 July 2020.
1081
GN No. 232 of 2020 – New item 52 added – shall be deemed to have come into operation on 1 July 2020.
1082
FA 2021-Sub-part C amended, item 53 deleted –w.e.f 05 August 2021.

53. Income derived from inland aquaculture in Mauritius, by a company which has started its
operations on or after 4 June 2020, for a period of 8 successive income years starting from the income
year in which the company has started its operations.

GN No. 232 of 2020 – New Item 53 added – shall be deemed to have come into operation on 7 August
2020.
1083
FA 2021- Sub-part C amended, item 54 deleted- w.e.f 05 August 2021.

54. Income derived by a company which has started its operations in Mauritius on or after 4 June 2020
and approved by the Higher Education Commission as being a branch campus of an institution which
ranks among the first 500 tertiary institutions worldwide whose ranking at the time of registration, for a
period of 8 successive income years starting from the income year in which the institution has started
its operations.

GN No. 232 of 2020 – New item 54 added – shall be deemed to have come into operation on 7 August
2020.
1084
FA 2021- Sub-part C amended, item 55 deleted- w.e.f 05 August 2021.

55. Income derived from the manufacturing of nutraceutical products by a company which has started
its operations on or after 4 June 2020 for a period of 8 successive income years starting from the
income year in which the company has started its operations.

GN No. 232 of 2020 – New item 55 added, shall be deemed to have come into operation on 7 August 2020.

1085
FA 2021- New item 56 added, w.e.f 05 August 2021.
1086
FA 2022 - New item 57 added, shall come into operation in respect of the year of assessment
commencing on 1 July 2023 and in respect of every subsequent year of assessment.
1087
FA 2022 - New item 58 added, shall come into operation in respect of the year of assessment
commencing on 1 July 2023 and in respect of every subsequent year of assessment.
1088
FA 2022 - New item 59 added, shall come into operation in respect of the year of assessment
commencing on 1 July 2023 and in respect of every subsequent year of assessment.
1089
FA 2024 – New paragraph 59(aa) inserted after paragraph 59(a), w.e.f 27 July 2024.
1090
FA 2024 – Item 60 amended, by deleting the words “Social contribution income” and “Sub-part IIIB” and
replacing them by the words “Any” and “Sub-part IIIB, IIIBA, IIIBB, IIIC, IIICA, IIICB, IIID or IIIE”
respectively, w.e.f 27 July 2024.

FA 2022 - New item 60 added, shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2022.

* Please refer to endnotes at Appendix 1 Page 465 of 491

MRA THE INCOME TAX ACT 1995 466

1091
FA 2024 – New item 61 added, shall come into operation in respect of the year of assessment
commencing on 01 July 2025 and in respect of every subsequent year of assessment.
1092
FA 2024 – New item 62 added, shall come into operation in respect of the year of assessment
commencing on 01 July 2025 and in respect of every subsequent year of assessment.
1093
FA 2023 – Part I of the Third Schedule repealed and replaced, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2023 and in respect of every subsequent
income year.

ITA 1995:

Part I - Income Exemption Threshold *

Individual (Rs)

Category A … … … … … 325,000
Category B … ... … … ... 435,000
Category C … ... … … … 515,000
Category D … ... … … … 600,000
Category E … … …… … 680,000

1. In this Schedule –

(a) Category A refers to an individual who, in an income year, does not have any dependent;

(b) Category B refers to an individual who, in an income year, has one dependent only;

(c) Category C refers to an individual who, in an income year, has 2 dependents only;

(d) Category D refers to an individual who, in an income year, has 3 dependents only;

(e) Category E refers to an individual who, in an income year, has 4 or more dependents;

(f) Repealed

(g) Repealed

(h) Repealed

(i) Repealed 1093*

2. 1093* Where a dependent under Category B, C, D or E is a child pursuing a non- sponsored full-time
undergraduate or postgraduate course at a –

(a) tertiary educational institution recognised by the Tertiary Education Commission established
under the Tertiary Education Commission Act; or

(b) recognised tertiary educational institution, outside Mauritius;

* Please refer to endnotes at Appendix 1 Page 466 of 491

MRA THE INCOME TAX ACT 1995 467

the person shall, in addition to the income exemption threshold he is entitled to, be eligible to an additional
exemption of 500,000 rupees.

3. No exemption under paragraph 2 shall be allowed –

(a) where the annual tuition fees, excluding administration and student union fees, are less than 34,800
rupees for a child following an undergraduate course in Mauritius;

(b) Repealed1093*

(c) in respect of the same dependent for more than 6 years.1093*

FA 2020 – Part I of the Third Schedule amended, the table deleted and replaced-shall be deemed to have
come into operation in respect of the income year commencing on 1 July 2020 and in respect of every
subsequent income year.

Part I - Income Exemption Threshold

Individual (Rs)

Category A … …… …… 310,000
Category B … ... … … ... 420,000
Category C … ... … … … 500,000
Category D … ... … … … 550,000
Category E … … … …… 600,000

FA 2019 – The Third Schedule repealed and replaced – shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2019 and in respect of every subsequent income year.

Part I - Income Exemption Threshold *

Individual (Rs)

Category A … … … … … 305,000
Category B … … … … … 415,000
Category C … … … … … 480,000
Category D … … … … … 525,000
Category E … … … … … 555,000
Category F … … … … … 355,000
Category G … … … … … 465,000

FA 2018 –

Part I - Income Exemption Threshold *

Individual (Rs)

Category A … … … … … 300,000

* Please refer to endnotes at Appendix 1 Page 467 of 491

MRA THE INCOME TAX ACT 1995 468

Category B … … … … … 410,000
Category C … … … … … 475,000
Category D … … … … … 520,000
Category E … … … … … 550,000
Category F … … … … … 350,000
Category G … … … … … 460,000

FA 2017 – The Third Schedule repealed and replaced shall come into operation in respect of income year
commencing on 1 July 2017 and in respect of every subsequent income year.

