Domestic Company
A Mauritian Domestic Company is a private company incorporated under the Companies Act 2001 for business carried on in Mauritius. It is the vehicle for an Investor Occupation Permit, the employer for a Professional permit, and, with a trust layer, a way of holding scheme property. It is taxed in Mauritius at 15% on chargeable income, with partial exemptions for certain classes.
At a glance
| Governing law | Companies Act 2001, administered by the Registrar of Companies |
|---|---|
| Shareholders and directors | One shareholder and one director are sufficient. At least one director must be ordinarily resident in Mauritius |
| Registered office | Required in Mauritius. We provide it |
| Company secretary | Required for a company with more than one director, or in practice for any company holding a permit or bank account. We provide it |
| Timing | Incorporation typically within a few working days of a complete file. A bank account takes longer |
| Tax | 15% on chargeable income. No capital gains tax. Dividends paid to shareholders are exempt from income tax in their hands |
| Annual obligations | Annual return, financial statements, tax return, and for permit holders, turnover declarations to the EDB |
Who it suits
Anyone relocating on an Investor permit, since the permit requires a company. Anyone setting up a real business in Mauritius: consulting, trading, technology, hospitality, property development, regional services. And families who want to hold a scheme property through a company rather than in their own names.
Holding property through a company with a trust
A Domestic Company may acquire property under the approved schemes, and the shares of that company may be held by a trust. The structure separates the home from the individual, which matters for succession, for families with members in several jurisdictions, and for buyers who prefer not to hold Mauritian real estate personally. The EDB has confirmed to us that the residence permit can be applied for through a trustee structure, subject to the usual conditions.
This is a structure we set up regularly. It requires a Mauritian trustee, a properly drafted trust deed, and coordination between the notary, the EDB and the bank at the point of purchase. We prepare a written proposal for each engagement showing the structure, the parties, the costs and the sequence.
Resident director
Every Domestic Company needs at least one director who is ordinarily resident in Mauritius. Where the owner is not yet resident, or prefers not to act, we provide a resident director under a written agreement that sets out plainly what the director will and will not do, and how the owner retains control. We do not provide directors to companies whose activities we do not understand.
What we handle
Name reservation, incorporation, constitution, registered office, company secretary, resident director where required, the bank introduction, registration with the Mauritius Revenue Authority and the Registrar of Businesses, and the annual compliance that follows. For permit holders, the EDB filings run alongside.
Questions we are asked
Do I need a Mauritian director?
At least one director must be ordinarily resident in Mauritius. Where the owner is not yet resident or prefers not to act, we provide a resident director under a written agreement that sets out what the director will and will not do.
How is the company taxed?
At 15% on chargeable income, with partial exemptions for certain classes. There is no capital gains tax and dividends are exempt from income tax in the shareholder's hands.
Can the company own a home under the property schemes?
Yes, with EDB authorisation, and its shares may be held in trust. This is a structure we set up regularly for families who prefer not to hold real estate personally.
How long does incorporation take?
A few working days from a complete file. The bank account takes longer and is the item that sets the timetable.
Tell us what the business will do
The right structure follows from the activity, the owners and where the customers are. Describe those three things and we will set out the structure, the costs and the sequence in a written proposal.