Retirement in Mauritius: a lifestyle choice and a tax choice
Mauritius has become one of the most sought-after destinations for European retirees, and particularly for French retirees. The Residence Permit for retirees, administered by the Economic Development Board (EDB), offers a simple and accessible solution for settling long-term in an exceptional living environment, with favourable taxation and a controlled cost of living.
Unlike other retirement destinations, Mauritius combines French-English bilingualism, exemplary security (1st in Africa on the Global Peace Index), internationally-standard medical care and a well-established French-speaking expatriate community of around 15,000 French nationals registered with the consulate, which facilitates the integration of newcomers.
Detailed eligibility conditions
The Residence Permit for retirees is one of the simplest permits to obtain in Mauritius, with conditions clearly defined by the EDB:
| Condition | Detail |
|---|---|
| Minimum age | 50 years completed at the date of application |
| Minimum monthly income | USD 2,000/month (~EUR 1,850) from regular sources |
| Minimum annual transfer | USD 24,000 into a Mauritian bank account |
| Accepted sources of income | Retirement pensions, life annuities, rental income, dividends, interest on investments |
| Initial investment | No investment required |
| Health insurance | Mandatory (local or international, covering Mauritius) |
| Criminal record | Clean, apostilled, less than 6 months old |
| Permit duration | 10 years, renewable |
| Dependants | Spouse included in the application |
No initial investment required: unlike Occupation Permits (Investor: USD 100,000, Self-Employed: USD 50,000), the retirement permit requires no capital contribution. Only proof of regular income of at least USD 2,000/month (i.e. USD 24,000/year) transferred to a Mauritian bank account is required.
Taxation of retirement in Mauritius
General tax regime
By becoming a Mauritian tax resident (183 days within the tax year, or 270 days over the current year and the two preceding years, or being domiciled in Mauritius), your worldwide income is in principle taxed in Mauritius according to a progressive scale (0% up to MUR 500,000, 10% up to MUR 1,000,000, 20% up to MUR 12,000,000, 35% beyond). However, residents' foreign-source income is only taxed if it is actually remitted to Mauritius, which offers considerable flexibility in managing your wealth.
Tax treatment of pensions under the France-Mauritius treaty
The tax treaty between France and Mauritius (11 December 1980, as revised), detailed in our guide on double taxation agreements, sets out precise rules to avoid double taxation of retirees:
| Type of pension | Taxation under the treaty |
|---|---|
| Private (supplementary) retirement pension | Taxed in Mauritius (progressive scale, 0 to 35%) -- exempt in France |
| Civil service pension | Taxed in France -- exempt in Mauritius |
| Social security pension (CNAV, AGIRC-ARRCO) | Taxed in the country of residence (Mauritius, progressive scale, 0 to 35%) |
| Rental income from property located in France | Taxed in France, with a tax credit in Mauritius |
| Capital gains on real estate in France | Taxed in France (19% plus social security levies) |
| Dividends of French source | Withholding tax capped at 15%, with a tax credit in Mauritius |
Specific tax advantages for retirees
What you no longer pay in Mauritius
By becoming a Mauritian tax resident, you are exempt from CSG/CRDS on your pensions (8.3% in France), from IFI (real estate wealth tax), from inheritance tax (up to 45% in France) and from tax on capital gains on securities (30% flat tax in France). For a retiree receiving EUR 4,000/month, the annual tax saving can exceed EUR 10,000.
- No CSG/CRDS on pensions received in Mauritius (a saving of 8.3% compared with France)
- No tax on capital gains on securities -- sale of shares, mutual funds (OPCVM), life insurance policies are exempt
- No inheritance tax -- transmission of wealth tax-free in Mauritius. Consider estate planning in Mauritius to optimise this transmission
- No wealth tax (ISF/IFI) -- no tax on wealth or on real estate assets in Mauritius
- Tax deductions -- personal deduction (Rs 325,000), dependant deduction, deductible medical expenses
- Progressive scale capped at 35% -- 0% up to MUR 500,000, 10% up to MUR 1,000,000, 20% up to MUR 12,000,000, 35% beyond, compared with a marginal rate that can reach 45% in France
Warning - Exit tax: if you hold securities/shareholdings worth more than EUR 800,000 or representing 50%+ of a company's capital, the French exit tax (Article 167 bis of the French General Tax Code) may apply. Its payment can be deferred thanks to the France-Mauritius tax treaty. Specialist tax advice is essential before departure.
Health and medical coverage
The Mauritian healthcare system
Mauritius has a two-tier healthcare system, offering care of increasing quality thanks to investments made in recent years:
- Public sector -- Free public hospitals for all residents (including permit holders), decent-quality basic care but possible waiting times. Main hospitals: SSRN (Pamplemousses), Victoria Hospital (Candos), Jawaharlal Nehru Hospital (Rose Belle)
- Private sector -- Modern clinics offering internationally-standard care, with doctors trained in Europe, India, South Africa and Australia. Short waiting times and comfortable care
Wellkin Hospital
Upmarket clinic in Moka. Surgery, cardiology, oncology, orthopaedics. State-of-the-art equipment. Partnerships with international hospitals.
C-Care (formerly Clinique Darné)
Network of private clinics in Floréal and in the North. General medicine, maternity, 24/7 emergency care. The most extensive private network on the island.
