DTAA between Hong Kong and Mauritius: Increasing cross-border investment flows

A free trade agreement between Mauritius and the Hong Kong Special Administrative Region of the People’s Republic of China was signed on 14 September 2022 in Mauritius and on 7 November 2022 in Hong Kong. This agreement, which is fully compliant with the Erosion and Profit Shifting (BEPS) minimum standards, was concluded in March 2022. The Double Taxation Avoidance Agreement (DTAA) aims to eliminate double taxation of income generated by cross-border transactions and provide greater tax certainty for investors. It will specify the taxation rights of Mauritius and Hong Kong on all forms of income from these activities between the two countries.

Mauritian businessmen and investors looking for opportunities in Hong Kong will benefit from this agreement as well as Hong Kong businessmen and investors looking for opportunities in Mauritius. In fact, the agreement will not only encourage increased cross-border investment flows and strengthen economic relations between Mauritius and Hong Kong, but it will also improve bilateral cooperation and combat tax evasion and evasion. The DTAA will enter into force after both parties have completed their internal ratification procedures.