HRDC Training Levy Mauritius: 2026 Rates & Refund Guide

As of 2026, the HRDC Training Levy remains set at 1% of the basic wage or salary of every employee. It is important to distinguish 'basic wage' from 'gross salary'; the levy is calculated on the fixed monthly pay excluding overtime, bonuses, and travel allowances, unless specified otherwise by the Workers' Rights Act 2019 or specific Remuneration Regulations.

This 1% contribution applies to all employees, whether they are full-time, part-time, or on fixed-term contracts. There is currently no 'ceiling' or maximum cap on the amount of levy payable per employee, unlike some historical social security contributions. For employers, this means that for every MUR 20,000 paid in basic salary, a levy of MUR 200 must be remitted to the Mauritius Revenue Authority (MRA).

The collection of the Training Levy is streamlined through the MRA’s monthly joint collection system. Employers do not pay the HRDC directly; instead, the levy is bundled with the Contribution Sociale Généralisée (CSG) and the Portable Gratuity Fund (PRGF) payments.

Using the MRA e-Filing platform, employers must submit their monthly returns and ensure that the 1% levy is correctly calculated. Failure to pay on time results in a penalty of 5% and interest of 1% per month on the unpaid amount. At Payroll.mu, our cloud-based software automates these calculations, ensuring that your monthly MRA returns are error-free and compliant with the latest Finance Act updates.

The HRDC refund system is structured to reward companies that invest in their people. The percentage of the training cost that can be reclaimed depends on the company's annual tax liability or 'levy paid' bracket. Generally, the refund rates are categorized as follows:

1. Small and Medium Enterprises (SMEs): Often eligible for up to 75% refund on training costs.
2. Large Enterprises: Typically eligible for 60% or 50% depending on the total levy contributed in the previous financial year.

The refund covers tuition fees, trainer costs, and in some cases, the cost of course materials. However, it does not cover the salary of the employee while they are attending training. It is vital to check the current HRDC circulars for 2026 to see if any specific 'high-priority' sectors (such as AI, Green Energy, or FinTech) qualify for enhanced incentives.

To successfully claim a refund, a strict administrative process must be followed. Missing a deadline or a document can lead to a claim being rejected.

Step 1: The G1 Application. This must be submitted to the HRDC at least 2 weeks before the training begins. The G1 form outlines the training objectives, the provider, and the estimated costs. Step 2: The Training Event. The training must be conducted by an MQA-registered (Mauritius Qualifications Authority) trainer or a recognized international body. Step 3: The G3 Claim Form. After the training is completed and paid for, the employer submits the G3 form along with original invoices and attendance certificates.

To ensure high success rates, many businesses partner with Anexa.mu to manage their HR administrative workflows, ensuring that all MQA and HRDC documentation is meticulously organized.

Not all training programs are eligible for a levy refund. To qualify, the training must be 'work-related' and aimed at improving the skills relevant to the employee's current or future role within the company.

Key requirements include:

• The training provider must be MQA-registered for local courses.
• For overseas training, prior approval from the HRDC is mandatory.
• The employee must be a contributor to the levy (i.e., their 1% has been paid).
• Payment for the training must be made by the employer, not the employee.

Understanding these boundaries prevents companies from budgeting for refunds that never materialize. If you are unsure about a provider's status, the HRDC website maintains a real-time database of registered trainers and courses.

While the HRDC provides the framework, the actual management of payroll and compliance falls on the business. Modern businesses in Mauritius are moving away from manual spreadsheets to integrated solutions like Payroll.mu.

Our platform automatically generates the MRA-ready files, calculates the 1% HRDC levy accurately for every employee category, and provides the reports necessary to fill out your G3 refund forms. Similarly, Anexa.mu provides outsourced accounting and HR services that can take the entire burden of HRDC follow-ups off your shoulders, allowing you to focus on your core business growth while we recover your training investments.