Mauritian Authorised Company (AC)

Mauritian Authorised Company (AC) is a private company registered under the Companies Act 2001 and licensed by the Financial Services Commission of Mauritius. It conducts business principally outside Mauritius.

An AC is not considered as resident in Mauritius for tax purposes as it is centrally managed and controlled outside of Mauritius and has no economic substance in Mauritius, unlike the GBC. The AC is not eligible to benefit from the Double Taxation Avoidance Agreement (DTA) that Mauritius has signed with several other countries.

Despite being considered as non-resident company for tax purposes in Mauritius, the AC is still required to file an annual financial summary and an annual tax return with the Mauritius Revenue Authority and declare the country from where it is centrally managed and controlled.

Activities that may be carried on by an Authorised Company include:

  • Trading
  • IT Services
  • Passive Investment
  • Non-financial consultancy
  • Logistics
  • Marketing

Advantages of an Authorised Company

  • Exempt from taxation in Mauritius
  • Confidentiality (very limited details available on Registrar’s portal for the AC)
  • No resident Director required. Director can be a corporate entity
  • No Core Investment Generating Activities (CIGA) requirement
  • Much cheaper than a Global Business Company (GBC) in terms of annual maintenance cost and annual licence
  • No audited accounts (only annual financial summary must be filed)
  • Meetings may be held from anywhere in the world
  • An Authorised Company can be converted into a Global Business Company (GBC)

Disadvantages of an Authorised Company

  • Cannot hold shares in a domestic company
  • Cannot trade with residents of Mauritius
  • Cannot have an office or staff in Mauritius
  • Must pay tax in country from where it is centrally managed and controlled (tax rate may be higher than in Mauritius)
  • No access to Double Taxation Agreements benefits
  • Less transparent than GBC and more difficult to obtain loan from institutional Lenders
  • No financial services allowed