In Tangier, Property Owners Transform Their Land to Escape Taxes

– byPrince · 2 min read
In Tangier, Property Owners Transform Their Land to Escape Taxes

In Tangier, major landowners are multiplying schemes to escape the tax on undeveloped land. Facing massive tax assessments, authorities are intensifying their crackdown and promising severe penalties against tax fraud.

For several days, major developers in the Tangier region have been seeking loopholes to avoid paying taxes on their vacant land. These dozens of hectares, held in hopes of appreciating in value, represent considerable unpaid taxes. Recent tax audits, which target past years, sometimes demand payments reaching hundreds of millions of dirhams. Panicked by letters from authorities, these economic players view these levies as "unnecessary obligations that can be disposed of."

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To evade this local tax, property owners employ a very simple scheme by plowing and artificially cultivating their plots located on the outskirts. This method allows these surfaces to be classified as agricultural land, making it impossible to issue building permits. According to Hespress, this process relies on commissions suspected of providing favorable reports. These documents subsequently facilitate the task of local council presidents in granting tax exemptions, depriving municipalities of significant revenue.

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The noose is nonetheless tightening around violators. Authorities are closely monitoring these maneuvers and promise that the backlash will be "severe for all those whose involvement is proven in helping this category eager to defraud the tax system." Rigorous audits were launched several months ago to investigate a "suspicion of probable collusion" between real estate moguls and local officials. This vast offensive now places many officials under intense pressure, directly threatened by removal proceedings.