A Domestic Company, also referred to as a Local Company, is incorporated under the Mauritius Companies Act 2001 and is widely used by entrepreneurs and investors seeking to establish a strong operational presence in Mauritius. Recognised as a tax resident entity, it benefits from Mauritius’s extensive network of Double Taxation Agreements (DTAs) and enjoys a highly competitive fiscal and regulatory environment.
- Attractive tax regime:
-
- Flat corporate tax rate of 15%
- No withholding tax on dividends or capital gains
- No exchange controls, ensuring free repatriation of capital and profits
- Flexible incorporation options: A Domestic Company may be set up as either a Private Company or a Public Company, providing versatility depending on ownership, capital-raising needs, and growth objectives.
- Choice of legal forms: Entrepreneurs can select from five distinct structures to match their business model:
-
- Company Limited by Shares: Shareholder liability restricted to unpaid amounts on their shares.
- Company Limited by Guarantee: Members undertake to contribute a fixed amount if the company is wound up.
- Unlimited Company: Shareholders assume full liability, ideal for those seeking complete control and responsibility.
- Limited Life Company: Predefined events trigger automatic dissolution, offering flexibility and built-in exit planning.
- Company Limited by Shares and Guarantee: A hybrid model that combines shareholder participation with guarantee-based liability.
- Strategic advantages: Domestic Companies are a preferred choice for both local and international players who wish to leverage Mauritius’s stable, investor-friendly jurisdiction, world-class legal framework, and ease of doing business.