THIRD SCHEDULE

(section27(2))
Part I - Income Exemption Threshold

Individual (Rupees)

Category A … … … … … 295,000
Category B … … … … … 405,000
Category C … … … … … 465,000
Category D … … … … … 505,000
Category E … … … … … 345,000
Category F … … … … … 455,000
For the purposes of this Schedule -

(i) Category A refers to an individual who, in an income year, does not have any dependent;

(ii) Category B refers to an individual who, in an income year, has one dependent only;

(iii) Category C refers to an individual who, in an income year, has 2 dependents only;

(iv) Category D refers to an individual who, in an income year, has 3 or more dependents;

(v) Category E refers to -

(A) a retired person who, in an income year, has no dependent and has gross
income, other than specified income; or

(B) a disabled person who, in an income year, has no dependent;

(vi) Category F refers to -

(A) a retired person who, in an income year, has one dependent and has gross
income, other than specified income; or

(B) a disabled person who, in an income year, has one dependent;

(vii) “retired person” means a person who attains the age of 60 at any time prior to the first day of
July of an income year in respect of which a claim for income exemption threshold in
respect of Category E or Category F, as the case may be, is made ;

(viii) “specified income” means the gross income derived from emoluments, other than any income

* Please refer to endnotes at Appendix 1 Page 468 of 491

MRA THE INCOME TAX ACT 1995 469

specified in section 10(1)(a)(ii), or from any business;

(ix) where the dependent under Category B, C, D and F is a child pursuing a non-sponsored fulltime
undergraduate course at a recognised tertiary educational institution, the person shall, in addition to
the income exemption threshold he is entitled to, be eligible for an additional exemption of 135,000
rupees in respect of each dependent pursuing his undergraduate course –

(A) in Mauritius at an institution recognised by the Tertiary Education Commission established

under the Tertiary Education Commission Act; or

(B) outside Mauritius at a recognized institution.

(x) no exemption under paragraph (ix) shall be allowed –

(A) where the annual tuition fees, excluding administration and student union fees, are less than
34,800 rupees for a child following an undergraduate course in Mauritius; or

(A) where the income referred to in section 27A(5) of the person, or the spouse of
the person, as the case may be, exceeds 4 million rupees in an income year;

(C) in respect of the same dependent for more than 6 consecutive years.

PART II - RELIEF FOR MEDICAL OR HEALTH INSURANCE PREMIUM

COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold (Rs)
Category A (no dependent) 12,000
Category B (one dependent) 12,000 for self
+ 12,000 for dependent
Category C (2 dependents) 12,000 for self
+ 12,000 for first dependent
+ 6,000 for second dependent
Category D (3 dependents) 12,000 for self
+ 12,000 for first dependent
+ 6,000 for second dependent
+ 6,000 for third dependent
Category E (retired or disabled person with no 12,000
dependent)

Category F (retired or disabled person having one 12,000 for self

dependent)
+ 12,000 for dependent

FA 2012 – The Third Schedule amended, the heading “INCOME EXEMPTION THRESHOLD” deleted and
replaced them by the words “PART I - INCOME EXEMPTION THRESHOLD”; shall
come into operation in respect of the year of assessment commencing on 1 January 2013 and in
respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 469 of 491

MRA THE INCOME TAX ACT 1995 470

FA 2012 – Paragraphs (v) and (vi) deleted and replaced shall come into operation in respect of the year
of assessment commencing on 1 January 2013 and in respect of every subsequent year of assessment.
(v) Category E refers to a retired person who, in an income year, has no dependent and has gross
income, other than specified income;
(vi) Category F refers to a retired person who, in an income year, has one dependent and has gross income,
other than specified income;

FA 2015 – Paragraph (vii) amended, the word “January” deleted and replaced by the word “July” shall come
into operation in respect of the income year commencing on 1 July 2015 and in respect of every
subsequent income year.

FA 2013 – Item (vii) amended, the word “July” deletied and replaced by the word “January” - shall
come into operation in respect of the income year commencing 1 January 2014 and in respect of every
subsequent income year.
(1)
The words "or being unemployed" inserted by FA 1999. Effective as from income year 1999-
00.

FA 2016 - Subparagraph (A) amended, the figure “44,500” deleted and replaced by the figure “34,800”;
FA 2015 – Subparagraph (B ) amended, the words “2 million” deleted and replaced by the words “4 million”
shall come into operation in respect of the year of assessment commencing on 1 July 2016 and in
respect of every subsequent year of assessment.

FA 2011 – Subparagraph (B) repealed and replaced shall come into operation on 1 January 2012.
(B) where the individual is liable to solidarity income tax referred to in
Sub-Part AA of Part III;

FA 2015 – Subparagraph (C) amended, the figure “3” deleted and replaced by the figure “6” - shall come into
operation in respect of the income year commencing on 1 July 2015 and in respect of every subsequent
income year.

FA 2012 – New Part II added shall come into operation in respect of the year of assessment commencing on 1
January 2013 and in respect of every subsequent year of assessment.

FA 2015 – Subparagraph (A) amended, the words “for a child following an undergraduate course in
Mauritius” inserted after the word “rupees” shall come into operation in respect of the income year
commencing on 1 July 2015 and in respect of every subsequent income year.

FA 2016 - The second column of the Third Schedule amended, the figures “285,000”, “395,000”,
“455,000”, “495,000”, “335,000” and “445,000” deleted and replaced by the figures “295,000”,
“405,000”, “465,000”, “505,000”, “345,000” and “455,000”, respectively shall come into operation in
respect of the year of assessment commencing on 1 July 2016 and in respect of every subsequent year of
assessment.

FA 2015 – The Third Schedule amended, the figures “275,000”, “385,000”, “445,000”, “485,000”,
“325,000” and “435,000” deleted and replaced by the figures “285,000”, “395,000”, “455,000”,
“495,000”, “335,000” and “445,000”, respectively - shall come into operation in respect of the income
year commencing on 1 July 2015 and in respect of every subsequent income year.

FA 2013 – The Third Scheduleby amended, the figures “270,000”, “380,000”, “440,000”, “480,000”,
“320,000” and “430,000” deleted and replaced by the figures “275,000”, “385,000”, “445,000”,
“485,000”, “325,000” and “435,000”, respectively- shall come into operation in respect of the income
year commencing 1 January 2014 and in respect of every subsequent income year.

FA 2011 – the figures“255,000”, “365,000”, “425,000”, “465,000”, “305,000” and “415,000” deleted
and replaced by the figures “270,000”, “380,000”, “440,000”, “480,000”, “320,000” and “430,000”,
respectively - shall come into operation in respect of the income year commencing 1 January 2012 and in
respect of every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 470 of 491

MRA THE INCOME TAX ACT 1995 471

FA(No.2) 2009 -the Third Schedule amended, by deleting the figures “240,000”, “350,000”,
“410,000”, “450,000”, “285,000” and “395,000” and replacing them by the figures “255,000”,
“365,000”, “425,000”, “465,000”, “305,000” and “415,000”, respectively - shall come into operation on 1
January 2010 in respect of the income year commencing on 1 January 2010 and in respect of every
subsequent income year.

FA 2008 Section15(s)- The Third Schedule repealed and replaced - (shall be deemed to have come into
operation on 1 July 2008 in respect of the income year commencing 1 July 2008 and in respect of every
subsequent income year.)

