Loita Management Services

Loita Management Services, a part of the Loita group, offers advisory and executive services in the offshore sector in Mauritius to corporates and individual investors.  It leverages on its experience gained in numerous industries in countries spanning the globe to offer a customised and responsive service to its clients.  Its specialty is services to clients originating from or engaged in business in Africa, with trusted links to Asia (Taiwan, China, Hong Kong, Singapore etc.), Europe, the Middle East and the United States & Canada.

Personalised & Committed Service
Client Focus – Confidentiality – Integrity
Continuing Development
Being Best at What We Know Best

Our Core Services

• Incorporation of domestic companies
• Incorporation of offshore entities
• Trust and société formation and administration
• Opening & administration of bank accounts
• Occupation & Residence Permits for expatriate staff
• Fund administration & back-office operations
• Tax advice & planning

Further Defined....

 Reservations of proposed company names
 Provision of nominee shareholders
 Provision of Registered Office, Company Secretary, Resident Directors, Corporate Director and Registered Agent as required
 Tax Residency Certificate applications, tax computations, tax return filing for both expatriates and companies, monitoring of tax compliance and representation for tax assessment reviews as required
 Provision of accounting and administration services
 Monthly or quarterly management accounts if required
 Filing of changes in shareholding, directorship, auditors, registered office details, mortgages, fixed & floating charges, as required
 Preparation of Annual Returns
 Preparation of VAT and Tax Deducted at Source
 Application for advance Tax Rulings in Mauritius
 Preparation of Board & Shareholders Meetings, Minutes and Resolutions and attendance at same
 Maintenance of Registers, Minutes, Shareholders, Secretaries,  Directors & Interests
 Maintaining accounting records
 Liaison with client and third parties e.g. bankers, auditors & legal advisors
 Employee benefits advisory services
 Ensuring regulatory compliance at all times

Mauritius and the Global Business Financial Services Sector

The offshore sector in Mauritius commenced operations in 1992 and currently is home to more than 16,000 companies and trusts with more than 12 banks offering services to both the local and offshore sectors. The Financial Services Commission, established in 2001, is responsible for licensing and regulation of non-banking financial services including insurance and the stock exchange.
In June 2001, a New Economic Agenda (NEA) was designed to act as a set of policy guidelines that would lead Mauritius to become a 'high-tech and high income service and knowledge economy' in a five-year period. The NEA focuses on improving competitiveness; investing in human capital; preserving the environment; and modernizing economic management.

Corporate Governance

In October 2003, the 'Report on Corporate Governance for Mauritius,' commonly known as the Code of Corporate Governance for Mauritius, was launched.  In order to enhance investors' confidence in the financial reporting of firms, the Financial Reporting Bill was passed in 2004 to regulate the reporting of financial matters in Mauritius.  Under this legislation, the Financial Reporting Council was established as a regulatory body with the responsibility of enforcing accounting and auditing standards and codes.  At the same time, the Mauritius Institute of Professional Accountants was founded. Foreign exchange has been liberalized and capital profits and dividends can be freely repatriated.

In 2001, the Mauritian government set up the Board of Investment (BOI), a specially empowered authority, whose objectives are to promote and facilitate investment on the island.  The BOI acts as a one-stop shop for foreign investments in Mauritius.

Features

As a strategic offshore international financial services centre, Mauritius offers:
 Bilingual population(English and French)
 Legal system based on English and French law
 The Privy Council Judicial Committee in the UK as the final court of appeal
 International-standard Stock Exchange
 International banking with no exchange control
 Excellent telecommunications digital network with connection to SAFE cable
 Privacy regulated and governed by the Financial Services Act of  ’07, covering inquiry into drug and arms trafficking and money laundering

And Mauritius is:
 A member of SADC, COMESA and IOR-ARC
 A signatory of the LOME convention and AGOA
 An active promoter and adherent to various IPPA’s
 An active co-operator with OECD, FATF and the UN

Whilst taxation in the offshore of Mauritius offers the following benefits:
 Double Taxation Treaties with more than 33 countries
 Attractive taxes within the offshore sector  where the effective rate of 3%or lower is applied  using the mechanism of presumed foreign tax credit of 80% on foreign source income
 Exemption with respect to withholding tax on dividends paid out of income from approved global business activities
 Exemption on withholding tax on interest payable on dividends & royalties on payments from Mauritius
 Exemption with respect to Capital Gains & Inheritance Tax and Estate Duties
 Full exemption from tax for offshore companies incorporated as Category 2 companies

And in the domestic market:
 Unified taxes on the domestic market at 15% for both corporates & local resident individuals
 Tax holidays for domestic companies licenced under some specific schemes such as the Freeport Development Act, etc.

Global Business Companies

Qualified offshore business within Mauritius is defined as a corporation holding a Category 1 or 2 Global Business Licence, with the all of its revenue being derived from outside of Mauritius.  These companies are governed by the Companies Act 2001, incorporated with the Registrar of Companies and regulated by the Financial Services Commission.

