It was in this particular socio-economic climate that the Honourable Mauritian Finance Minister presented the new budget 2021-2022 for Mauritius.
New measures will emerge, affecting all economic sectors, in particular the real estate in Mauritius.
Let us discover in this article the key points of this new beginning.
Opening of borders, a smooth recovery
The Mauritian government has opted for a smooth reopening of borders. This will be done in two stages.
First of all, from 15 July 2021, all vaccinated travellers will be able to enter Mauritian territory. However, they must submit a negative PCR test of less than 7 days.
They will be obliged to perform a four-year period in a licensed establishment called "COVID SAFE" (the list will be available shortly).
Then a new relaxation will appear the 1 October 2021, provided that the conditions announced are met.
From that date, all vaccinated tourists who have a negative PCR test carried out within 72 hours of their departure to Mauritius will be allowed, without any restrictions on Mauritian territory.
New laws for buyers, investors and manufacturers
1- The IHS programme, the Invest Hotel Scheme will be modified to allow the sale of up to 80% of the units with the possibility for the owner to have a room to stay there for a maximum of 6 months a year and to reduce the minimum selling price of an independent villa from 500,000 USD to 375,000 USD.
2- A 5% rebate is provided for the cost of acquiring a house, apartment or land for the construction of a residence to a maximum of Rs 500,000 for the financial year 2021/2022.
3- Under the Smart City Scheme, promoters will be allowed to sell less than 2,100 m2 of serviced land to a non-national holding an occupation permit, a permanent residence permit or a residence permit for another 2 years.
4- On the sale of an IRS or RES, the registration fee will be charged at the rate of 5% or USD 70,000. This is the lowest amount that is so withheld while previously it was the highest amount.
5- There will be an exemption from registration duty on the first Rs 5 million of the cost of residential property (previously limited to properties with a value of less than Rs 5 million).
6- More approval but only a notification to the OMP will be required for the disposal of property under the EDB acquisition schemes (e.g. PDS, IRS, R+2).
7- The authorization of the PMO (Office of the Prime Minister) will not be required for an initial 20-year lease of a building in Mauritius.
8- A non-national who purchases or otherwise acquires an apartment used or available for use as a dwelling in a building of at least 2 floors above the ground floor, provided that the purchase price is not less than USD 375,000 shall hold a residence permit, including for his/her dependants, and shall be exempt from the requirement of a work permit or an OP.
For foreigners and visas, new data also
Accession to and extension of visas will be greatly facilitated:
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Extension the period of validity of the occupation allowed for professionals from 3 years to 10 years.
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Exemption the application for an OP or work permit for spouses of OP holders investing or working in Mauritius.
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Maximum age limit of 24 years for dependent children to be lifted. (dependent)
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One 10-year family occupation permit will be granted to those contributing USD 250,000 to the VOCID-19 Development Fund projects.
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Holders of a 10-year permanent residence permit will see the automatically extended validity for a period of 20 years.
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Holders of a permanent residence permit may renew their licence and they will have the opportunity to change category between investor, professional and retired.
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Visa Premium holders who have spent 183 days or more in Mauritius will be subject to income tax as follows: be taxed in the same way income from foreign sources.
All borders are gradually opening up, a good hope for the future.
Mauritius, too, is gradually reopening its doors and putting in place a new laws to facilitate business, real estate investments and expatriations.
From great opportunities Why don't you grab it? As we have seen in this article, the real estate sector is very positively impacted by these new measures.
The road is very open to buyers and real estate investors with a reduction in rules.
It is therefore clearly the time to buy or invest in Mauritius and thus enjoy good deals on high-end and exceptional goods.
To learn more about real estate and real estate investments in Mauritius that we offer, click here.
Small reminder on the schematics cited in the article
IHS: The Invest Hotel Scheme, established in Mauritius in 2010, makes it possible to acquire any property belonging to a luxury hotel establishment, a hotel room, an apartment or a villa managed by a hotel complex.
IRS: This real estate investment model consists of buying an apartment, a villa, or a luxury loft in an international high-end set, extending on a property with a minimum area of 10 hectares for a minimum investment of 375,000 US Dollars.
RES: This type of investment was put in place in a second phase to open up the market to a wider clientele, including a retired clientele, without having to invest a minimum of US$375,000 in real estate in Mauritius. The residential complexes under this regime are smaller than the IRS, they must be built on a minimum of 4,221 m2 and not exceed 10 hectares.
Smart City: This program style meets the concept of « Smart City » as its name indicates. It combines ecology, comfort and modernism. Everything is thought of as a small town; luxury villas, offices, shopping centres, schools, bike paths, residences « seniors »...
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