FA 2006 s.18(zzf)- (effective as from income year commencing on 1 July 2006)

THIRD SCHEDULE
(section27(2))
Income Exemption Threshold

Amount
Individual (Rupees)

Category A … … … … … 215,000

Category B … … … … … 325,000

Category C … … … … … 385,000

Category D … … … … … 425,000

For the purposes of this Schedule –

(i) Category A refers to an individual who, in an income year, does not have any dependent;

(ii) Category B refers to an individual who, in an income year, has one dependent only;

(iii) Category C refers to an individual who, in an income year, has 2 dependents only; or

(iv) Category D refers to an individual who, in an income year, has 3 or more dependents.

FA 2004 - Income year 2004-05 Third Schedule deleted and replaced by the Fourth Schedule to this
Act.

THIRD SCHEDULE
(section 38, 39, 41, 42 and 42A)

Section Amount
(Rupees)

1. Basic personal deduction 38 85,000(1)

2. Deduction for dependent spouse 39 85,000(2)

3. Basic deduction for dependent child 41 30,000

4. Deduction for dependent handicapped child 42 70,000(3)

5. Deduction for other handicapped person 42A 70,000(3)

* Please refer to endnotes at Appendix 1 Page 471 of 491

MRA THE INCOME TAX ACT 1995 472

For the purpose of items 1, 2 and 3 of this Schedule, where a taxpayer, his dependent spouse, or any of his
dependent children in respect of whom a deduction has been allowed under item 3, is handicapped, the
taxpayer shall in addition to the deduction to which he is entitled under section 38, 39 or 41, be allowed a
deduction of 70,000(3) rupees in respect of the handicapped person.
(1)
The word “85,000” replaced the word “80,000” by FA 2005. Effective as from income year 2005-06.
(2)
The word “85,000” replaced the word “65,000” by FA 2005. Effective as from income year 2005-06.
(3)
The word “70,000” replaced the word “50,000” by FA 2005. Effective as from income year 2005-06.

FA 2003 - Income year 2003-2004

THIRD SCHEDULE
(Sections 38, 39, 41, 42 and 42A)
Section Amount
(Rupees)
1. Basic personal deduction 38 75,000

2. Deduction for dependent spouse 39 60,000

3. Deduction for dependent children - 41

(a) child under the age of 18 at any time in the income year; 25,000

(b) child over the age of 18 at any time in the income year and
receiving full-time instruction at an educational institution
or serving under articles or indentures with a view to
qualifying in a trade or profession or being unemployed;
25,000
(c) child attending a course in the income year at the
Industrial Vocational Training Board as a non-sponsored
student, or at a State-owned or approved technical school;

(d) (i) child receiving full-time instruction in the income year at 30,000
a university in Mauritius;
(ii) child attending a course at a polytechnic in Mauritius or
at an educational institution providing tertiary 50,000
education and approved as such by the Commissioner
(iii) child receiving full-time post-secondary instruction of at
least two years’ duration at the Industrial Vocational
50,000
Training Board or at a recognised training institution;
(iv) child serving under articles or indentures outside
Mauritius with a view to qualifying in a trade or
profession
50,000
(e) child receiving full-time instruction in the income year at a
university outside Mauritius or attending a course at a
polytechnic outside Mauritius.
50,000
Deduction for dependent handicapped child
Deduction for other handicapped person
100,000

4. 42 50,000
5. 42A 50,000

For the purposes of items 1, 2 and 3 of this Schedule -

* Please refer to endnotes at Appendix 1 Page 472 of 491

MRA THE INCOME TAX ACT 1995 473

(1) Where a deduction has been allowed under item 3(a), 3(c), 3(d) or 3(e) the taxpayer shall not, in
respect of the same child, be allowed a deduction under any other item.

(2) Where a taxpayer, his dependent spouse, or any of his dependent children in respect of whom a
deduction has been allowed under item 3, is handicapped, the taxpayer shall, in addition to the
deduction to which he is entitled under section 38, 39, or 41, be allowed a deduction of 50,000 rupees
in respect of the handicapped person.

 ITA 1995 as amended by FA 1996 - Income year 1996-97

THIRD SCHEDULE

(sections 38, 39, 41 and 42)

Section Amount
(Rupees)
1. Basic personal deduction 38 45,000

2. Deduction for dependent spouse 39 25,000

3. Deduction for dependent children - 41

(a) child under the age of 18 at any time in the income year;
12,000
(b) child over the age of 18 at any time in the income year
and receiving full-time instruction or serving under
articles or indentures with a view to qualify in a trade or
profession;
12,000
(c) child receiving full-time instruction at any time in the
income year at a university, or serving under articles or
indentures outside Mauritius with a view to qualifying in
a trade or profession;
35,000
(d) child attending a course at any time in the income year
at the Industrial Vocational Training Board as a non-
sponsored student or at a State-owned technical school
20,000
Deduction for dependent handicapped child
4. 42 20,000

For the purposes of items 1, 2 and 3 of this Schedule -

(1) Where a deduction has been allowed under item 3(a), 3(b), 3(c) or 3(d) the taxpayer shall not, in
respect of the same child, be allowed a deduction under any other item.

(2) Where a taxpayer, his dependent spouse, or any of his dependent children in respect of whom a
deduction has been allowed under item 3, is handicapped, the taxpayer shall, in addition to the
deduction to which he is entitled under section 38, 39, or 41, be allowed a deduction of 20,000
rupees in respect of the handicapped person.

* Please refer to endnotes at Appendix 1 Page 473 of 491

MRA THE INCOME TAX ACT 1995 474

 FA 1997 - Income year 1997-98

THIRD SCHEDULE

(sections 38, 39, 41 and 42)

Section Amount
(Rupees)
1. Basic personal deduction 38 48,000

2. Deduction for dependent spouse 39 28,000

3. Deduction for dependent children - 41

(a) child under the age of 18 at any time in the income year;
15,000
(b) child over the age of 18 at any time in the income year
and receiving full-time instruction at an educational
institution or serving under articles or indentures with a
view to qualifying in a trade or profession;
15,000
(c) child receiving full-time instruction at any time in the
income year at the University of Mauritius, or attending a
course at a polytechnic in Mauritius, or serving under
articles or indentures outside Mauritius with a view to
qualifying in a trade or profession; 40,000

(d) child receiving full-time instruction at any time in the

income year at a university outside Mauritius or
attending a course at a polytechnic outside Mauritius;
50,000
(e) child attending a course at any time in the income year
at the Industrial Vocational Training Board as a non-
sponsored student, or at a State-owned, or approved,
technical school
25,000
Deduction for dependent handicapped child
4. 42 40,000

For the purposes of items 1, 2 and 3 of this Schedule -

(1) Where a deduction has been allowed under item 3(a), 3(b), 3(c), 3(d) or 3(e) the taxpayer shall
not, in respect of the same child, be allowed a deduction under any other item.

