The Global Business Corporation (GBC) is classified as an offshore corporation and resident in Mauritius for tax purposes.

A GBC can benefit to a 80% tax exemption on certain revenue streams and access to the Mauritius network of Double Taxation Avoidance Agreements (DTAA).

If the GBC holds a Tax Certificate, it can benefit from the network of Double Taxation Agreements, which makes it a cost-effective corporate medium for international tax planning. Mauritius has signed Double Taxation Agreements with many countries in Africa, Europe and Asia.

Moreover, although the rate of tax for GBC stands at 15%, it can benefit from a partial exemption regime whereby 80% of the income streams will be debarred from tax, subject to meeting substance requirements.

The revenue streams that can benefit from the 80% partial exemption regime are:

• Foreign source dividend, provided that it has not been allowed as deduction in source country – Income derived by a Collective Investment Scheme, Close End Funds, CIS manager, CIS administrator, Investment Adviser or Asset Manager.
• Income derived by companies engaged in ship and aircraft leasing.
• Income derived by a company from reinsurance and reinsurance brokering activities.
• Income derived by a company from leasing and provision of international fibre capacity.