New budget 2025-2026 Mauritius

Mauritius’ National Budget 2025-2026 has been presented against a delicate economic backdrop, marked by high public debt and growing social and fiscal expectations. For foreign investors, expatriates, and high-end real estate buyers, this new economic roadmap naturally raises a key question: which measures will directly impact real estate investment and non-citizen taxation in Mauritius?

Mauritius, known for its fiscal stability, business-friendly environment, and exceptional quality of life, continues to attract high-net-worth international clients. This budget includes several key announcements that reinforce this direction: no property tax for foreigners, no changes to acquisition thresholds, a stable tax rate of 15%, and new mechanisms to streamline administrative procedures.

In this article, we review the 8 most important measures from the 2025-2026 Budget, with a focused analysis for investors and key players in Mauritius’s luxury real estate sector.

1. Property Investment in Mauritius: The USD 375,000 Threshold Maintained for Residency Permit

Good news for international buyers: the 2025–2026 Budget confirms the maintenance of the minimum USD 375,000 threshold for acquiring property that grants eligibility for permanent residency in Mauritius.

This threshold applies to government-approved programs such as the PDS (Property Development Scheme), IRS (Integrated Resort Scheme), RES (Real Estate Scheme), and Smart Cities. In exchange for this investment, non-citizens are entitled to a residence permit that remains valid for as long as they retain ownership of the property.

By preserving this measure, Mauritius strengthens its position as a stable destination for foreign investors, offering simplified access to tax residency while maintaining the value of luxury properties.

2. No Property Tax or New Levies for Non-Citizens

One of the most anticipated topics for foreign investors was the potential introduction of a property tax on assets owned by non-citizens. The 2025–2026 Budget provides a clear and reassuring response: no property tax is planned, neither for citizens nor for foreigners.

This stance confirms the government’s commitment to maintaining a stable, transparent, and investor-friendly tax environment—unlike many countries that have recently tightened their real estate regulations for foreigners.

Moreover, no new taxes have been introduced on property purchases by non-residents, nor on the ownership of high-end real estate. Transfer duties, notarial fees, and registration costs remain unchanged, allowing foreign buyers to preserve both their return on investment and the long-term value of their assets.

In a global market increasingly marked by fiscal unpredictability, Mauritius continues to stand out with a consistent, secure, and long-term investment-friendly approach to luxury real estate.

3. Unchanged Tax Regime: 15% Income Tax, No Wealth Tax, No Capital Gains Tax on Property

The 2025–2026 Budget reaffirms one of Mauritius’s key strengths: a simple, stable, and advantageous tax system.

The income tax rate remains fixed at 15% for both individuals and companies, with no progressive brackets. This flat tax structure offers international investors a clear and predictable fiscal framework.

Most importantly, Mauritius does not levy any wealth tax or capital gains tax on real estate. This means that an investor who sells a luxury property a few years after acquisition retains the full profit—tax-free.

This fiscal stability, combined with the absence of inheritance tax or gift tax between non-residents, makes Mauritius one of the most efficient jurisdictions for building, preserving, and transferring international real estate wealth.

4. Mauritius’ Digital One-Stop Shop: A Game Changer for Foreign Investors

The 2025–2026 Budget announces the launch of a digital one-stop shop for foreign investors in Mauritius, designed to simplify and centralize all procedures related to real estate acquisition, expatriation, and business creation on the island.

This online platform will allow for:

• – Paperless submission of residency permit applications in Mauritius

• – Registration of real estate acquired by non-citizens

• – Real-time tracking of files with relevant authorities

• – Automated tax management for expatriates and international investors

This counter meets a major expectation of wealthy customers: save time, avoid administrative complications, and secure the entire process remotely. It is a strategic lever for those wishing to settle in Mauritius, create an investment structure or acquire a high-end property in a tax-advantaged environment.

5. Infrastructure in Mauritius: a Rs 180 billion plan to enhance premium areas
Content

The Mauritian government has committed to a massive public investment plan of Rs 180 billion over 5 years, with a strong focus on strategic infrastructure: roads, water, telecommunications, sanitation, electricity networks and urban areas.

