Getting a Tax Clearance Certificate for Your Company

A tax clearance certificate in Mauritius is a statement issued by the Mauritius Revenue Authority (MRA) confirming that a taxpayer has met its filing and payment obligations at the date of issue. Companies are usually asked for one when they bid for a contract, renew a licence, deal with a regulator or a bank, or prepare a sale of the business.

This page explains what the certificate is used for, what the MRA looks at before granting it, and how to prepare and submit the request online. The detailed form fields, validity period and wording of the certificate can change, so confirm them on the MRA portal before you apply.

What a tax clearance certificate is for

The certificate is a third-party comfort document. It does not reduce tax, extend a deadline or settle a dispute. It simply records that, on the day it is issued, the MRA has no outstanding filing or payment problem on the company's file.

Typical situations where a company is asked to produce it:

• Public and private tenders. A buyer wants proof that a supplier is in good standing before awarding a contract. This is the most frequent reason behind a search for a clearance certificate tender Mauritius companies must satisfy.
• Licence applications and renewals. Some regulators and licensing bodies ask for it as part of the file.
• Banking and financing. A lender or bank may request it when opening or reviewing a facility.
• Sale of shares or assets. A buyer's advisers often ask for it during due diligence.
• Dividends and restructuring. Advisers sometimes want it before a distribution or a reorganisation. See paying a dividend for the corporate-law side.

What it is not

Do not confuse it with a tax residence certificate, which certifies where a person or company is resident for tax purposes, or with a certificate of good standing issued by a registry. Those documents answer different questions and come from different processes. This guide deals only with the MRA clearance of a company's own tax compliance.

Conditions the MRA looks at

The MRA does not publish a single rule that lists every check, so treat the following as the practical conditions. They follow directly from the filing duties in the Income Tax Act 1995.

Returns filed on time

Every company, taxable or not, must file its income tax return with the Director-General no later than six months after the end of the month in which its financial year closes (section 116(1) of the Income Tax Act). For a year ending in June, the deadline falls two working days before the end of December (section 116(2)); for a year ending in December, two working days before the end of June (section 116(2C)). Filing and payment are done electronically.

A late or missing return is the most common reason a request stalls. The corporate income tax return guide explains the full filing sequence.

Tax paid or arranged

Balances due on assessments, advance payments and other taxes administered by the MRA are normally expected to be settled or covered by an agreed arrangement. Companies that pay under the advance payment system should check that every instalment has been recorded against the correct period.

Employer obligations in order

If the company has staff, the MRA will usually look at employer filings too: PAYE and related contributions. Late payroll returns can block a clearance even when the corporate tax file is clean. See PAYE for employers and payroll in Mauritius.

Other levies that may apply

Depending on the company, other charges can appear on the file, such as the Corporate Climate Responsibility (CCR) Levy under section 50O of the Income Tax Act, which is 2% of chargeable income for the tax year beginning 1 July 2024 and each later year. No CCR Levy is due where turnover for the tax year does not exceed MUR 50 million. Whether a levy applies to your company depends on its facts, so ask your adviser.

What the file usually depends on

How to apply: the online steps

Requests are handled through the MRA's online services, in line with the electronic filing used for returns and payments. The sequence below describes the usual path. Menu names change from time to time.

Before you log in

Gather the company's tax account number, the latest return filed, proof of recent payments and, if an adviser applies on your behalf, the authorisation that links them to the account. Running through the MRA online filing walkthrough first helps if the account has not been used for a while.

After the request

If the MRA finds an open item, the request is not granted until the item is cleared. Correct it, then resubmit. Keep a copy of every acknowledgement: it helps if a tender deadline is close and you need to show that the request was made.

Checklist before you apply

• The income tax return for the latest year is filed, and earlier years are not outstanding
• Advance payments and any balance of tax are paid and allocated to the right period
• Payroll returns and contributions are filed if the company employs staff
• The company's registered details are current
• The person applying has access to the company's MRA account
• The purpose of the certificate, for example a tender, is known and the requesting party's wording has been read
• The certificate's issue date will fit within the requesting party's cut-off

Using the certificate in a tender

Procuring bodies set their own rules on how recent a certificate must be and whether a copy is enough. Read the tender document, not the general guidance, and apply early enough to leave time to fix any problem the MRA raises. A certificate that expires before the bid closes, or that names the wrong entity, is a frequent and avoidable cause of rejection.

For a company run from abroad, allow for the time needed to arrange access to the MRA account. The pages on running a Mauritius company from the United Kingdom, India or South Africa cover practical points about local representation.

Mistakes that delay the certificate

• Late returns on a dormant entity. A company with no activity must still file. See keeping a dormant company compliant.
• Payments posted to the wrong period. The money was paid but the MRA's records do not show it against the right year.
• Employer filings forgotten. The corporate return is clean, but payroll is not.
• Applying the day before the deadline. Any query then becomes fatal to the bid.
• Assuming a global business entity is treated like a domestic company. The Income Tax Act treats a Global Business Licence holder and an Authorised Company as global business entities, and some rules differ for them. Ask your corporate service provider how this affects your file.

Failure to comply can bring penalties as well as a refused certificate. See penalties for non-compliance and the annual compliance checklist to keep the file clean all year.

When to take advice

The right preparation depends on the company's tax regime, year-end, activity and history with the MRA. A company with an open assessment, a late return or a levy dispute should have its position reviewed before applying. If you want help from an FSC-licensed corporate service provider (Management Licence), you can send a request through the contact form.