Specific taxes in Mauritius 2026: VAT, property duties, CSG and the 35% band

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

You know Mauritius has a low income tax. The smaller taxes are what surprise newcomers: duties on property, social contributions, VAT on your invoices and a levy on very high incomes. After reading this, you will know which ones apply to you in 2026, what they cost and where the 2026 Finance Act moved the lines.

Mauritius specific taxes in 2026: the key figures

The income year runs from 1 July to 30 June, so calendar 2026 straddles 2025–26 and 2026–27.

What changed for 2026

• 35% band replaces the Fair Share Contribution. The Finance Act 2026 taxes chargeable income above Rs 12 million at 35%. The 15% individual Fair Share Contribution now covers income year 2025–26 only.
• New 10% additional duty. Transfers of residential property on State land or Pas Géométriques to a non-citizen now carry a 10% additional duty, paid by the seller. It does not apply where a notarised presale agreement was signed before 19 June 2026.
• CSG is on its way out. The 2026–27 Budget Annex (para. 27.16) announces that CSG contributions cease from 1 July 2027, replaced by a defined-contribution National Pensions Fund. For all of 2026, CSG still applies.
• VAT on foreign digital services. Since 1 January 2026, specified digital or electronic services from foreign suppliers are subject to VAT (MRA Budget 2025-26 Highlights). The Budget Speech (para. 282) keeps the 15% rate unchanged.

Is this guide for you?

Read on if you…

• live in Mauritius, or plan to, and want the list of what you pay besides income tax;
• are buying or selling property on the island;
• invoice clients from Mauritius and need to know when VAT starts.

Probably not your case if you…

• only want the income tax brackets and residence rules – see the Mauritius tax landscape overview;
• are only selling shares or funds – the capital gains tax in Mauritius guide covers that.

Which taxes apply when you buy or sell property in Mauritius?

Property is where the specific taxes bite hardest. Two charges apply on most transfers, and a third now hits some sales to foreigners.

Land transfer tax: paid by the seller

The transferor pays land transfer tax at 5%. Here's the catch: it is charged on the transfer, not on your profit. You pay it even when you sell at a loss.

A company wrapper does not avoid it either. Transfer shares in a company owning Mauritian immovable property and LTT still applies at 5%. It is charged on the share value or the property value, whichever is lower (PwC summary, secondary).

The new 10% additional duty

Section 4(11) of the Land (Duties and Taxes) Act, inserted by the Finance Act 2026, adds a 10% duty on deeds transferring residential property on State land or Pas Géométriques (the coastal strip owned by the State) to a non-citizen. The seller pays it. It does not apply when a presale agreement was signed before a notary before 19 June 2026.

PwC's summary, last reviewed before the Act, describes a broader rise from 5% to 10% on non-citizen purchases under EDB schemes. The Act text limits the new duty to State land and Pas Géométriques, so your notary's check of the plot decides it.

Registration duty on the deed

Every property deed is registered with the Registrar-General. PwC puts registration duty at an effective 5% of the price (secondary source; the Registrar-General's site blocks automated reading). Budget for it before you sign the promesse de vente (preliminary sale agreement).

How do CSG and other social contributions work?

The Contribution Sociale Généralisée (CSG) is Mauritius's social contribution, on top of income tax.

If you are employed

The MRA's CSG page sets these rates for the private sector:

On top of CSG, the National Savings Fund (NSF) takes 1% from the employee and 2.5% from the employer. From 1 July 2026 these apply on basic pay up to Rs 29,710 a month. Employers also pay a 1.5% training levy on total basic wages, with no ceiling.

If you are self-employed

Self-employed residents pay CSG on their monthly net income. The MRA's self-employed CSG page sets three bands:

1. Net income up to Rs 10,000: a flat Rs 150.
2. Above Rs 10,000 up to Rs 50,000: 1.5% of 90% of net income, minimum Rs 150.
3. Above Rs 50,000: 3% of 90% of net income.

You can opt to file and pay annually instead, by 15 October. Payment is by direct debit only.

What happens in 2027

The Budget Annex announces National Pensions Fund rates from 1 July 2027: 1.5% employee and 7.5% employer up to Rs 50,000 a month. Above that, up to Rs 225,000, they are 3% and 10.5%.

How does VAT work for freelancers and small companies?

The MRA VAT FAQs (September 2025) set the basics. VAT is 15% on taxable supplies other than zero-rated ones. You must register when your taxable turnover exceeds, or is likely to exceed, Rs 3 million a year.

Here's the catch. Businesses in the Tenth Schedule of the VAT Act must register whatever their turnover. The FAQs name banks, management companies, card processors and suppliers of digital or electronic services. That covers software, images, music, web hosting and online advertising space. Accountants, architects and estate agents register only above Rs 3 million.

Returns and penalties

• Turnover up to Rs 10 million: quarterly returns, with an option to file monthly.
• Turnover above Rs 10 million: monthly returns.
• Late registration: Rs 5,000 for each month or part of a month, capped at Rs 50,000.

Exported goods are generally zero-rated. For services billed to foreign clients, zero-rating depends on the conditions in the VAT Act schedules. Check your contract structure before you assume 0%. See business expenses in Mauritius for how input VAT on costs fits in.

