There are different categories of business companies in Mauritius. The two most famous categories are GBC1 and GBC2. In Mauritius, GBC1 is called “Global Business Company Category 1”, and is those companies, firms and agencies that are registered and fully incorporated as resident global business and trading companies. These companies, firms, and agencies must have a Category 1 Global Business and Financial License or engage in commercial, commercial, and other activities. These companies are being incorporated under the Companies Act [As Amended]and are based in Mauritius to take advantage of lower taxes and bilateral trade facilities.

In addition, these companies also have access to the working system of the double taxation treaty in Mauritius. For these resident companies, the corporate tax rate is very low and they can fully benefit from it. Mauritius GBC1 companies are now expanding their business on the basis of the Mauritius double tax avoidance system. These companies are now working with different partner countries including African countries, China, European countries and India.

GBC1 companies can take advantage of various incentives and services. Businesses can take advantage of tariff concessions being made on the purchase of office accessories, cars, trucks, furniture, and other useful items. In addition to this, GBC1 companies can also have the advantage of paying tax-free royalties to non-residents, which is considered a very important advantage in favor of these companies. Core benefits and services include:

• Low general tax rate
• Lowest Annual Government License Fee
• Capital gains tax of any country
• Withholding tax from any country
• Interest paid on multiple deposits at different banks is usually tax-exempt.
• Officially paid dividends are usually tax-exempt

An additional license or authorization is required for a GBC1 company to provide specialized financial activities, such as asset management, outside of Mauritius.

The cost of setting up a GBC1 company in Mauritius and its cost of running for a calendar month varies from the various offshore management companies that provide such services in Mauritius. Set up and cost for the first twelve months can range from $7,000 to $13,000 from one offshore service provider to another, rates must include government rates, and must be unique for the entire year. You will be charged additional fees if you request providers to perform additional services. Also note that payment must be made to the service provider before the settlement takes place.