{"id":330595,"date":"2026-09-12T09:33:39","date_gmt":"2026-09-12T05:33:39","guid":{"rendered":"https:\/\/real-estate-mauritius.mu\/impot-revenus-locatifs-maurice\/"},"modified":"2026-09-12T09:35:33","modified_gmt":"2026-09-12T05:35:33","slug":"rental-income-tax-mauritius-2026-2027","status":"publish","type":"post","link":"https:\/\/real-estate-mauritius.mu\/en\/rental-income-tax-mauritius-2026-2027\/","title":{"rendered":"Mauritius Rental Income Tax 2026-2027: Rates and Examples"},"content":{"rendered":"

In Mauritius, an individual who lets out a property is not taxed at 15% on rental income. Net rent is added to their other taxable income and taxed under the progressive income-tax scale. The Finance Act 2026 sets the following rates for the income year beginning on 1 July 2026: 0% on the first Rs 500,000, 10% on the next Rs 500,000, 20% on the next Rs 11 million, and 35% above Rs 12 million. The 15% rate remains the corporate income-tax rate.<\/p>\n

The difference becomes material quickly. A landlord whose only taxable income in Mauritius is annual net rent of Rs 900,000 owes Rs 40,000 in tax, or 4.4% of that rent. At a flat 15% rate, the bill would be Rs 135,000. The comparison reverses above Rs 3 million of taxable income: beyond that level, the progressive scale costs more than the 15% still quoted on many websites.<\/p>\n

The rental-income tax scale from 1 July 2026<\/h2>\n

The Mauritian income year runs from 1 July to 30 June. The scale below follows section 7 of the Finance Act 2026<\/a>, Act No. 14 of 2026, published in the Official Gazette on 13 August 2026. It applies to income for 2026-2027 and subsequent years, including rental income. The wider tax measures in that Act are covered in our page on the Mauritius Budget 2026-2027<\/a>.<\/p>\n\n\n\n\n\n\n\n\n
Personal income tax in Mauritius, income year 2026-2027<\/caption>\n
Annual taxable-income band<\/th>\nRate<\/th>\nCumulative tax at the top of the band<\/th>\n<\/tr>\n<\/thead>\n
Up to Rs 500,000<\/td>\n0%<\/td>\nRs 0<\/td>\n<\/tr>\n
From Rs 500,001 to Rs 1,000,000<\/td>\n10%<\/td>\nRs 50,000<\/td>\n<\/tr>\n
From Rs 1,000,001 to Rs 12,000,000<\/td>\n20%<\/td>\nRs 2,250,000<\/td>\n<\/tr>\n
Above Rs 12,000,000<\/td>\n35%<\/td>\nRs 2,250,000, plus 35% of the amount above Rs 12,000,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Each rate applies only to the share of income that falls within its band. Crossing Rs 1,000,000 therefore does not put all income into the 20% band: only the rupees above that threshold are taxed at 20%.<\/p>\n

The 35% band replaces the Fair Share Contribution, a 15% contribution payable by individuals on the share of their income, including dividends, above Rs 12 million. It was not repealed retrospectively: it remains payable for the year ended 30 June 2026 and is paid with that year’s tax return. It no longer applies to the income year that began on 1 July 2026.<\/p>\n

Why 15% rental income tax is wrong for an individual<\/h2>\n

Mauritius applied a single 15% rate to individuals and companies for many years, and many guides still repeat that picture of a flat tax. For individuals, it has been outdated for a long time: reduced-rate bands appeared in the late 2010s, and the scale has been progressive, from 0% to 20%, since the 2023-2024 income year. In 2025-2026 it had three bands, at 0%, 10% and 20%, supplemented by the Fair Share Contribution above Rs 12 million. The Finance Act 2026 incorporates that levy into the scale as a 35% band with no end date.<\/p>\n

The 15% rate has not disappeared. It remains the standard corporate income-tax rate. Where a Mauritian company lets out a property, its profit is taxed at 15%, but that is the company’s regime, not the regime for a landlord who owns the property personally.<\/p>\n

How much tax will you pay on rental income? Worked examples<\/h2>\n

The figures below apply to 2026-2027. They assume that the landlord’s net rent is their only taxable income in Mauritius and that no dependant deduction is claimed.<\/p>\n\n\n\n\n\n\n\n\n\n\n
Tax due on net rental income, income year 2026-2027<\/caption>\n
Annual net rental income<\/th>\nMonthly equivalent<\/th>\nTax due under the scale<\/th>\nAverage rate<\/th>\nTax at a flat 15% rate<\/th>\n<\/tr>\n<\/thead>\n
Rs 480,000<\/td>\nRs 40,000<\/td>\nRs 0<\/td>\n0%<\/td>\nRs 72,000<\/td>\n<\/tr>\n
Rs 900,000<\/td>\nRs 75,000<\/td>\nRs 40,000<\/td>\n4.4%<\/td>\nRs 135,000<\/td>\n<\/tr>\n
Rs 1,800,000<\/td>\nRs 150,000<\/td>\nRs 210,000<\/td>\n11.7%<\/td>\nRs 270,000<\/td>\n<\/tr>\n
Rs 3,000,000<\/td>\nRs 250,000<\/td>\nRs 450,000<\/td>\n15%<\/td>\nRs 450,000<\/td>\n<\/tr>\n
Rs 6,000,000<\/td>\nRs 500,000<\/td>\nRs 1,050,000<\/td>\n17.5%<\/td>\nRs 900,000<\/td>\n<\/tr>\n
Rs 15,000,000<\/td>\nRs 1,250,000<\/td>\nRs 3,300,000<\/td>\n22%<\/td>\nRs 2,250,000<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

The break-even point is Rs 3 million of annual taxable income, or Rs 250,000 of net rent per month. Below it, the progressive scale costs less than 15%; above it, it costs more, and the gap rises quickly. A landlord letting a high-end villa or several apartments may reach that threshold more often than expected.<\/p>\n

The calculation also matters before buying. When comparing new developments open to foreign buyers<\/a>, assess net rent after tax rather than gross yield. And to base your calculation on a realistic rent rather than a promise, Westimmo can value and let your property in Mauritius<\/a>.<\/p>\n

If you receive other taxable income in Mauritius<\/h3>\n

The scale applies to total taxable income, not rent in isolation. A Mauritian tax resident whose taxable income already reaches Rs 1,500,000, including salary or pension, has used their 0% and 10% bands: each additional rupee of rent is taxed at 20% until income reaches Rs 12 million. Rs 600,000 of net rent therefore adds Rs 120,000 of tax.<\/p>\n

From rent received to taxable income<\/h2>\n

Tax is not charged on gross rent. The Income Tax Act treats rent as the landlord’s gross income, then permits deductions for expenditure incurred exclusively to produce that income, such as repairs or local rates and taxes relating to the property, and interest on a loan used exclusively to produce that income. The resulting net rental income is added to the year’s other income before the scale is applied.<\/p>\n

The word exclusively matters. An expense that also serves personal use of the property, or a loan that funded something other than the let property, does not meet that condition as it stands. Keep invoices, loan statements and rent receipts: they support the difference between rent received and income declared.<\/p>\n

Resident or non-resident: where rental income is taxed<\/h2>\n

Rent from property located in Mauritius is Mauritian-source income. It is taxable in Mauritius whether or not the landlord lives there. How the tax is collected depends mainly on the tenant.<\/p>\n