The recent years have seen an increase in the number of citizens emigrating from South Africa to Mauritius. As we help people move to Mauritius, we thought we would provide some insight as to why Mauritius has become such a hot spot for South Africans to relocate to.
South Africa is a beautiful country in its own right, and its citizens are not just moving from one beautiful country to another. There is a lot more to it than meets the eye. Mauritius’s stunning beaches and crystal blue waters are not the only consideration for South Africans to move.
According to the report done by the Africa Organised Crime Index, South Africa has a criminality score of 2.12 points higher than Mauritius. This makes South Africa the highest in Southern Africa, and the fifth highest in the whole of Africa. These statistics are quite alarming and definitely play a factor for most of the people emigrating.
The South African taxing system is incredibly high, which leads to a lot of unrest and anger amongst its citizens. Those who earn a good salary will end up paying more than half of their annual salary to the South African Revenue Services (SARS) at a rate of 45% for individual tax and companies are taxed at 28%.
This is just on income tax; there are still other taxes, such as Value Added Taxation (VAT) and Capital Gains Tax (CGT), making it harder to make a good living in SA.
By comparison, Mauritius has long been known for being a tax haven with its low rates. There is a standard 15% for individuals and companies tax.
To provide an illustrative example, if you earned R10 million in a year in SA, you would pay R4.5 million (individual tax) or R2.8 million (company tax) as opposed to Mauritius, where you would only pay R1.5 million irrespective of individual or company. This is a definitive factor in those moving. Imagine working extremely hard just for the tax man to take half of your salary!
At Move To Mauritius, we have extensive experience helping people with emigrating from South Africa to Mauritius. If you want to move to Mauritius, contact us today to book an appointment and get the process started!