💼 Airbnb Taxation in Mauritius: Complete Guide for Property Owners and Investors

Mauritius attracts travelers from all over the world, but also property investors. Among the opportunities available, short-term rentals via Airbnb are especially popular. However, to avoid unpleasant surprises, it is crucial to understand the tax framework that applies to this activity. This guide provides a comprehensive overview of Airbnb taxation in Mauritius.

📌 Why Invest in Airbnb in Mauritius?

Political stability, safety, tropical climate, and strong tourist appeal make Mauritius an ideal destination for seasonal rentals. Rental yields are often higher than long-term leases, especially in areas like Grand Baie or Flic en Flac. The tax framework, particularly for non-residents, is also a major advantage.

🏛️ What Is the Legal Framework for Airbnb Rentals in Mauritius?

Short-term furnished rentals are regulated. According to the Business Registration Act and the Tourism Authority Act, any remunerated activity must be registered. To legally rent on Airbnb, you must obtain a Business Registration Number (BRN) and declare your income to the Mauritius Revenue Authority (MRA).

📊 What Tax Regime Applies to Your Airbnb Income?

Airbnb income is taxed at a flat rate of 15%, after deducting allowable expenses (management fees, maintenance, insurance, etc.). If your turnover exceeds MUR 6 million/year, you will also be subject to VAT. Below this threshold, you are exempt. The BRN remains mandatory even for modest incomes.

📝 What Are Your Tax Filing Obligations?

You must:

• Submit an annual return before September 30
• Submit two provisional returns in June and December
• Use the MRA’s online platform: eservices.mra.mu

🧮 Examples of Calculations to Illustrate Airbnb Taxation

A resident declares MUR 900,000 in income, with MUR 250,000 in deductible expenses. The net income is MUR 650,000. The tax due at 15% is therefore MUR 97,500.

A non-resident follows the same calculation but may benefit from double taxation treaties depending on their country of origin.

💡 How to Optimize Your Airbnb Taxation in Mauritius?

• Deduct all eligible expenses: cleaning, management, repairs, insurance, etc.
• Consider creating a Mauritian company if your income is high
• Consult a local accountant to optimize your filings

🚫 What Are the Penalties for Non-Compliance?

In case of omission or fraud, you risk:

• Fines of up to 100% of the taxes owed
• Late payment interest
• Suspension of your Airbnb activity

🌍 How to Avoid International Double Taxation?

Mauritius has signed tax treaties with several countries. This allows foreign investors to avoid double taxation. You must still declare your Airbnb income in your home country, but you will often benefit from a tax credit.

🤝 Useful Services and Resources

• MRA website: mra.mu
• Online declaration: eservices.mra.mu
• Tourism Authority: for accommodation registration
• Accounting firms: to assist with your tax obligations

🧭 Conclusion

Renting through Airbnb in Mauritius is an excellent opportunity to generate attractive income. However, to ensure that this activity remains sustainable and secure, it is essential to comply with local tax obligations. By staying informed, keeping clear accounts and surrounding yourself with experts, you will lay the foundations for a secure and profitable investment.