THE OVERSEAS FAMILY OFFICE SCHEME
The Overseas Family Office Scheme caters for the domiciliation of high net worth single family and multifamily offices, characterised by two licences under the scheme respectively. The scheme is regulated by the Financial Services Commission and the licences are governed by the Financial Services Act and consequential secondary rules.
Mauritius is already well known as a destination for trusts and estate planning. Supporting legislation in this respect include The Trusts Act 2001 and The Foundations Act 2012. As we embark on a new strategy to further enhance our position as a wealth management destination, it becomes essential to analyse and identity any lacking in the current legislation and products available.
OVERSEAS FAMILY OFFICES:
Under the Overseas Family Office Scheme, families will be able to hold international assets and funds.
To be eligible for a licence, each family will be required to domicile and actively manage a prescribed minimum investible and liquid wealth base of USD 5 Million. The family office would also be required to maintain, at all times, its physical establishment in Mauritius, as well as, other substance requirements as enumerated later in this document.
- Corporate tax residency in Mauritius
- Work and live permit for immediate family members in Mauritius
- Tax holidays for 5 years for income derived by the Overseas Family Office (corporate tax)
- Eligibility to acquire immovable properties in Mauritius
THE RESIDENT PERMIT
- Residence permit granted upon licensing of the family office
- Spouse, children up to the age of 24 and common-law partner, are also eligible to apply for a residence permit
- For an individual to be considered as a ‘resident’ for tax purposes, there is a requirement for a minimum stay 183 days per calendar year in Mauritius
- Part 1 Second Schedule of the Financial Services Act 2007, and rules made under the Act.
- The legislation provides for the licensing, regulation and supervision of family offices in Mauritius.
An Overseas Family Office may be constituted as:
- a)A company limited by shares;
- b)A company limited by guarantee;
- c)A Societe;
- d)A trust;
- e)A Limited Liability Partnership;
- f)A protected cell Company
- g)In any other legal form approved by the Commission.
MINIMUM EMPLOYMENT OTHER REQUIREMENTS
Single family office
- A Minimum of 1 professional resident
- Asset under management of more than USD 5 Million; and physical office in Mauritius
Multi Family Office
- A minimum of 3 professional residents, including a fund/asset manager
- Asset under management of more than USD 5 Million for each family; and physical office in Mauritius.
Source: Financial Services Promotion Agency (FSPA)