Act No. 20 of 2002

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Act No. 20 of 2002

  1. 1. Note:- The text of this internet version has been prepared to reflect the text published in the Government Gazette of Mauritius. The authoritative version is the one published in the Government Gazette of Mauritius No. 80 of 10th August 2002. THE FINANCE ACT 2002 Act No. 20 of 2002 I assent K. OFFMAN 8th August 2002 President of the Republic _____________ ARRANGEMENT OF SECTIONS Section 1. Short title 2. The Banking Act amended 3. The Cane Planters and Millers Arbitration and Control Board Act amended 4. The Companies Act 2001 amended 5. The Customs Act amended 6. The Customs Tariff Act amended 7. The Excise Act amended 8. The Finance and Audit Act amended 9. The Financial Services Development Act 2001 amended 10. The Foreign Exchange Dealers Act amended 11. The Gaming Act amended 12. The Government Payable Orders Act amended 13. The Immigration Act amended 14. The Income Tax Act amended 15. The Industrial Expansion Act amended 16. The Labour Act amended 17. The Land (Duties and Taxes) Act amended 18. The Merchant Shipping Act amended 19. The Morcellement Act amended 20. The National Pensions Act amended 21. The Non-Citizens (Employment Restriction) Act amended 22. The Non-Citizens (Property Restriction) Act amended 23. The Prize Competitions Act amended 24. The Registration Duty Act amended 25. The Road Traffic Act amended 26. The Rodrigues Regional Assembly Act 2001 amended 27. The Sugar Industry Efficiency Act 2001 amended 28. The Sugar Industry Pension Fund Act amended 29. The Unified Revenue Act amended 30. The Unit Trust Act amended 31. The Value Added Tax Act amended 32. Validation of resolutions 33. Commencement ________
  2. 2. 2 An Act To provide for the implementation of measures announced in the Budget Speech and for the strengthening and streamlining of certain provisions relating mainly to revenue and public finance ENACTED by the Parliament of Mauritius as follows - 1. Short title This Act may be cited as the Finance Act 2002. 2. The Banking Act amended The Banking Act is amended – (a) in section 2 - (i) by deleting the definitions of “class A banking”, “class B banking”, “Class A Banking Licence”, “Class B Banking Licence”, “class B banking transactions” and “related corporation”; (ii) by inserting in their appropriate alphabetical order, the following new definitions - “category 1 banking” means banking business other than category 2 banking; “category 2 banking” means banking business or investment banking business conducted in currencies other than the Mauritius currency except to the extent permitted by the central bank for trading on the foreign exchange market of Mauritius and investment in money market instruments; “Category 1 Banking Licence” means a licence authorising the holder thereof to transact category 1 banking; “Category 2 Banking Licence” means a licence authorising the holder thereof to transact category 2 banking; “category 2 banking transactions” means transactions effected by a bank holding a Category 2 Banking Licence; “related company” has the same meaning as in the Companies Act 2001;
  3. 3. 3 (b) in section 22 - (i) in subsection (1) - (A) by deleting the words “Subject to subsection (4)” and replacing them by the words “Subject to subsections (4) and (5)”; (B) by deleting the words “debts due to it” and replacing them by the words “debts due to it by the default of the debtor”; (C) in paragraph (b)(iv), by deleting the words “net free assets” and replacing them by the words “current capital base”; (ii) by adding after subsection (4), the following new subsection - (5) A bank may, for the purpose of participating in the equity capital of enterprises and subject to such investment not having the effect of impairing such capital adequacy requirements as may be imposed by the central bank from time to time, set up or participate in an equity fund approved by the Commission. (c) by deleting the words “class A banking”, “class B banking”, “Class A Banking Licence”, “Class B Banking Licence” and “related corporation” wherever they appear and replacing them by the words “category 1 banking”, “category 2 banking”, “Category 1 Banking Licence”, “Category 2 Banking Licence” and “related company” respectively. 3. The Cane Planters and Millers Arbitration and Control Board Act amended The Cane Planters and Millers Arbitration and Control Board Act is amended in section 24(5), by deleting paragraph (b) and replacing it by the following paragraph - (b) The decision of the Minister on the notice served under subsection (1) shall be communicated to the miller not later than 31 March in the crop year which immediately follows the crop year in which the notice was served. 4. The Companies Act 2001 amended The Companies Act 2001 is amended - (a) in section 2(1)- (i) by deleting the definition of “International Accounting Standards” and replacing it by the following definition -
  4. 4. 4 “International Accounting Standards” - (a) means the International Accounting Standards issued by the International Accounting Standards Committee, the International Financial Reporting Standards issued by the International Accounting Standards Board, and any Standards, by whatever name called, issued by these bodies or their successor bodies; and (b) includes the Interpretations of the Standing Interpretations Committee of the International Accounting Standards Committee, the International Financial Reporting Interpretations Committee of the International Accounting Standards Board, and any Interpretations, by whatever name called, issued by the Interpretations Committees of the above bodies or their successor bodies; (ii) by inserting in its appropriate alphabetical order, the following new definition - “investment company” means a company whose business consists of investing its funds principally in securities with the aim of spreading investment risks and giving members of the company the benefit of the results of the management of its funds; (b) in section 6, by adding after subsection (3), the following new subsection - (4) Notwithstanding subsection (1)(b)(ii), the provision relating to stated capital in connection with the solvency test shall not apply to an investment company. (c) in section 14 - (i) in subsection (7), by deleting the words “shareholder of that company” and replacing them by the words “shareholder, officer, management company or registered agent, of that company”; (ii) by adding after subsection (7), the following new subsections - (8) Notwithstanding subsection (7), a person may, on payment of the prescribed fee, request the Registrar to provide, in relation to a private company holding a Category 1 Global Business Licence or a Category 2 Global Business Licence -
  5. 5. 5 (a) the name of the company and the address of its registered office; and (b) the name and address of any management company or registered agent appointed by the company, as the case may be, recorded on any register kept by the Registrar on or after the commencement of this Act or in respect of any such company removed from the register after the commencement of this Act. (9) The payment of the prescribed fees under subsections (1), (3) and (8) shall not apply to a Ministry or Government Department. (d) in sections 15(2), 57(7), 68(7), 94(2), 142(3), 189(6), 206(3) and (4) and 275(5) by deleting the words “50,000 rupees” wherever they appear and replacing them by the words “200,000 rupees”; (e) in section 48(3), by deleting the words “an authorised mutual fund” and replacing them by the words “an investment company including an authorised mutual fund”; (f) in section 52 - (i) in subsection (4) - (A) in paragraph (a), by adding after subparagraph (iii), the following new subparagraph, the word “and” being deleted at the end of subparagraph (ii) and added at the end of subparagraph (iii) – (iv) the name and description of the persons to whom the shares are issued together with the number and class of shares issued to each person; (B) by deleting paragraph (b) and replacing it by the following paragraph - (b) deliver to the Registrar, a certified copy of - (i) any terms of issue approved under subsection (2); (ii) the certificate referred to in subsection (6);
