Do you need to register for VAT in Mauritius?

VAT (Value Added Tax) is a 15% tax you add to most goods and services in Mauritius. If you're registered, you charge it, collect it, and pass it to the MRA — and you can reclaim VAT you paid on business purchases.

When is it compulsory?

You must register once your annual taxable turnover passes a set threshold. As of writing that threshold is MUR 3 million (it was lowered from MUR 6 million), and some professions — accountants, attorneys, consultants, surveyors and similar — must register whatever their turnover. Thresholds change, so confirm the current figure on mra.mu before you decide.

Turnover means your sales, not your profit. A shop can pass the VAT threshold long before it feels 'big'.

Should you register voluntarily?

Below the threshold you can still choose to register. It can help or hurt depending on your customers:

• Good if you sell mostly to other VAT-registered businesses (they reclaim the VAT) and you buy a lot with VAT on it.
• Less attractive if you sell to the public, because adding 15% can make you look 15% more expensive.
• Either way it adds admin: charging VAT, keeping records, and filing returns.

What to do next

Work out your rolling annual turnover honestly. If you're near the threshold, plan for registration before you cross it — and make sure your invoicing is clean and numbered now, so the switch is painless later.

Frequently asked questions

What's the VAT rate in Mauritius?

The standard VAT rate is 15%. Some supplies are zero-rated or exempt — check the MRA for your specific goods or services.

Can I reclaim VAT I pay?

If you're VAT-registered, you can generally reclaim VAT on business purchases against the VAT you collect — which is why registration can pay off for some businesses.