Mauritius or United Arab Emirates: where should you start a business?
The United Arab Emirates ranks higher in the index, 01 against 12. Which suits you depends on where the owners live, what the company is for and how it will be run.
Pillar by pillar
Doing business, side by side
Tax
Companies pay 15%, with an 80% partial exemption on specified foreign income where substance requirements are met. VAT is charged at 15%.
Profits up to AED 375,000 are taxed at 0%. In a free zone the 0% rate reaches qualifying income only, and VAT is charged at 5%.
Set-up
The Registrar charges Rs 3,200 to incorporate a Global Business Company and Rs 18,000 a year, plus licence fees. No minimum capital is stated.
Set-up typically costs AED 10,000 to 50,000 in total, depending on mainland or free zone, the activity and any licences. Capital must be fully paid at incorporation.
On the ground
A Global Business Company needs at least two resident directors, a secretary and a licensed management company to administer it.
A mainland company needs no resident director or secretary, but it must appoint an auditor. Free zone requirements vary from one zone to another.
Ownership
Access to beneficial ownership information is limited to the authorities. The information is not available to the public.
The beneficial ownership register is open to the authorities only. Each company must name a UAE-resident individual as the contact for its register.
Residence
The Investor Occupation Permit requires US$100,000 transferred from abroad and a business plan. It is valid for 10 years, and dependants are eligible.
An investor or partner can hold a five-year green residence visa on the trade licence. A ten-year golden visa needs capital or a partner's share of AED 2 million.
Living and working
Currency
Mauritian rupee.
UAE dirham, pegged to the US dollar.
Time zone
UTC+4.
UTC+4.
Personal tax
Income tax bands of 0%, 10% and 20% under the Finance Act 2026. No capital gains, inheritance, gift or wealth tax.
The UAE does not levy income tax on individuals.
Flights
Air Mauritius flies direct to 13 destinations, including London Gatwick (12 hours 40 minutes, five days a week).
Dubai International served 217 destinations in 99 countries at the end of H1 2026; London is 6 hrs 50 mins by British Airways.
Language
English is the language of the Assembly and the Supreme Court; French can also be used in the Intermediate and District Courts.
Arabic is the official language; English is allowed in some Dubai Courts circuits, and the DIFC Courts sit in English.
Mauritius vs United Arab Emirates: common questions
Mauritius: Companies pay 15%, with an 80% partial exemption on specified foreign income where substance requirements are met. VAT is charged at 15%. The United Arab Emirates: Profits up to AED 375,000 are taxed at 0%. In a free zone the 0% rate reaches qualifying income only, and VAT is charged at 5%.
Mauritius: The Registrar charges Rs 3,200 to incorporate a Global Business Company and Rs 18,000 a year, plus licence fees. No minimum capital is stated. The United Arab Emirates: Set-up typically costs AED 10,000 to 50,000 in total, depending on mainland or free zone, the activity and any licences. Capital must be fully paid at incorporation.
Mauritius: A Global Business Company needs at least two resident directors, a secretary and a licensed management company to administer it. The United Arab Emirates: A mainland company needs no resident director or secretary, but it must appoint an auditor. Free zone requirements vary from one zone to another.
Mauritius: Access to beneficial ownership information is limited to the authorities. The information is not available to the public. The United Arab Emirates: The beneficial ownership register is open to the authorities only. Each company must name a UAE-resident individual as the contact for its register.
Mauritius: The Investor Occupation Permit requires US$100,000 transferred from abroad and a business plan. It is valid for 10 years, and dependants are eligible. The United Arab Emirates: An investor or partner can hold a five-year green residence visa on the trade licence. A ten-year golden visa needs capital or a partner's share of AED 2 million.
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