City Clinic
Private clinic in Port Louis. General medicine, surgery, medical specialties. Easy access from the city centre and the northern areas.
Clinique du Nord
Located in Baie du Tombeau, close to the residential areas of the North. General medicine, paediatrics, minor surgery. Ideal for expatriates in Grand Baie.
Health insurance options
Health insurance is mandatory for the retirement permit. Three main options are available:
| Option | Indicative monthly cost | Coverage |
|---|---|---|
| Local insurance (Swan, MUA, Allianz Maurice) | EUR 100 - 250 | Care in Mauritius only, hospitalisation and consultations |
| CFE (Caisse des Français de l'Étranger) | EUR 200 - 500 | Worldwide coverage, rights maintained in France, CPAM reimbursement |
| International insurance (April, Allianz Global, Cigna) | EUR 250 - 600 | Worldwide premium coverage, medical evacuation, repatriation included |
CFE or international insurance? The CFE is recommended if you wish to maintain your French social security rights and be able to receive treatment in France during your stays there. International insurance is preferable if you travel frequently outside France and want premium coverage including medical evacuation.
Daily life for retirees in Mauritius
Typical monthly budget for a couple
| Expense category | Comfort budget (EUR) | Premium budget (EUR) |
|---|---|---|
| Housing (furnished rental) | 800 - 1,200 | 1,500 - 3,000 |
| Food and groceries | 400 - 600 | 600 - 1,000 |
| Health insurance (couple) | 200 - 400 | 400 - 800 |
| Transport (car + fuel) | 100 - 200 | 200 - 400 |
| Leisure and dining out | 300 - 500 | 500 - 1,000 |
| Utilities (water, electricity, internet) | 100 - 200 | 150 - 300 |
| Domestic staff (cleaning, gardening) | 100 - 200 | 200 - 400 |
| Monthly total | 2,000 - 3,300 | 3,550 - 6,900 |
Activities and leisure for retirees
Mauritius offers an ideal setting for active retirees, with a variety of activities available year-round thanks to the tropical climate:
- Golf -- Several international 18-hole courses: Heritage Golf Club (Bel Ombre), Anahita Golf Course, Ile aux Cerfs Golf Club, Avalon Golf Estate (Terre Rouge), Tamarina Golf Club
- Water sports -- Scuba diving, sailing, deep-sea fishing, sea kayaking, paddleboarding. The warm lagoon waters are accessible year-round
- Hiking -- Black River Gorges National Park, Le Morne Brabant (UNESCO), Corps de Garde mountain, Signal Mountain. Marked trails for all levels
- Culture and heritage -- Museums (Blue Penny, Aapravasi Ghat UNESCO), Hindu temples, colourful local markets, multicultural festivals (Diwali, Cavadee, Chinese New Year, Spring Festival)
- French associations -- UFE Mauritius (Union des Français de l'Étranger), Alliance Française, Français du Monde-ADFE, France Bénévolat. Regular events, organised outings, mutual support
- Volunteering -- Numerous local NGOs welcoming expatriate volunteers (education, environment, social welfare)
- Wellness -- Yoga, meditation, spas, ayurveda. The island offers many opportunities for relaxation and body care
Application procedure
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File preparation
Collection of income proof (pension statements, investment statements, rental agreements), certified true copy of passport, apostilled criminal record, health insurance certificate, ID photos.
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Opening a bank account
Opening a personal account with a Mauritian bank (MCB, SBM, AfrAsia, Absa). This account will receive the minimum transfers required by the EDB, i.e. USD 2,000 per month (or USD 24,000 per year).
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Submission to the EDB
Online application via the EDB portal with upload of supporting documents. Payment of processing fees. The file is verified and due diligence is carried out.
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Processing and approval
Processing time of 3 to 6 weeks. The EDB may request additional information. Issuance of the Residence Card valid for 10 years for the applicant and their spouse.
Real estate for retirees
Many retirees choose to complement their retirement permit with a PDS real estate investment, which provides dual residential security and an asset investment in an environment free of inheritance tax:
- Purchase possible under the PDS (Property Development Scheme) programmes from USD 375,000
- The purchase grants a separate residence permit, independent of the retirement permit
- No tax on capital gains on resale (0% capital gains tax)
- No inheritance tax -- the property is transmitted tax-free to your heirs
- Possibility of renting out the property (income taxed at the progressive scale, 0 to 35%), with a gross rental yield of 3-6%/year
- Bank financing available from Mauritian banks (up to 70% of the property's value)
Discover real estate investment in Mauritius
Our support for retirees
- Personalised tax analysis -- impact of expatriation on your overall tax situation, simulation of tax savings, review of exit tax and reporting obligations
- File preparation -- complete preparation of your permit application, verification of income proof
- Opening a bank account -- selection of the most suitable bank and assistance with opening the account
- Housing search -- identification of properties suited to areas favoured by retirees (Grand Baie, Tamarin, Flic en Flac, Trou aux Biches)
- Settling in -- administrative procedures, health insurance (local, CFE or international), driving licence, consular registration
- Annual tax follow-up -- annual filings with the MRA in Mauritius and coordination with your tax advisor in France for residual obligations