Approved Activities include:
 Consultancy services
 Trading
 Investment Holdings
 Operational headquarters
 Employment Services
 Financial Services
 Asset Management
 ICT Services
 Fund Management, including pension funds
 Franchising
 Insurance
 Asset Management
 Aircraft financing and leasing
 Shipping and ship management
 Logistics
 Other such business as approved by the FSC

Global Business Companies Licence 1 (GBLC1)
• Recommended for those wishing to benefit from the provisions in the Double Taxation Treaties.
• Recommended for corporate bodies, trusts, individuals, sociétés, partnerships (incl. limited liability) and active profile business
• Can be structured as a Protected Cell Company

Requirements & Features of a GBLC1
• Management company serves as local manager of entity, whilst chairing and initiating board meetings from Mauritius
• No business dealings with Mauritians permitted unless and with the approval of the relevant authorities
• Local company and local bank account
• One resident director (two if tax residency is sought)
• No minimum capital requirement (other than some activities)
• Maintenance of accounting records in Mauritius
• Annual filing with relevant authorities including annual audit
• Corporate and/or individual shareholder to be disclosed to the FSC
• Occupation Permits available to shareholders and employees

Requirements & Features of a GBLC2
• A tax exempt company
• Cannot benefit from tax residency in Mauritius
• Employment of expatriates is not permitted
• Available to non-resident investors only
• May not raise capital from the public
• May not own any interest in immovable property within Mauritius
• Requires a resident agent and office at all times
• Single director permitted
• Single shareholder permitted, disclosure of which is only required to management company and to bank if a local bank account is used
• Available only for private companies
• May be locally incorporated or registered as a branch of a foreign company
• May not provide financial or fiduciary services in any collective investment scheme or investment fund
• May be limited by shares or guarantee or both or may be simply unlimited

Trusts

Trusts set up under the Trusts Act 2001 provide an effective and legitimate means of sheltering assets.  The legal rights of the settlor (the party settling the assets) are vested in the Trustee/Trustees.  The Trustee then legally administers all the assets of the Trust for the benefit of the Beneficiary/ies.  The Trustee administers the trust under the Mauritius Trust Act 2001 and in accordance with the terms of the trust deed.

Various types of trusts may be set up by residents and non residents in Mauritius, such as charitable, asset protection, discretionary, purpose and trading trusts, but in all cases with the details being clearly defined – its object, subject and intention. 

Registration of the trust is optional.  Flexibility is provided under the Trusts Act in terms of determining the governing law applicable to a trust.  Accumulation of income for any period within the duration of the trust is also possible.  With regards to trusts set up by non- citizens, the forced heirship rule does not apply. 

Tax Resident Trusts
 A trust is resident for tax purposes and is taxed at the flat rate of 15%.
 A trust may make use of the DTT.
 A trust may carry on global business after obtaining a Category 1 Global Business Licence
 A trust holding a GBLC1 licence will be entitled to the tax credit available thereby being taxed at an effective rate of 3% or lower
 The trust vehicle is important for the long term management of wealth and may span several generations.
 Strict confidentiality lies with the Trustee(s) and is maintained by the management company, and the disclosure of any information or documents is only authorised to legally-entitled persons.
Non-Resident Trusts
 A non-resident trust will be exempt from income tax only if a declaration of non-residence to the relevant authorities has been made within 3 months after the expiry of the income year.

Mauritius and Other Investment Opportunities
Mauritius is committed to providing an internationally recognized financial services centre offering competitive and sustainable services and products. Concurrently, Mauritius has provided exciting new developments in the real estate and property development market from which potential investors can further develop their business in or through Mauritius. 
Commencing business in Mauritius is now a hassle-free process with the systems set up to provide Work Permits (called Occupation Permits) or the corresponding Permit eg. Self-Employed; Investor or Retired within the briefest delay provided all the relevant documentation is in place.

For further information or assistance, please contact:

Mrs Kim Gueho or Mr Shanil Ramtohul
Loita Management Services
1/F River Court, 6 St Denis Street, Port Louis, Mauritius
Tel.: (230) 208 9022   Fax:  (230) 208 9033
Email:  loitags@intnet.mu    Website: www.loita.com

Loita News

Interview at the recent ETTG Conference, Brussels, 28th October 2013

http://youtu.be/0WphPIDUL5c

UNECA invites Loita to its ad-hoc group meeting on State of Private Equity in Africa, Oct 2013

IGD's Leadership Council welcomes prominent African CEOs

HRH Commonwealth Study Conferences - Participant Mr Justin Chinyanta

Loita Management Services provides advisory and administrative services to GBOT members

Loita's work in bringing banking to underserved segments of African countries Justin Chinyanta nominated one of the CEO's of "Frontier 100"

 


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