  6. 6. 6 (ii) by adding after subsection (5), the following new subsection - (6) (a) Where shares are issued to a non-citizen, the Board shall, notwithstanding the constitution of the company, ascertain that the non-citizen has obtained the certificate under the Non-Citizens (Property Restriction) Act authorising him to purchase, acquire or hold such shares before the shares are actually issued to him. (b) Paragraph (a) shall apply to a transfer of shares in the same way as it applies to an issue of shares. (g) in sections 57(8), 163(7) and 237(7) by deleting the words “20,000 rupees” wherever they appear and replacing them by the words “100,000 rupees”; (h) in section 97, by adding after subsection (6), the following new subsection - (7) This section shall not apply to an investment company either on issue of a share certificate or on registration of a transfer of shares. (i) in section 105 – (i) in subsection (1), by inserting immediately after paragraph (a), the following new paragraph (b), the existing paragraphs (b), (c) and (d) being relettered (c), (d) and (e) respectively – (b) reduce the stated capital of the company under section 62; (ii) in subsection (2), by deleting the words “subsection (1)(a) or (1)(b) or (1)(c)” and replacing them by the words “(1)(a) to (d)”; (j) by repealing section 106 and replacing it by the following section - 106. Unanimous resolution Any power which the Act or the constitution of a company requires to be exercised by an ordinary resolution or a special resolution may be exercised by way of unanimous resolution. (k) in section 130, by adding after subsection (7), the following new subsection - (8) This section shall not apply to an investment company including an authorised mutual fund. (l) in section 155(2), by deleting the words “authorized mutual fund” and replacing them by the words “investment company”;
  7. 7. 7 (m) in section 160(3), by deleting the words “Without limiting any liability” and replacing them by the words “Subject to section 149 and without limiting any liability”; (n) in section 212(2), by deleting the words “incorporated in Mauritius” wherever they appear; (o) in section 214 - (i) by deleting subsection (5) and replacing it by the following subsection - (5) Subject to subsection (4) - (a) in the case where the balance sheet date of a subsidiary company is different from the balance sheet date of its parent company, the financial statements of the subsidiary company may be incorporated into the group financial statements provided that the difference between the reporting dates does not exceed 3 months; or (b) in any other case, the group financial statements shall incorporate the interim financial statements of the subsidiary completed in respect of a period that is the same as the accounting period of the company. (ii) in subsection (6), by deleting the words “Subject to subsection (4),” and replacing them by the words “Subject to subsections (2) and (4),”; (p) in section 269, by adding after subsection (3), the following new subsection - (4) A company limited by guarantee may, by delivering to the Registrar an application containing the matters required by section 23(1)(c) (iii), (v) and (vii) and (2)(d) and (i), be registered as a company limited by both shares and guarantee and, where the Registrar is satisfied that the application complies with the Act, the Registrar shall, upon payment of the prescribed fee, issue a certificate of incorporation of the company as a company limited by both shares and guarantee and shall cancel the previous certificate of incorporation. (q) in section 270, by adding at the end of paragraph (d), the words “or by a unanimous resolution under section 106”;
  8. 8. 8 (r) in section 363 – (i) in subsection (5), by inserting immediately after the words “Category 2 Global Business Licence”, the words “entitling it to continue to carry on such activities as the company was entitled to carry on immediately prior to the commencement of this Act”; (ii) by deleting subsection (7) and replacing it by the following subsection – (7) A public company which on the commencement of this Act is deemed by virtue of subsection (5) to be the holder of a Category 1 Global Business Licence shall, within 9 months of the commencement of this Act, file – (a) with the Registrar, a prospectus complying with the provisions of the Companies Act 1984 in the case of any company which, on the commencement of this Act, is offering securities to the public in Mauritius; (b) with the Commission, any financial statements relating to its immediately preceding accounting year within the time prescribed for the filing of such statements by section 215; and (c) with the Registrar, a notice providing the particulars of its directors and secretary required by section 23(2)(b) and (c). 5. The Customs Act amended The Customs Act is amended - (a) in section 16(1), by inserting immediately after the word “delivered”, the words “, subject to section 16B,”. (b) by deleting section 16A and replacing it by the following sections - 16A. Use of computer system Notwithstanding this Act or any other enactment, the Comptroller may allow - (a) the import or export of goods under this Act or an entry in relation to excisable goods under the Excise Act; and
  9. 9. 9 (b) the payment of duty, excise duty and taxes, to be made through such computer system as may be approved by the Comptroller. 16B. Facilities to qualified TradeNet users (1) Subject to this section, where in respect of any period of 12 months, a TradeNet user satisfies the prescribed conditions, he shall be a qualified TradeNet user. (2) A qualified TradeNet user - (a) may not, after the period specified in subsection (1), with the entry of any goods, deliver to the Comptroller the hard copy of the electronic declaration and the documents referred to in section 16 in respect of those goods; but (b) shall, in respect of those goods, keep, at his business premises, in such manner and in such form as may be prescribed, the documents referred to in paragraph (a). (3) Subsection (1) shall not apply where in respect of an electronic declaration, the goods are subject to examination before delivery. (4) Subject to this section, where in respect of the entry of any goods, a permit or authorisation is required under any enactment for health, phytosanitary or security reasons, a qualified TradeNet user shall deliver to the Comptroller with the entry of those goods, the hard copy of the electronic declaration together with the required permit or authorisation. (5) Every qualified TradeNet user shall, at all reasonable times, allow a proper officer to have access to his business premises for the purpose of examining the documents referred to in subsection (2). (6) Where a qualified TradeNet user fails – (a) to satisfy the prescribed conditions pursuant to subsection (1); or (b) to comply with subsection (5), the facilities under subsection (2) shall, without prejudice to any action which the Comptroller may take under the customs laws, be withdrawn with effect from such date as may be specified in a written notification by the Comptroller.
  10. 10. 10 (7) Where the facilities have been withdrawn pursuant to subsection (6), such facilities shall not again be given to the TradeNet user before the expiry of a period of 12 months as from the date specified in the written notification by the Comptroller. (8) In this section – “TradeNet user” has the same meaning as in the Customs (Use of Computer) Regulations 1997. (c) in section 67, by inserting immediately after subsection (2), the following new subsection – (2A) Where the applicant or the proprietor or occupier of a bonded warehouse satisfies the prescribed conditions, his warehouse shall be appointed a specified bonded warehouse as from the date specified in a written notification issued by the Comptroller. (d) by inserting immediately after section 67, the following new section – 67A. Specified bonded warehouses (1) Subject to this section, the proprietor or occupier of a specified bonded warehouse may - (a) without Customs locks, manage the operations of the specified bonded warehouse; and (b) without the presence of a Customs officer, enter into or remove from the specified bonded warehouse, goods, on payment of duty, excise duty and taxes, if any, in compliance with any applicable enactment, other than goods for re-export. (2) The security to be given by the proprietor or occupier of every specified bonded warehouse shall, for the purposes of section 70, be in the form of a bank guarantee. (3) Where the proprietor or occupier of a specified bonded warehouse fails to satisfy the conditions prescribed pursuant to section 67(2A), this section shall, without prejudice to any action which the Comptroller may take under the customs laws, cease to apply to the proprietor or occupier with effect from such date as may be specified by the Comptroller in a written notification to the proprietor or occupier. (4) Section 73 shall not apply to a specified bonded warehouse.
