WHAT ARE THE INVESTMENT CONDITIONS ON THE ISLAND ?
The Taxe System
In addition to the extremely pleasant living conditions that make the island a dream destination, a lot of French people are mainly attracted by the favourable conditions for investment and the very advantageous tax system, since a few years now.
Mauritius’ only tax corresponds to registration fees and is applied when buying and reselling a property up to 5% of the price of the property.
In the event of death, the property belongs to the heir and is taxable as part of the estate assets in France, if the heir resides in France.
Thanks to the double taxation treaty, Mauritius’ tax system allows foreigners who have invested in real estate in Mauritius and derive income from it to pay tax only to Mauritius.
This agreement was signed with 44 countries, including France, on 11th December 1980. An amendment was signed on 23rd June 2011 to strengthen the exchange of information and intelligence between tax authorities in order to promote transparency.
The income is tax-free when the money returns to France.
LA DETAXATION PLUTOT QUE LA DEFISCALISATION
The main asset of the rental investment in Mauritius is the advantageous Mauritian tax system !
WHAT IS TH PDS PLAN ?
Mauritian legislation on property acquisition has been simplified by replacing the IRS and RES property programmes with a single property acquisition law, the Property Development Scheme (PDS).
The PDS will establish the framework allowing a foreign investor to make a real estate investment in Mauritius. These PDS programmes enable foreign investors to purchase their property in full ownership.
The purchase of a property under the PDS plan allows you to obtain a residence permit if the investment exceeds USD 500,000 or the equivalent in another freely convertible currency.
The PDS system does not take into account the size of land ownership and harmonises registration fees at the single rate of 5%.
The buyer can transfer his built property under a PDS programme without any minimum price. This transfer may be made to Mauritian citizen or non-Mauritian nationality or to a member of the Mauritian diaspora.