These investments will directly benefit :

• high-potential areas such as Grand Baie, Tamarin, Rivière Noire, Beau Plan and Anahita

• new-generation smart cities,

• luxury residential clusters featuring golf, private beach and premium services.

This program aims to improve accessibility, quality of life and urban sustainability, three key criteria for buyers of prestige properties and families wishing to expatriate to Mauritius in a modern, structured setting.

For international investors, this guarantees a steady increase in the value of real estate assets, in state-supported environments designed to welcome high-end customers.

6. Tax credit for electric vehicles: a strong incentive for foreign buyers in Mauritius

The Budget 2025-2026 introduces a tax credit of Rs 50,000 for the purchase of a new 100% electric vehicle in Mauritius, whether by a resident or a foreign investor holding a residence permit.

This measure is in addition to existing exemptions on customs duties and registration tax, making the purchase of an electric vehicle in Mauritius far more advantageous than in other jurisdictions.

For expatriates and international buyers wishing to settle permanently in Mauritius or acquire a villa with integrated services, this measure makes it possible to envisage combined formulas villa + clean vehicle, in an eco-luxurious approach.

At a time when more and more customers are looking for sustainable mobility solutions in fiscally attractive countries, this incentive positions Mauritius as a forward-looking, eco-friendly destination.

7. The real estate market remains restricted: access only to approved schemes for foreigners

The Budget 2025-2026 confirms a fundamental rule of Mauritian real estate: foreigners can only acquire property in schemes approved by the State, such as PDS, IRS, RES and Smart Cities, or in certain projects validated on a case-by-case basis by the EDB.

This means that it is still forbidden to buy a property in the traditional residential market, which preserves the scarcity of properties available for purchase by non-citizens and maintains a high asset value on eligible projects.

For international investors, this reinforces the security of the legal framework. And for sellers or developers operating in these regimes, it is a guarantee of differentiation and exclusive positioning.

8. Enhancing the value of sustainable real estate projects: investment leverage for eco-responsible buyers

The Budget 2025-2026 highlights a major strategic direction: greater support for sustainable and innovative real estate projects. Developers incorporating environmental criteria (energy savings, bio-sourced materials, water recovery, bioclimatic architecture) will benefit from shorter administrative timescales and specific tax breaks.

For foreign investors and expatriates looking for an eco-responsible lifestyle, this trend offers a dual opportunity: to acquire a property in line with their values, while banking on long-term value enhancement.

Projects complying with new environmental standards are gradually becoming the most sought-after on the high-end market in Mauritius. They attract a younger, more mobile clientele, who are more aware of the ecological impact of their assets.

Conclusion: Real estate, taxation, residency and investment in Mauritius – an enhanced premium framework in 2025

The 2025-2026 Budget confirms Mauritius as an exception for foreign investors, wealthy expatriates and buyers of prestige properties. In Mauritius, there is no property tax for foreigners, no wealth tax, no capital gains tax and a single flat tax of 15% on income.

The USD 375,000 threshold is maintained to obtain a permanent residence permit in Mauritius, with the possibility of acquiring a villa, penthouse or luxury apartment in an approved program (PDS, IRS, RES or Smart City). This stable legal framework attracts hundreds of investors every year in search of an advantageous, secure and internationally recognized tax environment.

Added to this are modernized infrastructures, tax incentives for electric vehicles, the creation of a one-stop digital shop to facilitate expatriation procedures, and a clear strategy in favor of sustainable and eco-responsible real estate in Mauritius.

In 2025, investing in Mauritius means :

• securing a high-end asset in a capital gains tax-free jurisdiction;

• expatriate to a tax-competitive country;

• acquire a second home in a stable tropical environment;

• benefit from a clear legal framework for non-citizens purchasing property in Mauritius;

• join an increasingly popular destination for its quality of life, political stability and low taxes.

Download the complete Budget 2025-2026 and its official annex

For full details of new tax laws, economic measures and provisions applicable to investors and expatriates, download the official documents:

These documents will give you a precise and up-to-date overview of legislative changes affecting real estate, taxation, foreigners and investment in Mauritius.