Morocco’s Corporate Tax Exemption Law Sparks Confusion Over Eligibility

While the 2020 Finance Act measure, in its French version, concerns companies carrying out outsourcing activities inside or outside dedicated integrated industrial platforms, the Arabic version of the same law indicates that companies operating inside and outside the P2I benefit from the five-year exemption from corporate tax, notes L’Economiste. In other words, there is a divergence of interpretations between the tax administration and the accounting professionals.

In its analysis, the newspaper believes that the use of the term "outsourcing" raises uncertainty. Especially since this has nothing to do with exports, as a company located in Morocco can well outsource its customer service to another company located in a P2I. The latter should benefit from the exemption insofar as the tax provision did not provide for conditions relating to the place of consumption of a service or an obligation of payment in foreign currency, it is specified.