Personal Tax
Income Tax for Individuals in Mauritius: Complete Step-by-Step Guide for 2025/2026
A comprehensive guide covering PAYE reliefs, tax rates, allowable expenses, exemptions and the filing process for individuals.
Filing your income tax in Mauritius can be overwhelming, but this step-by-step guide for the 2025/2026 income year will help you navigate the MRA tax return process, claim reliefs and meet deadlines.
It is important to file correctly to avoid queries or reassessments for underpayment. This guide is intended for both employees — taxed under PAYE by their employer — and the self-employed, who pay tax quarterly under the Current Payment System (CPS) if they fall within certain thresholds.
Who must file an Income Tax Return in Mauritius?
All individuals, whether employed or self-employed, are liable to income tax on their earnings. You are also liable to income tax on income derived in Mauritius, whether you're a resident or not.
Obligation to file a return
- You are registered with the MRA and have been allocated a Tax Account Number.
- You derive chargeable income, whether registered or not.
- Your net income exceeds the reliefs, deductions and allowances thresholds.
- Your gross income from a business exceeds Rs 2 million annually.
- You receive emoluments from which tax has been withheld or deducted at source.
Tax residency rules for Mauritius
- Present in Mauritius for at least 183 days in an income year.
- Total presence exceeds 270 days over the current and two preceding years.
- Mauritius is your permanent residence.
Employee Declaration Form (EDF)
The EDF ensures accurate deductions for reliefs and allowances under PAYE. Employees file the EDF electronically at the start of the fiscal year via the MRA website.
When to submit a new EDF
- New employment — submit a new EDF to your employer.
- Change in employment — update your EDF with your new employer.
- Changes in deductions — file a new EDF to claim additional deductions.
At the end of each fiscal year, your employer will provide a Statement of Emoluments (SOE) summarising your income, exempt income, EDF claimed and PAYE withheld.
Reliefs and deductions
1. Dependents (unchanged)
| Dependents | Deduction (Rs) |
|---|---|
| 1 dependent | 110,000 |
| 2 dependents | 190,000 |
| 3 dependents | 275,000 |
| 4 dependents | 355,000 |
For 2025, a taxpayer cannot claim a dependent whose net and exempt income exceeds: Rs 110,000 (1st), Rs 80,000 (2nd), Rs 85,000 (3rd) and Rs 80,000 (4th).
2. Medical insurance (unchanged)
- Rs 25,000 for self
- Rs 25,000 for first dependent
- Rs 20,000 each for second, third and fourth dependents
- No relief if the premium is paid by the employer or under a combined medical/life scheme.
3. Interest on secured housing loan (modified from 1 July 2025)
Relief remains available for interest on a secured housing loan for purchasing or constructing a house. Where neither spouse is a dependent, either spouse can claim or split it equally.
2025 change: relief is NOT allowable where the individual or their spouse derives total income (net income plus interest and dividends received) exceeding Rs 4 million in the income year.
4–6. Solar, rainwater and EV fast-charger allowances (unchanged)
- Solar energy investment — full amount invested during the income year.
- Rainwater harvesting system — investment made during the income year ending 30 June 2026.
- Fast charger for electric car — full amount invested during the income year.
- For couples where neither spouse is a dependent, relief may be claimed by either spouse or split equally.
7. Household employees — REMOVED from 1 July 2025
The previous Rs 30,000 deduction for wages paid to household employees (with CSG contributions) is abolished for income earned from 1 July 2025.
8. Donations to charitable institutions (modified from 1 July 2025)
From 1 July 2025, donations are deductible only if made electronically, capped at Rs 100,000 per income year. Previously any amount by any payment method was allowed.
9. Approved personal pension schemes (unchanged)
Deduction for contributions to an approved pension scheme, up to a maximum of Rs 50,000 per income year.
10. Angel Investor Allowance — REMOVED from 1 July 2025
The Angel Investor Allowance has been fully abolished under the 2025/26 Budget.
11. Transport allowance (unchanged)
- Bus fare option: full deduction of the return bus fare between residence and workplace.
- Private car option: lower of actual petrol/travelling allowance received or 25% of monthly basic salary (capped at Rs 20,000).
- For private car claims, the vehicle must be registered in your name and used for work purposes.
Fringe benefits
1. Car benefit (increased and expanded from 1 July 2025)
| Category | Monthly taxable benefit (Rs) |
|---|---|
| Up to 1,600cc — car costing ≤ Rs 3M | 12,000 |
| 1,601–2,000cc — car costing ≤ Rs 3M | 13,500 |
| Above 2,000cc — car costing ≤ Rs 3M | 15,000 |
| Electric car — car costing ≤ Rs 3M | 13,500 |
| Car costing > Rs 3M up to Rs 5M | 25,000 |
| Car costing > Rs 5M up to Rs 8M | 35,000 |
| Car costing > Rs 8M | 50,000 |
2024 rates (to 30 June 2025): small cars up to 1,600cc — Rs 9,500; 1,601–2,000cc — Rs 10,750; above 2,000cc — Rs 12,000. Applies when the company car is used for both work and personal purposes.
2. Housing benefit (unchanged)
- Owned by employer, unfurnished: 10% of total emoluments.
- Owned by employer, furnished: 15% of total emoluments.
- Rented by employer: actual rent paid.
