The Mauritius Revenue Authority was established under the MRA Act of 2004 as a State agency, vested with the authority to collect Income Tax, VAT, Customs and Excise Duties, and taxes on Gambling and Licence Fees, which constitute more than three quarters of total recurrent Government revenue. It also has responsibility for the general administration of the country’s main revenue departments. Prior to 2006, there were several revenue collection agents, for instance, the Income Tax Department, the Value Added Tax Department, the Large Taxpayers’ Department and the Customs and Excise Department. However, all the above mentioned departments were merged together with a view to develop synergy. In July 2006, with the coming into operations of the Mauritius Revenue Authority (MRA), efficiency was generated in the revenue collection process as a result of which, revenue collection and compliance increased considerably.

Vision

To be a world class Revenue Authority respected for its professionalism, efficiency, fairness, integrity and its contribution to our economic and social development.

Mission

To continually reform and modernise Revenue Administration in order to manage and operate an effective and efficient Revenue organisation comprising of highly motivated and skilled staff.

Core Values 

The Mauritius Revenue Authority (MRA) is a body corporate, set up to manage an effective and efficient revenue-raising system. It administers and collects taxes due in Mauritius within an integrated organisational structure. The MRA is an agent of State and, as such, the Ministry of Finance continues to have overall responsibility for the organisation and monitors its performance.

The MRA collects:

• Direct Taxes- Corporate Tax, Personal Income Tax, Tax Deduction at Source (TDS)

• Indirect Taxes- Value Added Tax (VAT), Customs Duties, Excise Duties, Gambling Taxes

• Fees & Levies - Passenger Solidarity Fees, Environment Protection Fees, Advertising Structure Fee, Special Levy on Banks, Special Levy on Telecommunications Companies, Fees payable in respect of several licences & for the issue of Tax Residence Certificates (TRCs)

• Additional responsibility for collecting- National Pension Fund (NPF) / National Savings Fund (NSF) contributions, Contribution Sociale Généralisée, HRDC Training Levy, Workfare Programme Fund, Contributions payable under the Mauritius Cane Industry Authority Act, Net proceeds for the Lotto Fund, Corporate Social Responsibility levies, Levy payable by gambling operators to the Responsible Gambling & Capacity Building Fund, Portable Retirement Gratuity Fund (PRGF)

MRA also administers and pays National Pension Fund (NPF) / National Savings Fund (NSF) contributions, Contribution Sociale Généralisée, HRDC Training Levy, Workfare Programme Fund, Contributions payable under the Mauritius Cane Industry Authority Act, Net proceeds for the Lotto Fund, Corporate Social Responsibility levies, Levy payable by gambling operators to the Responsible Gambling & Capacity Building Fund, Portable Retirement Gratuity Fund (PRGF).

The organizational structure is divided into three categories namely the support departments, the compliance departments and two specialized divisions.

MRA Organisational Chart

The Compliance departments

Medium and Small Taxpayers’ Department (MSTD)- The Medium & Small Taxpayers Department (MSTD) manages the administration of all other taxes, including Income Tax, Value-Added Tax and Gaming taxes.

Large Taxpayers’ Department (LTD)- The Large Taxpayers Department (LTD) is responsible for the management and administration of income tax and value added tax in respect of taxpayers whose annual turnover is above 100 million rupees. It also has the responsibility for all international taxation issues including negotiation of DTAAs, attending meetings on international taxation and exchange of information with foreign competent authorities.

Operational Services Department (OSD)- The Operational Services Department (OSD) ensures that the key shared services of registration, service delivery, processing & e-filing and debt management are performed efficiently and effectively, and that those services fully support the Customs and tax operational departments in their work.

Fiscal Investigations Department (FID)- The Fiscal Investigations Department (FID) conducts investigations into potential tax-evasion cases, collects evidence relative to these cases, raises assessments, refers suspected cases of money laundering to FCCand recommends prosecution for certain other types of offences.

