Moroccan VAT rates and VAT compliance

The current VAT rates in Morocco are:

VAT Rate	Supplies
20% standard	All supplies of goods, services and imports not entitled to reduced or full exemptions.
14% reduced	Domestic transportation (excluding train)
10% reduced	Banking; hotel and restaurant (excluding alcohol); oil and other petroleum products
7% reduced	Public supplies of water and electricity; medicines and pharmaceuticals
0%	Exemption with credit - Exports of goods and services; agriculture supplies;
Exempt	Exempt without credit – basic foodstuffs; newspapers and books

Morocco VAT Compliance

Tax Point

The tax point, or time of supply, is the date when Moroccan VAT becomes due. This is at the point of payment in most situations, including payments in advance. The vendor may apply to the Ministry of Finance to have the date of invoice issuance used as the tax point instead. If the consideration is settled ahead of this, then the date of cash payment overrules this rule.

For imports, the tax point is when the goods are to be cleared through customs.

VAT Invoices

Invoices must be issued for all transactions, and should include the following details:

Vendor’s details, including VAT number and corporate identification
Date
Unique VAT number
Customer details
Description of goods (including quantities etc) or services
Net and gross price
VAT charge, including rate applied
Foreign currency calculations must show local currency and conversation rate applied to dirhams

Get help solving your VAT challenges

Other resources

Avalara Tax Changes 2024

This guide covers the essential steps ecommerce sellers need to take now that the UK has left the EU Customs Union and VAT regime to keep their cross-border sales going, avoid extra tax costs and frustrated customers.