Are concerned the incomes: The corporation tax is mandatory on the income and profits of corporations, public institutions and other legal entities that carry out lucrative transactions and irrevocable option to partnerships.
Foreign companies are liable on Moroccan-sourced income if they have a permanent establishment in Morocco.
Otherwise, tax incentives apply equally to resident and foreign companies.
Capital gains derived from the disposal of immovable property generally are subject to a 20% tax.
Capital gains derived from the disposal of shares are subject to tax at 20%.
Expenses incurred in connection with business activities are generally deductible unless specifically excluded.
The development as well as incorporation expenses shall be capitalised and depreciated for tax purposes over a period of five years.
Interest on loans granted by direct shareholders is deductible if the capital is fully paid in.
Charitable contributions made by companies are deductible only if they are granted to foundations and societies explicitly provided by law.
Newly incorporated companies are exempt from the business tax for a period of five years.
Registration duties are due on all written or verbal conventions, such as property transfer of real estate, shares, or rights; company set up; equity increase; and goodwill transfer.
The company set up and the capital increase are subject to registration duties at the rate of 1%.
According to the OECD (Organization for Economic Co-operation and Development), tax revenues including taxes and social contributions accounted for 26.4% of GDP in Morocco in 2016, which was the third highest ratio after Tunisia (29.4%) and South Africa (28.6%).
A figure up just under half a point from 2015 (26.1% of GDP), when Morocco was already second in the ranking after Tunisia (30.3%).
The second largest source of tax revenue comes from social security contributions (17%).