Morocco's tax revenues increase by 11.7% in the year to August

Morocco's tax revenues rose 11.7% in the first eight months of 2024, reaching 194.88 billion dirhams (about 19 billion dollars), the Ministry of Economy and Finance has officially reported. 

The Moroccan government's estimated revenue target was exceeded by 72%, resulting in significantly higher-than-expected revenues for the public coffers. 

Corporate tax revenues grew strongly, with an increase of 4.5 billion dirhams (439 million dollars), which is related to improvements in final tax adjustments and prepayments. 

Corporate income tax reached a realisation rate of 73%, driven by improved tax collection on third party payments and investments by non-resident legal entities. 

Personal income tax revenues also experienced significant growth, with collections increasing by 4.3 billion dirhams (419 million dollars), representing a realisation rate of 75.2%. 

All of this boom was driven by tax revenues from salaries and profits from real estate and securities. 

Value added tax (VAT) revenues recorded an increase of 6.7 billion dirhams (654 million dollars), with both domestic and import VAT contributing to this increase. 

Domestic VAT increased by 3.2 billion dirhams (312 million dollars), while import VAT increased by 3.5 billion dirhams (342 million dollars). These figures are indicative of the large movement of consumption in the Moroccan economy. 

In addition, revenues from domestic consumption taxes, mainly on energy products and tobacco, increased by 2.3 billion dirhams (224 million dollars), reaching a realisation rate of 71%. 

Customs duties also increased by 1.7 billion dirhams (166 million dollars), of which stamp and registration duties contributed 481 million dirhams (47 million dollars). 

Despite the increase in revenues, the report also highlighted tax refunds and deductions totalling 12.1 billion dirhams (1.18 billion dollars), highlighting ongoing fiscal management efforts. 

These Moroccan tax figures highlight the upward trend of the Moroccan economy, with tax collection continuing to boom. This tool allows the Moroccan state to have more financial resources to apply to various tasks or services provided by the state in various sectors, which can result in better services and benefits for Moroccan citizens. 

The trend is very positive. It is worth recalling that Morocco's tax revenues amounted to 27.208 billion dollars in December 2023, a figure that was up from the previous figure of 25.742 billion dollars for December 2022. For the time being, until August of this year 2024, revenues reach 19 billion dollars, a good prospect considering that four more months of tax collection by the Moroccan state are still to be completed.