  11. 11. 11 6. The Customs Tariff Act amended The Customs Tariff Act is amended in the First Schedule - (a) by deleting the items and the corresponding entries relating to those items, specified in Part A of the First Schedule to this Act; and (b) by inserting in their appropriate numerical places, the items and their corresponding entries relating to those items, specified in Part B of the First Schedule to this Act. 7. The Excise Act amended The Excise Act is amended in the First Schedule - (a) by deleting the items and the corresponding entries relating to those items, specified in Part A of the Second Schedule to this Act; and (b) by inserting in their appropriate numerical places, the items and the corresponding entries relating to those items, specified in Part B of the Second Schedule to this Act. 8. The Finance and Audit Act amended The Finance and Audit Act is amended in section 5(6), by deleting the words “1,000 million rupees” and replacing them by the words “1,500 million rupees”. 9. The Financial Services Development Act 2001 amended The Financial Services Development Act 2001 is amended - (a) in section 2 - (i) by deleting the definition of “relevant Acts” and replacing it by the following definition - “relevant Acts” - (a) means this Act and the Acts specified in Part I of the First Schedule; and (b) includes any regulations made under these Acts;
  12. 12. 12 (ii) by inserting in its appropriate alphabetical order, the following new definition - “licensee” - (a) means the holder of a licence; and (b) includes - (i) any person registered or approved under the relevant Acts; and (ii) any institution established to provide any service under the relevant Acts; (b) in section 6, by inserting immediately after paragraph (l), the following new paragraph (m), the existing paragraphs (m) and (n) being relettered (n) and (o) respectively - (m) collect, compile, publish and disseminate statistics in respect of the non-bank financial services sector; (c) in section 7, by adding after subsection (7), the following new subsections - (8) In the discharge of its functions under section 6(m), the Commission - (a) may require any licensee to furnish such statistical information relating to his business or to the business administered or managed by him for his clients at such intervals and within such time as may be required by the Commission; (b) may, subject to paragraph (c), publish and disseminate any information obtained under paragraph (a) in any aggregate form and figures; (c) shall not publish or disseminate information relating to the individual affairs of any particular client of the licensee. (9) Any licensee who fails to comply with a requirement under subsection 8(a) shall commit an offence.
  13. 13. 13 (10) The Commission may, for the purpose of section 6(j), enter into an agreement or arrangement for the exchange of information with a foreign supervisory institution having responsibility to supervise financial institutions and the conduct of financial markets and the provision of financial services, where the Commission is satisfied that the foreign supervisory institution has the obligation to protect the confidentiality of the information so imparted. (d) in section 10(2)(a), by deleting the words “no document” and replacing them by the words “no document relating to any transactions referred to in paragraphs (a) to (e) of subsection (1)”; (e) in section 14(3) - (i) by deleting the words “under subsection (1)” and replacing them by the words “under this Act”; (ii) by adding after subsection (4), the following new subsection - (5) The Commission shall keep a register of persons licensed under this section which shall be - (a) in such form and with such particulars; (b) published at such intervals and in such manner; (c) open to public inspection at such time, as the Commission may decide. (f) in section 21 - (i) in subsection (1)(b), by adding after the words “Category 1 Global Business Licence”, the words “ or a Category 2 Global Business Licence”; (ii) in subsection (2)(a), by deleting the words “Class A Banking Licence” and replacing them by the words “Category 1 Banking Licence”; (iii) in subsection (3)(b)(ii), by adding after the words “the laws of Mauritius”, the words “other than a corporation holding a Category 1 Global Business Licence or a Category 2 Global Business Licence”; (g) in section 22(3)(a)(i), by deleting the words “the Economic Crime and Anti- Money Laundering Act 2000” and replacing them by the words “the Financial Intelligence and Anti-Money Laundering Act 2002”;
  14. 14. 14 (h) in section 26 - (i) in subsection (1), by deleting the words “made under those Acts” and replacing them by the words “, directions, rules, codes or guidance notes made, or to carry out its general powers of supervision, under those Acts”; (ii) in subsection (2), by deleting the words “other than a company holding a Category 2 Global Business Licence” and replacing them by the words “and a corporation holding a Category 1 Global Business Licence”; (iii) in subsection (3) - (A) by deleting paragraph (a) and replacing it by the following paragraph - (a) Except where otherwise required by the Commission or specifically prescribed under any relevant Acts, a corporation specified in subsection (2) or a corporation holding a Category 1 Global Business Licence shall file with the Commission audited financial statements within 6 months after the close of its financial year. (B) in paragraph (b)(i), by deleting the words "any period of 6 to 15 months" and replacing them by the words "any period not exceeding 18 months"; (iv) by adding after subsection (3), the following new subsection - (4) A corporation holding a Category 1 Global Business Licence shall be deemed to comply with subsection (2) where the audited financial statements are prepared in accordance with such internationally recognised accounting standards as may be agreed with the Commission from time to time. (i) in section 27 - (i) by deleting subsection (1) and replacing it by the following subsection - (1) On receipt of a complaint under section 17, or where he has reasonable suspicion that a licensee - (a) has committed, is committing or is likely to commit a breach of - (i) any of the relevant Acts; (ii) any condition of his licence; or
  15. 15. 15 (iii) any direction issued by the Commission; (b) has carried on, is carrying or is likely to carry out any activity which may cause serious prejudice to the soundness and stability of the financial system of Mauritius or to the reputation of Mauritius or which may threaten the integrity of the system, the Chief Executive may make an inquiry into the business or any part of the business of the licensee, and for that purpose may - (A) by notice request the production of any documents, books or records to be inspected at all such reasonable time and place, including on the business premises of the licensee, as may be specified in the notice; (B) take copies of, extract from, any documents, books or records so produced; (C) seize any document or material which may be relevant to the inquiry. (ii) by deleting subsection (4) and replacing it by the following subsection - (4) (a) For the purposes of this section, “licensee” and “holder of a licence” shall include - (i) a corporation whose licence has expired, or has been cancelled, revoked, suspended or surrendered; or (ii) any person who is a present or past director, manager, partner or any shareholder holding more than 50 per cent of the voting rights in the licensee. (b) Any person who fails to comply with a requirement under subsection (1) or (2) shall commit an offence and shall, on conviction, be liable to a fine not exceeding 500,000 rupees and to imprisonment for a term not exceeding 5 years. (iii) in subsection (5), by deleting the words “to ensure compliance with” and replacing them by the words “to ensure compliance with the law, the conditions of its licence and with”;
  16. 16. 16 (j) in section 33(7), by adding after paragraph (b), the following new paragraph, the full-stop at the end of paragraph (b) being deleted and replaced by a semi- colon - (c) disclosure, under condition of confidentiality for the sole purpose of exercising its supervisory functions in relation to a financial institution carrying out any services or business activities specified in Part II of the First Schedule - (i) to the Bank of Mauritius; and (ii) to any other institution which performs in a foreign country functions similar to those of the Commission under this Act. (k) in section 37(13), by deleting paragraph (a) and replacing it by the following paragraph - (a) The Agency shall, for the purposes of this Part, establish a General Fund into which shall be paid all sums received from the Consolidated Fund. (l) in section 42 - (i) in subsection (2), by deleting paragraph (e), the semi-colon at the end of paragraph (d) being deleted and replaced by a full-stop; (ii) in subsection (3) - (A) by deleting the words “Class B Banking Licence” and “class B banking transactions” and replacing them by the words “Category 2 Banking Licence” and “category 2 banking transactions” respectively; (B) by deleting paragraph (d), the semi-colon at the end of paragraph (c) being deleted and replaced by a full-stop; (m) in section 43, by numbering the existing provisions as subsection (2) and by inserting immediately before the new subsection (2), the following new subsection - (1) Any licensee, or present or former director of a licensee, any shareholder who holds more than 50 per cent of the voting rights in a licensee or any employee of a licensee, who fails to comply with any requirement imposed by or under this Act, or a direction or requirement issued under this Act, shall commit an offence and shall, where no specific penalty is provided, on conviction, be liable to a fine not exceeding 500,000 rupees and to imprisonment for a term not exceeding 5 years.
