France Morocco Bank Accounts Tax Declaration Requirements
MREs settled in France must be careful about their bank accounts opened in Morocco. For the French tax administration, an account held abroad must be declared every year. In case of oversight, the fine can reach 1,500 euros per undeclared account.
For Moroccans residing fiscally in France, a bank account opened in Morocco is not a simple administrative detail. It falls into the category of accounts opened abroad, which must be reported to the French tax administration when they are opened, held, used at least once, or closed during the year.
On Bladi.net : French tax MRE Morocco bank account declaration requirements
The rule does not only concern the account holder. It can also target a person who has power of attorney allowing them to use an account abroad. In other words, an MRE who owns an account in Morocco, or who can use an account opened in Morocco, must carefully examine their declaration obligations in France.
A declaration to attach to income tax returns
Thus, accounts opened abroad must be declared each year with the income tax return. The administration clarifies that accounts opened with a banking institution, but also with any other organization or person such as a notary or stockbroker, are concerned.
In practice, this obligation may concern a Moroccan account kept after moving to France, an account used to manage real estate in Morocco, or an account intended to receive income or make payments there. What matters is the existence or use of the account during the year, not just the amount in it.
The penalty is heavy in case of oversight. Failure to declare exposes you to a fine of 1,500 euros per undeclared account. If the account is located in a country that has not concluded with France a convention to combat fraud and tax evasion, the fine can be increased to 10,000 euros per account.
The risk can also exceed the simple fixed fine. In case of an undeclared account, an increase of 80% of the amount of tax adjustments can be applied. This increase then replaces the fine of 1,500 or 10,000 euros, without being able to be less than these amounts.
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For MREs in France, the message is therefore clear: keeping an account in Morocco is not prohibited, but it must be declared if the person is subject to this tax obligation in France. Forgetting can turn a dormant or little-used account into a real tax problem.
