OFFSHORE companies GBLC in mauritius

GBLC (Global Business Licence Company) companies are mainly governed by the Companies Act of 2001 and the Financial Services Act of 2007, they have the new status of offshore company implemented on 1 January 2019. These companies are destined to operate outside Mauritius and are only authorised to carry out transactions in local currency with residents or to hold real estate assets in Mauritius on an ancillary basis. However, as residents, they can benefit from Mauritius' advantageous tax treaties. GBLs may engage in banking, insurance and fund management activities. The request must be made to the Financial Services Commission (the Mauritius Supervisory Authority) through an approved offshore management company ("Management Company"). Formal applications can be processed very quickly and rarely exceed two weeks.

 

Main characteristics

 

GBL can qualify as a tax resident in Mauritius and therefore benefit from the network of double taxation agreements (DTAs) and investment promotion and protection agreements in force. It is therefore ideal for investments in countries with which Mauritius has signed such treaties, which can generate cash flow in the form of dividends, interest, royalties or capital gains.

 

 

And for the company to be tax resident, it must demonstrate that its management and control are exercised in the Mauritian jurisdiction while meeting the following criteria:

 

  • Have at least two resident directors,
  • Have a resident general secretary and a resident auditor,
  • Maintain a bank account in Mauritius,
  • Maintain its registered office and statutory records in Mauritius,
  • Preside at all meetings of the Mauritius Board of Directors.

New substantive obligations:

  • Hire qualified people directly or indirectly in the company's core business,
  • Achieve an amount of expenditure proportional to the level of activities.

Advantages

 

  • Trust shareholders: Only one possible shareholder,
  • Reduced tax burden,
  • No minimum share capital required, nor nominal value of the shares,
  • No VAT (except on local activity), no capital gains tax on sales, no withholding tax on dividends or interest,
  • Share capital denominated in any currency except Mauritian rupee,
  • Original Statutes may be drawn up in French or English, or in any other language, in this case with an English translation attached,
  • The company name may include the names: S.A., S.A.R.L., Limited, Corp, N.V., B.V,
  • A single resident administrator is sufficient by law, but two are required to obtain the tax residence certificate,
  • Secretary of the company: Management Company approved,
  • The transfer of the registered office from or to another jurisdiction is possible,

Fiscalité

 

GBL is taxed at 15%, the equivalent rate for domestic companies. But its interest and tax rate is reduced to 3% on the offshore activities to which it is dedicated, including the following income:

  • Dividends received by a foreign company;
  • Interest received by a company other than a bank;
  • Income from ship leasing and aviation companies;
  • Income from a collective investment undertaking (UCITS), UCITS managers, investment advisers or managers authorised by the Financial Services Commission.

There is no capital gains tax on transfers, nor withholding tax on distributions of dividends, interest payments or royalties to non-residents.

 

Share capital

 

GBL is exempt from any tax on its capital structure and can choose the most appropriate structure. The shares issued must be registered. 

 

Representative and domiciliation

 

The law and the FSC require that any GBL Company must have its registered office in Mauritius at all times. The FSC has granted a Management Company licence to our partner, which is therefore entitled to act as legal representative and to ensure the domiciliation of the registered office.

 

Bank Account

 

The company may have a bank account in Mauritius and shareholders, shareholders, directors and economic beneficiaries are required to disclose their identity to the bank.

 

Fees

 

Registration fees and annual licences payable to the Authorities

 

  • Single processing fee with the FSC of USD 500 and USD 300 with the Registar of companies,
  • Thereafter, each year, payment of an annual license fee to the FSC of USD 1,750 and USD 325 for the Registar of companies

 

 

If we add the fees of the Management Company approved by the FSC, the financial amount to be expected for the creation of a GBL company in Mauritius is around 12 000 Euros excluding VAT