Taxes

Articles

• Morocco to Implement Income Tax on Athletes and Coaches Starting 2020
  20 October 2019, by Sylvanus

  Starting in 2020, athletes will be included in the category of people who pay Income Tax, according to the Finance Bill. And it will be the clubs, leagues and federations that will be required to contribute to its collection.
  The application of this provision of the 2020 Finance Bill concerns players and coaches of all sports disciplines, reports the newspaper Assabah.
  Income Tax will be levied on the salaries of players, coaches and staff, for the benefit of the Public Treasury, (…)

• Morocco Proposes Corporate Tax Cut for Industrial Firms in 2020 Budget
  22 October 2019, by Bladi.net

  In the coming months, a reduction in the marginal Corporate Income Tax (CIT) rate, from 31% to 28%, for industrial companies on their domestic turnover, could be applied. This is suggested by the 2020 Finance Bill (PLF).
  On the website of the Ministry of Economy, Finance and Administration Reform, a Note on the Draft Law in question has been published.
  It specifies in particular that this reduction does not concern industrial companies whose net profit is equal to or greater than 100 (…)

• Morocco Overhauls Tax System to Align with EU Standards, Raises Corporate Rates
  23 October 2019, by Ginette

  The 2020 Finance Bill addresses the Corporate Income Tax (CIT) at great length. Its concern is to comply with the requirements of the European Union (EU) by starting to apply a rate of 28% to industrial companies operating on the local market and a differentiated rate on export operations. The condition is that their net profit does not exceed 100 million dirhams. These tax measures aim to remove Morocco from the tax havens.
  The 2020 Finance Bill introduces seven tax measures that have (…)

• Morocco to Cut Corporate Tax Rate to 20% by 2024 to Boost Investment
  31 October 2019, by Kamal

  In order to encourage investment and improve competitiveness within companies, the Moroccan Government has just adopted a new legal regime, aimed at reducing the Corporate Tax rate in stages.
  This incentive measure, spread over a four-year period, will bring the Corporate Tax (IS) rate down from 31% to 28% by 2020, before stabilizing at 20% in 2024.
  The simplification of the Moroccan tax system has always been a subject of debate within companies, and the new initiative is intended to (…)

• Morocco Modernizes Customs System to Combat Tax Evasion and Smuggling
  2 November 2019, by Bladi.net

  A convention to acquire a new integrated and secure marking system has been signed between the Customs and Indirect Taxes Administration (ADII) and the company SICPA SA. This agreement was validated for the control of certain goods subject to Domestic Consumption Taxes (TIC), a press release from the ADII said on Thursday.
  The new agreement signed between customs and the company SICPA SA provides for investments and functionalities that revolve around the creation of local added value, (…)

• Morocco Boosts Tax Breaks for Professional Athletes, Citing Short Careers
  10 November 2019, by Ginette

  Professional athletes will see the flat-rate deduction on their employment income increase from 40 to 50%. This provision, contained in the 2020 Finance Bill (PLF), was defended by the Minister of Finance during a meeting with the press on November 5th. Mohamed Benchaâboun justified this tax benefit by the fact that "the careers of athletes are extremely short".
  During a meeting with press representatives on November 5th, the Minister of Finance defended the tax benefits granted to (…)

• Morocco Approves Tax Reforms for 2020, Including Corporate and Income Tax Changes
  20 November 2019, by Bladi.net

  The House of Representatives has approved new measures that will govern taxation for the year 2020, pending the results of the international Road show which plans to raise one billion dirhams on the financial markets.
  L’Economiste outlines the key points of the tax amendments that have been approved by the House of Representatives. Regarding corporate tax (IS), the representatives opted for a five-year tax exemption for offshoring. On the other hand, regarding the transfer of intangible (…)

• Morocco Revises Tax Policy: Landlords to Pay Income Tax Only on Collected Rent
  23 November 2019, by Bladi.net

  Landlords’ Income Tax (IR) on rental income will now only be paid on rents received. This is one of the new measures just adopted by the tax authorities.
  According to L’économiste, this measure will relieve owners who are currently required to pay the IR even when rents are not collected.
  However, this decision raises a number of questions, particularly the proof that the taxpayer should provide to the tax authorities.
  As for the current procedure, it requires those concerned to pay (…)

• Morocco to Receive Foreign Bank Account Data in Tax Crackdown
  3 December 2019, by Sylvanus

  The General Directorate of Taxes (DGI) intends to put an end to tax havens. In this sense, it will receive details of accounts abroad as of September 1, 2021 due to the expansion of the liberating contribution on money to bank deposits.
  "If you have a bank account or investments in a foreign country that has signed the automatic exchange of banking data agreement, know that as of September 1, 2021, the DGI will receive, without requesting it, a report on your assets. Companies and their (…)

• Morocco Doubles Tax Audit Threshold to 240,000 Dirhams
  11 December 2019, by Sylvanus

  The Directorate General of Taxes (DGI) has revised the taxpayer’s overall income based on expenses, making a few changes.
  The verification threshold previously set at 120,000 dirhams is now raised to 240,000 dirhams. This is one of the changes recorded in the revision of the taxpayer’s overall income based on expenses. This means that any audit can now be carried out from 240,000 dirhams per year, reports L’Economiste.
  "In general, it is a matter of verifying the consistency between the (…)