On June 10, 2019, the Hon. Prime Minister and Ministry of
Finance & Economic Development of Mauritius presented the
2019-20 Budget. In the Annex to the Budget Speech, it was indicated
that the arm's length standard in the Income Tax Act (section
75) will be revised to eliminate any doubts or uncertainty as to
its application. Among the other important measures, this was a
signal that transfer pricing will become more of a focus in the
coming years in Mauritius.
For transfer pricing professionals, this signal follows another
step taken by Mauritius in transfer pricing as Mauritius expands
its reputation as an international financial center. It came on the
back of some recent, sizeable transfer pricing assessments made by
the Mauritius Revenue Authority (MRA) and the willingness of the
MRA to take high profile cases to the Assessment Review Committee
where transfer pricing documentation, factual evidence, and the
coherent commercial rationales have been rigorously
