Self Employed

 

  1. Who

    A self-employed person is one who works for himself / herself instead of an employer, and draws income from a trade or business that he operates personally.

    For further information,please refer to Guide on Starting Business

     

  2. Due Dates

    The Current Payment System(CPS) for self employed people is on a quarterly basis:

    In respect of CPS quarterDue date for submission of CPS Statement and payment of tax
    1 Jul to 30 Sept 2 days including Saturdays and public holidays before the end of December
    1 Oct to 31 Dec 31 March
    1 Jan to 31 March 2 days, excluding Saturdays and public holidays, before the end of June

    No need to submit for the 4th quarter, since taxpayer is required to submit Annual Return on 30 September.

     

  3. Obligations for Submission of CPS

    A CPS Statement of Income should be submitted to the Director General, MRA by every individual deriving business income (Including Income from Profession, Vocation or Occupation) and rental Income where:

    1. the gross income falling under CPS for the preceeding income year exceeded Rs 6 million; and
    2. the tax payable on the chargeable income exceeds Rs 500

     

  4. Rate of tax payable under CPS 

    The Chargeable Income of a quarter is taxed at the rate of 15%

     

  5. Penalty & Interest
    • Late/Non-Submission :

      Rs2, 000 per month or part of the month up to a maximum of Rs6,000 payable.

    • Late/Non-Payment :

      Late Payment of tax carries a penalty of 5% of the amount of tax unpaid and interest at the rate 1% per month.

     

  6. TDS - Tax Deduction at Source (6th Schedule section 111c of Income Tax Act)

    Tax has to be withheld by any person, other than an individual as per table below:

     

    Amount or sum made available to the payee by way of -

    Rate of Tax

    (%)

    1. Interest payable by any person, other than by a bank or non-bank deposit taking institution, under the Banking Act, to any person, other than a company resident in Mauritius 15

    2. Royalties payable to -

    (a) a resident

    (b) a non resident

     

    10

    15

    3. Rent

     5

    4. Payments to contractors and sub contractors

     0.75

    5. Payments to providers of services as specified in the Fifth Schedule

     3

    6. Payment made by Ministry, Government department, local authority, statutory body or the Rodrigues Regional Assembly on contracts, other thanpayments to contractors and sub-contractors and payments to providers of services specified in the Fifth Schedule -

     

     (a) for the procurement of goods and services under a single contrac, where the payment exceeds 300 000 rupees

     1

     (b) for the procurement of goods under a contract, where the payment exceeds 100 000 rupees

     1

     (c) for the procurement of services under a contract, where the payment exceeds 30 000 rupees

     3

    7. Paymentmade to the owner of an immovable property or his agent pursuant to Section 111B(g)

     5

    8. Payments made to a non resident for any services in Mauritius pursuant to Section 111B(h)

     10

    9. Payment of management fees persuant to section 111B(i)

    (a) resident

    (b) non-resident

     

    5

    10

    10. Payment to a non-resident entertainer or sports person persuant to section 111B(j) 10

     

    The tax withheld shall be remitted to the Director General of the MRA within 20 days from the end of the month in which the deduction was made in case the return is filed manually. In case of electronic submission of TDS return, tax withheld shall be remitted with one month from the end of the month in which the deduction was made.

    For further information on TDS - See TDS Guide and Questions & Answers on TDS

     

  7. Annual Return

    Taxpayer should submit an Annual Return

    Due Date for submission of Return and for payment is 30 September following the income year ending 30 June.