Objections, Appeals and Dispute Resolutions Department (OADRD)- The Objections, Appeals and Dispute Resolutions Department (OADR) ensures that all objections to assessments are properly dealt with in accordance with the relevant Revenue Laws. The OADR, which is an independent Unit, gives assurance to taxpayers/stakeholders that all objections are dealt objectively, fairly and in a transparent manner.

Customs Department- The Customs Department manages the administration of Customs and Excise duties and aims to facilitate trade through efficient border control procedures. Customs has three basic functions:

Fiscal function – consists of collecting and protecting government revenue in the form of customs duty, excise duty, VAT and other taxes under Customs Laws;

Protection / security function – ensures the security and protection of the country against transnational crimes and acts of terrorism; and,

Economic function – facilitates trade for legitimate cross-border transactions in order to increase import/ export, promote foreign direct investment and boost economic activity.

The Support departments

Information Systems Department (ISD)- The Information Systems Department (ISD) is responsible for the set-up, implementation and maintenance of MRA’s Information Systems. ISD identifies the current, medium and long-term ICT requirements, and also provides technical guidance on MRA information systems for supporting MRA’s vision of being a world class Revenue Authority.

Finance and Administration Department (FAD)- The Finance and Administration Department (FAD) assignments include budget preparation for submission to the Board, revenue collection, the recording and monitoring of revenue and expenditure, the production of financial and management accounts and the procurement function. The Department also provides administrative support and effects refund of income tax & VAT and payments of Government's supporting measures.

Human Resources & Training Department (HRTD)- The Human Resources and Training Department (HRTD) is responsible to design and implement human resource management & training policies and applying best HR practices to attract, motivate, develop and retain high-quality staff, that will help MRA achieve its strategic objectives and be recognized as a leading employer.

The Taxpayer Education and Communication Department (TECD)- The Taxpayer Education and Communication Department (TECD) is responsible for promoting MRA’s mission and activities, providing taxpayers with information and assistance regarding their tax compliance requirementsand liaising with the media and other external stakeholders.

The Research Policy and Planning Department (RPP)- The Research, Policy and Planning Department (RPPD) oversees MRA’s research, policy, planning and monitoring activities and ensures that quality management information is provided to the Board, Management Team and other key decision-makers.

The Legal Services Department (LSD)- The Legal Services Department (LSD) initiates, prepares and prosecutes and/or defends criminal and/or civil cases on behalf of the MRA before all jurisdictions in Mauritius. The LSD regularly initiates recovery action on behalf of the Authority in relation to civil claims. It also provides timely and strategic advice to all directorates of the MRA, including on matters pertaining to employment, procurement and insolvency matters. It assists in a number of Internal Committees set up byMRA and conducts in-house training for officers of MRA.

Two specialized divisions

Internal Audit Division The Internal Audit Division is responsible for providing assurance to the Board and Management on MRA’s internal controls, risk management systems and governance. The Division also oversees the MRA Quality Management System. The head of the Division reports administratively to the Director-General and functionally to the Audit and Oversight/Risk Management Committee on all internal audit issues.

Internal Affairs Division - The Internal Affairs Division is mandated under the MRA Act to deal with allegations of malpractice or other complaints against any MRA officer/employee. It also processes and verifies the declaration of assets made by an officer/employee on a regular basis. The Division has the power to make enquiries or investigations as it thinks necessary, call for any records and information and request any person to provide such information as may be necessary.

Double Taxation Agreements (DTA)

A DTA is a contract signed by two countries (referred to as the contracting states) to avoid or alleviate (minimise) territorial double taxation of the same income by the two countries. To date,Mauritius has concluded 46 tax treaties and is party to a series of treaties under negotiation.

Foreign Accounts Tax Compliance Act (FATCA)

It’s a U.S. law that was enacted in 2010 to combat tax evasion by U.S. citizens and residents who hold financial assets outside the United States. FATCA requires foreign financial institutions (like banks, investment firms, insurance companies, etc.) to identify and report information about accounts held by U.S. taxpayers (or foreign entities in which U.S. taxpayers hold a substantial ownership interest) to the IRS (Internal Revenue Service)outside the United States. FATCA requires foreign financial institutions (like banks, investment firms, insurance companies, etc.) to identify and report information about accounts held by U.S. taxpayers (or foreign entities in which U.S. taxpayers hold a substantial ownership interest) to the IRS (Internal Revenue Service).