  17. 17. 17 10. The Foreign Exchange Dealers Act amended The Foreign Exchange Dealers Act is amended - (a) in section 2 - (i) by deleting the definitions of “company”, “domestic bank”, “offshore bank” and “offshore company”; (ii) by inserting in their appropriate alphabetical order, the following new definitions - “Category 1 banking” has the same meaning as in the Banking Act; “Category 2 banking” has the same meaning as in the Banking Act; “Category 1 Banking Licence” has the same meaning as in the Banking Act; “Category 2 Banking Licence” has the same meaning as in the Banking Act; “Category 1 Global Business Licence” has the same meaning as in the Financial Services Development Act 2001; “company” has the same meaning as in the Companies Act 2001 and includes a foreign company registered under that Act and a corporation holding a Category 1 Global Business Licence; (b) in section 3(4)(a), by deleting the words “an offshore bank” and replacing them by the words “a bank holding a Category 2 Banking Licence”; (c) in sections 4 and 5, by deleting the words “a domestic bank” wherever they appear and replacing them by the words “a bank holding a Category 1 Banking Licence”; (d) in the Schedule, by deleting the words “Domestic banks” and replacing them by the words “Banks holding a Category 1 Banking Licence”. 11. The Gaming Act amended The Gaming Act is amended – (a) in section 20 - (i) in subsection (1)(a) - (A) in subparagraph (i), by deleting the words “30 per cent” and replacing them by the words “15 per cent”;
  18. 18. 18 (B) in subparagraph (ii), by deleting the words “10 per cent” and replacing them by the words “2 per cent”; (ii) in subsection (2)(a), by deleting the words “10 per cent” and replacing them by the words “15 per cent”; (iii) by deleting subsection (5); (b) in section 29A, in subsection (1)(a), by deleting subparagraph (i) and replacing it by the following subparagraph - (i) in the case of a bookmaker operating within the stand or at any other place other than where the race is held, 500,000 rupees; 12. The Government Payable Orders Act amended The Government Payable Orders Act is amended – (a) in sections 3(a), 4(2)(b) and 7, by deleting the word “face” and replacing it by the word “back”; (b) in the First Schedule, by deleting the words “Received the above amount in full settlement” and replacing them by the words “Received the amount specified on the face in full settlement”. 13. The Immigration Act amended The Immigration Act is amended - (a) in section 5(1), by adding after paragraph (f), the following new paragraphs, the word “or” at the end of paragraph (i) being deleted and the full-stop at the end of paragraph (f) being deleted and replaced by a semi-colon - (g) he is a person who holds immovable property under the Integrated Resort Scheme prescribed under the Investment Promotion Act; (h) he is a professional under the Scheme to Attract Professionals for Emerging Sectors prescribed under the Investment Promotion Act; or (i) he is the spouse and dependant of a person to whom any of paragraphs (g) and (h) applies. (b) by deleting section 5A and replacing it by the following section - 5A. Persons who are permanent residents of Mauritius (1) Subject to subsections (2) and (3) and section 6A, any person, not being a citizen, may, on application to the Minister under this Act, be granted the status of permanent resident where -
  19. 19. 19 (a) he is an investor under the Permanent Resident Scheme prescribed under the Investment Promotion Act; (b) he is the spouse of a person to whom paragraph (a) applies; (c) he is the child, stepchild or lawfully adopted child under the age of 18 years, of a person to whom paragraph (a) or (b) applies; (d) he is the next-of-kin, or a child above the age of 18, of any person to whom paragraph (a) or (b) applies; (e) he is the wholly dependent next-of-kin of an unmarried person to whom paragraph (a) applies. (2) The number of persons who may obtain the status of permanent resident under subsection (1)(e) shall not exceed 3. (3) The granting of the status of permanent resident to any person under subsection (1)(d) shall be subject to the person – (a) making a deposit in accordance with the Permanent Resident Scheme prescribed under the Investment Promotion Act; and (b) satisfying such other requirements as may be prescribed. (4) Any application under subsection (1) shall be made on the prescribed form. (5) Any person, being a professional for the purposes of the Scheme to Attract Professionals for Emerging Sectors prescribed under the Investment Promotion Act who is the holder of a residence permit and a work permit under the Non-Citizens (Employment Restriction) Act shall, at the expiry of the period of 3 years of his work permit, on application under this Act, be granted the status of permanent resident. (6) The spouse and dependants of a professional to whom subsection (5) applies shall, on application under this Act, also be granted the status of permanent resident.
  20. 20. 20 (c) in section 6, by inserting immediately after subsection (1), the following new subsections - (1A) Where a person has acquired the status of resident under section 5(1)(g) and (h), he shall cease to be a resident where he is certified by the Board of Investment established under the Investment Promotion Act to have ceased to satisfy the requirements of the Integrated Resort Scheme, or the Scheme to Attract Professionals for Emerging Sectors, prescribed under the Investment Promotion Act. (1B) Where a person has acquired his status of resident under section 5(1)(i), he shall cease to be a resident where subsection (1A) applies. (d) in section 6A - (i) in subsection (1) - (A) by deleting paragraph (b) and replacing it by the following paragraph - (b) the person - (i) who is an investor under the Permanent Resident Scheme, or who is a professional for the purposes of the Scheme to Attract Professionals for Emerging Sectors, prescribed under the Investment Promotion Act, is certified, by the Board of Investment established under the Investment Promotion Act, to have ceased to satisfy the requirements of that Scheme; (ii) is a person referred to in section 5A(1)(b), (c), (d) and (e) and (6) to whom subparagraph (i) applies; (B) in paragraph (d), by deleting the words “or (3)”; (ii) in subsection (8), by deleting the words “or (3)”; (e) in section 7(1), by inserting immediately after paragraph (j), the following new paragraph (k), the existing paragraphs (k) and (l) being relettered (l) and (m) respectively - (k) persons who are investors under the Permanent Resident Scheme prescribed under the Investment Promotion Act; (f) in section 10A, by deleting the words “section 5A(3)” and the words “section 5A(3)(b)” and replacing them by the words “section 5A(1)(d)” and the words “section 5A(3)(a)” respectively.
