Mauritius Gazettes Ruling on VAT Treatment of Transitions From Deferred Duty, Tax Regime

The Mauritian Official Gazette March 29 published VAT Ruling No. 120, clarifying the VAT treatment of transitions from the Deferred Duty and Tax regime (DDTS). The taxpayer was a company operating one outlet in a highly tourist area of Mauritius. The taxpayer planned to surrender its DDTS certificate and transition to a VAT-free/VAT-refund basis. The taxpayer would pay a one-off VAT amount on all of its existing inventory as part of the transition. The taxpayer sought clarification as to the VAT consequences of these changes. The Revenue Authority clarified that the taxpayer: 1) wouldn’t be entitled to repayment of the ...