Property Services

Why Mauritius

Mauritius is not only one of the most beautiful tropical islands in the world but also enjoys a temperate climate with winter temperatures in the lower twenties, increasing to the higher twenties and low thirties in the summer (daytime).
With a state-of-the-art international airport, a modern road infrastructure, effective rule of law, world-class educational institutions and great leisure facilities, Mauritius is an ideal place to live and work.
It has an impressive track record based on sustained economic growth and political stability and is one of the most business-friendly country in the world. The country possesses a bilingual skilled workforce and is open to foreign investors and talent.
There are a number of ways for non-citizens to purchase property in Mauritius, with some schemes offering the possibility of permanent residence.

IRS – Integrated Resort Scheme

IRS properties offer a variety of luxury and high-end freehold properties of various types; individual villas, duplexes, apartments or bare land (conditions apply), sold at not less than US$ 500,000 by law.
The purchase of a property in an IRS development entitles the non -citizen, his or her spouse and minor children to a Permanent Residence permit valid for 10 years, renewable.
Learn more on IRS scheme in Mauritius, here.

RES Property – Real Estate Scheme

RES properties are usually smaller residential developments (they can only be built on land areas ranging between 1 arpent and 10 hectares (23.69 arpents) which can be sold at no minimum price. The acquisition of a RES property will only entitle the owner to a Permanent Residence permit, if one purchases a RES property worth at least US$ 500,000.
Learn more about RES scheme in Mauritius, here

PDS – Property Development Scheme

The Property Development Scheme (PDS), has replaced the former IRS and RES schemes as from May 2015 for new projects. It allows the development of a mix of residences for sale to non-citizens, citizens and members of the Mauritian Diaspora.
The PDS provides the following:

  • the development of luxurious residential units on freehold land of an extent of at least 0.4220 hectare (1 arpent).
  • the development of at least six (6) residential properties of high standing;

A non-citizen is eligible for a residence permit upon the purchase of a villa under the PDS scheme when he has invested more than USD 500,000 or its equivalent in any freely convertible foreign currency.
The PDS is also a demarcation from the IRS and RES in as much as it does not differentiate between small and big landowners and harmonizes the registration duty to a single rate of 5% instead of USD 70,000 on registration of a deed under IRS and USD 25,000 under RES.
Eligibility for acquisition of residential property: The following persons may acquire a residential property from a PDS Company:

  • a natural person, whether a citizen of Mauritius, a non-citizen or a member of the Mauritian Diaspora;
  • a company incorporated or registered under the Companies Act;
  • a société, where its deed of formation is deposited with the Registrar of Companies;
  • a limited partnership under the Limited Partnerships Act;
  • a trust, where the trusteeship services are provided by a qualified trustee; or
  • Foundation under the Foundations Act. 7

Note: A qualified global business as defined under the Financial Services Act 2007 holding a Global Business Licence may acquire property under the PDS scheme.
Learn more on PDS Schemes in Mauritius, here.

Smart City Scheme

This scheme has been set up by the Government of Mauritius to stimulate investment opportunities.
A person investing in a Smart City project can benefit of the following exemptions:

1. Income Tax for a period of 8 years from the issue of the SCS Certificate
2. Value Added Tax paid on capital goods
3. Customs duty on import or purchase of any dutiable goods
4. Land Transfer Tax and Registration Duty on transfer of land to a SPV provided that the
transferor holds shares in the SPV equivalent to at least the value of the land transferred
5. Land Conversion Tax in respect of the land area earmarked for the development of non-
residential components
6. Morcellement Tax for the subdivision of land.

Learn more on smart cities guidelines in Mauritius, here.

Apartment in Ground + 2 complexes

The Non-Citizens (Property Restriction) Act has been amended in December 2016 to allow non-citizens to purchase apartments in condominium developments of at least two levels above ground (G+2). Prior approval of the Economic Development Board is required. The amount payable for the acquisition of an apartment must not be less than Rs 6 million (approximately USD 170,000).

Land Transfer Tax for property (payable by the seller of the property on the value of the property) 5% of the value of the property
Registration Duty (payable by the applicant on the value of the property) 5% of the value of the property

Integrated Hotel Scheme

The Invest-Hotel Scheme (IHS) allows hotel developers to finance the development of a hotel project by allowing the sale of villas, suites, rooms or other components that form part of the hotel to individual buyers including non-citizens. The unit is to be leased back to the seller and may be used and occupied by the unit owner or any person on his behalf for a total of not more than 45 days in any period of 12 months. The amount of investment in the acquisition of a stand alone villa should not to be less than US$500,000 (excluding taxes) or its equivalent in any freely convertible currency. For units other than stand alone villa, no minimum investment is required to acquire such units.

Guesthouse

Purchase of guesthouse has very specific requirements such as a minimum of 12 rooms, new projects shall depict local and tropical cachet through its architecture, minimum investment of Rs 2m per room, adoption of eco-friendly practices and investor should have the required expertise in management and marketing of a tourist residence.
The potential investor must have the required expertise and experience in the management and marketing of a tourist residence/guest house or appoint a management company that has the required experience and expertise in the tourism and hospitality industry; and the project proposal must upgrade the existing tourist residence/guest‐house by major refurbishment/renovation with special emphasis laid on quality.

Commercial or Business Developments

Non-citizens can acquire or lease immovable property for business purposes. The Non-Citizens (Property Restriction) Act regulates foreign ownership of land and buildings. It applies to everyone who is not a citizen of Mauritius. A non-citizen, with an authorisation from the Board of Investment, can acquire or lease an immovable property for business purposes. The immovable property can be acquired by a company, trust or partnership or in the non-citizen’s own name.
Authorisations are granted where the business activity is for the development of high activity commercial use building including, but not limited to, shopping mall, office building or warehouse, for own use, sale, rental or lease;
Business purpose means the acquisition or holding of property by non-citizens for:

1. The development of high activity commercial use building including, but not limited to,
shopping mall,
2. Office building or warehouse, for own use, sale, rental or lease;
3. The development of residential properties developed under the Property Development
Scheme (PDS); and
4. Any other activity carried out for reward, gain or profit but excluding the acquisition for
resale or lease or rental of any bare land or serviced land.

Purchase of Immovable Property for any other reason

Any non-citizen wishing to buy immovable property including long leaseholds (>20 years) outside of the above schemes may apply directly to the Prime Minister under the Non-Citizens Property Restriction Act.

Fiscal Regime in Mauritius

Any non-citizen wishing to buy immovable property including long leaseholds (>20 years) outside of the above schemes may apply directly to the Prime Minister under the Non-Citizens Property Restriction Act.

  • Corporate tax:15%
  • Income tax (personal tax): 15%
  • Value-Added Tax (VAT): 15%
  • Corporate Social Responsibility (CSR tax): 2% on chargeable income
  • Land Transfer tax: 5%
  • No capital gains tax
  • No inheritance tax on property
  • No withholding tax on interest and dividends
  • Exemption from customs duty on equipment
  • Free repatriation of profits, dividends and capital