Moroccan Textile Industry Gains Tax Relief Amid Economic Struggles

In a statement to La Vie Eco, the president of the Moroccan Association of Textile and Clothing Industries (Amith), Mohamed Boubouh, recalls that this measure aims to allow taxpayers to regularize their tax situation, with the objective of restoring confidence and helping operators to restart and get back on their feet. "For the textile sector, this agreement is very important, as the situation is bad. Today, 90% of the sector’s units are at a standstill and, even worse, we have no visibility on the prospects ahead!" said Mohamed Boubouh.

Applications are expected from December 7 to 15. For the Amith official, this agreement takes into account the profession’s grievances. According to him, the Directorate General of Taxes has been affected by the situation in the sector. "Moreover, it should be noted that many professionals are joining it," he added.

This measure concerns professionals in the textile and clothing industry working as individuals or within a company. According to the same source, the regularization covers corporate tax (IS), income tax (professional and salary income) and VAT and concerns the years 2016, 2017 and 2018.

According to Mohamed Boubouh, the basic principle of the agreement is to "bring the minimum tax contribution IS or IR/Professional of each taxpayer to levels agreed between the DGI and Amith, based on the data in the possession of the tax administration, in particular the declared turnover". The Directorate General of Taxes ensures that the amount to be paid per fiscal year, in respect of corporate tax, or income tax, professional and salary income and VAT, is set, it is specified.