  21. 21. 21 14. The Income Tax Act amended The Income Tax Act is amended - (a) in section 2, by inserting in its appropriate alphabetical order the following new definitions - “equity fund” means an equity fund approved by the Financial Services Commission established under the Financial Services Development Act 2001; “ICT company” - (a) means a company deriving at least 75 per cent of its gross income from information and communication services as defined in the Information and Communication Technologies Act 2001; but (b) does not include public paid or mobile telecommunication network and service including value added services and mobile internet; (b) in section 25, in subsection (7) - (i) in paragraph (a), by deleting subparagraph (ii) and replacing it by the following subparagraph - (ii) in respect of industrial premises or plant or machinery sold or otherwise transferred by a person or body of persons engaged in a specified activity to a company engaged in a specified activity provided that the company or its holding company , as the case may be, satisfies the conditions specified in section 12 of the Sugar Industry Efficiency Act 2001. (ii) in paragraph (b), by deleting subparagraph (ii) and replacing it by the following subparagraph - (ii) “holding company” has the same meaning as in the Companies Act 2001. (c) in section 28, in subsection (1) - (i) in paragraph (a), by deleting the words “100,000 rupees” and replacing them by the words “125,000 rupees” and (ii) in paragraph (b), by deleting the words “65,000 rupees” and replacing them by the words “75,000 rupees”;
  22. 22. 22 (d) in section 30 - (i) in subsection (2) - (A) in paragraph (a), by deleting the words “100,000 rupees” and replacing them by the words "125,000 rupees"; (B) in paragraphs (b) and (c), by deleting the words “200,000 rupees” and replacing them by the words “250,000 rupees”; (ii) in subsection (3), by deleting the words “200,000 rupees” and replacing them by the words “250,000 rupees”; (e) by deleting section 34 and replacing it by the following section - 34. Relief for contribution to medical scheme and for ambulance services Subject to section 35, every person shall, in an income year, be allowed a relief by way of deduction from his net income in respect of contributions made by him in that income year under a scheme approved by the Commissioner which has as its main object - (a) the refund of medical expenses incurred by him for himself and for his dependants; or (b) the provision of ambulance services to him and to his dependants. (f) in section 36(7), by deleting the words “item 13” and replacing them by the words “item 14”; (g) in section 37, in subsections (2) and (3), by deleting the words “50 per cent” and replacing them by the words “75 per cent”; (h) in section 41 - (i) by deleting subsection (2) and replacing it by the following subsection - (2) No deduction shall be allowed in an income year under this section - (a) to a person and his spouse in respect of more than 3 children in the aggregate; (b) to a person where a deduction has been claimed by his spouse in respect of the same child; or
  23. 23. 23 (c) in respect of a child who has sufficient income for his own support. (ii) in subsection (3), by deleting the words “subsection (2)(b)” and replacing them by the words “subsection (2)(c)”; (i) in section 42A, by adding after subsection (3), the following new subsection - (4) For the purposes of this section, “tutor” means a person who maintains a handicapped person who is connected with him or with his dependent spouse by blood relationship as parent, grandparent, brother, sister, uncle, aunt, nephew or niece. (j) by deleting section 49 and replacing it by the following section - 49. Companies in the freeport zone (1) A company licensed under the Freeport Act 2001 as - (a) a private freeport developer shall be exempt from income tax; (b) a third party freeport developer shall be liable to income tax on its chargeable income at the rate specified in Part II of the First Schedule; (c) a freeport operator authorised by virtue of its licence to carry out any specified freeport processing activities shall be liable to income tax on its chargeable income at the rate specified in Part II of the First Schedule; (d) a freeport operator authorised by virtue of its licence to carry out freeport activities other than those specified in paragraph (c) shall be exempt from income tax; or (e) an occasional operator shall, subject to subsection (2), be liable to income tax on its chargeable income in respect of the activities covered by its licence at the rate specified in Part III of the First Schedule. (2) The chargeable income under subsection (1)(e) shall be computed in such a manner as may be prescribed. (3) Notwithstanding subsection (1)(c), a freeport operator referred to in that subsection and licensed on or before 1 June 2002 shall be exempt from income tax.
  24. 24. 24 (k) in section 59, in subsection (6) - (i) by deleting paragraph (a) and replacing it by the following paragraph - (a) Notwithstanding the other provisions of this Act - (i) where a body of persons engaged in a specified activity sells or otherwise transfers, in an income year, its business to a company engaged in a specified activity, the body of persons may, in that income year, transfer any unrelieved loss to the company; or (ii) where more than 50 per cent of the allotted shares of a body of persons engaged in a specified activity are sold or otherwise transferred in an income year to a company engaged in a specified activity, any unrelieved loss of the body of persons – (A) shall be available in that income year to the body of persons for carry forward to the succeeding income year; or (B) may be transferred to the company in proportion to its shareholding in the capital of the body of persons, provided that the company or its holding company, as the case may be, satisfies the conditions specified in section 12 of the Sugar Industry Efficiency Act 2001. (ii) by deleting paragraph (c) and replacing it by the following paragraph - (c) For the purposes of paragraph (a), “holding company” and “specified activity” have the same meaning as in section 25. (l) in section 64A - (i) by deleting subsection (1) and replacing it by the following subsection - (1) Subject to other provisions of this section, where - (a) a manufacturing company has incurred capital expenditure on the acquisition of state-of-the-art technological equipment; or
  25. 25. 25 (b) an ICT company has incurred capital expenditure on the acquisition of new plant and machinery or computer software, it shall, in addition to the deduction to which it may be entitled under section 64, be allowed a deduction of 25 per cent of the capital expenditure so incurred by way of investment allowance in respect of the income year in which the expenditure is incurred. (ii) in subsection (2)(b), by deleting the words “on or after 1 July 2002” and replacing them by the words “in the case of a manufacturing company, on or after 1 July 2004”; (m) in section 69(1), by inserting immediately after the words “Stock Exchange”, the words “or an equity fund”; (n) in section 96(2), by deleting paragraph (b) and replacing it by the following paragraph - (b) Where any fees are payable - (i) by a company to any of its directors; or (ii) by a statutory body to any member of its Board, Council, Commission, Committee or by whatever name called, whether or not the director or member, as the case may be, is an exempt person, and that director or member does not receive any other emoluments from that company or statutory body, the chargeable income of the director or member shall be the difference between the fees payable and the amount of the deduction allowable under section 28. (o) in section 109, by adding at the end of the section, the following words “provided that the total penalty payable shall not exceed 50,000 rupees”; (p) in section 112 - (i) in subsection (3), by deleting the words “Subject to subsection(4), where, at the end of an income year, an exempt person” and replacing them by the words “Where, at the end of an income year, a person”; (ii) by deleting subsection (4); (q) in section 121, in subsection (1), by deleting paragraph (a) and replacing it by the following paragraph -
  26. 26. 26 (a) a person deriving gross income - (i) falling under section 10(1)(a) exceeding 400,000 rupees; or (ii) specified in section 10(1)(b) and rent specified in section 10(1) (c), fails to submit a return under section 112; or (r) by inserting after section 122A, the following new section - 122B Automatic tax claim in case of non submission of return (1) Where, in respect of a year of assessment - (a) a person deriving gross income falling under Sub-Part B of Part VIII who is required to submit a return under section 112 or 113; or (b) a company which is required to submit a return under section 116, does not submit such return, the Commissioner may, without prejudice to the other provisions of this Act, automatically issue a tax claim for that year of assessment to the person specifying the amount of income tax payable. (2) The amount claimed under subsection (1) shall be payable within 28 days of the date of issue of the tax claim. (3) Any person who disagrees with the amount of income tax claimed under subsection (1) shall, within the time limit specified in subsection (2) - (a) give written notice of his disagreement; and (b) at the same time - (i) submit the return of income for the relevant year of assessment; and (ii) pay the income tax in accordance with the return of income, if any; and (iii) pay the appropriate penalties. (4) Where a person complies with subsection (3), the tax claim under subsection (1) shall automatically lapse.
