Morocco

Employment expenses

The cap on professional expenses allowed as a deduction from gross annual taxable income is MAD 35,000 for individuals whose gross annual taxable income does not exceed MAD 78,000.

This rate is set at 25% for individuals whose gross annual taxable income exceeds MAD 78,000 (up to a limit of MAD 35,000).

The deduction applicable to pensions and life annuities is 70% on the gross taxable amount not exceeding MAD 168,000.

Pension insurance contributions

Finance Law 2015 sets the following limits for deductibility of pension insurance contributions:

• 50% of net taxable salary for individuals receiving only salary income.
• 50% of net taxable salary or 10% of the global taxable income for individuals receiving salary as well as other categories of revenues.
• 10% of the global taxable income for individuals receiving revenues other than salary income.

Personal deductions

Charitable contributions

Charitable contributions are deductible if granted to organisms and societies expressly provided by the tax law.

Mortgage interest expenses

Loan interests relating to the acquisition of a main house are tax deductible up to the limit of 10% of the taxable global revenue.

Professional deductions

Professional expenses incurred in the operation of the business are generally deductible unless specifically excluded.