Mauritius Retirement Visa Deposit: Taxable or Not?

@sharmaritachetty

As far as I know it will be taxable depending on how much you transfer into Mauritius, once you become resident for tax purposes. However, you should consult a tax specialist. The thresholds for taxes are available on the websites.

Best wishes.

As others have pointed out it depends on your tax residency. Are you tax resident in Mauritius or South Africa and what the double taxation agreement states? If you are tax resident in Mauritius and you deposit capital but subsequently use it for income I am inclined to think this would be classified as income and taxed accordingly. First 100K MUR is tax free, next 100K is taxed at 10%, the next 100K adter that is taxed at 20%. However if there are two of you then you can probably split it across both your allowances. If you do get an answer from a professional then I would be very interested as our circumstances are similar.

@karibi

The income tax bands ahve changed recently. Please check the relevant official websites.

Best wishes.

I stand corrected, memory is not so good these days or me being overly optimistic. Corrected schedule for the MRA Web site from 1st July 2025.

First Rs 500,000            0%

Next Rs 500,000            10%

Remainder                    20%

@sharmaritachetty

There is no income, so no tax.

You are spending your money, not earning.

Only income earned in Mauritius is taxable

@Ramelak

Hi, thanks for all the inputs. If possible, can someone enquire from the official revenue services office in Mauritius, please.

I've been advised by another source that, because its capital its not taxable.

@sharmaritachetty

I do not think it is treated as 'income' , hence no 'income tax'.

In addition, how is the money sent into Mauritius as part of retirement expenses treated? $24000 per year or more.

Is this also not taxed in Mauritius? I presume this has already been taxed elsewhere anyway, so no more income tax in Mauritius.

However, if you become tax-resident in Mauritus then different rules apply. I did read somewhere that any money coming in from abroad is then taxable at 15%, but I am not sure. Does anyone have knowledge about this?

Best wishes

It will be the $24000 annual deposit (retirement visa)

@sharmaritachetty

You could transfer the money without becoming a tax resident in Mauritius. You are presumably a tax-resident somewhere and have paid income tax on the amount anyway. $24000 per annum is the minimum amount you have to transfer for the retirement visa conditions. So you should not have to pay any tax on this.

If you are a tax-resident in Mauritus, you need advice from a tax specialist in Mauritius regarding money transferred into Mauritius but on which you have not paid tax elsewhere. That might be advantageous considering tax regulations in Mauritius.

Mauritus has double-taxation agreements with several countries.