Technical article
Money Left Abroad: How Mauritius and Barbados Treat It
They want to know whether the half they leave abroad counts for tax there.
Picture a couple named Ruth and Daniel. They are 62 and 64. Their pensions and some rental income arrive in a bank at home. They plan to spend about half of it on the island and leave the rest where it is. They want to know whether the half they leave abroad counts for tax there.
What the two tax authorities say
| Mauritius | Barbados | |
|---|---|---|
| Who is taxed on income from abroad | Residents | Residents who are also domiciled |
| Is it taxed when it stays abroad? | The page says residents are taxed on income "derived in Mauritius or remitted to Mauritius" | Residents who are domiciled are "taxed on their world income" |
| Residents who are not domiciled | Not mentioned on the page | Taxed on Barbados income, and on foreign income where a benefit is received in Barbados |
| When you count as a resident | Not shown on the page I read | More than 182 days in an income year, or ordinarily resident |
| Pensions named | Yes: pensions and annuities are listed as foreign income | Not named on the page I read |
Mauritius
The Mauritius Revenue Authority says foreign income is "taxable in the hand of the resident." It lists pensions, annuities, rental income, investment income and interest. The wording on remitting is "all his income derived in Mauritius or remitted to Mauritius." So the page ties tax on foreign income to money brought in. The page gives no rates and no exemptions, so I cannot say what the tax would be.
Barbados
The Barbados Revenue Authority separates two groups. Those "both resident and domiciled in Barbados are taxed on their world income." A resident who is not domiciled is taxed on Barbados income and on foreign income "where a benefit is received in Barbados." The page does not explain what counts as a benefit or as domicile.
The Authority also published new rates for the 2026 income year. The page shows 11.5% on income from 25,001 to 75,000 and 27.5% above 75,000, down from 12.5% and 28.5%. It does not name the currency and does not give the rate for the first 25,000. These look like Barbados dollars, but the page does not say so.
What is left open
- Fiji and Saint Lucia: the official pages I reached did not say how foreign income is treated. Fiji's tax service gives a 183-day residency rule. Saint Lucia's page gives a filing threshold only.
- Mauritius rates and residency days: not on the page I read.
- Barbados rate for the first 25,000: not given on the page I read.
- Other islands in the original idea: not checked yet.
You could…
- Write down how much you would bring in each year, and how much you would leave abroad.
- Ask each tax authority, in writing, how your own pension would be treated.
- Ask an accountant or lawyer who works with Americans abroad to confirm, including how your home country taxes the same money.
Which would matter more to you: a lower tax bill, or simple paperwork?
Figures are estimates for planning, based on public data. Date read: 10 October 2026.
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