Which levies hit high earners and larger companies?

For individuals: Fair Share Contribution, then 35%

Section 16C of the Income Tax Act charges a Fair Share Contribution of 15% on leviable income above Rs 12 million. Leviable income includes chargeable income plus dividends from resident companies, but not dividends from global business entities. You pay it with your annual return.

The amended Act limits it to income year 2025–26. From 2026–27, the 35% band replaces it (Budget Speech, para. 280). Older MRA PAYE pages still say June 2028; the consolidated Act governs.

Same bill, different label. The real difference is dividends: they counted for the contribution but stay exempt from income tax.

The solidarity levy, an earlier 25% charge on income above Rs 3 million, was abolished from 1 July 2023.

For companies

• Corporate tax: 15% standard rate; 3% for companies exporting goods.
• Fair Share Contribution: 5% on chargeable income above Rs 24 million. The 2026–27 Budget drops the extra supplies or VAT-registration condition.
• Corporate Climate Responsibility (CCR) levy: now paid quarterly, reduced by 75% for APS dates from 1 July 2026 to 30 June 2027.

New withholding taxes

The Finance Act 2026 adds withholding on two kinds of payment. Payments over Rs 300,000 by non-individuals to ICT service providers carry a 1% rate. Payments for social-media advertising and influencer marketing carry 5%.

What Mauritius does not tax

Mauritius has no:

• wealth or net-worth tax;
• inheritance, estate or gift tax;
• tax on dividends paid by Mauritian resident companies to individuals (exempt income list);
• tax on gains from the sale of units, securities or debt obligations.

Foreign-source income of a resident is taxed when it is remitted to Mauritius. The tax residency in Mauritius guide covers when you become resident.

Common mistakes (and what they cost)

• Budgeting LTT on your profit → it is 5% of the transfer, so a Rs 20 million sale costs Rs 1 million even at break-even.
• Selling a State land unit to a foreigner without checking the date → without a notarised presale agreement signed before 19 June 2026, you owe an extra 10%.
• Ignoring the Rs 3 million VAT threshold → you pay the VAT you failed to charge out of your margin, plus Rs 5,000 a month late-registration penalty up to Rs 50,000.
• Assuming digital services register only above the threshold → software, hosting and other digital or electronic services must register from the first rupee. Late registration costs Rs 5,000 a month.
• Paying a large dividend in 2025–26 without modelling the contribution → dividends counted towards the Rs 12 million threshold, so 15% applied on the excess.

Frequently asked questions

Does Mauritius have a wealth tax or inheritance tax?

No. Mauritius has no net-wealth tax and no inheritance, estate or gift tax in 2026. Property transferred on death or by gift still goes through registration, so registration formalities and possible duties apply to the deed. If you own assets in other countries, their inheritance rules may still apply to you or your heirs.

How much does it cost to sell property in Mauritius?

The seller pays 5% land transfer tax on the transfer, whether or not there is a profit. From 2026, a further 10% additional duty applies when residential property on State land or Pas Géométriques goes to a non-citizen, unless a notarised presale agreement predates 19 June 2026. Registration duty at an effective 5% also applies to the deed.

What is CSG in Mauritius?

CSG, or Contribution Sociale Généralisée, is Mauritius's social contribution. In 2026, private-sector employees pay 1.5% of basic pay up to Rs 50,000 a month and 3% above. Employers pay 3% or 6%. Self-employed people pay 1.5% or 3% of 90% of monthly net income. The Budget plans to replace CSG from 1 July 2027.

When must a freelancer register for VAT in Mauritius?

You must register once your taxable turnover exceeds, or is likely to exceed, Rs 3 million a year. Suppliers of digital or electronic services, such as software or web hosting, must register whatever their turnover. Late registration costs Rs 5,000 a month, capped at Rs 50,000. Up to Rs 10 million turnover, returns are quarterly.

What is the Fair Share Contribution in Mauritius?

It is a 15% charge on leviable income above Rs 12 million, under section 16C of the Income Tax Act. Leviable income includes dividends from resident companies. After the Finance Act 2026, it applies only to the 2025–26 income year. For later years, chargeable income above Rs 12 million falls in a new 35% income tax band instead.

Related guides

• Mauritius tax landscape overview: every tax in one page
• Capital gains tax in Mauritius: shares, funds and property
• Tax incentives for expats and digital nomads in Mauritius
• Business expenses in Mauritius: what you can deduct
• Specific taxes in Morocco: VAT, registration and local taxes
• Specific taxes in Ethiopia: VAT, excise and stamp duty
• All country tax guides

Sources

• Value Added Tax – Frequently Asked Questions (Sept. 2025) – Mauritius Revenue Authority
• Finance Act 2026 – Mauritius Revenue Authority
• Income Tax Act 1995, consolidated to Finance Act 2026 – Mauritius Revenue Authority
• Contribution Sociale Généralisée – Mauritius Revenue Authority
• NPF / NSF contributions – Mauritius Revenue Authority
• Annex to the Budget Speech 2026–2027 – Government of Mauritius
• Budget Speech 2026–2027 – Government of Mauritius
• Mauritius – Corporate – Other taxes – PwC Worldwide Tax Summaries (secondary)

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