Morocco Launches Foreign Asset Disclosure Program for 2020

According to the press release, the ORS, established by Article 8 of Finance Act No. 70-19 for the 2020 fiscal year, concerns individuals or legal entities who have a tax residence, registered office or tax domicile in Morocco, who have constituted assets and liquidity abroad before September 30, 2019, in violation of the foreign exchange regulations.

Thus defined, the ORS allows persons holding assets abroad to make their declarations to the bank of their choice, according to a pre-established model by the Office des changes including the list and nature of the declared assets. The same press release provides other important details within the framework of this operation, which must be carried out anonymously.

This includes the rate of the liberating contribution, set at 10% of the acquisition value of real estate held abroad and 10% of the subscription or acquisition value of financial assets and securities and other equity or debt securities held abroad. Moreover, the same rate is set at 5% of the amount of foreign currency assets repatriated to Morocco and deposited in foreign currency or convertible dirham accounts, and 2% of foreign currency liquidity repatriated to Morocco and sold on the foreign exchange market against the dirham.

For holders of assets and liquidity abroad, the press release reassures, the ORS is the best option to avoid administrative or judicial proceedings, particularly concerning the assets subject to the declaration, by complying with the foreign exchange regulations. To maximize the dissemination of this tool among citizens, a wide range of information is provided on the website of the Office des changes.