How capital gains tax works in Mauritius
Mauritius does not impose a broad standalone capital gains tax on investment disposals. Gains from selling shares, securities or other assets are generally outside income tax when they are capital in nature.
The distinction is factual. A gain from a business, trade or profit-making undertaking can be treated as ordinary income, and a company or individual repeatedly dealing in property or assets cannot assume that calling the return an investment gain makes it tax-free.
Transfers of immovable property can trigger land-transfer tax even where no separate capital gains tax applies. The general statutory summary uses 10% where the transfer occurs within five years of acquisition and 5% after five years, subject to the property and transfer category.
A gain on the sale of a lot in a morcellement can be subject to Capital Gains (Morcellement) Tax at 30% when transferred within five years, 25% after five but before ten years, or 20% after ten but before fifteen years. Land-transfer tax can also be relevant, with the higher charge applying in defined cases.
Special EDB property schemes, non-citizen acquisitions, company shares carrying rights to immovable property and transfers of state-land leasehold rights have their own duty rules. The 2026 Finance Act changed some property-duty treatment, so a notarial calculation is essential.
Tax rates at a glance
- General capital gains tax
- 0%No broad CGT
- Trading or business gains
- Ordinary income-tax rates
- Land transfer within five years
- 10% of sale price in the general rule
- Land transfer after five years
- 5% of sale price in the general rule
- Morcellement transfer under five years
- 30% of defined gain
- Morcellement transfer after ten years
- 20% of defined gain
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
InvestorsProperty ownersFoundersFamily officesExpats
Watch out for
- No general CGT does not mean every property or business disposal is tax-free. Land-transfer tax, registration duty and ordinary income tax can produce a real charge.
- The line between investment and trading is fact-sensitive. Frequency, intent, financing, development activity and the way the asset was used can all affect classification.
- Foreign residence can create a second tax claim. Mauritius not charging a general CGT does not prevent the country where you live, the asset is located or the company is managed from taxing the gain.
Frequently asked questions
Does Mauritius have capital gains tax?
Mauritius has no general standalone capital gains tax. However, gains that are really business profits can be taxed as ordinary income, and property transfers can be subject to land-transfer, registration or morcellement taxes.
Is selling property tax-free in Mauritius?
Not automatically. Land-transfer tax can apply to immovable-property sales, with general rates of 10% within five years and 5% after five years, while morcellement and special property-scheme rules can change the calculation.
Are share-sale gains taxed in Mauritius?
Capital gains on shares and securities are generally not taxed when they are capital in nature. A disposal carried out as part of a trade or profit-making scheme can instead be assessed as ordinary income.