Mauritius investors to be taxed from April 2017Staff writer ▼ | May 11, 2016
The government has gained the right to tax capital gains arising in Mauritius from sale of shares acquired on or after April 1, 2017, in Indian companies.
Finance Investors from the U.S. will be hit by a new rule
The agreement was signed in Port Louis. During a transition period of two years, the tax will be limited to half the Indian tax rate. The full tax rate will kick in from 2019-2020.
The development could affect investors in the U.S., many of whom use Mauritius to route money to India. The tax treaty between India and the US does not grant investors credit in the US for taxes paid in India. ■