(2) Where a taxpayer, his dependent spouse, or any of his dependent children in respect of
whom a deduction has been allowed under item 3, is handicapped, the taxpayer shall, in
addition to the deduction to which he is entitled under section 38, 39, or 41, be allowed a
deduction of 40,000 rupees in respect of the handicapped person.

* Please refer to endnotes at Appendix 1 Page 474 of 491

MRA THE INCOME TAX ACT 1995 475

 FA 1998 - Income years 1998-99 & 1999-00

THIRD SCHEDULE

(sections 38, 39, 41, 42 and 42A)

Section Amount
(Rupees)
1. Basic personal deduction 38 50,000

2. Deduction for dependent spouse 39 40,000

3. Deduction for dependent children - 41

(a) child under the age of 18 at any time in the income year; 17,000

(b) child over the age of 18 at any time in the income year and
receiving full-time instruction at an educational institution or
serving under articles or indentures with a view to qualifying in
a trade or profession or being unemployed; 17,000

(c) child receiving full-time instruction at any time in the income

year at the University of Mauritius, or attending a course at a
polytechnic in Mauritius, or serving under articles or indentures
outside Mauritius with a view to qualifying in a trade or 40,000
profession;

(d) child receiving full-time instruction at any time in the income

year at a university outside Mauritius or attending a course at
a polytechnic outside Mauritius; 50,000

(e) child attending a course at any time in the income year at the
Industrial Vocational Training Board as a non-sponsored
student, or at a State-owned, or approved, technical school. 25,000

4. Deduction for dependent handicapped child 42 42,000

5. Deduction for other handicapped person 42A 42,000

For the purposes of items 1, 2 and 3 of this Schedule -

(1) Where a deduction has been allowed under item 3(a), 3(b), 3(c), 3(d) or 3(e) the taxpayer shall
not, in respect of the same child, be allowed a deduction under any other item.

(2) Where a taxpayer, his dependent spouse, or any of his dependent children in respect of
whom a deduction has been allowed under item 3, is handicapped, the taxpayer shall, in
addition to the deduction to which he is entitled under section 38, 39, or 41, be allowed a
deduction of 42,000 rupees in respect of the handicapped person.

1094
FA 2024 – New Paragraph 4 in Part I of the Third Schedule inserted, shall be deemed to have come into
operation in respect of the income year commencing on 01 July 2024 and in respect of every
subsequent income year.

1095
FA 2023 – Part II of the Third Schedule repealed and replaced, shall be deemed to have come into
operation in respect of the income year commencing on 1 July 2023 and in respect of every subsequent
income year.

* Please refer to endnotes at Appendix 1 Page 475 of 491

MRA THE INCOME TAX ACT 1995 476

ITA 1995:

COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold (Rs)
Category A 25,000
(no dependent)
Category B 25,000 for self +
(1 dependent) 25,000 for dependent
Category C 25,000 for self +
(2 dependents) 25,000 for first dependent +
20,000 for second dependent
Category D 25,000 for self +
(3 dependents) 25,000 for first dependent +
20,000 for second dependent +
20,000 for third dependent
Category E 25,000 for self +
(4 dependents) 25,000 for first dependent +
20,000 for second dependent +
20,000 for third dependent +
20,000 for fourth dependent

FA 2022- Part II of the Third Schedule amended, the figure “20,000” deleted wherever it appears and
replaced by the figure “25,000” and the figure “15,000” deleted wherever it appears and replaced by the
figure “20,000” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2022 and in respect of every subsequent income year.

FA 2021- Part II of the Third Schedule amended, the figure “15,000” deleted wherever it appears and
replaced by the figure “20,000” and the figure “10,000” deleted wherever it appears and replaced by the
figure “15,000” – shall be deemed to have come into operation in respect of the income year
commencing on 1 July 2021 and in respect of every subsequent income year.

* Please refer to endnotes at Appendix 1 Page 476 of 491

MRA THE INCOME TAX ACT 1995 477

Previously was:
PART II - RELIEF FOR MEDICAL OR HEALTH INSURANCE PREMIUM 1095*

COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold (Rs)
Category A 15,000
(no dependent)
Category B 15,000 for self +
(1 dependent) 15,000 for dependent
Category C 15,000 for self +
(2 dependents) 15,000 for first dependent +
10,000 for second dependent
Category D 15,000 for self +
(3 dependents) 15,000 for first dependent +
10,000 for second dependent +
10,000 for third dependent
Category E 15,000 for self +
(4 dependents) 15,000 for first dependent +
10,000 for second dependent +
10,000 for third dependent +
10,000 for fourth dependent

FA 2019 – Part II of the Third Schedule repealed and replaced – shall be deemed to have come into operation in
respect of the income year commencing on 1 July 2019 and in respect of every subsequent income year.

Previously was

COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold (Rs)
Category A (no dependent) 15,000
Category B (one dependent) 15,000 for self
+ 15,000 for dependent
Category C (2 dependents) 15,000 for self
+ 15,000 for first dependent
+ 10,000 for second dependent

* Please refer to endnotes at Appendix 1 Page 477 of 491

MRA THE INCOME TAX ACT 1995 478

Category D (3 dependents) 15,000 for self

+ 15,000 for first dependent
+ 10,000 for second dependent
+ 10,000 for third dependent
Category F (retired or disabled person with no 15,000
dependent)

Category G (retired or disabled person having one 15,000 for self

dependent)
+ 15,000 for dependent

FA 2017 –

FA 2012 – New Part II added shall come into operation in respect of the year of assessment
commencing on 1 January 2013 and in respect of every subsequent year of assessment.
COLUMN 1 COLUMN 2
Category claimed as Income Premium allowable
Exemption Threshold (Rs)
Category A (no dependent) 12,000
Category B (one dependent) 12,000 for self
+ 12,000 for dependent
Category C (2 dependents) 12,000 for self
+ 12,000 for first dependent
+ 6,000 for second dependent
Category D (3 dependents) 12,000 for self
+ 12,000 for first dependent
+ 6,000 for second dependent
+ 6,000 for third dependent
Category E (retired or disabled person with no 12,000
dependent)

Category F (retired or disabled person having one 12,000 for self

dependent)
+ 12,000 for dependent

1096
FA 2011 – The Fourth Schedule repealed shall come into operation on 1 January 2012.
FOURTH SCHEDULE
(sections 2 and 105)
Gross income specified in section 10(1)(b) and rent specified in section 10(1)(c)

CPS threshold

Turnover 500,000 rupees for the CPS quarter

Gross Income from profession, vocation 100,000 rupees for the CPS quarter
or occupation
Rent 25,000 rupees per month

* Please refer to endnotes at Appendix 1 Page 478 of 491

MRA THE INCOME TAX ACT 1995 479

1
[PART II] Repealed *

1* FA 2007 - PART II repealed w.e.f 22.08.07.

