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.
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:
New substantive obligations:
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:
There is no capital gains tax on transfers, nor withholding tax on distributions of dividends, interest payments or royalties to non-residents.
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.
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.
Registration fees and annual licences payable to the Authorities
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