What are the VAT rates in Morocco?

Morocco has 4 VAT rates: 20% standard rate, 14% for electricity and transport, 10% for hotels, restaurants and banking interest, 7% for basic food products, water and pharmaceuticals.

How to calculate VAT-inclusive price from VAT-exclusive?

TTC = HT x (1 + VAT rate). Example: MAD 1,000 excl. tax at 20% VAT = MAD 1,000 x 1.20 = MAD 1,200 incl. tax.

How to calculate VAT-exclusive price from VAT-inclusive?

HT = TTC divided by (1 + VAT rate). Example: MAD 1,200 incl. tax at 20% VAT = MAD 1,200 / 1.20 = MAD 1,000 excl. tax.

Who must register for VAT in Morocco?

Businesses with annual turnover above MAD 500,000 are mandatorily subject to VAT. Below this threshold, businesses may opt in voluntarily if beneficial.

Which products are exempt from VAT in Morocco?

VAT-exempt items include financial services, medical services, educational services, unprocessed agricultural products, and certain exports.

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Morocco VAT Calculator 2026 — 4 Rates: 7%, 10%, 14%, 20%

Calculate VAT in Morocco with all 4 official rates: 7%, 10%, 14%, 20%.

Amount excl. VAT (MAD)

VAT Rate

Results

ℹ️ VAT rates in Morocco (2026)

20%: standard rate | 14%: electricity, transport | 10%: restaurants, hotels, banks | 7%: water, medicines, essentials.

Morocco VAT Rates 2026 — Complete Guide

Morocco applies four VAT rates depending on the product or service category. The standard rate of 20% applies to most goods and services. Special rates apply to essentials and specific sectors.

Morocco VAT Rate Table 2026

20% — standard rate (majority of goods and services)
14% — transport services, oil, butter, some equipment
10% — restaurants, hotels, banking services, insurance, fishing
7% — water, electricity, medicines, some food staples
0% — exports and internationally billed services

Formula: Price TTC = Price HT × (1 + rate). To convert TTC to HT: Price HT = Price TTC ÷ (1 + rate). VAT is declared monthly (turnover > MAD 1M) or quarterly (MAD 100K–1M).

Also useful: Business VAT (deductible vs collected) · Corporate Tax (IS) · Profit Margin

📐 Value added tax (VAT) formula

VAT = net amount (excl. tax) × rate
Amount incl. tax = net × (1 + rate)
From incl. to excl. = incl. ÷ (1 + rate)

📊 VAT rates in Morocco

Rate	Examples
20% (standard)	most goods and services
14%	transport, electricity
10%	restaurants, hospitality
7%	water, medicines, basic goods

💼 VAT scenarios

1,000 MAD net invoice at 20%

VAT = 200 MAD, gross amount = 1,200 MAD.

840 MAD incl. tax at 20%

Net = 840 ÷ 1.20 = 700 MAD, of which 140 MAD is tax.

💡 Practical tips

Check the rate that applies to your activity; not everything is at 20%.
Always distinguish the net (excl. tax) and gross (incl. tax) amounts on your invoices.
Liable businesses file VAT monthly or quarterly depending on turnover.

⚠️ Limits and disclaimer

Some products are VAT-exempt or subject to a special rate.
The list of products and rates is sometimes changed by the Finance Act.

Official sources: General Tax Code · Directorate General of Taxes (tax.gov.ma) · 2026 Finance Act.
Last updated: February 2026.

❓ Frequently asked questions

What is the standard VAT rate in Morocco?

20%, applied to most goods and services.

How do I get the net from the gross amount?

Divide the gross by (1 + rate); the difference is the VAT.

What are the reduced rates?

14%, 10% and 7% depending on the type of good or service.

Method and reliability: informative estimate based on the stated parameters and reviewed in July 2026. See our calculation method and sources. Seek qualified professional advice before an important tax, legal, medical or financial decision.