Dreaming of trading the hustle and bustle of South Africa for the tropical paradise of Mauritius? The allure of pristine beaches, a relaxed lifestyle, and economic opportunities is drawing an increasing number of South Africans to this Indian Ocean island. But before you pack your bags to move to Mauritius from South Africa, there’s more to consider than just sunshine and surf.
We’ve put together this guide to walk you through the basics of relocating from the Rainbow Nation to the Mauritian dream, providing essential insights into immigration, finances, tax, and more. So, let’s dive into what you need to know to make a seamless transition!
Moving to Mauritius from South Africa
While a vacation to Mauritius is a straightforward matter for South Africans, with visa-free entry for up to 90 days, the process of immigrating and securing residency is a little more complicated. Immigration to Mauritius from South Africa involves meeting specific criteria and gathering a fair amount of documentation.
Read more: Have you considered…Emigrating from South Africa to Mauritius?
How to immigrate to Mauritius from South Africa
Here are the various residency permit options currently available to South Africans looking to relocate:
- Occupation permit: If you have secured employment in Mauritius, an Occupation Permit is the first step towards residency. While holding this permit, you are authorised to live and work in the country.
- Mauritius permanent residence permit: Ideal for those looking for a long-term stay, this permit grants you and your family the right to live and work in Mauritius for a period of 20 years. Specific eligibility criteria must be met.
- Residency by investment: By investing a minimum of USD 375,000 in pre-approved sectors or schemes, you can obtain a residency permit. This option is popular among entrepreneurs and investors.
- Retirement permit: Suited for individuals aged 50 and above with no intention of working in Mauritius, this permit requires a monthly transfer of at least USD 1,500. While retirement is the primary focus, you can still engage in business activities outside the country.
- Citizenship: After residing in Mauritius for a minimum of two years and investing at least USD 500,000, you may be eligible to apply for Mauritian citizenship.
Read more: New Mauritius visa rules attract SA emigrants.
The process of moving to Mauritius from South Africa
The journey to becoming a Mauritian resident can be complex and time-consuming, but it will be worth it at the end of the day. Careful planning and attention to detail are essential. Generally speaking, this is what you need to know about the immigration process in Mauritius.
- Eligibility: The first step is to determine the appropriate visa or permit category based on your circumstances. Options include employment, investment, retirement, study, or family reunification. Make sure you review the eligibility criteria for your chosen category thoroughly.
- Document preparation: Gather all necessary documentation as outlined by the Mauritius Immigration authorities. Essential documents typically include:
– Valid passport and passport-sized photographs
– Birth and marriage certificates
– Proof of financial means or income
– Proof of accommodation in Mauritius
Additional documents may be required depending on your specific visa or permit. - Application submission: Complete the official application form and ensure all information is accurate and up-to-date. Pay the necessary fees and submit the completed application with supporting documents to the appropriate authority. This could be the Mauritian embassy or consulate in South Africa or the Mauritius Passport and Immigration Office if you are already on the island.
- Additional requirements: Depending on the visa type, you may be required to attend an interview or undergo a medical examination.
- Arrival in Mauritius: One of your immediate priorities should be attending the in-person interview required for your visa or permit application. This is typically conducted in-country.
- Register with local police: Within a fortnight of your arrival, registering with the local police station is mandatory.
If your residency is tied to employment, you will receive a work permit upon arrival, authorising you to work legally within Mauritius.
Important note: Mauritius immigration requirements can change, and this overview is a general guide. It is vital to consult the official Mauritius Immigration website or seek professional advice for the most accurate and up-to-date information.
Tax implications of moving to Mauritius from South Africa
While it’s common knowledge that South African residents must declare and pay taxes on their worldwide income, a critical aspect often overlooked by those considering emigration is the process of severing tax ties with South Africa.
Continuing to be treated as a South African tax resident can have serious consequences, including:
- Double taxation: Paying taxes both in South Africa and Mauritius.
- Ongoing tax obligations: Filing annual tax returns and potentially paying tax on worldwide income.
To avoid these pitfalls, you will need to formally cease South African tax residency. This involves providing substantial evidence to SARS demonstrating your permanent departure from the country.
Tax incentives for South Africans in Mauritius
One of the most compelling reasons for South Africans to consider a move to Mauritius is the country’s attractive tax regime. Compared to South Africa’s progressive tax system, Mauritius offers a more straightforward and beneficial tax structure. Here are some of the main tax incentives likely to get your heart fluttering:
- Flat tax rate: Mauritius has a flat income tax rate of 15%, significantly lower than South Africa’s progressive tax brackets.
- No capital gains tax: Profits from the sale of assets, including property and shares, are not taxed.
- No inheritance tax: Your heirs can inherit your assets without incurring any tax liabilities.
- No dividends tax: Income from dividends is tax-free.
- Double taxation agreement: South Africa and Mauritius have a tax treaty in place to minimise double taxation.
These tax benefits, combined with the island’s political and economic stability, make Mauritius an appealing destination for individuals and businesses alike.
Read more: Mauritius: A perfect haven for South African expats and business owners.
Make your move to Mauritius with FinGlobal by your side
South Africans dreaming of a tropical lifestyle and potential business opportunities in Mauritius can find expert guidance on migrating their finances with FinGlobal. We specialise in simplifying the complexities of South African exchange control and tax emigration, ensuring a smooth transition to this beautiful island. Need assistance with foreign exchange? We’ve got it covered. Ready to cash in your retirement annuities in South Africa? Let us handle it for you.
To find out more about our trusted financial migration services, leave your contact details below and we’ll be in touch to answer any questions you might have.