  27. 27. 27 (5) Where a person fails to comply with subsection (2) or (3), the Commissioner shall proceed - (a) to enforce payment of the tax claimed under Part XI; and (b) to institute legal proceedings for failure to submit a return under section 112, 113 or 116. (s) in section 127 - (i) in subsection (1), by deleting the words “subsection (2)” and replacing them by the words “subsections (2) and (3)”; (ii) by inserting immediately after subsection (1) the following new subsection (2), the existing subsections (2) and (3) being renumbered (3) and (4) respectively - (2) Where the Commissioner, in a year of assessment, requires a person to furnish information under section 124, or to produce books and records under section 125, for the purposes of examining a return submitted by that person under section 112, 113 or 116, the time limit under subsection (1) shall be a period of 4 years of assessment following the year of assessment in which the return is submitted. (iii) in subsection (3) as renumbered, by deleting the words “subsection (1)” and replacing them by the words “subsection (1) or (2)”; (iv) in subsection (4) as renumbered, by deleting the words “subsection (2)” and replacing them by the words “subsection (3)”; (t) in section 129, in subsection (1)(a), by deleting the words "section 112 or 116" and replacing them by the words "section 112, 113 or 116"; (u) in section 130 - (i) in subsection (1), by deleting the words ”preceding that year of assessment” and replacing them by the words “preceding the year of assessment in which a return under section 112, 113 or 116, as the case may be, is made”; (ii) by deleting subsection (2) and replacing it by the following subsection -
  28. 28. 28 (2) The Commissioner may, at any time, make an assessment under section 129 - (a) where a return of income under section 112 or 116, as the case may be, in respect of a year of assessment has not been made; or (b) in case of fraud or wilful neglect. (v) in section 131A - (i) in subsection (1), by deleting the words “subsection (5)” and replacing them by the words “subsection (6)”; (ii) by deleting subsection (2) and replacing it by the following new subsections (2) and (3), the existing subsections (3), (4), (5), (6), (7) and (8) being renumbered (4), (5), (6), (7), (8) and (9) respectively - (2) Where a person makes an objection under subsection (1), he shall - (a) specify in his letter of objection, in respect of each of the items in the notice of assessment, the detailed grounds of the objection; and (b) at the same time pay 30 per cent of the amount of income tax claimed in the notice of assessment. (3) Subsection (2)(b) shall not apply where a person objects exclusively to the amount of gross income assessed as emoluments or to the amount of personal reliefs and deductions under Sub-Part C of Part III allowed as deductions in the notice of assessment. (iii) in subsection (6) as renumbered, in paragraph (b), by deleting the words “subsection (3)” and replacing them by the words “subsection (4)”; (iv) in subsections (8) and (9) as renumbered, by deleting the words “subsection (5) or (6)(b)” and replacing them by the words “subsection (6) or (7)(b)”;
  29. 29. 29 (w) in section 131B - (i) by inserting immediately after subsection (5) the following new subsection (6), the existing subsections (6), (7) and (8) being renumbered (7), (8) and (9) respectively - (6) Where the objection is upheld in whole or in part, any amount of income tax paid under section 131A in excess of the amount determined to be properly payable, shall be refunded together with interest at the prevailing Bank rate, free of income tax, from the date the payment is received by the Commissioner to the date it is refunded. (ii) in subsection (8) as renumbered, by deleting the words “subsection (6)” and replacing them by the words “subsection (7)”; (x) in section 133 - (i) in subsection (1), by inserting immediately after the words “imposed under this section” the words “and under section 109, 110, 111 or 121”; (ii) by deleting subsection (2) and replacing it by the following subsection - (2) The penalty under this section and section 122 shall not, in the aggregate, exceed the amount of income tax, excluding any penalty imposed under this Act, remaining unpaid under section 129 or 131. (y) in section 136, by inserting immediately after the figure "122", the figure "122B"; (z) by inserting immediately after section 140, the following new section - 140A. Proceedings for temporary closing down of business (1) Where a person fails to pay any amount of income tax assessed under this Act, the Commissioner may notify the person in writing of his intention to close down part or the whole of the business of that person for a temporary period not exceeding 14 days, unless the person, within a period of 7 days of the date of the notice - (a) pays the amount of income tax unpaid; or (b) gives security to the satisfaction of the Commissioner for payment of the amount of the income tax unpaid.
  30. 30. 30 (2) (a) Where the person fails to comply with the notice issued under subsection (1), the Commissioner may, with the concurrence of the Revenue Authority established under the Unified Revenue Act, make an application under oath, in such form as may be prescribed, to a District Magistrate for an order to close down part or the whole of the business of that person for a period not exceeding 14 days. (b) Where an application under oath is made to a Magistrate in the manner specified in paragraph (a), the Magistrate may forthwith grant the application. (c) Upon granting an application under paragraph (b), the Magistrate shall issue an order to an Usher, in such form as may be prescribed, to close down the business of the person in accordance with the provisions of this section. (3) Where an Usher executes an order under subsection (2), he shall affix in a conspicuous place on the front of the premises of the business or part of the business which has been closed, a notice duly certified by the Commissioner bearing the words “CLOSED TEMPORARILY FOR NOT PAYING INCOME TAX”. (4) Where an order under subsection (2) has been executed and the person - (a) effects payment of the amount of income tax unpaid; or (b) gives security to the satisfaction of the Commissioner for payment of the amount of the income tax unpaid, the order shall lapse and the Commissioner shall, in writing, notify the person accordingly. (5) Any person who, contrary to the order, carries on the business or part of the business concerned or who commits any act in breach of the order under this section, shall commit an offence. (aa) in the Third Schedule, in items 1, 2, 3(a) and (b), by deleting the figures “70,000”, “55,000”, and “23,000” and replacing them by the figures “75,000”, “60,000” and “25,000” respectively; (ab) by deleting the words “Class B Banking Licence” wherever they appear and replacing them by the words “Category 2 Banking Licence”.
  31. 31. 31 15. The Industrial Expansion Act amended The Industrial Expansion Act is amended by deleting section 14 and replacing it by the following section - 14. Export products Where an application in a form approved by the Board of Investment is made to that effect by a company, the Board of Investment may declare any manufactured article, substance, matter or thing or the produce of deep sea fishing (including fresh or frozen fish) to be an export product. 16. The Labour Act amended The Labour Act is amended in section 2, in the definition of “worker”, by deleting paragraph (c) and replacing it by the following paragraph - (c) does not include - (i) a job contractor; (ii) except, in relation to Part VI, a person whose basic wage or salary is at a rate in excess of 240,000 rupees per annum; 17. The Land (Duties and Taxes) Act amended The Land (Duties and Taxes) Act is amended – (a) in section 2 - (i) in the definition of “deed of transfer”, in paragraph (b), by adding after subparagraph (vii), the following new subparagraph - (viii) a deed witnessing the transfer of an immovable property by way of constatation par acte authentique de l’achèvement de l’immeuble referred to in Article 1601-2, or by way of a vente en l’état futur d’achèvement under Article 1601-3, of the Code Civil Mauricien; (ii) in the definition of “transferor”, by deleting paragraph (g) and replacing it by the following paragraph - (g) in the case of a distribution of an immovable property by a trustee to a beneficiary under the terms of a trust other than a distribution to a beneficiary who is a heir or successor of the settlor, the settlor;
  32. 32. 32 (b) in section 4 - (i) in subsection (1), by adding after paragraph (d), the following new paragraph, the full-stop at the end of paragraph (d) being deleted and replaced by a semi-colon - (e) in the case of a transfer - (i) following the vente à terme under Article 1601-2 of the Code Civil Mauricien, the consideration stated in the deed; or (ii) by way of a vente en l’état futur d’achèvement under Article 1601-3, of the Code Civil Mauricien, the consideration stated in the deed together with the value of the immeuble à l’achèvement. (ii) in subsection (5), by adding after paragraph (d), the following new paragraph, the full-stop at the end of paragraph (d) being deleted and replaced by a semi-colon - (e) where the transfer is made to a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act. (iii) by adding after subsection (5), the following new subsection - (6) Where the transfer is made by a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act, the rate shall, notwithstanding subsection (4), be 5 per cent. (c) in section 9(2), by adding after paragraph (b), the following new paragraph, the full-stop at the end of paragraph (b) being deleted and replaced by a semi- colon - (c) where the transfer is made to, or by, a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act.
