“Synopsis”
Dubai’s real estate market continues to attract global investors and Mauritian residents are no exception. With tax-free returns, full foreign ownership, and long-term residency options, Dubai offers a compelling opportunity. But what are the legal and tax implications for Mauritian citizens investing in Dubai? This blog breaks down the key rules, benefits, and compliance steps for Mauritian investors in Dubai real estate.
1. Can Mauritian Residents Legally Invest in Dubai Property?
Yes—Mauritian citizens and residents can legally purchase freehold property in Dubai. The UAE allows 100% foreign ownership in designated zones such as:
- Dubai Marina
- Palm Jumeirah
- Downtown Dubai
- Jumeirah Village Circle (JVC)
- Dubai Hills Estate
Ownership is registered with the Dubai Land Department (DLD), and buyers receive a title deed in their name. Residency in the UAE is not required to invest.
2. Legal Framework in Dubai for Foreign Investors
Dubai’s property market is regulated by:
- Law No. 7 of 2006 (Real Property Registration Law)
- Real Estate Regulatory Agency (RERA)
- Escrow Law for off-plan projects
- Dubai Land Department (DLD) for title registration
These laws ensure transparency, protect buyer rights, and regulate developers. All off-plan payments must go into escrow accounts, and only RERA-approved developers can launch projects.
3. Taxation: Mauritius vs. Dubai
Dubai offers a zero-tax environment:
- No capital gains tax in Dubai
- No income tax on rental income
- No annual property tax
- No inheritance tax
However, Mauritian tax residents must report global income to the Mauritius Revenue Authority (MRA), including:
- Rental income from Dubai
- Capital gains on property sales
- Foreign bank accounts and assets
Mauritius and the UAE signed a Comprehensive Economic Partnership Agreement (CEPA) in 2024, which strengthens trade and investment ties and may offer tax relief under a Double Taxation Avoidance Agreement (DTAA).
4. Currency Transfer and Compliance
Mauritian investors can transfer funds to Dubai via:
- SWIFT transfers
- Licensed remittance services
- Mauritian banks with UAE partnerships
There are no foreign exchange restrictions in the UAE. However, Mauritian residents must:
- Declare offshore holdings
- Report income in MUR
- Maintain documentation for audits
5. Buying Through a Mauritius-Based Entity
Mauritian investors can also invest via:
- Mauritius Global Business Companies (GBCs)
- Mauritius Investment Funds regulated by the Financial Services Commission (FSC)
These structures offer:
- 3% effective tax rate under the Deemed Foreign Tax Credit system
- No capital gains tax in Mauritius
- No withholding tax on dividends or interest
6. Visa Options for Mauritian Property Investors
a. UAE Golden Visa
Invest AED 2 million+ in real estate to qualify for a 10-year renewable residency. Benefits include:
- Family sponsorship
- No local sponsor required
- 100% business ownership
- Access to UAE banking and healthcare
b. 3-Year Investor Visa
For properties worth AED 750,000–2 million. Renewable and includes family sponsorship.
7. Legal Process of Buying Property in Dubai
The steps include:
- Choose a property in a freehold zone
- Sign a Memorandum of Understanding (MoU)
- Pay a 10% deposit
- Obtain a No Objection Certificate (NOC)
- Register the deal with the DLD
- Receive your title deed
The process typically takes 2–4 weeks.
8. Inheritance and Estate Planning
Dubai follows Sharia law by default. To ensure your property is passed on according to your wishes:
- Register a will with the DIFC Wills Service Centre
- Appoint beneficiaries and guardians
- Consult a cross-border estate planning expert
9. Popular Areas for Mauritian Investors
- Dubai Marina – High rental demand
- Palm Jumeirah – Luxury beachfront living
- JVC – Affordable, high-yield apartments
- Dubai Hills Estate – Family-friendly villas
- Downtown Dubai – Premium capital appreciation
10. Final Legal Tips
- Work with RERA-certified agents
- Choose escrow-protected developers
- Keep records for MRA reporting
- Understand foreign exchange rules
- Get legal advice on cross-border taxation
Conclusion
Dubai offers Mauritian investors a rare combination of tax-free returns, full property ownership, and residency options—all within a globally connected, investor-friendly environment. With the right legal guidance and financial planning, investing in Dubai real estate can be a powerful move toward long-term wealth and lifestyle freedom.
