Setting up a Domestic Company in Mauritius is one of the most accessible and strategic choices for both local entrepreneurs and international investors. Whether you’re aiming to establish a trading entity, offer services, or hold investments, a Domestic Company offers you a robust and tax-efficient structure right in the heart of the Indian Ocean.
A Domestic Company is incorporated under the Mauritius Companies Act 2001 and is designed for businesses intending to operate primarily within the country. However, it also caters to non-residents who wish to legally own and operate a Mauritian business. If structured properly, the company can even access Mauritius’ double taxation treaties and benefit from its competitive tax regime.
Whether you’re exporting goods, providing consultancy services, or setting up an e-commerce brand, the domestic route is often the most cost-effective and compliant path.
Understanding the framework and statutory elements of a Domestic Company is essential before moving forward. Below are the core pillars of this business model:
Mauritius operates a hybrid legal system. This means businesses enjoy the protection of common law principles while also observing certain civil law practices. A Domestic Company benefits from this balance, ensuring clarity, fairness, and legal certainty.
A Domestic Company can have 100% foreign shareholding.
Both individuals and corporate entities are allowed to be shareholders.
At least one director must be a resident of Mauritius (corporate directors are not permitted).
This structure is ideal for entrepreneurs who want full ownership but are also willing to appoint a local director.
A registered office must be located in Mauritius.
The appointment of a Company Secretary is mandatory. SAB&T IFC can serve in this role, ensuring your ongoing compliance.
Every Domestic Company must file an Annual Tax Declaration (ATD) with the Mauritius Revenue Authority (MRA) within six months of the end of its financial year.
If your company’s annual turnover is over MUR 10 million, you must also submit quarterly tax payments under the APS system, starting from the second year of operation.
All Domestic Companies must contribute 2% of their chargeable income to a CSR Fund. These funds support social development projects across Mauritius.
TDS applies to payments for services such as consulting, rent, royalties, and more. The amount withheld counts as an advance against the recipient’s tax liability.
One of the most compelling reasons to set up a Domestic Company in Mauritius is the island’s favourable tax environment. Here's how the tax regime is structured:
There is no capital gains tax on the sale of investments, making Mauritius highly attractive for holding and exit strategies.
Dividends distributed by a Domestic Company are not subject to withholding tax, which simplifies profit repatriation for foreign shareholders.
Funds can move freely across borders, allowing shareholders to transfer profits or capital gains back to their home countries without restriction.
Keeping your financial house in order is vital.
Domestic companies must adhere to the following:
These obligations ensure transparency and build investor confidence.
A Trade Licence is compulsory for operating a business locally. The fee is based on your activity classification.
A local address is required for both legal and operational purposes. This boosts your legitimacy and allows for government correspondence.
All Domestic Companies must register with the Data Protection Office and appoint a data controller. An annual fee applies to remain compliant with the Data Protection Act.
Setting up a Domestic Company can seem like a maze, especially if you’re not based in Mauritius. That’s where we come in.
Yes. Foreigners can hold 100% of the shareholding in a Domestic Company.
Typically, it takes about 5–7 working days, provided all documentation is submitted correctly.
Yes, at least one director must be a resident of Mauritius. Corporate directors are not allowed.
There is no minimum capital requirement to register a Domestic Company in Mauritius.
Yes. Domestic Companies are tax-resident in Mauritius and can benefit from the country’s extensive network of double taxation treaties.