PART II
Method to calculate tax under the current payment system (CPS)

Chargeable Income Tax

Rs Rs
1 to 125,000 - 15 per cent of chargeable income

125,001 and over 18,750 + 22.5 per cent of excess over Rs 125,000

FA 2009 - The Fourth Schedule deleted and replaced shall be deemed to have come into operation on 1
July 2009.

FA 2007 - The Fourth Schedule amended, by deleting the words “(sections 2, 105 and 108) ” and
“PART I” and replacing them by the words “(sections 2 and 105) w.e.f 22.08.07.
FOURTH SCHEDULE
(sections 2 and 105)
Gross income specified in section 10(1)(b) and rent specified in section 10(1)(c)

CPS threshold

Turnover 300,000 rupees for the CPS quarter

Gross Income from profession, vocation 75,000 rupees for the CPS quarter
or occupation

Rent 20,000 rupees per month

FA 2006 s.18(zzf)- (effective as from income year commencing on 1 July 2006)

FA 2006 s.18(zzf) effective as from income year commencing 1July 2006 for individuals and as from year
of assessment 2007/2008 for companies.

FOURTH SCHEDULE
(sections 2,105 and 108)

Gross income specified in section 10(1)(b) and rent specified in section 10(1)(c)

CPS threshold

Turnover 300,000 rupees for the CPS quarter

Gross Income from profession, vocation 75,000 rupees for the CPS quarter
or occupation
Rent 20,000 rupees per month

PART II
Method to calculate tax under the current payment system (CPS)

Chargeable Income Tax

Rs Rs
1 to 125,000 - 15 per cent of chargeable income

* Please refer to endnotes at Appendix 1 Page 479 of 491

MRA THE INCOME TAX ACT 1995 480

125,001 and over 18,750 + 22.5 per cent of excess over Rs 125,000

FOURTH SCHEDULE
(section 2)
PART I - EMOLUMENTS

Amount

1. In respect of an employee 8,000 rupees(1) per month

[ 6,000 rupees(2) per month during the inter-

[ crop season, and 9,500 rupees(3) per
2. In respect of a field worker or a non-agricultural [ month during the crop season, and end-of-
worker in the sugar industry [ year bonus and leave pay prescribed in
[ any enactment in his favour
[

PART II - TAX LIABILITY

Tax liability for a CPS period (4) 500 rupees or less (5)

(1)
Amended by FA 1998. Effective as from income year 1998-99. Previously -
 ITA 1995 as amended - Rs 5,500
 FA 1997 - Income year 1997-98 - Rs 5,800
 FA 2003 – effective as from year of assessment 2003/2004 – Rs 7,000
 FA 2004 – effective as from year of assessment 2005/2006 – Rs. 8,000
(2)
Amended by FA 1998. Effective as from income year 1998-99. Previously -
 ITA 1995 as amended - Rs 4,500
 FA 1997 - Income year 1997-98 - Rs 4,800
 FA 2003 – effective as from year of assessment 2003/2004 – Rs 5,700
 FA 2004 – effective as from year of assessment 2005/2006 – Rs. 6,000
(3)
Amended by FA 1998. Effective as from income year 1998-99. Previously -
 ITA 1995 as amended - Rs 8,000
 FA 1997 - Income year 1997-98 - Rs 8,300
 FA 2003 – effective as from year of assessment 2003/2004 – Rs 9,100
 FA 2004 – effective as from year of assessment 2005/2006 – Rs. 9,500
(4)
The words “CPS period” replaced “CPS quarter” by FA 1997. Effective as from income year 1997-98.
(5)
Amended by FA 1997. Effective as from income year 1997-98. Previously ITA 1995 as amended - Rs 200
or less

1097
FA 2007 - PART II repealed w.e.f 22.08.07.

PART II
Method to calculate tax under the current payment system (CPS)

Chargeable Income Tax

Rs Rs
1 to 125,000 - 15 per cent of chargeable income

125,001 and over 18,750 + 22.5 per cent of excess over Rs 125,000

* Please refer to endnotes at Appendix 1 Page 480 of 491

MRA THE INCOME TAX ACT 1995 481

FA 2004 s.11(z)- (effective as from income year commencing on 1 July 2004)

FIFTH SCHEDULE
(section 11(z))
FIFTH SCHEDULE
(section 93)

PART A - METHOD TO CALCULATE TAX TO BE WITHHELD FROM MONTHLY

PAY
(Applicable to an employee who has submitted an
Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 1,923 - 10 per cent of chargeable income

1,924 to 3,846 193 + 20 per cent of excess over Rs 1,923
3,847 to 38,461 577 + 25 per cent of excess over Rs 3,846
38,462 and over 9,230 + 30 per cent of excess over Rs 38,461

PART B - METHOD TO CALCULATE TAX TO BE WITHHELD FROM

FORTNIGHTLY PAY
(Applicable to an employee who has submitted an
Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 893 - 10 per cent of chargeable income

894 to 1,785 89 + 20 per cent of excess over Rs 893
1,786 to 17,857 267 + 25 per cent of excess over Rs 1,785
17,858 and over 4,285 + 30 per cent of excess over Rs 17,857

PART C - METHOD TO CALCULATE TAX TO BE WITHHELD FROM

WEEKLY PAY
(Applicable to an employee who has submitted an
Employee Declaration Form to his employer)
Chargeable Income Tax
Rs Rs

1 to 446 - 10 per cent of chargeable income

447 to 892 44 + 20 per cent of excess over Rs 446
893 to 8,928 133 + 25 per cent of excess over Rs 892
8,929 and over 2,142 + 30 per cent of excess over Rs 8,928

PART D - TAX WITHHOLDING AT FLAT RATE

Chargeable income Rate of Tax on
chargeable income

under section 96(2)(a) 20 per cent

under section 96(2)(b) 20 per cent
under section 96(2)(c) 10 per cent
under section 96(2)(d) 5 per cent

* Please refer to endnotes at Appendix 1 Page 481 of 491

MRA THE INCOME TAX ACT 1995 482

 FA 2000 - Income year 2000-01

FIFTH SCHEDULE (1)

(section 93)

