Registering as an Employer Before Hiring

A company that plans to hire in Mauritius cannot simply sign a contract and pay a salary. Several registrations must be in place first, and they sit with different bodies. This page explains employer registration with the MRA in Mauritius and the neighbouring registrations that usually go with it, so that nothing is missing when the first payslip is due.

The guidance is general. The exact forms, portals and conditions depend on your company, your staff and the sector, so confirm the details with an adviser before you act.

What "registering as an employer" really covers

There is no single "employer licence". In practice, becoming an employer means being known to four groups:

• the Corporate and Business Registration Department (CBRD), which holds your company and business registration;
• the Mauritius Revenue Authority (MRA), which handles the employer's tax account and the contributions collected through payroll;
• the insurer that covers the employees against workplace risks;
• the data protection authority, because a payroll holds personal data.

Each step depends on the one before. The company must exist and carry its registration number before it can open an employer file with the tax authority. The tax file must exist before the first monthly filing.

Step by step: the order that works

Step 1: confirm the company's own registration

The Business Registration Act 2002 applies to anyone carrying on a business in Mauritius or Rodrigues for gain. Registration gives a single Business Registration Number (BRN), and the Business Registration Card is issued on request. Incorporated companies are registered through CBRIS, the secure web application of the CBRD, which is also used to file statutory forms and pay annual fees.

Before approaching the MRA, check that:

• the certificate of incorporation is in hand;
• the BRN appears on the company's documents;
• a registered office exists in Mauritius, since the Companies Act requires one at all times and it is the address for service of legal documents.

If your company is brand new, the sections on corporate compliance explain what must follow incorporation, and the compliance calendar shows where payroll duties sit in the year.

Step 2: open the employer file with the MRA

This is the step most readers mean by register as employer in Mauritius. The company declares itself to the MRA as an employer so that it can operate PAYE and file its payroll returns. Registration is done through the MRA's online services. The practical walkthrough of MRA online filing explains how access to the portal is organised.

Prepare these items first:

• company name, BRN and registered office;
• identity details of the directors and of the person who will file on the company's behalf;
• the expected start date of employment and the expected number of employees;
• a business bank account into which the payroll will be paid.

The company's tax identity, often called its TAN, is distinct from the employer's registration for payroll purposes. If you have asked how to obtain an employer TAN in Mauritius, the usual answer is that the company already holds a taxpayer number and the employer registration is added to it. Ask your adviser to confirm which accounts are already open, because some companies registered for income tax before they ever plan to hire.

Step 3: collect the details on each employee

Each hire brings information the employer must hold and use correctly:

• full name, address and national identity or passport details;
• the employee's own taxpayer information;
• the contract, the start date and the agreed pay;
• for a foreign employee, the work authorisation, which is a separate matter described under hiring foreign staff and paying a foreign employee.

The payroll contribution schemes also rely on these details. For how they work once employees are on the books, see PAYE for employers, CSG contributions and NSF contributions.

Step 4: arrange insurance before the employee starts

Workplace injury cover is a legal precaution for the employer, not an optional extra. Arrange it with an authorised insurer before the first working day, and keep the policy reference with the personnel file. The cover and the premium depend on the sector, the roles and the payroll size, so the insurer will ask for an estimate of annual pay and a description of the duties.

Separate from this, directors and officers cover protects the board rather than staff. It is explained in directors and officers insurance.

Step 5: register the processing of employee data

A payroll holds identity numbers, bank details and sometimes health information. A company that decides how this data is used is a controller under the Data Protection Act and must register with the data protection office.

The Data Protection (Fees) Regulations 2020 set the fee for registering or renewing as a controller or processor. Since 1 August 2020 it is Rs 1 000 for up to 5 employees, Rs 1 500 for 6 to 25 employees and Rs 2 500 for more than 25 employees. The size of the workforce therefore determines the amount, which is a reason to count your staff accurately.

Step 6: set up the payroll routine

Once the files are open, the company enters its monthly rhythm. The cycle itself is covered in running monthly payroll step by step and is not repeated here. If you are choosing a tool, payroll software for Mauritian employers compares the main routes.

Which registration for which obligation

Decide what applies to your company

The right sequence differs by profile. Use this short tree as a starting point.

A salary paid to a director is still a salary for payroll purposes. How to pay a director properly is explained in director remuneration.

Checklist before the first salary

• Certificate of incorporation and BRN available
• Registered office confirmed in Mauritius
• Access to the MRA online services set up for the company
• Employer declared to the MRA for payroll purposes
• Tax and identity details collected for every employee
• Written contract signed with each employee
• Workplace insurance in force before the start date
• Controller registration with the data protection office completed
• Payroll method chosen (software, provider or in-house)
• A named person responsible for the monthly deadlines

Mistakes to avoid

• Hiring first, registering later. The first payslip is then produced without the tax file behind it, and corrections cost more than preparation.
• Treating the director as outside payroll. If the director is paid, the same registrations apply.
• Forgetting the annual registration fee at the CBRD. The fee is paid each year from 3 to 20 January inclusive, and a higher rate applies after 20 January. A company that falls behind can face consequences described in penalties for non-compliance.
• Leaving the filing to nobody. Name an owner for the monthly returns, whether an employee or a provider.

A company that works with a corporate service provider can delegate some of this. The page on how to choose a corporate services provider explains what to ask. If you would like a general discussion of your situation, use the contact form.