Blog · Income year 1 July 2025 to 30 June 2026
Can you deduct the interest on your housing loan?
You can deduct the interest that you paid on a loan to buy or build your house. But the Act sets conditions on the lender, the loan, the house and your income.
The lender
The loan must be from one of these:
- A bank or a non-bank deposit taking institution under the Banking Act.
- An insurance company under the Insurance Act.
- The Sugar Industry Pension Fund.
- The Development Bank of Mauritius, for its employees.
- The Statutory Bodies Family Protection Fund, for its members.
The loan and the house
- The loan must have a mortgage or a fixed charge on immovable property.
- You must use the loan only to buy or build your house.
- You must be resident in the income year.
- When you got the loan, you and your spouse must not own a residential building.
- You must not get a benefit from a new housing scheme that started on or after 1 January 2011.
The income limit
There is no relief if your income or the income of your spouse is more than Rs 4,000,000. For this limit, income is your net income plus these amounts:
- Dividends from a resident company or a co-operative society.
- Interest on a savings or fixed deposit account.
- Interest on Government securities and Bank of Mauritius Bills.
Husband and wife
If the two spouses are not dependent spouses, they can divide the relief equally.
Source: s.27A.
The document to keep
Get the certificate from your lender that shows the interest that you paid in the income year. You type this amount on the return.
Questions people ask
Is there a maximum for housing loan interest relief?
The Act gives no maximum amount. You deduct the interest that you paid, if all the conditions in s.27A apply.
Is there an income limit for housing loan interest relief?
Yes. There is no relief if your income or the income of your spouse is more than Rs 4,000,000.
Can husband and wife divide the relief?
Yes, if the two spouses are not dependent spouses. Then they can divide the relief equally.
Let IT01 AI do these steps
IT01 AI is an app for Mac, Windows and Linux. It reads your bank statements and your statement of emoluments on your computer, sorts each payment, and calculates the tax with each figure linked to the Act. One payment of Rs 4,990, and the licence has no end date.
This article explains the law as it stands on 3 October 2026. It is not tax advice.