Morocco Cracks Down on Real Estate Tax Evasion, Recovers Over 1 Billion Dirhams

The Directorate General of Taxes (DGI) is on the front line. Since 2017 and the generalization of digital declaration, the tax authorities have powerful tools to track down irregularities. Between 2020 and 2023, more than 700 files of real estate operators were scrutinized, whether during field checks or office examinations.

And the results are there, the minister rejoiced: more than one billion dirhams in tax revenue have been recovered thanks to these investigations. A sum that has tripled in three years, proof of the increased efficiency of the tax services. "These controls make it possible to uncover fraud and recover significant sums," the minister stressed.

But the fight against fraud is not limited to repression. The government is also betting on incentives. Measures have been taken to encourage access to social housing, in particular the reimbursement of VAT for first-time buyers. For their part, real estate developers benefit from tax exemptions for the construction of social housing, subject to compliance with a precise specification.

To carry out its mission, the DGI relies on state-of-the-art tools, such as risk analysis and the exploitation of data from its partners. The 2024 finance bill also provides for new measures to control taxpayers’ income and detect any concealment.

The objective is to ensure tax fairness, preserve state revenues and clean up the real estate sector. "We want to put an end to impunity and establish a climate of trust between all economic actors," Nadia Fettah hammered home.