Section 111ZB: Anti-avoidance provisions

111ZB. Anti-avoidance provisions The anti-avoidance provisions of Part VII shall apply in all respect to the levy payable under section 111Z. (d) in section 131AA – (i) in subsection (1), by deleting the words “section 93, 111K or 123B (5)” and replacing them by the words “section 93, 111K, 111Z (5) or 123B (5)”; (ii) by repealing subsection (3) and replacing it by the following subsection – (3) Where an employer who has made an objection under subsection (1) has not, for the relevant year, submitted the Return of Employees, return under section 112, 116 or 119 or statement, as the case may be, he shall, within 28 days of the date of the claim, submit the Return of Employees, return or statement, as the case may be. (iii) in subsection (7), by deleting the words “the penalty” and replacing them by the words “the levy and penalty”; (e) in section 131B, in subsection (8A)(a), by deleting the words “penalty charged under section 93, 111K or 123B (3)” and replacing them by the words “levy or penalty charged under section 93, 111K, 111Z (5) or 123B (3)”; (f) by inserting, after Part XIIA, the following new Parts – PART XIIB – WAGE ASSISTANCE SCHEME 15OB.Wage Assistance Scheme (1) In this section – “COVID-19” means the disease caused by the virus known as novel coronavirus (2019-nCoV); “eligible employee” – (a) means an employee employed on a part-time or full- time basis – (i) by an employer deriving gross income from business; (ii) by a charitable institution approved by the Director-General or registered under the Registration of Associations Act, charitable trust or charitable foundation; or (iii) by such other category of employer as may be prescribed; and (iv) whose basic salary or wage for the month of March 2020, April 2020, May 2020 or such other month as may be prescribed, does not exceed 50,000 rupees; but (b) does not include – (i) an employee employed by a Ministry, a Government department, a local authority, a statutory body or the Rodrigues Regional Assembly; (ii) an employee employed by such category of employer as may be prescribed; or (iii) such category of employees as may be prescribed; “export manufacturing enterprise” has the same meaning as in the National Savings Fund Act. (2) Subject to this Part, the Director-General shall, in respect of every eligible employee, pay to his employer – (a) an allowance equivalent to 50 per cent of the basic salary or wage of that employee for the month of March 2020; (b) an allowance equivalent to the basic salary or wage of that employee for the month of April 2020 where the main business activities of the employer are carried out in the island of Mauritius; (c) an allowance equivalent to 50 per cent of the basic salary or wage of that employee for the month of April 2020 where the main business activities of the employer are carried out in the Island of Rodrigues or Island of Agaléga; (d) an allowance equivalent to the basic salary or wage of that employee for the month of May 2020 where the main business activities of the employer are carried out in the island of Mauritius; (e) such other allowance, and for such other month, and for such categories of employers or employees, as may be prescribed. (3) The maximum allowance payable under subsection (2), in respect of every eligible employee shall – (a) for the month of March 2020, be 12,500 rupees; (b) for the month of April 2020 – (i) be 25,000 rupees, where the employee is employed in the Island of Mauritius; or (ii) be 12,500 rupee ain business activities of the employer are carried out in the island of Mauritius; (e) such other allowance, and for such other month, and for such categories of employers or employees, as may be prescribed. (3) The maximum allowance payable under subsection (2), in respect of every eligible employee shall – (a) for the month of March 2020, be 12,500 rupees; (b) for the month of April 2020 – (i) be 25,000 rupees, where the employee is employed in the Island of Mauritius; or (ii) be 12,500 rupees, where the employee is employed in the Island of Rodrigues or the Island of Agaléga; (c) for the month of May 2020, be 25,000 rupees; (d) for such other period as may be prescribed, be such amount as may be prescribed. (4) An application for the allowance under subsection (2), in respect of each month, shall be made electronically to the Director- General, which shall be accompanied by the following information – (a) the number of eligible employees; (b) the aggregate basic wage or salary of all eligible employees; (c) the amount of allowance to be paid in respect of all eligible employees; (d) such other information as he may require. (5) An application under subsection (4) shall be made – (a) within a period of 3 months from the end of the month to which it is related; or (b) within a period of 2 months from the date the COVID-19 period lapses, whichever is the earlier. (6) The Director-General may make – (a) a provisional payment of the allowance payable under subsection (2) on the basis of the information provided by the employer in his application under subsection (4) and the return submitted by him under section 17AA of the National Pensions Act for the month of January 2020; and (b) an additional payment of the allowance payable under subsection (2) on the basis of the information provided by the employer in his application under subsection (4) and the return submitted by the employer under section 17AA of the National Pensions Act for the month of March 2020, April 2020, May 2020 or such other month as may be prescribed. (7) The Director-General may determine the allowance payable under subsection (2) on the basis of the information provided by the employer in the return submitted, on or before 23 March 2020, under section 17AA of the National Pensions Act for the month of January 2020, where – (a) an amended return has been submitted after 23 March 