The Finance (Miscellaneous Provisions) Bill 2018 was released in July 2018 for consultation and introduced in Parliament. The draft legislation incorporates tax measures that would affect corporate and individual taxpayers and were previously announced in the Minister of Finance’s budget speech.
There are also indirect tax measures included in the bill. For instance, when capital goods (e.g., plant and machinery) are entered and cleared on import by a VAT-registered person, the payment of VAT (value added tax) at import could be deferred by including the deferred VAT as output tax, provided that certain conditions are satisfied.
Among the tax measures in the bill are provisions that would exempt companies with a “Category 2” global business licence issued on or before 16 October 2017 from income tax until 30 June 2021.
Under a new tax regime, an income tax exemption of 80% would apply for the following:
In addition, the measures would provide:
Read a July 2018 report [PDF 1.6 MB] prepared by the KPMG member firm in Mauritius
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