Morocco Cracks Down on Tax Evasion in Agricultural Sector

– byArmel · 1 min read
Morocco Cracks Down on Tax Evasion in Agricultural Sector

The government has decided to track down farmers who do not pay their taxes, in order to fight tax evasion in the agricultural sector.

Thus, the tax administration has received instructions to carry out an information gathering operation with its partners, including the data from the agricultural census recently carried out by the Minister of Agriculture as well as the lists of beneficiaries of subsidies under the Agricultural Development Fund, announced the Minister of Economy and Finance, Nadia Fettah Alaoui.

Speaking before the House of Advisors, the minister said that despite a significant increase in taxes paid by agricultural companies (these revenues have quadrupled between 2015 and 2021), these figures remain below the expected objectives.

However, she stressed, the increase recorded was made possible by the adoption of a progressive scale for the taxation of agricultural holdings according to their turnover. For better integration of the agricultural sector into the national tax system, the government has therefore opted for progressivity.

As an example, the official explained that it is from 2020 that agricultural operators with a turnover of at least 5 million dirhams have been subject to tax. Those with a turnover of less than 5 million dirhams continue to be exempt, she stressed.