Mauritius personal tax deductions 2026-27: every relief and its value

Last reviewed: November 2026 · Reviewed by Stéphane Gombauld, tax expert, technologist and digital nomad

You earn income in Mauritius and want to pay what you owe, not more. This guide lists every personal deduction and relief the MRA publishes for income year 2026-27 (1 July 2026 to 30 June 2027). You will see the amounts, the conditions that trip people up, and what each claim is really worth.

Mauritius personal tax deductions and benefits in 2026: the key figures

What changed for 2026

• A 35% band on top, the Fair Share Contribution limited to 2025-26. The Finance Act 2026 (Act No. 14 of 2026) keeps 0%, 10% and 20%, but taxes chargeable income above Rs 12 million at 35%. Section 16C now confines the 15% contribution to income year 2025-26. The dependent amounts below are those on the MRA reliefs page for 2026-27.
• Tax-free retirement lump sums go up. The Budget 2026-27 Annex (measure 1.1(b)) raises the exemption on pension, retiring and severance lump sums from Rs 3 million to Rs 3.5 million.
• Some deductions were removed from 1 July 2025. The MRA Budget 2025-26 Highlights list household employee wages, donations, animal adoption relief and the angel investor allowance.
• Golden Visa holders get the Premium Visa rules. The Finance Act 2026 extends section 73B ITA to Golden Visa holders. Under Annex measure 12.1, their foreign employment income is taxed only when remitted.

Is this guide for you?

Read on if you…

• are tax resident in Mauritius with a salary, freelance profit or rental income
• support a partner, children or a bedridden relative and want the deduction
• pay health insurance, private school fees, university fees or a home loan

Probably not your case if you…

• are non-resident: the MRA says non-residents cannot claim reliefs, deductions or allowances
• want company-level deductions (see our guide to business expenses instead)

How does the Mauritian tax calculation work?

You start from your net income: gross income minus allowable expenses. Exempt income stays out. You then subtract the dependent deduction and the reliefs. What is left is your chargeable income, the amount the rates apply to.

1. Net income – salary, business profit, rent and taxable foreign income remitted.
2. Minus the deduction for dependents – a fixed amount by number of dependents.
3. Minus reliefs and allowances – medical insurance, housing interest, education, investment allowances.
4. Apply the 2026-27 bands set by the Finance Act 2026: 0% on the first Rs 500,000, 10% on the next Rs 500,000, 20% up to Rs 12 million and 35% above.

The zero band works like a personal allowance that every resident gets. Note that the MRA PAYE Guide still shows only the three bands from July 2025.

What deductions and reliefs can you claim in 2026-27?

All figures come from the MRA reliefs, deductions and allowances page.

Who counts as a dependent?

A dependent is your spouse, a child under 18, or an older child in full-time education or training. A child unable to earn a living because of a disability also counts. So does a bedridden next of kin in your care who qualifies for the carer's allowance.

Here's the catch. Each dependent has an income cap for 2026-27. Net plus exempt income must stay within Rs 110,000 for the first dependent. The caps are Rs 80,000, Rs 85,000 and Rs 80,000 for the next three. If one spouse claims the deduction for dependents, the other spouse cannot claim any deduction for dependents.

The tertiary education deduction

This is the biggest single item. You deduct Rs 500,000 for a dependent child on a non-sponsored, full-time undergraduate or postgraduate course. The institution must be recognised by the Tertiary Education Commission, or be a recognised university abroad.

Two limits apply. You cannot claim it for the same child for more than six years. For an undergraduate course in Mauritius, tuition must be at least Rs 34,800.

Housing loan interest: read the conditions first

The loan must be secured by a mortgage or fixed charge and used only to buy or build your house. The lender must be a bank, insurer or another listed institution. You lose the relief if:

• you or your spouse already owned a residential building when you took the loan;
• your total income, including interest and dividends, exceeds Rs 4 million in 2026-27;
• you benefited from a prescribed housing scheme set up on or after 1 January 2011.

If neither spouse is a dependent spouse, either can claim, or you split it equally.

Pension contributions and donations

The MRA page still lists two items with a 2025-26 reference. They are personal pension contributions up to Rs 50,000 and electronic donations up to Rs 100,000. The Budget 2025-26 Highlights announced the end of the donations deduction. Check the e-EDF and your return before counting on either for 2026-27.

Which benefits apply automatically?

Some savings need no claim. The MRA exempt income list (Second Schedule, Part II, Income Tax Act 1995) includes:

• Dividends paid by a company resident in Mauritius.
• Interest on a savings or fixed deposit account held by an individual.
• Gains on the sale of units, securities or debt obligations.
• Retirement lump sums up to Rs 3 million on the MRA page, rising to Rs 3.5 million under the Budget 2026-27 Annex.

