Mauritius Gazettes Ruling on Withholding Obligations for Payments to Nonresidents for Remote Consulting Services

The Mauritian Official Gazette Dec. 6 published Income Tax Ruling No. 288, on withholding obligations for payments to nonresident for remote consulting services. The taxpayer, a Mauritian clearinghouse, entered into a retainership agreement under which an individual, who was resident in India, would provide consulting services remotely. The individual would visit Mauritius no more than 90 days in a calendar year for meetings. The taxpayer inquired as to withholding obligations for the payments. The Revenue Authority clarified that: 1) tax deducted at source (TDS) and withholding tax didn’t apply to the payments made to the individual for providing the services ...