Global Business Solutions

Company Secretarial/Administration Services

GWMS is staffed with a skilled and experienced corporate team who can handle any company law or regulatory framework queries and your statutory obligations. We routinely advise and provide the following comprehensive services:

• Company formation and administration, including the provision of directors, nominee shareholders and registered office
• International tax planning management and monitoring of tax compliance
• Corporate structuring and advice
• Annual compliance and maintenance of statutory registers
• Attendance at board meetings
• Creation of Board, Committee and Shareholders minutes of meetings
• Statutory compliance reviews
• Comprehensive advice and guidance on good corporate governance
• Trust formation, registration and administration, including the provision of trustees
• Asset protection advice
• Global business administration services

Benefits of the Mauritius Global Business sector

• Category 1 entities are liable to pay tax at 15% on taxable income with credit for actual foreign tax paid or deemed foreign tax paid on foreign source income of 80% which reduces the effective tax rate in the latter case to a maximum of 3%
• Trusts may also benefit from the Mauritian double tax treaty network or elect for non residence in Mauritius and benefit from Mauritius tax exemption
• Category 2 private companies are tax exempt but are also not tax resident in Mauritius
• No withholding taxes apply to dividends, interests and royalties in the global business
• Capital gains on disposal of securities and other movable property are exempted from Mauritius taxation
• Inheritance of shares is not subject to estate duty or cumbersome formalities
• Exemption from several Companies Act statutory requirements

Foundations

The Mauritius International Financial Centre now offers a new product in addition to the existing limited partnership, private and public company, limited life company and trust. The new offering is the "Foundation", a hybrid vehicle which combines the benefits of a company with those of a trust. The Foundations Act 2012 is a very modern legislation and is effective since 1 July 2012.

It is mostly used in wealth management, estate planning and asset holding but is equally ideal as a special purpose vehicle to legally protect one's assets against personal liability, high taxes or forced heirship rules.

A Foundation does not have legal personality unless it is registered with the Registrar of Foundations and has been issued with a certificate under the Foundations Act. This new legislation allows for the incorporation and migration of Foundations to and from Mauritius.

Taxation wise, the Foundation may be structured to be exempt from Mauritius tax.

Please see our summary on Foundations under Publications > Global Business Updates for more information.

Limited Partnership

The Limited Partnerships Act 2011("LLP") is now effective in Mauritius. It is a long awaited legislation which has finally been enacted in Mauritius. The LLP is a very flexible vehicle and constitutes the latest offering of Mauritius towards enhancing its status as a Mauritian investment platform of substance.

The LLP is a vehicle of choice for private equity/venture capital funds and other type of funds mainly because of the possibility afforded by the LLP to combine the benefits of a company with those of the partnership such as limited liability protection to investors and the option of election to have separate legal personality while maintaining the fiscal transparency feature of partnerships. The LLP law is however not specific to investment funds and can be easily used to fulfill other objectives.

The fiscal transparency feature of the LLP is one of its principal attractions. Accordingly, partners (not the LLP) will individually be liable to Mauritius taxation in their respective income sharing ratio of the LLP to the extent that the LLP has Mauritius source taxable income. Conversely, should the LLP have any foreign source taxable income then only the Mauritius tax-resident partners of the LLP will be liable to Mauritius taxation. Effectively this means that an LLP whose partners are not tax resident in Mauritius and which derives only foreign source income will have no Mauritius tax liability at all making the LLP a tax exempt vehicle.

Please see our Limited Partnerships Act 2011 under Publications for more information on LLPs.

Trusts in Mauritius

Mauritius has a modern trust legislation which does not require trusts to register with any authorities in Mauritius thus providing absolute confidentiality. Trusts can be used to:

• safeguard assets against bankruptcy
• effect generation planning, including the holding of assets for minors until they reach majority
• rearrange beneficial ownership of assets
• avoid inheritance laws in the country of residence
• accumulate income and protect assets

Private Trust Companies (PTC)

The PTC is highly attractive to individuals and families who wish to structure their assets in one or more trusts without losing control altogether as is usually the case with trusts. Under the PTC structure, the PTC becomes the corporate trustee of connected trusts for the benefit of a sole family, extended family or related individuals. Absent the PTC, an independent qualified corporate or individual trustee will need to be appointed and control is relinquished. Benefits are:

• Control without compromising the structure
• Decision making faster while adherence to wish of family
• Enables orderly generation planning
• Risk profile of family respected in respect of investments in assets

GWMS is able and qualified to advise you on the PTC to enable you to start your own Family Office.