Kingdom of Morocco 

Country Overview

Capital City:

Rabat

Chief of State:

King MOHAMMED VI
since 1999

Head of Government:

Abbas EL FASSI
President since 2007

Area (sq km):

740,000 (land & water)

Population:

31,000,000

Revenue Overview

Revenue Authority:

Direction Générale des Impôts

Administration Head:

Mr. Abdellatif Zaghnoun

Directeur Général

Institution Address:

*

Rue Moulay Ahmed Cherkaoui

Haut Agdal, Rabat, Morocco

Country Correspondent:

Mr Brahim KETTANI

Director of Legislation, Studies and International Cooperation

Contact Details:

(

Mobile:

+212 661 10 07 14

'

Phone:

+212 537 27 91 66 /7

7

Fax::

+212 537 27 91 68

;

e-Mail:

b.kettani@tax.gov.ma

Country Correspondent:

Mr Mohammed Amine BAINA

Chef de la Division de la Coopération Internationale

Contact Details:

(

Mobile:

+212 673 99 86 16

'

Phone:

+212 537 27 92 02

;

e-Mail:

ma.baina@tax.gov.ma

Country Correspondent:

Mr Fahd LOUBARIS

Officer in the Multilateral Cooperation Unit

'

Phone:

+212 537 27 92 00

'

Phone:

+212 537 27 92 03

;

e-Mail:

f.loubaris@tax.gov.ma

Tax Rate Overview

Personal Income Tax:

Tax Year:

Calendar Year

Tax Rate:

Progressive to 38%

• Individuals, regardless of nationality or activity, who have their habitual residence in Morocco, are subject to a personal income tax ('Impôt sur le Revenu' or IR) on their worldwide income on a progressive scale between 10% and 38%.
• Individuals not having their habitual residence in Morocco are subject to tax only on Moroccan source income.
• The tax return must be filed by 31 March of each year in the place where the taxpayer has his/her habitual residence or main business.

Corporate Tax:

Tax Year:

The calendar year is normally the fiscal year although a company may opt for a different fiscal year.

Tax Rate:

30%, with a 37% rate applying to leasing companies and credit institutions.

• Companies are taxed on the difference between their trading income and expenditure. Business expenses incurred in the operation of the business are generally deductible unless specifically excluded. Expenses not permitted include fines, penalties, interest on shareholder loans where the stock is not fully paid up, and interest on shareholder loans in excess of the official annual interest rate.
• Morocco operates a territorial tax system. Companies (both resident and nonresident) are generally subject to corporate tax only on income generated from activities carried on in Morocco. Foreign corporations are subject to taxation on income arising in Morocco if they have, or are deemed to have, a permanent establishment in Morocco. A company is resident in Morocco if it is incorporated there or its place of effective management is in Morocco.

Consumption Tax:

Nature of the Tax:

Value Added Tax (VAT)

Tax Rate:

20% (Reduced rates of 7%, 10% and 14% apply to certain transactions.)

Filing & Payment:

VAT returns generally must be filed on a monthly basis.

• The standard VAT rate of 20% applies to all suppliers of goods and services, except those taxed at other rates or those who are exempt. A reduced rate of 10% applies to specific items such as banking and credit services, leasing, gas, water and electricity.

Economic Overview

GDP per capita (PPP) %:

4,587 US$ (2009)

Tax to GDP Ratio %:

23% (2009)

Inflation Rate %:

1% (2009)

Currency:

Moroccan Dirham