The Pioneering Status Scheme in Mauritius is designed to stimulate technological advancement and foster the development of high-value-added sectors and pioneer services within the country. This initiative aims to attract businesses engaged in activities that significantly exceed the technological and skill levels currently present in Mauritius, thereby enhancing industrial and technological capabilities.

 Qualifying Activities

Under the scheme, applicant companies typically fall into one of three broad categories:

  1. New Technology: Companies involved in the development and application of new technologies that introduce innovative solutions or significantly advance existing technologies in Mauritius.
  2. Support Industries: Businesses that provide critical support services or manufacturing capabilities that contribute directly to the advancement and efficiency of other industries.
  3. Service Industries: Enterprises offering high-value services that demonstrate substantial technological expertise and contribute to the growth of Mauritius’ service sector.

Incentives

Participating companies under the Pioneering Status Scheme benefit from a range of incentives aimed at facilitating their establishment and growth:

  • Customs Duty and Sales Tax Exemptions: No customs duty or sales tax is levied on scheduled equipment or materials imported for approved activities under the scheme. This facilitates cost-effective procurement of essential resources for operational purposes.
  • Corporate Tax Rate: A competitive corporate tax rate of 15% is applied to qualifying companies, significantly lower than standard corporate tax rates in many jurisdictions. This incentivizes profitability and reinvestment in technological and operational enhancements.
  • Tax Exemptions on Dividends: Dividends distributed to shareholders are exempt from taxation, enhancing investor returns and attractiveness.
  • Free Repatriation of Funds: The scheme allows for the free repatriation of profits, dividends, and capital, providing financial flexibility and ensuring ease of doing business for international investors.

Economic Impact

By encouraging the establishment and growth of businesses engaged in high-tech and high-value-added activities, the Pioneering Status Scheme contributes to Mauritius’ economic diversification and resilience. It promotes knowledge transfer, skill development, and the creation of new job opportunities in advanced sectors, reinforcing Mauritius’ position as a competitive player in the global marketplace.

Moreover, the scheme supports the development of local support industries and service providers, fostering a holistic ecosystem conducive to sustained economic growth and innovation. It enables local businesses to collaborate with international pioneers, fostering synergies that drive technological advancement and competitiveness across various sectors.