How To Get Residency in Mauritius: A Comprehensive Guide
Capital: Port Louis
Population: 1,265,475 (as of 2019, 158th)
thEthic Groups: 67% Indian, 28% Creole, 3% Chinese, 2% French
Area: 2,040 km2 (169th)
Offical Language: English & French
Currency: Mauritian rupee (MUR)
GDP per Captial: $29,349 (61st)
Country Profile:
Visa & Immigration System:
Current Status:
Mauritius is one of the most open and diversified nations in the African region. Over the past few decades, the country has undergone a massive social transformation, including a significant increase in the population of Indian origin, who have become the social majority. Simultaneously, over 40,000 people of Chinese descent currently live and reside in Mauritius.
Unfortunately, with the increase in migration, Mauritius has now closed the direct channel for naturalization and citizenship based solely on the length of residence. Foreigners are now only able to apply for naturalization if they make a significant contribution or economic investment in the country.
Despite these stricter citizenship rules, Mauritius remains one of the easiest and most worthwhile countries in the African region to obtain permanent residency.
Major Visa Types:
The main categories of Mauritian visas and permits can be divided into five types:
1. Permanent Residence by Investment (PRI): This program requires you to invest USD $375,000 or more in Mauritius, either by purchasing real estate or operating a company, in exchange for a 20-year Permanent Residence Permit (PRP).
Currently, the Permanent Residence by Investment program offers the only pathway for foreigners to apply for Mauritian citizenship through residency: participants in this program may apply for naturalization after having resided legally in the country for 10 years.
If your investment exceeds USD $500,000, you may apply for naturalization after residing in Mauritius for 7 years.
2. Occupation Permit (OP): This is one of the most common income-based permit categories in Mauritius, and it is divided into three sub-categories: Investor, Professional, and Self-Employed.
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Investor: Issued to entrepreneurs who invest USD $50,000 or more to operate a company in Mauritius.
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Professional: Issued to foreign employees hired by a Mauritian company whose income and skills meet established standards.
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Self-Employed: Issued to freelancers or professionals who invest USD $35,000 or more to engage in a professional activity in Mauritius, and who can provide at least two letters of intent from prospective clients.
3. Work Permit: The Professional category of the Occupation Permit requires applicants to meet certain income and skill levels.
Other overseas employees of Mauritian companies who do not meet the corresponding income threshold can apply for a local Work Permit. The validity of the Work Permit is typically tied to the employment contract, and permit holders cannot use it to apply for local permanent residency or citizenship.
Mauritius also offers a program called YPOP (Young Professional Occupation Permit) for foreign graduates of local colleges and universities, valid for a maximum of three years. Local graduates can quickly convert the YPOP into a Work Permit after finding employment, allowing them to settle and live in Mauritius.
4. Retired Non-Citizen Permit: The Mauritian Retired Non-Citizen Permit is issued to overseas individuals aged 50 or over who can demonstrate a stable monthly passive income of at least USD $1,500 or who can deposit USD $18,000 into a local bank account.
The Retired Non-Citizen Permit is valid for 10 years and is renewable under the original conditions. Permit holders may also apply for local Permanent Residence after meeting certain requirements.
5. Premium Visa (Elite Visa): The Mauritian Premium Visa (sometimes referred to as the Elite Visa) is a permit provided to travelers and digital nomads. You can apply for this visa simply by proving a stable monthly income of over USD $1,500 or by having USD $18,000 deposited in a local bank account.
The Premium Visa is essentially an optimized tourist visa: it is valid for one year, can be renewed indefinitely, but cannot be used to apply for Mauritian Permanent Residence or citizenship.
Tax Implication:
Mauritius is internationally recognised for its competitive and appealing tax regime, which forms a cornerstone of its strategy to attract foreign investment and high-net-worth individuals.
Key Principles of the Tax System:
A fundamental feature of the Mauritian tax system is its low, flat tax rates.
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Corporate Income Tax is levied at a standard rate of 15%. However, certain activities, such as companies engaged in the export of goods or specific global business activities, can benefit from a reduced rate of 3% on the income attributable to those activities, provided they meet strict substance requirements.
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Personal Income Tax is applied under a progressive system, but the headline maximum tax rate is 20% on an individual’s chargeable income.
The Remittance Basis for Individuals:
For individuals, a highly attractive feature is the tax treatment of foreign income. A person who qualifies as a tax resident in Mauritius is taxed on their worldwide income, but with a significant caveat: income derived from outside Mauritius is taxable only to the extent it is received or remitted into Mauritius. This mechanism effectively provides a favourable tax environment for expatriates and investors who keep their foreign earnings offshore.
International Competitiveness and Incentives:
Mauritius promotes itself as a global financial hub, supported by a network of Double Taxation Avoidance Agreements (DTAAs). This network is designed to protect businesses and investors from being taxed twice on the same income.
Furthermore, there are several key exemptions and beneficial features:
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No Capital Gains Tax: There is no tax on capital gains realised in Mauritius.
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No Withholding Tax on Dividends: There is generally no withholding tax on the payment of dividends to resident or non-resident shareholders.
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Partial Exemption Regime (PER): Companies, including those holding a Global Business Licence, may be eligible for an 80% income tax exemption on certain types of foreign-source income (such as foreign dividends, interest income, and income from specific global activities), provided they satisfy specific substance over form requirements in Mauritius.
Other Taxes:
In addition to income tax, a Value Added Tax (VAT) is levied at a standard rate of 15% on most goods and services. A mandatory Corporate Social Responsibility (CSR) Fund contribution, typically a percentage of a company’s chargeable income, must also be set aside annually. Finally, there is the Corporate Climate Responsibility (CCR) Levy, a recent introduction, which is applied at a rate of 2% on the chargeable income of companies with turnover above a certain threshold to fund national climate initiatives.
Permanent Residency & Citizenship:
A Mauritian Permanent Residence Permit (PRP) is only issued to applicants who fall under one of the following five categories:
1. Investor under the Permanent Residence by Investment Program: Overseas investors who participate in the Investment Permanent Residence Program and invest USD $375,000 or more locally.
2. Investor Occupation Permit Holders: Holders of the Investor category Occupation Permit are eligible to apply for Mauritian Permanent Residence if the total turnover of their operating company exceeds MUR 45 million over a continuous period of three years.
3. Professional Occupation Permit Holders: Holders of the Professional category Occupation Permit are eligible to apply for Mauritian Permanent Residence if they have worked continuously in Mauritius for three years with a monthly salary exceeding MUR 150,000.
4. Self-Employed Occupation Permit Holders: Holders of the Self-Employed category Occupation Permit are eligible to apply for Mauritian Permanent Residence if their business income continuously exceeds MUR 3 million for three consecutive years.
5. Retired Non-Citizen Permit Holders: Holders of the Retired Non-Citizen Permit are eligible to apply for Mauritian Permanent Residence if they have cumulatively transferred USD $54,000 or more into Mauritius over a three-year period.
Currently, Mauritius has not opened a general path for naturalization. Only foreigners who have made local investments or significant contributions are likely to have the opportunity to acquire local citizenship.
Passport Power:
Dual citizenship is legally recognized in Mauritius. The Mauritian passport is ranked 30th globally, granting holders visa-free or visa-on-arrival access to 147 countries and territories worldwide.
As of April 2019, Brunei, Grenada, Mauritius and Seychelles are the only countries whose citizens may travel without a visa to China, Russia, Schengen Area and the United Kingdom.
Useful Links:
Mauritius Economic Development Board: https://residency.mu/