1. The net income of an insurance company derived from life assurance business is the difference between:
(a) The income from investment held by the company in connection with its life insurance business excluding general annuity business and pension business; and
(b) The sum of all management expenses incurred, all commission paid by the company as well as all allowable deductions.
2. If a company also receives premiums outside Mauritius, its net income is the difference between:
(a) That part of the total investment income of the company which bears the same proportion to the total investment income as the premiums received in Mauritius bear to the total premiums received by the company; and
(b) In the case of a resident company, the sum of:
i. All management expenses incurred and all commission paid by the company; and
ii. All allowable deductions; or
(c) In the case of a non-resident company, the sum of:
i. All management expenses and commissions paid in Mauritius;
ii. All allowable deductions;
iii. Any agency expenses incurred in Mauritius
iv. A fair proportion of the expenses of the head office of the company.