2020, under section 17AA of the National Pensions Act for the month of January 2020; or (b) the return submitted for the months of March 2020, April 2020, May 2020 or such other months as may be prescribed includes an eligible employee who was not included in the return for the month of January 2020 submitted before 23 March 2020 or shows, with respect to an employee, a different basic salary or wage as compared to that in the return for the month of January 2020 submitted on or before 23 March 2020. (8) (a) Where an employee – (i) is a citizen of Mauritius; (ii) is employed in an export manufacturing enterprise; (iii) is employed on a full-time basis; and (iv) whose basic salary or wage as declared by his employer in the return submitted under section 17AA of the National Pensions Act does not exceed 9,000 rupees, the allowance payable under subsection (2) shall be calculated on the basis of the National Minimum Wage of 9,000 rupees. (b) Where an employer is not required to include an employee in the return submitted under section 17AA of the National Pensions Act, the Director-General may enterprise; (iii) is employed on a full-time basis; and (iv) whose basic salary or wage as declared by his employer in the return submitted under section 17AA of the National Pensions Act does not exceed 9,000 rupees, the allowance payable under subsection (2) shall be calculated on the basis of the National Minimum Wage of 9,000 rupees. (b) Where an employer is not required to include an employee in the return submitted under section 17AA of the National Pensions Act, the Director-General may pay the allowance payable under subsection (2) on the basis of any other information available to him. (9) (a) The Director-General may, not later than one year after payment of an allowance is made under this Part, request any information or document from the employer or any employee to ascertain correctness of the information provided under subsection (4). (b) The employer or any employee to whom a request is made under paragraph (a) shall provide the Director-General with such information and document as he may require. (10) (a) Where an employer has benefited from an allowance – (i) for the period starting on 16 March 2020 and ending on 31 March 2020 and, during that period, terminates the employment of an eligible employee, the employer shall not be entitled to any allowance in any subsequent month; (ii) for the month of April 2020 and, during that month, terminates the employment of an eligible employee, the employer shall not be entitled to any allowance in any subsequent month; (iii) for the month of May 2020 and, during that month, terminates the employment of an eligible employee, the employer shall not be entitled to any allowance in any subsequent month; or (iv) in such month as may be prescribed and, during that month, terminates the employment of an eligible employee, the employer shall not be entitled to any allowance in any subsequent month. (b) Where an employer has benefited from an allowance – (i) for the period starting on 16 March 2020 and ending on 31 March 2020 and, during that period, has failed to pay the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has not been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (ii) for the month of April 2020 and, during that month, has failed to pay the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has not been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (iii) for the month of May 2020 and, during that month, has failed to pay the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has not been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (iv) in such month as may be prescribed and, during that month, has failed to pay the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has not been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month. (c) Where an employer has benefited from an allowance – (i) for the period starting on 16 March 2020 and ending on 31 March 2020 and, during that period, has reduced the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has been pa salary of an eligible employee, the employer shall be liable to refund the allowance that has not been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month. (c) Where an employer has benefited from an allowance – (i) for the period starting on 16 March 2020 and ending on 31 March 2020 and, during that period, has reduced the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (ii) for the month of April 2020 and, during that month, has reduced the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (iii) for the month of May 2020 and, during that month, has reduced the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month; (iv) in such month as may be prescribed and, during that month, has reduced the basic wage or salary of an eligible employee, the employer shall be liable to refund the allowance that has been paid to that eligible employee and the employer shall not be entitled to any allowance in any subsequent month. (11) Where an employer has benefited from an allowance in excess of the amount to which he is entitled under this Part or acts in breach of subsection (10)(a), (b) or (c), the Director-General may, by virtue of the powers conferred upon him under the Mauritius Revenue Authority Act, recover the excess amount or allowance, as the case may be. (12) Where an employer or his employee or any other person – (a) makes a false declaration to the Director- General to unduly benefit from an allowance under this Part; or (b) refuses to give information under subsection (9) or gives false information under this Part, he shall commit an offence and shall, on conviction, be liable to a fine not exceeding 50,000 rupees and to imprisonment for a term not exceeding 2 years. (13) The secrecy provision under section 154 shall not apply to enable exchange of information with