Capital gains in general are not taxed either. Our capital gains tax guide for Mauritius explains the line between capital and income.

Foreign income kept abroad. The MRA foreign income page taxes residents on income "derived in Mauritius or remitted to Mauritius". For many remote workers, this matters more than any relief. See our guide to tax residency in Mauritius.

How much do deductions really save you?

A deduction is worth your top marginal rate.

So the Rs 500,000 tertiary education deduction saves Rs 100,000 a year for a parent in the 20% band, and Rs 175,000 in the 35% band.

How do you claim your deductions?

1. Get a Tax Account Number (TAN) from the MRA if you do not have one.
2. Submit your Employee Declaration Form online. The MRA e-EDF communiqué says employers apply PAYE on the reliefs you declare for 2026-27.
3. Keep the proof – insurance certificates, school and university invoices, loan interest statements.
4. File your annual return. For 2025-26, the deadline of 15 October 2026 was extended to 30 October 2026. Returns for 2026-27 follow in 2027.
5. Pay any balance on time. Late payment costs a 1% penalty if you are not in business (2.5% otherwise), plus 0.25% interest per month.

New to the island? Our guide to tax incentives for expats and digital nomads in Mauritius covers the Premium Visa and other entry routes.

Common mistakes (and what they cost)

• Not submitting the 2026-27 e-EDF → the MRA tells employers to keep using your previous EDF, so a new child or relief is ignored in PAYE until you file and wait for a refund.
• Both spouses claiming dependents → only one spouse may claim the deduction, so the other claim is disallowed. The extra tax carries a 1% penalty and 0.25% monthly interest (MRA penalties).
• Claiming housing interest above Rs 4 million of total income → you lose the whole relief, worth up to 20% of the interest.
• Claiming a dependent who earns too much → a first dependent earning over Rs 110,000 costs you the deduction. That is worth up to Rs 22,000.
• Filing late → a penalty of Rs 2,000 per month, capped at Rs 5,000 for individuals not in business.

Frequently asked questions

Is there a personal allowance in Mauritius?

Not under that name. Since 1 July 2025, a resident's first Rs 500,000 of chargeable income is taxed at 0%. The next Rs 500,000 is taxed at 10%. For 2026-27, income up to Rs 12 million is taxed at 20% and the rest at 35%. Deductions for dependents and reliefs come on top of the zero band.

How much is the dependent deduction in Mauritius?

For 2026-27 it is Rs 110,000 for one dependent and Rs 190,000 for two. Three bring Rs 275,000, and four or more Rs 355,000. Each dependent must stay under an income cap, Rs 110,000 for the first. If one spouse claims, the other cannot claim any dependent deduction.

Can I deduct health insurance premiums in Mauritius?

Yes, if you are resident. The 2026-27 cap is Rs 25,000 for you and Rs 25,000 for your first dependent. It is Rs 20,000 each for the second to fourth. No relief applies if your employer pays the premium or if the policy combines medical and life cover.

Is mortgage interest deductible in Mauritius?

Yes, under strict conditions. The loan must be secured and used to buy or build your house. You lose it if you or your spouse already owned a residential building. You also lose it above Rs 4 million of total income in 2026-27. Keep the lender's annual interest statement.

Do expats get the same deductions as Mauritians?

Residency, not nationality, decides. A resident expat claims the same reliefs as a citizen. Non-residents are taxed only on Mauritian-source net income and cannot claim reliefs, deductions or allowances. The MRA says Premium Visa holders are taxable only to the extent money is remitted to Mauritius.

Can I deduct my child's university fees?

Yes. You deduct Rs 500,000 a year for a dependent child on a non-sponsored, full-time degree. The institution must be recognised, in Mauritius or abroad. The deduction lasts up to six years per child. Local undergraduate courses must charge at least Rs 34,800 of tuition.

Related guides

• Business expenses in Mauritius
• Mauritius tax landscape overview
• Tax incentives for expats and digital nomads in Mauritius
• Mauritius tax residency rules
• Capital gains tax in Mauritius
• Personal tax deductions and benefits in Morocco
• Personal tax deductions and benefits in Ethiopia
• All country tax guides

Sources

• Reliefs, Deductions and Allowances – Mauritius Revenue Authority
• Finance Act 2026 – Mauritius Revenue Authority
• PAYE Guide – Mauritius Revenue Authority
• Exempt Income – Mauritius Revenue Authority
• Foreign Income – Mauritius Revenue Authority
• Budget 2026-2027 Annex – Ministry of Finance, Mauritius
• Budget 2025-26 Highlights – Mauritius Revenue Authority
• Penalty and Interest – Mauritius Revenue Authority

This guide is general information, not personalised tax advice. See how we research and review.