Official Notice: Financial Support to Enterprises – Payment of Special Allowance 2024
The Mauritius Revenue Authority (MRA) has issued an official notice regarding the disbursement of a government-supported financial aid to eligible enterprises for the year 2024. This initiative aims to provide targeted financial relief to certain categories of employers affected by recent legislative changes, notably the increase in the National Minimum Wage scheduled for January 2024. This document outlines the objectives, eligibility criteria, application procedures, and compliance requirements associated with the Special Allowance 2024 scheme.
Purpose and Scope of the Notice
The primary objective of this notice is to inform eligible employers about their responsibilities in accessing and implementing the Special Allowance 2024. The scheme is designed to support enterprises in managing the financial impact of the wage increase and to ensure that workers receive the appropriate allowance as mandated by government policy. The notice clarifies the process for applying for the financial support, the obligations concerning the payment of the allowance to employees, and the reporting requirements to the MRA.
This communication is targeted at employers operating within specific sectors and size categories, namely Export Oriented Enterprises (EOEs) and Small and Medium Enterprises (SMEs), with an annual turnover not exceeding Rs100 million. It emphasizes the importance of compliance and transparency in the disbursement and reporting of the allowance, which is subject to taxation under the PAYE system.
Eligibility Criteria and Support Details
According to the official communication, the financial support is available to:
- Export Oriented Enterprises (EOEs);
- Small and Medium Enterprises (SMEs) with an annual turnover not exceeding Rs100 million.
Eligible employers will receive a support amount that can be up to 50% of the Special Allowance paid to their full-time employees. The exact quantum of support depends on the impact of the wage increase and related legislative adjustments on the employer’s accounting profit for the assessment year 2023/2024. The scheme aims to mitigate the financial burden on employers while ensuring workers benefit from the wage adjustment.
Application Process and Reporting Obligations
Employers wishing to benefit from this scheme must access the dedicated online portal available on the official MRA website. To do so, they will need their Employer Registration Number (ERN) and password, which are tied to their account on the government’s digital platform. The application process involves:
- Logging into the MRA portal at www.mra.mu using the employer’s credentials;
- Submitting a “Special Allowance 2024” return after each payment period, indicating the details of the allowance paid to each employee;
- Ensuring that the return is submitted within the month following the payment.
For employers making monthly installments of the allowance, separate returns are required for each month. Once the MRA processes the submitted returns, the financial support will be credited directly into the bank accounts specified in the application.
Taxation and Compliance Considerations
It is important for employers to note that the Special Allowance paid to employees in any given month will be subject to income tax under the PAYE system and will be included in the taxable emoluments for that month. However, the allowance will not be subject to the Contribution Sociale Généralisée (CSG). Employers are advised to incorporate these considerations into their payroll and tax planning to ensure compliance with applicable fiscal regulations.
Additional Information and Support
Further details regarding the eligibility criteria, calculation of the financial support, and procedural instructions are available on the MRA official website. Employers requiring clarification or assistance can contact the MRA Helpdesk during working hours at the provided telephone number.
This initiative underscores the government’s commitment to supporting enterprises and workers during a period of significant legislative change. Proper adherence to the outlined procedures will facilitate timely disbursement of the support and ensure compliance with statutory obligations.
