2026 Finance: Bill What you will pay, what will go down, what will go up

The 2026 Finance Bill finetunes several existing measures to better regulate fraud, encourage investment and extend the solidarity contribution in a context of a still uneven recovery

Without disrupting the tax system, the 2026 Finance Bill seeks to address its blind spots. The piece of legislation refines several existing measures to better regulate fraud, encourage investment and extend the solidarity contribution in a context of a still uneven recovery.

■ Extended withholding tax
To ensure greater transparency, the Government plans to extend withholding tax on corporate income tax and VAT to cover services provided by legal entities to credit institutions, insurance and reinsurance companies, as well as to companies with a turnover exceeding 50 million dirhams (USD 5.4 million). Rental income will also be subject to withholding tax: 5% will be levied on rents paid to companies and individuals operating under the professional regime.
Another new feature is that capital gains on the sale of unlisted securities must be declared within thirty days of the transaction. Real estate or commercial transactions carried out without traceable means of payment will incur an additional 2% registration fee. This is a way to encourage transparency and discourage the use of cash.

■ Sports companies, investment goods
The 2026 budget proposal also confirms the commitment to supporting productive sectors. VAT exemption on agricultural inputs is extended to fertilizers and growing media, while the exemption period for capital goods is standardized at 24 months for all projects, whether or not they are covered by a contract.
In the same incentive approach, sports companies benefit from a degressive tax regime: the income of athletes, coaches, and technical staff will benefit from a 90% tax reduction in 2026, then 80%, 70%, and 60% until 2029. The VAT exemption on their activities is extended until the end of 2030.

■ Customs: adjustments to protect local production
The 2026 budget proposal includes several targeted revisions to import duties to support the upgrading of production capacity. Some increases are aimed at protecting domestic industries, while others are aimed at reducing the cost of industrial or agricultural inputs.
Thus, the import duty on Jacquard fabrics is increasing from 10% to 30%, as is the duty on domestic washing machines and freezers, now set at 17.5%. The same logic applies to PVC resin and certain monofilaments, whose rate is increased to 10%, in order to stimulate the local plastics industry. Conversely, several strategic inputs are seeing their duties reduced: aluminum profiles, cast iron boxes and components for semi-automatic machines are going from 30% to 17.5%, while agricultural pesticides are now taxed at only 2.5%.
Pharmaceutical products intended for the public sector will benefit from the same rate, as part of the current tariff restructuring. o
Khadija MASMOUDI