Common Reporting Standard (CRS)

Common Reporting Standard (CRS) is a global initiative developed by the Organisation for Economic Co-operation and Development (OECD) to combat tax evasion and promote transparency in international financial systems.

• Country by Country Reporting (CbCR)

  Country-by-Country Reporting (CbCR) is a requirement under the OECD's Base Erosion and Profit Shifting (BEPS) Action Plan – specifically Action 13. It targets large multinational enterprises (MNEs) to increase transparency about where they earn profits, pay taxes and conduct business operations.

• Multilateral Instrument (MLI)

  The Multilateral Instrument (MLI) — officially known as the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (BEPS) — is an international treaty developed by the OECD and G20 as part of the BEPS project.

Mutual Agreement Procedure (MAP) - is a process provided under tax treaties that allows countries to resolve international tax disputes - especially those involving double taxation. MAP lets taxpayers ask tax authorities from two (or more) countries to talk and fix a tax issue, usually when both countries claim the right to tax the same income.

The taxes administered by MRA are all on a self-assessment system. Under that system, persons liable to pay the relevant tax or duty have to submit declarations at the end of specified periods and pay the tax, if any in accordance with the declarations. Where the Director-General is not satisfied with the declaration or has reason to believe that a person liable to tax has not submitted a declaration, the cases are selected for audit or investigation and appropriate action are taken in accordance with the relevant legislation.

Income Tax

A person resident in Mauritius is liable to tax on the worldwide income derived by him. A non-resident is liable to tax on income derived from sources in Mauritius. The two types of income that are chargeable to income tax are individuals and companies (including Trusts and Unit Trust Schemes).

Value Added Tax

Value Added Tax (VAT) is a tax on goods and services. It is chargeable on all taxable supplies of goods and services made in Mauritius by a taxable person in the course or furtherance of any business carried on by him. VAT is also payable on the importation of goods into Mauritius, irrespective of whether the importer is a taxable person or not. The rate of VAT is 15% on the value of taxable supplies other than zero-rated supplies.

Gambling Taxes

The term gambling taxes encompass gaming taxes, betting taxes and betting duties which are imposed under Sections 60 (1) (d) and114 of the Gambling Regulatory Authority (GRA) Act. Some operators licensed under the Act are subject to gambling tax and responsible gambling levy in respect of some of their activities.

The MRA Customs falls under the umbrella of the Mauritius Revenue Authority (MRA). MRA falls under the aegis of the Ministry of Finance and Economic Development and the main function is to administrate the revenue laws.

In line with MRA strategic objectives, Customs collects revenue for the government, ensures national security, protects the society and prevents illicit financial flows while facilitating the legitimate movement of people and goods across the border.

All efforts are geared towards managing the Customs functions effectively and efficiently with the optimum use of risk management, automation and post control audit for the:

1. interception of smuggled and contraband goods such as illicit drugs;

2. inspection of travellers and their baggage, cargo and mail;

3. use of Non-Intrusive Inspection Technology such as X-Ray scanners and K-9;

4. assessment and collection of Customs duties, excise duties, VAT and other taxes levied under customs laws;

5. protection of the society against Intellectual Property Rights (IPR) infringed goods;

6. promotion of trade across borders by providing trade facilitation measures for legitimate trade;

7. enforcement of import and export restrictions and prohibitions;

8. collection and compilation of accurate import and export data; and

9. control of physical cross-border transportation of currency or bearer negotiable instruments or precious stones and metals including gold, diamond and jewellery or any goods of high value including works of art.

For an effective and efficient border control, MRA Customs works in close collaboration with other government agencies namely, the Ministry of Agro-Industry and Food Security, the Ministry of Health and Quality of Life, the Government Pharmacist, the Veterinary Services, the Mauritius Police Force, ICTA, etc.