Following a meeting of the National Tax Working Group on 29 October 2021 to take stock of latest international developments, a meeting of the MBA Tax Working Group was held in 10 November 2021 to discuss the impact on the banking sector. The major reform to the international tax system implies that Multinational Enterprises (MNEs), will be subject to a minimum of 15% tax as from 2023. As per the timetable provided by the OECD, model rules to define the scope and mechanics of the Global Minimum Tax (GMT) are expected to be published by end November 2021. The MBA has already engaged with both the Central Bank and the Mauritius Revenue Authority on this issue. The MBA has also invited its member banks to conduct an initial impact assessment concerning potential implications of the GMT on their businesses as well as their internal finances.
