2026 Finance Bill: Tax priorities
Fight against fraud, support for corporate restructuring and increased control of hydrocarbons… As is clear from the three-year budget execution and macroeconomic framework report, the 2026 Finance Bill should consolidate the projects initiated since the enactment in 2021 of Framework Law 69-19 on Tax Reform. It must be said that Morocco has embarked on a gradual but sustained process of transforming the tax system with the stated objective of making taxes fairer and better adapted to economic dynamics. The challenge today is to build a tax and customs environment capable of stimulating growth and creating jobs, while preserving the sustainability of public finances.
■ Expand the withholding tax mechanism
-The first priority is transparency. The Government intends to expand and improve the withholding tax mechanism, which is considered essential to secure revenue and reduce informality. In a context where trust between the administration and taxpayers remains a major issue, this measure is presented as a guarantee of credibility and clarity. It also aims to harmonize practices while ensuring better traceability of transactions.
■ Gradual adaptation for the Corporate Tax, the Income Tax, and the VAT
Work to harmonize and fine-tune the rules relating to major taxes, namely the corporate tax, the income tax, and the VAT, is expected to begin in 2026. This follows several years of successive reforms. Certain tax base provisions will be clarified to reduce uncertainty. The administration is thus seeking to avoid differences in interpretation that sometimes fuel disputes and weaken the business climate. At the same time, several adjustments are being made to bring Moroccan taxation closer to international standards. This is a way to strengthen the Kingdom’s attractiveness to foreign investors and align it with global best practices in terms of transparency and tax governance.
■ Hydrocarbons under surveillance
A system for marking petroleum products is expected to be introduced next year. It must be said that hydrocarbons represent both a significant source of tax revenue and fertile ground for fraudulent practices. Marking aims to more effectively control the movement of products, limit diversions, and secure collection.
■ Tax marking extended to other products
The tax marking requirement, currently in force on alcoholic and non-alcoholic beverages and manufactured tobacco, would be extended to other products. These include tobacco-related products and products containing sugar. This measure should ensure consumer protection. It also aims to harmonize legal instruments with international standards for the traceability and monitoring of products subject to the Domestic Consumption Taxes (TICs).
■ The carbon tax is coming
Work on introducing a carbon tax will be completed in collaboration with the relevant departments. This will allow for the adaptation of taxation and customs regulations to climate issues. According to the Finance Ministry document, the corresponding legislative texts will be presented to Parliament once the implementation arrangements have been clarified. o
Khadija MASMOUDI
