Many entrepreneurs in Mauritius only discover their VAT registration obligation during an MRA audit. The threshold has been revised and enforcement has intensified since 2025. This guide explains who is affected, how to register step by step, and what it means for your day-to-day operations.

👉 Mandatory registration threshold: Rs 3 million in turnover over any consecutive 12-month period — not the financial year. If you reach this threshold at any point during the year, you must register within 14 days. After that, penalties apply automatically.

Mandatory or Voluntary Registration?

VAT registration isn't only for businesses that are legally required to do so. It can also be a sound strategic decision.

Mandatory
  • Turnover > Rs 3M over any rolling 12-month period
  • All structures: Ltd, Sole Trader, Partnership
  • Deadline: 14 days after crossing the threshold
  • Freelancers and consultants also affected
  • Expats conducting commercial activity in Mauritius
Voluntary (below the threshold)
  • Reclaim VAT on your purchases and equipment
  • More professional standing with B2B clients
  • Essential when invoicing VAT-registered companies
  • Available from day one of trading

👉 When voluntary registration pays off: if you regularly purchase equipment, software, or services subject to VAT, you can reclaim the input VAT. A consultant who buys Rs 200,000 (excl. VAT) of equipment recovers Rs 30,000 in VAT — immediately.

4 Steps to Register

  • Create your MRA e-Services account

    Go to mra.mu and set up your taxpayer account through the MRA e-Services portal. You will need your National ID or passport, your BRN, and your incorporation documents. Access is free and account creation takes around 15 minutes.

  • Complete the VAT 1 form

    This official form requires: company name and address, BRN, precise description of your activity (MSIC code), actual or projected annual turnover, and the start date of your taxable activity. Be precise about your activity description — an incorrect MSIC code can delay processing of your application.

  • Submit supporting documents

    Required documents: Certificate of Incorporation or BRN certificate, proof of professional address (utility bill, commercial lease), last 3 business bank statements. For expats, a valid Occupation Permit is also required. Everything can be submitted online via e-Services.

  • Receive your VAT number

    The MRA issues the VAT number within 5 to 10 working days of a complete application. This number must appear on all your invoices from the moment you receive it. If your application is incomplete, the MRA will contact you by email for the missing documents.

After Registration: Your New Obligations

Registering for VAT also means taking on a set of recurring obligations. Better to know them before you start.

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Monthly or quarterly filing and payment

The MRA assigns a filing frequency (monthly if turnover > Rs 10M, quarterly otherwise). Your VAT Return must be submitted and VAT due paid by the 20th of the month following the period. Late payment generates interest of 1% per month.

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Compliant invoicing from day one

From the moment you receive your VAT number, every invoice must include it, the applicable VAT rate (15%, 0% or exempt), and the amounts ex-VAT, VAT, and total inc-VAT shown separately. An invoice issued without these elements carries a fine of Rs 5,000 per document.

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Document retention

You must keep all invoices issued and received for 7 years. The MRA may request to review them during an audit. Documents must be legible and organised in a way that allows cross-referencing with your VAT returns.

Penalties for Failing to Register

Late registration is one of the most frequently penalised tax offences in Mauritius. The consequences escalate but can become significant quickly.

  • Fixed fine of up to Rs 50,000 for failure to register
  • VAT reassessment for the entire unregistered period, with 1%/month interest
  • 20% surcharge on the VAT amount that was not collected
  • In cases of repeat offence or deliberate fraud: criminal prosecution is possible

👉 Voluntary disclosure: if you realise you should have registered earlier, it is always better to come forward to the MRA before being audited. A voluntary disclosure typically results in reduced penalties compared to a forced reassessment.

Once VAT-registered, Facture.mu automatically applies 15% or 0% VAT depending on your clients, generates MRA-compliant invoices, and prepares the data you need for your monthly or quarterly VAT Return.

Try Facture.mu for free →