In a past edition of our newsletter issued in July 2017, we informed our valued clients that Mauritius signed the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (here under referred to as the “MLI") on 5 July 2017. On 18 October 2019 Mauritius deposited its definitive instrument of ratification of the MLI, a copy of which can be accessed here.

The MLI is an instrument used for warding off Base Erosion and Profit Shifting through the implementation of the tax treaty-related measures in those Double Taxation Avoidance Agreements (“DTAAs") that have been identified as Covered Tax Agreements (“CTA") in a synchronised and efficient manner. These measures are aimed at preventing treaty abuse, improving dispute resolution, preventing the artificial avoidance of permanent establishment status and neutralising the effects of hybrid mismatch arrangements.

Click here to read the full article