Tax reform contributes to a significant increase in Morocco’s tax revenue.
The Minister Delegate in Charge of Budget, Fouzi Lekjaa, stated on Tuesday in the Chamber of Counselors that the implementation of the framework law on tax reform has led to a continuous and significant increase in tax revenues, rising from 199 billion dirhams (billion MAD) in 2020 to 300 billion MAD in 2024. This trend is expected to continue until the end of January 2025, with tax revenues already reaching 100 billion MAD, marking an average annual increase of over 11%.
Mr. Lekjaa specified that the tax pressure has decreased by 23%, falling to less than 21.2%, which is an indicator of the national economic dynamics and the effectiveness of measures put in place by the government and Parliament. He emphasized that corporate tax revenue has risen, increasing from 51 billion MAD in 2020 to 77 billion MAD in 2024, while value-added tax (VAT) has grown from 90.5 billion MAD to 147 billion MAD, reflecting a 62% increase. Income tax has also seen an increase, rising from 42 billion MAD to over 64 billion MAD by 2024.
In addition, the minister highlighted the positive results from the voluntary regularization campaign, which has allowed the declaration of 125 billion MAD, indicating a growing trust among Moroccan citizens in the tax administration. He noted that the application of the 5% rate under the Finance Law is expected to generate approximately 6 billion MAD in additional resources for the state.
Mr. Lekjaa also presented the results from January 2025, confirming this growth trend, with tax revenues increasing by 2.46 billion MAD compared to the previous year, reaching 27.14 billion MAD. A further rise in revenues is anticipated by the end of March. Finally, he concluded by emphasizing that the social reform adopted by the government has cost 100 billion MAD and called for the diversification of funding sources to achieve a budget deficit of 3% by the end of the government’s term.