Ministries, Government departments and other Government agencies. (14) (a) The Minister may, for the purposes of this Part, make such regulations as he thinks fit. (b) Any regulations made under paragraph (a) may provide for anything connected, consequential or incidental thereto. PART XIIC – SELF-EMPLOYED ASSISTANCE SCHEME 150C.Self-Employed Assistance Scheme (1) In this section – “passive income” means income derived from rent, dividends, interests and such other income as may be prescribed; “self-employed” – (a) means an individual – (i) who is a citizen of Mauritius and is resident in Mauritius; (ii) who is above the age of 18; and (iii) who is not employed, as at 1 March 2020, by any employer, whether on a full-time or part-time basis; and (iv) who has been in business on his own account or is a tradesperson out carrying activities such as mason, cabinet maker, plumber, hairdresser, artist or other similar activities for a period of at least 3 months prior to the start of the COVID-19 period; but (b) does not include – (i) an individual who derives exclusively passive income; (ii) an individual who w ve the age of 18; and (iii) who is not employed, as at 1 March 2020, by any employer, whether on a full-time or part-time basis; and (iv) who has been in business on his own account or is a tradesperson out carrying activities such as mason, cabinet maker, plumber, hairdresser, artist or other similar activities for a period of at least 3 months prior to the start of the COVID-19 period; but (b) does not include – (i) an individual who derives exclusively passive income; (ii) an individual who was not carrying out any income earning activity prior to the start of the COVID-19 period; (iii) an individual who falls under such category as may be prescribed. (2) Subject to this Part, the Director-General shall pay to every self-employed – (a) an allowance of 5,100 rupees for the period 16 March 2020 to 15 April 2020; (b) an allowance of 2,550 rupees for the period 16 April 2020 to 30 April 2020 where the main business activities of the self-employed are carried out in the island of Mauritius; (c) an allowance of 5,100 rupees for the month of May 2020 where the main business activities of the self- employed are carried out in the island of Mauritius; and (d) such other amount, for such other period, and to such category of self-employed, as may be prescribed. (3) No allowance under subsection (2) shall be payable to a self-employed where – (a) he is eligible to receive social benefits, including basic retirement pension or widows pension, under the National Pensions Act; (b) he is pursuing higher studies on a full-time basis; (c) he is a dependent spouse; (d) his monthly income, when aggregated to that of his spouse, exceeds 50,000 rupees; (e) he is a registered fisherman; or (f) he meets such other criteria as may be prescribed. (4) Every self-employed person who is entitled to the allowance under subsection (2) shall make an application electronically to the Director-General, to be accompanied by the following information – (a) his monthly income; (b) his residential address; (c) his bank details; and (d) such other information as the Director- General may require. (5) An application under subsection (4) shall be made – (a) within a period of 3 months from the end of the months to which it is related; or (b) within a period of 2 months from the date the COVID-19 period lapses, whichever is the earlier. (6) The Director-General shall make payment of the allowance payable under subsection (2) on the basis of the information provided under subsection (4) and any other information available to him. (7) (a) The Director-General may, not later than one year after payment of an allowance is made under this Part, request any information or document from a person to ascertain correctness of the information provided under subsection (4) and eligibility of the person to the allowance payable under subsection (2). (b) The person to whom a request is made under paragraph (a) shall provide the Director-General with such information and document as he may require. (8) Where a person – (a) who is not entitled to an allowance has benefited from an allowance in breach of subsection (1) or (3); or (b) has benefited from an allowance in excess of the amount to which he is entitled under this Part, the Director-General may, by virtue of the powers conferred on him under the Mauritius Revenue Authority Act, recover the excess amount or allowance, as the case may be. (9) Where a person – (a) makes a false declaration to the Director-General to unduly benefit fro (8) Where a person – (a) who is not entitled to an allowance has benefited from an allowance in breach of subsection (1) or (3); or (b) has benefited from an allowance in excess of the amount to which he is entitled under this Part, the Director-General may, by virtue of the powers conferred on him under the Mauritius Revenue Authority Act, recover the excess amount or allowance, as the case may be. (9) Where a person – (a) makes a false declaration to the Director-General to unduly benefit from an allowance under this Part; or (b) refuses to give information under subsection (7) or gives false information under this Part, he shall commit an offence and shall, on conviction, be liable to a fine not exceeding 10,000 rupees and to imprisonment for a term not exceeding 6 months. (10) The secrecy provision under section 154 shall not apply to enable exchange of information with Ministries, Government departments and other Government agencies. (11) (a) The Minister may, for the purposes of this Part, make such regulations as he thinks fit. (b) Any regulations made under paragraph (a) may provide for anything connected, consequential or incidental thereto. (g) in section 161A, in subsection (63), by deleting the words “31 March 2020” wherever they appear and replacing them by the words “26 June 2020”.