PART A - METHOD TO CALCULATE TAX TO BE WITHHELD FROM MONTHLY PAY

(Applicable to an employee who has submitted an

Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 1,923 - 15 per cent of chargeable income

1,924 and over 288 + 25 per cent of excess over Rs 1,923

PART B - METHOD TO CALCULATE TAX TO BE WITHHELD FROM FORTNIGHTLY PAY

(Applicable to an employee who has submitted an

Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 893 - 15 per cent of chargeable income

894 and over 134 + 25 per cent of excess over Rs 893

PART C - METHOD TO CALCULATE TAX TO BE WITHHELD FROM WEEKLY PAY

(Applicable to an employee who has submitted an

Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 446 - 15 per cent of chargeable income

447 and over 67 + 25 per cent of excess over Rs 446

PART D - TAX WITHHOLDING AT FLAT RATE

Chargeable income Rate of Tax on

chargeable income

under section 96(2)(a) 20 per cent

under section 96(2)(b) 20 per cent
under section 96(2)(c) 10 per cent
under section 96(2)(d) 5 per cent
(1)
Amended by FA 2000. Effective as from income year 2000-01. For other previous years, see pages 170
and 171.

* Please refer to endnotes at Appendix 1 Page 482 of 491

MRA THE INCOME TAX ACT 1995 483

 ITA 1995 as amended - Income years 1996-97 to 1998-99

FIFTH SCHEDULE
(section 93)

PART A - METHOD TO CALCULATE TAX TO BE WITHHELD FROM MONTHLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)
Chargeable Income Tax
Rs Rs

1 to 1,153 - 5 per cent of chargeable income

1,154 to 2,692 58 + 15 per cent of excess over Rs 893
2,693 to 4,230 288 + 25 per cent of excess over Rs 2,692
4,231 and over 673 + 30 per cent of excess over Rs 4,230

PART B - METHOD TO CALCULATE TAX TO BE WITHHELD FROM FORTNIGHTLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 535 - 5 per cent of chargeable income

536 to 1,250 27 + 15 per cent of excess over Rs 535
1,251 to 1,964 134 + 25 per cent of excess over Rs 1,250
1,965 and over 313 + 30 per cent of excess over Rs 1,964

PART C - METHOD TO CALCULATE TAX TO BE WITHHELD FROM WEEKLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 267 - 5 per cent of chargeable income

268 to 625 13 + 15 per cent of excess over Rs 267
626 to 982 66 + 25 per cent of excess over Rs 625
983 and over 156 + 30 per cent of excess over Rs 982

PART D - TAX WITHHOLDING AT FLAT RATE

Chargeable income Rate of Tax on

chargeable income
under section 96(2)(a) 20 per cent
under section 96(2)(b) 20 per cent
under section 96(2)(c) 10 per cent
(1)
under section 96(2)(d) 5 per cent

(1)
Item added by FA 1998. Effective as from income year 1998-99.

* Please refer to endnotes at Appendix 1 Page 483 of 491

MRA THE INCOME TAX ACT 1995 484

 FA 1999 - Income year 1999-00

FIFTH SCHEDULE
(section 93)

PART A - METHOD TO CALCULATE TAX TO BE WITHHELD FROM MONTHLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 1,153 - 5 per cent of chargeable income

1,154 to 3,077 58 + 15 per cent of excess over Rs 1,153
3,078 to 5,000 346 + 25 per cent of excess over Rs 3,077
5,001 and over 827 + 28 per cent of excess over Rs 5,000

PART B - METHOD TO CALCULATE TAX TO BE WITHHELD FROM FORTNIGHTLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 535 - 5 per cent of chargeable income

536 to 1,428 27 + 15 per cent of excess over Rs 535
1,429 to 2,321 161 + 25 per cent of excess over Rs 1,428
2,322 and over 384 + 28 per cent of excess over Rs 2,321

PART C - METHOD TO CALCULATE TAX TO BE WITHHELD FROM WEEKLY PAY

(Applicable to an employee who has submitted an Employee Declaration Form to his employer)

Chargeable Income Tax

Rs Rs

1 to 267 - 5 per cent of chargeable income

268 to 714 13 + 15 per cent of excess over Rs 267
715 to 1,160 80 + 25 per cent of excess over Rs 714
1,161 and over 191 + 28 per cent of excess over Rs 1,160

PART D - TAX WITHHOLDING AT FLAT RATE

Chargeable income Rate of Tax on
chargeable income

under section 96(2)(a) 20 per cent

under section 96(2)(b) 20 per cent
under section 96(2)(c) 10 per cent
under section 96(2)(d) 5 per cent
1098
FA 2023 – The Fifth Schedule amended, by inserting, in the appropriate alphabetical order, the
following new item – Interior Decorator/Designer, w.e.f 20 July 2023.

FA 2016 - The Fifth Schedule amended, the following new items –

* Please refer to endnotes at Appendix 1 Page 484 of 491

MRA THE INCOME TAX ACT 1995 485

Accountant/Accounting firm and Tax adviser or his representative inserted in the appropriate
alphabetical order shall come into operation on 1 October 2016

FA 2012 – The Fifth Schedule amended, the words “Dentist” and “Doctor” deleted and the following
new words “Medical service provider” inserted w.e.f. 22 December 2012.

FA 2011 – The Fifth Schedule repealed and replaced - shall come into operation on 1 March 2012.
FIFTH SCHEDULE
(section 111B(e))
Services

Architect
Engineer
Land surveyor
Project manager in the construction industry
Property valuer
Quantity surveyor
1099
FA 2012 - The Sixth Schedule – repealed and replaced w.e.f. 22 December 2012.
SIXTH SCHEDULE
[Section 111C]
DEDUCTION OF TAX AT SOURCE

Amount or sum made available to the payee by way of - Rate of tax

(%)
1. Interest payable by any person, other than by a bank or non-bank deposit taking 10
institution, under the Banking Act, to a non-resident
2. Royalties payable to -
(a) a resident 10
(b) a non-resident 15
3. Rent 5
4. Payments to contractors and sub-contractors 0.75
5. Payments to providers of services as specified in the Fifth Schedule 3
6. Payment made by Ministry, Government department, local authority, statutory body
or the Rodrigues Regional Assembly on contracts, other than payments to contractors
and sub-contractors and payments to providers of services specified in the Fifth
Schedule –

(a) for the procurement of goods and services under a single contract, where the
payment exceeds 300,000 rupees;
1
(b) for the procurement of goods under a contract, where the payment exceeds
100,000 rupees; or
1
(c) for the procurement of services under a contract, where the payment exceeds
30,000 rupees.
3
7. Payments made to the owner of an immovable property or his agent pursuant 5
to section 111B(g)
8. Payments made to a non-resident for any services rendered in Mauritius 10
pursuant to section 111B(h)

* Please refer to endnotes at Appendix 1 Page 485 of 491

MRA THE INCOME TAX ACT 1995 486

GN No. 58 of 2012 – Item 1 amended, the word “Interest” deleted and replaced by the words “Interest
payable by any person, other than by a bank or non-bank deposit taking institution, under the Banking
Act, to a non-resident“ deemed to have come into operation on 1 March 2012.

