Morocco Offers 90% Tax Break for Retired Expats Importing Vehicles

Moroccans Residing Abroad (MREs), aged sixty (60) and over, proving effective residence abroad for more than ten (10) years, can benefit from a 90% reduction applicable to the value as new of passenger cars, and this for the clearance of their personal passenger vehicle respecting the homologation conditions.

The granting of the 90% reduction is subject to the following conditions:

The beneficiary Moroccan Resident Abroad (MRE) must be 60 years of age or older.
The 90% reduction cannot be granted to persons who have previously resided abroad and are permanently settled in Morocco.

The beneficiary MRE must have actually stayed abroad for at least 10 years.
Benefit reserved only for passenger vehicles falling under the HS position (EX. 87. 03):
• Equipped with a gasoline, diesel or hybrid engine,
• Designed to transport nine people or less, including the driver (the number of seats is that indicated on the registration certificate); and
• Authorized for circulation on public roads.
Other vehicles such as motorcycles, quads, kart-cross and similar vehicles as well as utility vehicles, mixed-use vehicles, motorhomes, vans, pickups, double-cab vehicles are excluded.

Benefit limited to a single vehicle in the beneficiary’s lifetime

The taxation is calculated on the basis of an estimated value, as new, according to the make, model and specifications of the vehicle considered and this, up to a maximum of 300,000 DH. The portion above this value will be subject to the payment of the duties and taxes payable under common law.

Non-cumulation of the benefit of the 90% reduction with the benefit of "aging" provided for in the case of clearance as part of a final return.
Non-cumulation of the benefit of the 90% reduction with the benefits provided for by the tariff or free trade agreements concluded by Morocco;
Non-cumulation of the benefit of the 90% reduction with the benefits granted to Moroccan diplomats and assimilated recalled to the Central Administration.

Good to know

• The MRE meeting the conditions mentioned above is required to personally present (powers of attorney are not accepted for customs clearance) to the customs office of his choice, his file consisting of an application made on the standard form and the required documents.

• The identification certificates (required for customs clearance) no longer being issued by the registration centers for vehicles aged five (05) years or more, the latter cannot, consequently, be cleared. Exception is made for vehicles with a maximum age of 10 years, with interior driving and a maximum of 09 seats, which can be accepted for homologation and thus authorized for customs clearance in the event that the owner is a Moroccan Resident Abroad retiree justifying an effective stay abroad of at least 10 years, or in definitive return to the country.