Section 27: Entitlement to income exemption threshold

27. Entitlement to income exemption threshold (1) No person shall be entitled to an income exemption threshold unless he is resident in Mauritius in the incoming year in which the income is derived. (2) Subject to the other provisions of this section, every person shall, in an income year, be entitled to deduct from his net income in that year, the appropriate amount of income exemption threshold in respect of Category A, Category B, Category C, Category D, Category E or Category F as specified in the Third Schedule. (3) — (4) Where, in an income year, a person claims an income exemption threshold in respect of Category B, Category C, Category D or Category F, the spouse of that person shall be entitled to claim in that income year an income exemption threshold in respect of Category A or Category E only, as the case may be. (5) No person shall be entitled to claim in an income year an income exemption threshold in respect of— (a) Category B or Category F, where the net income and exempt income of his dependant in that income year exceeds 110,000 rupees; (b) Category C, where the net income and exempt income of his second dependant in that income year exceeds 60,000 rupees; (c) Category D, where the net income and exempt income of his third dependant in that income year exceeds 40,000 rupees. (6) Where the net income and exempt income of the first dependant, second dependant and third dependant does not exceed 110,000 rupees, 60,000 rupees and 40,000 rupees, respectively, the net income of the dependant or dependants shall be deemed to be, and shall be added to, the net income of that person. I5 – 27 [Issue 9] Income Tax Act (7) In this section— “dependant” means— (a) a spouse; (b) a child under the age of 18; or (c) a child over the age of 18 and who is pursuing full-time course at an educational institution or a training institution. [S. 27 amended by s. 7 (d) of Act 13 of 1996 w.e.f. 1 July 1996; repealed and replaced by s. 18 (l) of Act 15 of 2006 w.e.f. 1 July 2006 in respect of the income year commencing on 1 July 2006 and in respect of every subsequent income year; s. 17 (d) of Act 17 of 2007 w.e.f. 1 July 2006; s. 15 (c) of Act 18 of 2008 w.e.f. 1 July 2008.] Sub-Part D – Interest Relief for Individuals [Heading inserted by s. 9 (g) of Act 10 of 2010 w.e.f. the income year commencing on 1 January 2011.]