Overview
Mauritius introduced VAT on digital and electronic services through the Finance Act 2025, effective 1 January 2026. Foreign suppliers are required to register, comply and charge VAT when providing digital and electronic services to Mauritian customers from this date.
Where the foreign supplier exclusively supplies to Mauritian customers who account for VAT under the reverse charge mechanism, VAT on digital and electronic services is not applicable.
However, if the foreign service provider makes both B2B and B2C supplies, it will be required to register for VAT in Mauritius, and the reverse charge mechanism will cease to apply. The foreign supplier must then charge Mauritian VAT on all supplies.
Key provisions applicable to VAT on ESS
| Particulars | Description |
| Scope | Where aforeign suppliers provide supplies to either B2C only or to both B2B and B2C customers, the foreign supplier must register for VAT in Mauritius and charge VAT on all sales to Mauritian customers. A foreign supplier is not required to register for VAT if:
In such a case, the VAT reverse charge mechanism will apply. |
| Liability to remit VAT | The foreign supplier should pay and report the VAT. |
| VAT rate | 15% |
| Taxable value | Sales Value (exclusive of VAT) |
| Effective date | 1 January 2026 |
| VAT registration threshold | Between 1 January and 30 September 2026, there was no VAT registration threshold. However, with effect from 1 October 2026, the VAT registration threshold is MUR 3 million or more (circa USD 66,000). |
| Tax invoice | There is no particular prescribed format for invoicing that non-resident suppliers need to adhere to as they are not required to issue VAT invoices. |
Services in scope
The digital and electronic services in scope are services supplied over the internet, or an electronic network which is reliant on the internet. These services include those specified in Part III of the Tenth Schedule and comprise the following:
- Supplies of images or texts, such as photographs, screensavers and other digitized documents
- Supplies of music, films, television shows, games and programmes on demand
- Supplies of applications, software and software maintenance
- Website supply or web hosting services
- Advertising space on a website
- Online magazines
- Distance maintenance of programmes and equipment
- Commission, fee or other consideration receivable by operators of an online marketplace
Registration and compliance
A foreign supplier must register for VAT electronically via the MRA website and submit an email to registration@mra.mu with mandatory details.
Once the information has been submitted, the MRA will issue a Tax Account Number and a password to log into the online VAT registration system. After processing, the application the MRA issues a VAT Registration Number, and a confirmation notice to either the foreign supplier or their tax representative.
Thereafter, the foreign supplier is required to file either quarterly VAT returns for calendar quarters (applies to foreign suppliers whose annual taxable turnover does not exceed MUR 10 million(approximately USD 215,000)) or monthly VAT returns (applies to foreign suppliers whose annual taxable turnover exceeds MUR 10million ( approximately USD 215,000) within one month following the end of the relevant period and, concurrently, remit the VAT due in the appropriate currency in accordance with that return.
In addition to submitting the return, the foreign supplier must also provide an electronic list of taxable supplies made to any person in Mauritius. This is normally done as part of the VAT return.
Invoicing
Foreign suppliers are not required to issue VAT invoices in a prescribed format for the provision of digital and electronic services.
VAT on costs
A foreign supplier of digital or electronic services is not entitled to claim any input VAT credit.
VAT on cryptocurrency/digital assets
Currently, Mauritius does not have specific VAT rules or regulations relating to cryptocurrency-related activities or digital assets.
Other considerations
When the rules were initially introduced in January 2026, there was a requirement for non-resident supplier to appoint a tax representative in Mauritius. However, with effect from 12 August 2026, this requirement is no longer mandatory.
Electronic Invoicing
NRTSs may be required to issue electronic tax invoices for their taxable supplies in Nigeria. At a minimum, each invoice should include the following information:
- Name and Tax Identification Number (TIN) of the NRTS
- Description of the supply
- Date of the supply
- Value of the supply
- VAT charged
The e-invoicing framework applies broadly to all taxpayers making taxable supplies in Nigeria, including both resident and non-resident entities. The NRS introduced this framework to implement a real-time, technology -driven system that strengthens transaction monitoring, enhances transparency, and improves VAT compliance.
Notwithstanding the above, practical uncertainty remains regarding how NRTSs are expected to comply with the e-invoicing regime. Although the legal and policy framework suggests that non-resident suppliers fall within scope, the NRS is yet to clearly define the operational requirements applicable to such entities.
As of February 2026, the NRS has limited the mandatory e-invoicing requirement to Large Taxpayers, being entities with an annual turnover of ₦5 billion (circa USD 3.6m) and above. The NRS has not expressly excluded the NRTSs from this category. Accordingly, such entities may technically fall within scope.
In light of this uncertainty, NRTSs should proactively prepare for potential implementation. This approach positions them for operational readiness if the NRS confirms that non-resident entities fall within scope and proceed with enforcement.
We recommend that NRTSs formally engage with the NRS to obtain written confirmation that, in its capacity as a non-resident service provider, it is not currently required to comply with the e-invoicing mandate and that no penalties will arise from any non-compliance during this period.
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