Morocco Launches Tax Crackdown on Undeclared Cash Hoards

The tax administration wants to put an end to the practice of accumulating large sums of money in safes, to keep them out of any "inquisitive" examination. A tax provision requiring the deposit of liquid assets in a bank account and the payment of a liberating contribution equivalent to 5% of the assets concerned is recorded in the draft finance law, reports L’Économiste. This provision will apply to individual taxpayers who have generated undeclared taxable profits and income before January 1, 2024, but also to individuals holding liquid assets in bank accounts (sometimes held by other people) or kept at home in the form of banknotes.

This tax measure comes after the government, in its draft finance law for the year 2024, proposed to introduce a liberating contribution allowing the voluntary regularization of assets and liquidity held abroad. This new tax amnesty concerns individuals and legal entities with a