FA 2011 – The Sixth Schedule repealed and replaced shall come into operation on 1 March 2012.
SIXTH SCHEDULE
(section 111C)
Deduction of tax at source
Part I - Rate

Amount or sum made available to the payee by way of - Rate of tax

1. Interest 10 per cent1*

2
2. Royalties - *
(a) a resident 10 per cent
(b) a non-resident 15 per cent

3. Rent 5 per cent

3
4. Payments to contractors and sub-contractors 0.75 per cent *
4
5. Payments to providers of services 3 per cent *
Part II – Aggregate amount of deposits
5,000,000 rupees5*
1

FA 2010 – The Sixth Schedule, in Part I, item 1 amended by deleting the words “15 per cent” and
replacing them by the words “10 per cent” - shall come into operation as from the income year
commencing 1 January 2011.
1. Interest 15 per cent
2
FA No.2 of 2009 - The Sixth Schedule item 2 deleted and replaced shall come into operation as from
the year of assessment commencing on 1 January 2011.
2. Royalties 10 per cent
3
GN 129/2006 – The words “0.75 per cent” replaced the words “2 per cent” w.e.f 01.10.06.
4
GN 129/2006 – The words “ 3 per cent” replaced the words “10 per cent” w.e.f 01.10.06.
5
FA 2010 – The Sixth Schedule, in Part II, the words “2,000,000 rupees” deleted and replaced by the
words “5,000,000 rupees”
1100
GN No.5 of 2014 – The Sixth Schedule to the Act is amended, in item 1, the words "a non-resident"
deleted and replaced by the words "any person, other than a company resident in Mauritius" - shall
come into operation in respect of the income year commencing 1 January 2014 and in respect of every
subsequent income year.
1101
FA 2022 – item 3(a) amended, by deleting the figure “5” and replacing it by the figure “7.5”, shall
come into operation on 03 October 2022.

FA 2018 –Item 3 deleted and its corresponding entries and replaced w.e.f 9 August 2018.
3. Rent 5

1102
FA 2022 – item 5 amended, by deleting the figure “3” and replacing it by the figure “5”, shall come into
operation on 03 October 2022.

* Please refer to endnotes at Appendix 1 Page 486 of 491

MRA THE INCOME TAX ACT 1995 487

1103
FA 2018 – New item 11 and its corresponding entries added w.e.f 9 August 2018.
1104
FA 2022 – New item 12 and its corresponding entries added, shall come into operation on 03 October
2022.
1105
FA 2022 – New item 13 and its corresponding entries added, shall come into operation on 03 October
2022.
1106
FA 2023 – Item 14 amended, by deleting the word “mechanics” and replacing it by the words “any
other person”, w.e.f 20 July 2023.

FA 2022 – New item 14 and its corresponding entries added, shall come into operation on 03 October
2022.

FA 2006 s.18(zzf)- (effective as from income year commencing on 1 July 2006)

FA 2006 s.18(zzf) effective as from income year commencing 1July 2006 for individuals and as from
year of assessment 2007/2008 for companies.

SIXTH SCHEDULE
(sections 2 and 105)

GROSS INCOME SPECIFIED IN SECTION 10(1)(b) AND

RENT SPECIFIED IN SECTION 10(1)(c)

CPS threshold

Turnover 400,000 rupees for the CPS period 1

Gross Income from 100,000 rupees for the CPS period 2

profession, vocation
or occupation
3
Rent 8,000 rupees per month
1
MRA Act 2004 - The words “400,000 rupees for the CPS period” replaced “500,000 rupees for the CPS
period” effective as from 1 July 2006 by proclamation No. 10 of 2006.

The words “500,000 rupees for the CPS period” replaced “250,000 rupees per quarter” by FA 1997.
Effective as from income year 1997-98.
2
MRA Act 2004 - The words “100,000 rupees for the CPS period” replaced “300,000 rupees for the CPS
period” effective as from 1 July 2006 by proclamation No. 10 of 2006.

The words “300,000 rupees for the CPS period” replaced “150,000 rupees per quarter” by FA 1997.
Effective as from income year 1997-98.
3
MRA Act 2004 - The words “8,000 rupees for the CPS period” replaced “6,000 rupees for the CPS period”
effective as from 1 July 2006 by proclamation No. 10 of 2006.
1107
FA 2007 - The Seventh Schedule repealed and replaced , shall be deemed to have come into operation
on 1 July 2007 in respect of the year of assessment commencing 1 July 2007 and in respect of every
subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 487 of 491

MRA THE INCOME TAX ACT 1995 488

FA 2006 s.18(zzf) effective as from income year commencing 1July 2006 for individuals and as from year
of assessment 2007/2008 for companies.
SEVENTH SCHEDULE
(section 111M)

Area Rate
1. Floor area in the case of apartment, flat or tenement 30 rupees per square metre
2. Surface area of land in the case of any other 10 rupees per square metre
residential property
F A 2 0 0 4 s . 1 1 (a a ). E ff e c tiv e a s f r o m in c o m e y e a r c o m m e n c in g o n 1 J u ly 2 0 0 4

SEVENTH SCHED ULE

(s e c tio n 1 0 8 )

M E T H O D T O C A L C U L A T E T A X U N D E R T H E C U R R E N T P A Y M E N T S Y S T E M (C P S )

C h a r g e a b le In c o m e Tax
Rs Rs

1 to 1 2 ,5 0 0 - 1 0 p e r c e n t o f c h a r g e a b le in c o m e

1 2 ,5 0 1 to 2 5 ,0 0 0 1 ,2 5 0 + 2 0 p e r c e n t o f e x ce s s o v er R s 1 2 ,5 0 0

2 5 ,0 0 1 to 2 5 0 ,0 0 0 3 ,7 5 0 + 2 5 p e r c e n t o f e x ce s s o v er R s 2 5 ,0 0 0

2 5 0 ,0 0 1 a n d o v e r 6 0 ,0 0 0 + 3 0 p e r c e n t o f e x c e s s o v e r R s 2 5 0 ,0 0 0
A m e n d e d b y F A 2 0 0 0 . E ff e c t iv e a s fr o m i n c o m e y e a r 2 0 0 0 - 2 0 0 1 .