  33. 33. 33 (d) by inserting immediately after Part IV, the following new Part - PART V –CAMPEMENT TAX 12. Interpretation In this Part – “authorised officer” has the same meaning as in section 16; “campement” means any campement site together with any building or structure, or part thereof, flat or apartment, thereon used at any time for the purpose of residence; “campement site” has the same meaning as in section 16; “campement tax” – (a) means the tax leviable under section 13, and (b) includes the surcharge under section 15B; “exempt owner” means an owner of a campement – (a) who uses the campement as his sole residence; and (b) the market value of which is less than the amount specified in Part IV of the Fifth Schedule; “market value” means the open market value of the campement by reference to which the annual campement tax shall be calculated for a period of 3 years commencing on 1 July of every financial year. 13. Campement tax (1) Subject to the other provisions of this section, there shall be levied on every owner of a campement, an annual tax to be known as the campement tax. (2) The campement tax shall be levied at the rate specified in Part III of the Fifth Schedule and shall be calculated by reference to the market value of the campement after deducting therefrom - (a) the campement site tax leviable under Part VI in respect of the campement site; and (b) the general rate, if any, leviable under the Local Government Act or any other enactment in respect of the immovable property.
  34. 34. 34 (3) Where the aggregate of the campement site tax and the general rate or where the campement site tax or the general rate exceeds the campement tax leviable, no campement tax shall be payable in respect of the campement. (4) Where a campement is sold or transferred after 1 July in any financial year, the campement tax leviable on the campement in respect of that financial year shall be levied on the seller or transferor of the campement and shall, in no circumstances, be refundable. (5) No campement tax shall be leviable on an exempt owner. (6) The campement tax shall, in respect of every financial year, be due on 1 July and shall be payable to the authorised officer in 2 equal instalments, the first on or before 31 July in that year and the second on or before 31 January next ensuing. (7) The campement tax leviable in respect of the financial year ending 30 June 2003 shall be payable in 2 equal instalments, the first on or before 31 October 2002 and the second on or before 30 April 2003. (8) The surcharge leviable under the Finance Act 1980 and the Finance Act 1981 shall not apply to this Part. (9) For the removal of doubts, “used” in the definition of “campement” shall be construed as available for use. 14. Declaration of campement and payment of tax (1) Subject to the other provisions of this section, every owner of a campement, other than an exempt owner, shall, on or before 31 July in every financial year - (a) submit a declaration in a form approved by the authorised officer; and (b) at the same time, pay, if any, the campement tax leviable under this Part. (2) The declaration under subsection (1) shall include - (a) full name of the owner and precise address of the campement; (b) zone of the campement site on which the campement is situated; (c) market value of the campement as at 1 July; and
  35. 35. 35 (d) such other particulars and information as may be specified in the form. (3) The declaration of the campement under this section shall, in respect of the financial year 2002 – 2003, be submitted on or before 31 October 2002 and payment of the campement tax shall be made in 2 equal instalments, the first at the time the declaration is submitted and the second on or before 30 April 2003. 15. Change in circumstances Where – (a) there is a change in ownership of the campement; (b) the campement ceases to be used as sole residence by the owner, or (c) the market value of the campement being used as sole residence exceeds the amount specified in Part IV of the Fifth Schedule, the new owner or the owner, as the case may be, shall give written notice thereof to the authorised officer within a period of 30 days from such change and do all such acts or things that are required to be done under this Part. 15A. Claims by authorised officer (1) Subject to subsection (2), where - (a) the authorised officer is not satisfied with the declaration made under section 14; or (b) the owner has not submitted a declaration under section 14, the authorised officer may make a claim of the amount of campement tax which, in his opinion, ought to be payable together with any surcharge under section 15B and that amount shall be the campement tax leviable on the owner under this Part. (2) Any campement tax claimed under subsection (1) shall be paid within 28 days of the notification of the claim.
  36. 36. 36 (3) Subject to subsection (4), no claim under this section shall be made where a declaration under section 14 in respect of a financial year - (a) is made in that financial year, after a period of 4 financial years from the end of the financial year in which the declaration is made; or (b) is made after that financial year, after a period of 4 financial years following the financial year in which the declaration is made. (4) Where a declaration under section 14 in respect of a financial year is not made, the authorised officer may, at any time, make a claim of the amount of campement tax which, in his opinion, ought to be payable together with any surcharge under section 15B, for that financial year and that amount shall be the campement tax leviable on the owner under this Part. 15B. Surcharge The owner of a campement who fails to pay the campement tax within the period specified in sections 13(6) or (7) and 15A(2) shall be liable, in addition to the campement tax, to a surcharge representing - (a) 10 per cent of the campement tax for the first month or part of the month during which the campement tax remains unpaid; and (b) 2 per cent of the campement tax excluding the surcharge for each subsequent month or part of the month during which the campement tax remains unpaid, up to a maximum of 50 per cent of the campement tax. 15C. Application of sections 20, 24(1), 25, 26 and 28(6) and (7) The provisions of sections 20, 24(1), 25, 26 and 28(6) and (7) shall apply to campements in the same way as they apply to campement sites. (e) in section 19(1) and (2), by deleting the words “a declaration in the prescribed form to the authorised officer” and replacing them by the words “a declaration in a form approved by the authorised officer”;
  37. 37. 37 (f) in section 23(3), by deleting paragraphs (a) and (b) and replacing them by the following paragraphs - (a) 10 per cent of the campement site tax for the first month or part of the month during which the campement site tax remains unpaid; and (b) 2 per cent of the campement site tax excluding the surcharge for each subsequent month or part of the month during which the campement site tax remains unpaid, up to a maximum of 50 per cent of the campement site tax. (g) in section 27(1), by deleting the words “7 months” and replacing them by the words “9 months”; (h) in section 28 - (i) in subsection (2)(b), by deleting the words “7 months” and replacing them by the words “9 months”; (ii) in subsection (6), by deleting the words “5 months” and replacing them by the words “7 months”; (iii) by adding after subsection (8), the following new subsection - (9) Subsection (2) shall not apply in relation to a deed witnessing the transfer of an immovable property from a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act. (i) in sections 37(2) and 42(1), by deleting the words “Part VI” and replacing them by the words “Part V and Part VI”; (j) in section 43(3), by deleting the words “campement site” and the words “Part VI” and replacing them by the words “campement or campement site” and the words “Part V or Part VI” respectively;
  38. 38. 38 (k) in the Fifth Schedule, by adding after Part II, the following Parts - PART III (section 13) Rate of campement tax … … … 0.5 per cent PART IV (sections 12 and 15) Amount … … … … … 5 million rupees 18. The Merchant Shipping Act amended The Merchant Shipping Act is amended in section 2, in the definition of “ship”, by deleting the words “structure or launch” and replacing them by the words “structure, launch or dredger”. 19. The Morcellement Act amended The Morcellement Act is amended – (a) in section 3, by adding after subsection (2), the following new subsection - (3) This Act shall not apply to a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act. (b) in section 9 - (i) in subsection (2), by deleting the words “subsections (3) and (4)” and replacing them by the words “subsections (3), (4) and (5)”; (ii) by adding after subsection (4), the following new subsection - (5) Where a developer, in relation to a morcellement which is in respect of land exclusively for agricultural purposes, intends to take advantage of the exemption under section 10 of the Sugar Industry Efficiency Act 2001, he shall submit a bank guarantee in the sum payable as fee under subsection (2)(a) in lieu and instead of the fee.
