There are various types of trusts which can be set up such as:
- Protective or spendthrift trust
- Charitable trust
- Purpose trust
- Discretionary trust
The duration of a trust other than a purpose trust shall not exceed ninety nine years from the date of its coming into existence, unless it is earlier terminated. Trustees have a strict duty of confidentiality as imposed by the Trust Act 2001.
They have a duty to keep confidential and unless ordered by the Court of Judge in Chambers, they are not allowed to disclose information or documents relating to a trust to any person not legally entitled to it.
- Registration a trust is optional
- Possibility to appoint a protector and/or Enforcer
- Choice of foreign laws as proper law of Trust
- Possible to have custodian trustee
- Anti forced heirship rule exists
- Possible for tracing of trust assets in case of breach of trust
- May accumulate all or part of the income of the trust for a period not exceeding the maximum duration of the trust
From a tax perspective, there is a flexibility of election as either a resident or a non-resident trust. Where the trust opt to be resident in Mauritius, it will be taxed at 15% after distribution and may benefit from the extensive treaty network.
A trust can also apply for a GBC 1 license.