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Self Employed

 

  1. Who

    Self-employed people is a person who works for himself/herself instead of an employer, but drawing income from a trade or business that they operate personally.

    For further information,please refer to Guide on Starting Business

     

  2. Due Dates

    The Current Payment System(CPS)for self employed people is on a quarterly basis:

    In respect of CPS quarter Due date for submission of CPS Statement and payment of tax
    1 Jan to 31 March 30 June
    1 April to 30 June 30 september
    1 July to 30 September 2 days, excluding Saturdays and public holidays, before the end of December

    No need to submit for the 4th quarter, since taxpayer is required to submit Annual Return on 31 March.

     

  3. Obligations for Submission of CPS

    A CPS Statement of Income should be submitted to the Director General, MRA by every individual deriving business income (Including Income from Profession, Vocation or Occupation) and rental Income in a CPS quarter where the gross incomefalling under CPS exceeds Rs 2 million per annum. 

  4. Rate of tax payable under CPS 

    The Chargeable Income of a quarter is taxed at the rate of 15%

     

  5. Penalty & Interest
    • Late/Non-Submission :

      Rs2000 per month or part of the month up to a maximum of Rs6,000 payable.

    • Late/Non-Payment :

      Late Payment of tax carries a penalty of 5% of the amount of tax unpaid and interest at the rate 1% per month.

     

TDS - Tax Deduction at Source (6th schedule section 111c of Income Tax Act)

Tax has to withhold by any person,other than an Individuals as per table below:

 

Amount or sum made available to the payee by way of -

Rate of Tax

(%)
1. Interest payable to a non-resident 10

2. Royalties payable to -

(a) a resident

(b) a non resident

10

15

3. Rent

 5

4. Payments to contractors and sub contractors

 0.75

5. Payments to providers of services as specified in the Fifth Schedule

 3

6. Payment made by Ministry, Government department, local authority, statutory body or the Rodrigues Regional Assembly on contracts, other thanpayments to contractors and sub-contractors and payments to providers of services specified in the Fifth Schedule -

 

 (a) for the procurement of goods and services under a single contrac, where the payment exceeds 300 000 rupees

 1

 (b) for the procurement of goods under a contract, where the payment exceeds 100 000 rupees

 1

 (c) for the procurement of services under a contract, where the payment exceeds 30 000 rupees

 3

 7. Paymentmade to the owner of an immovable property or his agent pursuant to Section 111B(g)

 5

 8. Payments made to a non resident for any services in Mauritius pursuant to Section 111B(h)

 10

 

The Tax withheld shall be remitted to the Director General of the MRA within 20 days from the end of the month in which the deduction was made.

For further information on TDS - See TDS Guide and Questions & Answers on TDS

 

  1. Annual Return

    Taxpayer should submit an Annual Return

    Due Date for submission of Return and for payment is 31 March following the Income Year ending 31 December.