Morocco - Apply for a Personal Tax

ProcedureEdit

Step 1 file personal tax returns.

Moroccan residents should visit the Customs and Excise administration offices and file personal tax returns before 31 March of each year in the place where the taxpayer has his/her habitual residence. You should fill the personal tax return forms which are used to remit the tax for the employees at the end of the every month. The personal tax return indicates separately their various categories of income. If a taxpayer receives no income other than employment income paid by one employer domiciled or established in Morocco, the taxpayer is not required to file a return. Tax on employment income must be withheld by employers domiciled or established in Morocco. Otherwise, income tax is computed by the tax administration and is payable on receipt of an assessment.

Step 2 complete and submit your assessment form.

A separate application must be completed and filed for assessment for the Personal tax each assessment of personal tax for one tax year for individuals who have professional income taxed under the fixed taxation system and/or income other than professional income.Otherwise, Personal income tax is computed by the tax administration and is payable on receipt of an assessment. Taxpayers subject to discharge rates are exempt from the requirement to file an annual general income tax return.

Step 3 Personal Tax are calculated as follows

After the relief allowance and exemptions (see blow) have been granted, the balance of a taxpayer's income is taxed on a graduated scale as shown below:

Income MAD Tax Payable

0 30,000 Nil

30,001 50,000 10%

50,001 60,000 20%

60,001 80,000 30%

80,001 180,000 34%

Over 180,000 38%

Employers must retain and pay any income tax due on the salaries paid to their employees the previous month within the first ten days of each month. Individuals who receive incomes from non-wage sources must file a tax declaration every year on or before 31 March. Net rental income is taxable under the general income tax (Impt Gnral sur leRevenu or IGR) at progressive rates. A standard deduction of 40% of the gross rental income covers the income-generating expenses in lieu of itemised deductions.

Step 4 pay for personal tax and Pick your Tax Clearance Certificates.

After net income for each category of income is aggregated then you can pay the tax to the Customs officer however the following Expenses are deducted. the following expenses are deductible:

Interest payments, up to 10% of taxable income, on loans taken out by the taxpayer for the acquisition or construction of a principal home
Gifts to charitable organizations known as public utility associations
Contributions to a long-term retirement pension (more than 8 years) payable after 50 years of age, up to 6% of taxable global income

In general, deductible expenses for commercial, professional and agricultural activities are similar.

They include

i)depreciation and general expenses incurred for business purposes,

ii)including personnel and social security expenses, certain taxes,

iii)rental and leasing expenses, and financial charges.

Depreciation of business assets is deductible if it is recorded annually in the accounts and relates to assets shown in the balance sheet. The rates of depreciation depend on the nature of the activity for which the assets are used.

Note

In general, losses incurred in business and agricultural activities may be carried forward for four years to offset profits from the same category. Losses attributable to the depreciation of assets may be carried forward indefinitely.

Required DocumentsEdit

Identification document or Passport document.
Proof of identity document/passport
A copy of certificate of incorporation.
List of income earned from employment or annual income from rewards.
Tax Clearance Certificates
Letter of application for registration,
identity/passport together with the temporary identity document/passport
Proof bank statement
Affidavit to justify the absence of the
bank stamp that confirms the account holder's name .
account number, account type, and branch code;
Proof of residential address,
residential address;

Office Locations & ContactsEdit

CUSTOMS AND EXCISE ADMINISTRATION

Avenue Annakhil, Hay Riad 10000 Rabat, Morocco

Phone : + 212 537 57.90.00 / + 212 537 71.78.00

E-mail : [email protected]

Website : http://www.douane.gov.ma

From Morocco dial (Eco number) : 0801007000

EligibilityEdit

All Moroccan citizen regardless of the nationality or activity who have their resident in Morocco are eligible.

FeesEdit

Income MAD Tax Payable

0 30,000 Nil

30,001 50,000 10%

50,001 60,000 20%

60,001 80,000 30%

80,001 180,000 34%

Over 180,000 38%

ValidityEdit

The tax return must be filed by 31 March of each year in the place where the taxpayer has his/her habitual residence or main business so it is valid for 1 Year.

Documents to UseEdit

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Sample DocumentsEdit

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Processing TimeEdit

One day but There is no set time for this service.

InstructionsEdit

All compensation received by an individual is taxable, including salaries and wages,allowances, pension annuities, and all other employment benefits, investment income, property income and income derived from the carrying out of a business or profession.
Capital gains derived from the disposal of immovable property are generally subject to tax as part of the personal income of the individual, i.e. 20%
A range of rebates are available to Moroccan resident individual taxpayers.
All employers in Morocco by law are responsible for deducting Personal taxes from their employees' pay.

Required InformationEdit

Details of Taxpayer or Trade Name of Taxpayer
Contact address and Name of the tax payer
Taxpayer Identification Number
Bank Details
Name of Bank
Bank branch
Account Number
Type of Employment
Total Income Chargeable Income Total Tax Payable
Details of Salary paid and Personal tax deducted from Employees

Need for the DocumentEdit

Residents of Morocco are subject to personal tax on their worldwide income. Individuals resident in Morocco must pay personal tax on their employment income, regardless of where the services are performed or the employer is located. Nonresidents are subject to tax on their Morocco-source income only.

Individuals, regardless of nationality or activity, who have their habitual residence in Morocco are subject to a personal income tax (impt sur le revenue or IR) on their worldwide income on a progressive scale between 10% and 38%. Individuals who do not have their habitual residence in Morocco are subject to tax only on Moroccan-source income. Habitual residence status is established by reference to one of the following:

place of permanent a bode
centre of economic interest
duration of stay in the country exceeding 183 days within any period of 365 days.

The issue of double taxation is partially addressed by tax treaties or unilateral relief in the form of tax credit.

Information which might helpEdit

Individuals are considered resident in Morocco if they meet any of the following conditions:

They maintain their home in Morocco.
They maintain the center of their activities (vital interests) in Morocco.
They are present in Morocco for at least 183 days during a period of 365 days.
They are deemed to be resident in Morocco under the terms of applicable tax treaty provisions.

External LinksEdit

http://www.ey.com/GL/en/Services/Tax/The-worldwide-personal-tax-guide---XMLQS?preview&XmlUrl=/ec1mages/taxguides/TGE-2013/TGE-MA.xml

OthersEdit

More information which might help people.