Mauritius and Austria sign Tax Information Exchange Agreement

The Government of Mauritius and the Federal Government of Austria signed yesterday a Tax Information Exchange (TIE) Agreement in Port-Louis which lays the groundwork for both countries to embark on new avenues of economic cooperation.

The signatories were the Minister of Finance and Economic Development, Mr Vishnu Lutchmeenaraidoo and the Ambassador Extraordinary and Plenipotentiary of the Federal Republic of Austria, Mrs. Brigitte Oppinger-Walchshofer.

The agreement with Austria is the 10th TIE that Mauritius is signing with a view to help the country best capture the benefits of what globalisation can offer to an upper-mid-income economy like Mauritius. Government is currently exploring new strategic alliances with partner countries and in this context, Mauritius is looking at new possibilities to develop economic and business ties with Austria.

The agreement will help establish new air links between the two countries.  Austrian Airlines will start a weekly service to Mauritius as from the month of October 2015 which will help unlock new openings for tourism and business travel, given that there are currently no direct flights between the two countries.

The coming into operation of the TIE Agreement will also help expand the space for business ventures between Austria and Mauritius. It will facilitate investments and trade within a framework of exchange of information between the respective Tax Authorities, raising the level of compliance and disclosure in business transactions that take place along the bilateral route.

In his address, Minister Lutchmeenaraidoo, underlined that the TIE Agreement with Austria testifies Government’s commitment and readiness to collaborate with countries in the area of exchange of information. He emphasised the importance that Mauritius attaches to the good reputation of its International Financial Centre.  The country has been consistently taking measures to improve the level of disclosure, compliance and substance of entities that use our jurisdiction to conduct international business, he added.

Minister Lutchmeenaraidoo also renewed the assurance that Mauritius is one of the world’s most transparent International Financial Centre and that the perception that the country is a fiscal paradise is not correct. He further said that the Government is committed to ensuring transparency at all levels.

For her part, the Ambassador of Austria, Mrs. Brigitte Oppinger-Walchshofer, pointed out that the new air links as established under the TIE will bring new opportunities for the tourism industry in Mauritius as they will also help capture new markets in neighbouring countries such as Hungry and Slovakia. According to her, the TIE will also help in investments prospects between the two countries. On this score, she added that some Austrian groups have already expressed interests to do business in Mauritius.