S E V E N T H S C H E D U L E (1 )
(s e c t i o n 1 0 8 )

M E T H O D T O C A L C U L A T E T A X U N D E R T H E C U R R E N T P A Y M E N T S Y S T E M (C P S )

C h a r g e a b le In co m e Tax

Rs Rs

1 to 1 2 ,5 0 0 - 1 5 p e r c e n t o f c h a r g e a b le in c o m e

1 2 ,5 0 1 and over 1 ,8 7 5 + 2 5 p e r c e n t o f e x ce s s o v er R s 1 2 ,5 0 0

IT A 1 9 9 5 a s a m e n d e d - I n c o m e y e a r 1 9 9 6 -9 7
SEVENTH SCH EDULE
(s e c t i o n 1 0 8 )
M E T H O D T O C A L C U L A T E T A X U N D E R T H E C U R R E N T P A Y M E N T S Y S T E M (C P S )
C h a rg e a b le In c o m e Tax
Rs Rs
1 to 3 ,7 5 0 - 5 p e r c e n t o f c h a rg e a b le in c o m e
3 ,7 5 1 to 8 ,7 5 0 188 + 1 5 p e r ce n t o f ex ce s s o v e r R s 3 ,7 5 0
8 ,7 5 1 to 1 3 ,7 5 0 938 + 2 5 p e r ce n t o f ex ce s s o v e r R s 8 ,7 5 0
1 3 ,7 5 1 a n d o v er 2 ,1 8 8 + 3 0 p e r ce n t o f ex ce s s o v e r R s 1 3 ,7 5 0

 F A 1 9 9 7 - In c o m e y e a rs 1 9 9 7 -9 8 & 1 9 9 8 -9 9
C h a rg e a b le In c o m e Tax
Rs Rs
1 to 7 ,5 0 0 - 5 per cen t of c h a rg e a b le in c o m e
7 ,5 0 0 to 1 7 ,5 0 0 375 + 15 per cen t of ex ce s s o v e r R s 7 ,5 0 0
1 7 ,5 0 1 to 2 7 ,5 0 0 1 ,8 7 5 + 25 per cen t of ex ce s s o v e r R s 1 7 ,5 0 0
2 7 ,5 0 1 a n d o v e r 4 ,3 7 5 + 30 per cen t of ex ce s s o v e r R s 2 7 ,5 0 0

 F A 1 9 9 9 – In c o m e y e a r 1 9 9 9 - 0 0
C h a rg e a b le In c o m e Tax
Rs Rs
1 to 7 ,5 0 0 - 5 per cen t of c h a rg e a b le in c o m e
7 ,5 0 0 to 2 0 ,0 0 0 375 + 15 per cen t of ex ce s s o v e r R s 7 ,5 0 0
2 0 ,0 0 1 to 3 2 ,5 0 0 2 ,2 5 0 + 25 per cen t of ex ce s s o v e r R s 2 0 ,0 0 0
3 2 ,5 0 1 a n d o v e r 5 ,3 7 5 + 28 per cen t of ex ce s s o v e r R s 3 2 ,5 0 0

* Please refer to endnotes at Appendix 1 Page 488 of 491

MRA THE INCOME TAX ACT 1995 489

1108
FA 2021- Ninth Schedule repealed- w.e.f 05 August 2021.

Was previously:

NINTH SCHEDULE
[Section 161A(50) and (50A)]
Column 1 Column 2
Capital expenditure incurred on new plant Rate of annual tax
and machinery for companies engaged in credit allowable
manufacturing or production of
Percentage of cost
Computers 15
Electronic or optical products 5
Electrical equipment 5
Film 15
Furniture 5
Jewellery and bijouterie 5
Medical and dental instruments, devices and supplies 5
Pharmaceuticals or medicinal chemicals 15
Ships and boats 15
Textiles 15
Wearing apparels 15

FA 2016 - The Ninth Schedule repealed and replaced w.e.f 7 September 2016.

NINTH SCHEDULE

[Section 161A(50)]

GOODS OR PRODUCTS

Computers, electronic or optical products

Electrical equipment
Film
Furniture
Jewellery and bijouterie

* Please refer to endnotes at Appendix 1 Page 489 of 491

MRA THE INCOME TAX ACT 1995 490

Medical and dental instruments, devices and supplies

Pharmaceuticals or medicinal chemicals
Ships and boats
Textiles
Wearing apparels

FA 2013 –The Ninth Schedule added - shall come into operation in respect of the income year
commencing 1 January 2014 and in respect of every subsequent income year.

1109
GN No. 52 of 2017 The Tenth Schedule repealed and replaced w.e.f 1 April 2017

FA 2016 - The Tenth Schedule added w.e.f 7 September 2016.

PART A – PRIORITY AREAS OF INTERVENTION

Dealing with health problems resulting from substance abuse and poor sanitation
Educational Support targeting families in the Social Register of Mauritius
Family protection – protection to victims of domestic violence
Poverty Alleviation targeting families listed in the Social Register of Mauritius
Social Housing targeting families in the Social Register of Mauritius
Supporting persons with severe disabilities

PART B – ACTIVITIES WHICH DO NOT QUALIFY UNDER CSR

Activities discriminating on the basis of race, place of origin, political opinion, colour or creed
Activities targeting shareholders, senior staff or their family members
Activities which are against public safety and national interest
Religious, political, trade union, self-financing, staff welfare and marketing activities
––––––––––––––––

FA 2016 - The Tenth Schedule added w.e.f 7 September 2016.

1110
FA 2019 – Note (b) of the Tenth Schedule in Part A amended, the words “National CSR” deleted and
replaced by the words “National Social Inclusion”- shall be deemed to have come into operation on 1
July 2019.
1111
FA 2021- The Tenth Schedule amended, new Part AA inserted after Part A –w.e.f 05 August 2021.
1112
FA 2018 – The word “earnings” deleted and replaced by the words “basic salary” in heading of the
Eleventh Schedule shall be deemed to have come into operation on 1 July 2017.

FA 2017 – The Eleventh Schedule added shall come into operation on a date to be fixed by
Proclamation.
1113
FA 2017 – The Twelth Schedule added w.e.f 24 July 2017.

* Please refer to endnotes at Appendix 1 Page 490 of 491

MRA THE INCOME TAX ACT 1995 491

1114
FA 2019 – The Thirteenth Schedule added – shall come into operation in respect of the year of
assessment commencing on 1 July 2020 and in respect of every subsequent year of assessment.

* Please refer to endnotes at Appendix 1 Page 491 of 491