E-commerce explained is a transaction whereby the buyer and the seller complete transactions online.
In early 2019, the Prime Minister Pravind Jugnauth mentioned in his budget speech that the government is committed to fast track “the country’s move to an age of digitally enabled economic growth”. As such, the government announced the introduction of a new scheme for headquartering of e-commerce activities. For those companies, which are setting-up an e-commerce platform in Mauritius, prior to 30 June 2025, they will benefit from a 5-year tax holiday.
Forms of e-commerce
- E-payments eg: Paypal
- Shop/ book online eg: Ebay, Amazon
- Online entertainment eg: Netflix
- Internet Banking eg: money transfer, credit card payment
How to go about applying for an e-commerce certificate
Any person intending to engage in e-Commerce activities under the e-Commerce Scheme shall apply to the Economic Development Board for an e-Commerce certificate. To become eligible to apply for the certificate, the applicant would have to satisfy the below criteria:
- Effect an investment of at least MUR 5,000,000
- Operating expenditure of at least MUR 10,000,000 every year
- Employing at least 10 residential personnel, including 2 senior management level staff
- Servicing at least 3 countries
- Domiciliation of the technology to be entirely in Mauritius, including platforms, servers and software
- Have a registered address, physical office and active bank account in Mauritius
- Payment infrastructure to be based in Mauritius
- Invoicing to be conducted in Mauritius
With the introduction of this new scheme, e-commerce activities are now expected to be growing at a fast rate and we look forward to the fast tracking of this important sector of the economy.