3. Hotel accommodation benefit (unchanged)
- Full board and lodging — Single: Rs 11,500 · Married: Rs 15,700
- Accommodation for managing/supervisory staff: Rs 4,400
- Accommodation for other staff: Rs 2,200
4. Other fringe benefits (unchanged)
- Interest-free loans or loans at reduced rates
- Tips received from an employer-managed pool
- Repayment or write-off of employee debt by the employer
- Domestic and private expenses borne by the employer
- Tax paid by the employer
Tax for the self-employed — CPS and obligations
1. Current Payment System (CPS)
Self-employed individuals pay tax quarterly under the CPS if their income exceeds the threshold. Chargeable income of each quarter is taxed at a flat 15%. SMEs in certain specified activities with gross income below Rs 10M may elect for a presumptive tax of 1% of gross income.
2. CPS due dates
- July to September — before end of December
- October to December — by 31 March
- January to March — before end of June
- Fourth quarter — no CPS; Annual Return due by 30 September instead
3. Late filing
Late filing of a Statement of Income triggers a monthly penalty up to Rs 6,000, a 5% penalty on tax due, plus 0.5% monthly interest until the tax is paid in full.
4. Who is self-employed?
- Professionals — accountants, doctors, lawyers, engineers
- Trade workers — plumbers, hairdressers, masons, artists
- Not included: individuals earning only rent, dividends or interest
5. Tax-deductible business expenses
- Office rent, utilities, supplies, insurance
- Professional fees — accountant, legal, training/workshops, business loan interest
- Home office — portion of rent and utilities
- Operations — marketing, business travel, equipment hire
- Keep all receipts for MRA verification.
6. Contribution Sociale Généralisée (CSG) for self-employed
| Monthly net income | CSG payment |
|---|---|
| Up to Rs 10,000 | Rs 150 flat |
| Rs 10,001 – 50,000 | 1.5% of 90% of income (min Rs 150) |
| Above Rs 50,000 | 3% of 90% of income |
Exempt income
- Dividends from Mauritian companies and local co-operative societies.
- Interest on savings/fixed deposits at Mauritian banks; interest payments to non-residents from Mauritian banks, GBCs and special purpose funds.
- Capital gains from the sale of units, securities or debt obligations.
- First Rs 2.5M of lump sum on commutation of pension, death gratuity, or consolidated compensation for death/injury.
- Lump sums from superannuation funds, personal pension schemes, National Savings Fund, retiring and severance allowances.
- Transport allowances — bus fare, or lower of actual petrol allowance and 25% of monthly salary (max Rs 20,000) for car owners.
Applicable tax rates
Major change from 1 July 2025: personal income tax moves from 11 brackets to just 3.
2025 rates — income year starting 1 July 2025
| Yearly bracket | Rate | Monthly bracket |
|---|---|---|
| First Rs 500,000 | 0% | First Rs 38,462 |
| Next Rs 500,000 | 15% | Next Rs 38,462 |
| Remainder | 20% | Above Rs 76,924 |
2024 rates — income year ending 30 June 2025
| Yearly bracket | Rate |
|---|---|
| First Rs 390,000 | 0% |
| Next Rs 40,000 | 2% |
| Next Rs 40,000 | 4% |
| Next Rs 60,000 | 6% |
| Next Rs 60,000 | 8% |
| Next Rs 300,000 | 10% |
| Next Rs 300,000 | 12% |
| Next Rs 300,000 | 14% |
| Next Rs 500,000 | 16% |
| Next Rs 400,000 | 18% |
| Remainder | 20% |
Fair Share Contribution — new for high-income earners
From 1 July 2025 to 30 June 2028, a Fair Share Contribution of 15% applies to individuals with annual net income exceeding Rs 12 million (inclusive of dividend income from domestic companies). It is collected under PAYE.
Annual tax declaration
All individuals must file an Annual Income Tax Return by 15 October each year. Employees whose PAYE deductions exceed the tax payable may receive a refund. Log in to the MRA e-Services portal using your TAN, NID or NCID.
Summary of all 2025 changes at a glance
| Item | 2024 | 2025 (from 1 July) | Status |
|---|---|---|---|
| Tax-free threshold | Rs 390,000 | Rs 500,000 | Improved |
| Tax brackets | 11 (0%–20%) | 3 (0%, 15%, 20%) | Simplified |
| Household employee deduction | Up to Rs 30,000 | Removed | Removed |
| Angel Investor Allowance | Available | Removed | Removed |
| Donations to charities | Any amount, any method | Electronic only, max Rs 100,000 | Modified |
| Housing loan interest relief | No income cap | Not allowed if total income > Rs 4M | Modified |
| Car benefit up to 1,600cc | Rs 9,500/mo | Rs 12,000/mo | Increased |
| Car benefit 1,601–2,000cc | Rs 10,750/mo | Rs 13,500/mo | Increased |
| Car benefit above 2,000cc | Rs 12,000/mo | Rs 15,000/mo | Increased |
| Electric car benefit | N/A | Rs 13,500/mo | New |
| High-value car (> Rs 3M) | N/A | Rs 25,000–50,000/mo | New |
| Fair Share Contribution | N/A | 15% on net income > Rs 12M | New |
| Private school fees deduction | N/A | Up to Rs 60,000 per child | New |
| Carer employment deduction | N/A | Up to Rs 30,000 | New |
This summary offers insights into essential Mauritius tax regulations for individuals; it does not constitute tax advice. For personalised guidance, speak to a qualified accountant like Anexa Biz. Stay updated via the MRA website or contact us for specific questions.