Mauritius may amend tax residency certificate format

The new format to include crucial details which are necessary for compliance of Indian tax laws and availing treaty benefits

The Mauritius government is likely to issue a new format for tax residency certificate (TRC) incorporating the particulars required by the Indian government. According to people familiar with the development, the Mauritian Revenue Authority is expected to include three crucial details asked by the government for investors availing treaty benefits.  “A draft format is first likely to be published first,” said a person familiar with the development.

The new format is likely to include details such as address of the assessee, his tax identification number and the status of the entity as to whether an individual, partnership or a company. 

Companies who have been issued TRCs already may have to get these under new format.

In the Finance Act, 2012, the government had amended sections 90 and 90(A) of the Income Tax Act to make it mandatory for investors claiming treaty benefits have to share certain particulars.

In September, the government published rules that laid down the specific particulars required to be furnished by the parties claiming treaty benefits.

Ameet K Patel, partner, SKP & co said, “Mauritius government is keen to cooperate with the government on tax issues. It is keen to remove all the negative impression. That is why it has taken the initiative to change the TRC format much ahead of any other country.”