  39. 39. 39 20. The National Pensions Act amended The National Pensions Act is amended in section 45A(5), by deleting paragraph (a) and replacing it by the following paragraph - (a) in the case of a monthly return, a surcharge of one per cent of the total contributions payable under section 17 or 200 rupees, whichever is the lesser, for every day until the return in respect of each insured person for that month is submitted, provided that the total amount of surcharge shall - (i) not exceed the total amount of contributions payable or 20,000 rupees, whichever is the lesser; and (ii) be not less than 500 rupees; or 21. The Non-Citizens (Employment Restriction) Act amended The Non-Citizens (Employment Restriction) Act is amended - (a) in section 3, by adding after subsection (5), the following new subsection - (6) A non-citizen who invests under the Permanent Resident Scheme prescribed under the Investment Promotion Act, may, notwithstanding subsections (1) and (3), engage in any occupation for reward or profit or be employed without a permit as long as he maintains his investment as required under that Scheme. (b) in section 4, by inserting immediately after subsection (2) the following new subsection (3), the existing subsections (3) and (4) being renumbered (4) and (5) respectively - (3) Where an application for a permit by a professional or his spouse under the Scheme to Attract Professionals for Emerging Sectors prescribed under the Investment Promotion Act is granted, the permit shall be for a period of 3 years. 22. The Non-Citizens (Property Restriction) Act amended The Non-Citizens (Property Restriction) Act is amended – (a) in section 2, by deleting the definition of “share” and replacing it by the following definition - “share” - (a) means an interest, by any name called, in a company, partnership or société or any other body corporate which holds or purchases or otherwise acquires an immovable property in Mauritius; and
  40. 40. 40 (b) includes - (i) a share in a partnership or société or any body corporate which reckons amongst its assets - (A) any freehold or leasehold immovable property in Mauritius; or (B) any share in a company or in a company holding shares in a subsidiary or any share in a partnership or société or any other body corporate, which itself reckons amongst its assets, freehold or leasehold immovable property in Mauritius; (ii) a share in a company which reckons amongst its assets - (A) any freehold or leasehold immovable property in Mauritius; or (B) any share in a company holding shares in a subsidiary or any share in a partnership or société or any other body corporate, which itself reckons amongst its assets, freehold or leasehold immovable property in Mauritius. (b) in section 3(3) - (i) in paragraph (a), by deleting the words “of a lease for a term not exceeding, in the aggregate, 6 months in any year” and replacing by the words “of a lease agreement or tenancy agreement for a term not exceeding 20 years”; (ii) in paragraph (c), by adding immediately after subparagraph (ii), the following new subparagraph, the full-stop at the end of subparagraph (ii) being deleted and replaced by the words “; or” - (iii) purchases or otherwise acquires an immovable property, a flat or apartment under the Permanent Resident Scheme, or under the Scheme to Attract Professionals for Emerging Sectors or from a company holding an investment certificate in respect of a project under the Integrated Resort Scheme, prescribed under the Investment Promotion Act. (c) by deleting the words “Class B Banking Licence” wherever they appear and replacing them by the words “Category 2 Banking Licence”.
  41. 41. 41 23. The Prize Competitions Act amended The Prize Competitions Act is amended - (a) in section 2, by deleting the definition of “coupon”; (b) in section 3, by deleting subsection (5) and replacing it by the following subsection - (5) Where he is satisfied that this Act has been and will be complied with, the Accountant-General may, subject to any condition he thinks fit to impose and - (a) on payment of the fee specified in the Schedule; (b) on payment of a deposit, or upon furnishing a bank guarantee, of a sum of 10,000 rupees or 50 per cent of the value of the prizes, whichever is the higher, as security, issue a licence to the applicant. (c) in section 4, by deleting the words “the closing date for the receipt of coupons” and replacing them by the words “the closing date of the prize competition”; (d) in section 5(1), by deleting paragraph (b); (e) by deleting section 9 and replacing it by the following section - 9. Publication or advertisement of prize competitions No person shall – (a) publish, or cause or permit to be published, a notice or advertisement; (b) broadcast, or cause or permit to be broadcast, a notice or an advertisement; or (c) publish a notice or an advertisement in any other medium, in relation to a prize competition, unless a licence has been obtained in respect of that competition. (f) in section 10(3), by deleting the words “2,000 rupees” and replacing them by the words “20,000 rupees”.
  42. 42. 42 24. The Registration Duty Act amended The Registration Duty Act is amended - (a) in section 3(4), by deleting the words “a global business licence” and “Class B Banking Licence” and replacing them by the words “a Category 1 Global Business Licence” and “Category 2 Banking Licence” respectively; (b) in section 36 - (i) by deleting the words “No deed of transfer or deed by which a partnership is constituted shall be registered unless it contains -” and replacing them by the words “No deed of transfer or deed by which a partnership is constituted or a document witnessing the transfer of the immovable property by way of constatation par acte authentique de l’achèvement de l’immeuble referred to in Article 1601-2, or by way of a vente en l’état futur d’achèvement under Article 1601-3 of the Code Civil Mauricien, shall be registered unless it contains -” (ii) in paragraph (e), by adding after subparagraph (ii), the following subparagraph, the full-stop at the end of subparagraph (ii) being deleted and replaced by a semi-colon - (iii) where a non-citizen acquires any share in a partnership or société or any other body corporate which reckons amongst its assets any freehold or leasehold immovable property in Mauritius or shares in a company or in a company holding shares in a subsidiary or any share in a partnership or société or any other body corporate which itself reckons amongst its assets, freehold or leasehold immovable property in Mauritius - (A) a declaration as to the nationality of the purchaser; and (B) a certified copy of the certificate under the Non-Citizens (Property Restriction) Act authorising him to purchase, acquire or hold such share. (iii) in paragraph (g), by deleting the words “Part VI” and replacing them by the words “Part V and Part VI”;
  43. 43. 43 (iv) in paragraph (h), by adding after subparagraph (iii), the following new subparagraph, the full-stop at the end of subparagraph (iii) being deleted and replaced by a semi-colon - (iv) where a non-citizen acquires shares in a company which reckons amongst its assets any freehold or leasehold immovable property in Mauritius or shares in a company holding shares in a subsidiary or any share in a partnership or société or any other body corporate which itself reckons amongst its assets, freehold or leasehold immovable property in Mauritius - (A) a declaration as to the nationality of the purchaser; and (B) a certified copy of the certificate under the Non-Citizens (Property Restriction) Act authorising him to purchase, acquire or hold such shares. (v) by adding after paragraph (j), the following new paragraph - (k) in respect of a transfer to, or by, a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act, a certified copy of the investment certificate. (c) in the First Schedule - (i) in Part I, in paragraph J, by adding after item 14, the following new item - 15. A notarial deed witnessing the transfer of an immovable property following the vente à terme under Article 1601-2, or by way of a vente en l’état futur d’achèvement under Article 1601-3, of the Code Civil Mauricien except where the transfer is made under the Integrated Resort Scheme prescribed under the Investment Promotion Act. (ii) in Part II, by adding after item 31, the following new items- 32. Any document witnessing a contrat préliminaire under Article 1601-38, or a vente à terme under Article 1601-2, of the Code Civil Mauricien. 33. Any deed witnessing the purchase of an immovable property under condition precedent (clause suspensive) from a company holding an investment certificate in respect of a project under the Integrated Resort Scheme prescribed under the Investment Promotion Act.

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