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Mauritius Budget Highlights 2019/20 - Tax Rate Card

Tax Rate Card

Income Exemption Threshold

Category:

A     An individual with no dependent
B     An individual with one dependent only
C     An individual with two dependents only
D     An individual with three dependents only
E     An individual with four or more dependents
F     A retired/disabled person with no dependent
G    A retired/disabled person with one dependent only
 

Exemptions/Deductions/Reliefs - Personal

Note

1.  An individual is now entitled to additional deduction for a maximum of 4 dependents instead of 3 dependents. The individual will still be entitled to a deduction of MUR175,000 for a dependent pursuing tertiary studies in Mauritius and a deduction of MUR200,000 if the dependent is studying abroad.

2.  The exemption threshold on lump sum has remained at MUR2.5 Million. The lump sum relates to severance allowance, pension or retiring allowance.

 

Tax Band Rate

Note

3.  An individual deriving an annual net income of up to MUR700,000 (MUR650,000 for YOA 2018/19) will now to be taxed at the rate of 10%. Additionally, an individual deriving a basic salary including compensation not exceeding MUR50,000 in his first month, will benefit from a tax credit of 5% of his chargeable income, provided that his annual net income does not exceed MUR700,000. 

 

Solidarity Levy

Note

4.  Any resident individual having a chargeable income plus dividend in excess of MUR3.5 Million will be required to pay a Solidarity Levy equivalent to 5% of that excess. For example, an individual who has received, during an income year, total chargeable income amounting to MUR2 Million as well as MUR2 Million as dividend, will have to pay a levy of 5% on MUR500,000, i.e. MUR25,000. Interest income is not included in the computation of the Solidarity Levy.
 

Disclaimer

The above information has been extracted from the budget speech delivered by The Honourable Pravind Kumar Jugnauth, Prime Minister, Minister of Home Affairs, External Communications and National Development Unit and Minister of Finance and Economic Development, to the National Assembly, on 10 June 2019.

The Budget proposals may be amended significantly before enactment. The content of this summary is intended to provide a general guide to the subject matter and should not be regarded as a basis for ascertaining liability to tax or determining investment strategy in specific circumstances. In such cases specialist advice should be taken.