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VAT rates in Morocco

Quick overview

Standard Rate Reduced Rate Other Rates
20% 7%, 10% & 14% Zero-rated (0%) and exemp

The local name for VAT in Morocco is Taxe sur la Valeur Ajoutée (TVA).

There are basically 4 VAT rates in Morocco:

  • Standard VAT rate is 20%
  • Reduced VAT rate is 7%, 10% & 14%

Recent developments

For more information about (recent) rate change developments in Morocco, please click HERE.

Standard rate: 20%

This rate applies for all transactions that take place in Morocco, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).

Reduced rate: 7%, 10% & 14%%

Goods and services taxable at 7%

  • Water
  • Rental of water and electricity meters
  • Pharmaceutical products and non-recoverable packaging of pharmaceutical products

Goods and services taxable at 10%

  • Petroleum products
  • Banking transactions
  • Hotel operations
  • Restaurant operations
  • Sales and delivery operations relating to art objects
  • Edible fluid oils
  • Solar water heaters

Goods and services taxable at 14%

  • Transport services (excluding rail transport of passengers and goods)
  • Butter, excluding homemade butter
  • Electricity
  • Services rendered by any direct selling agent or insurance broker in respect of contracts brought by him to an insurance company (without the possibility to offset input tax)

Zero rated & Exempted

Examples of exempt supplies of goods and services, without the right to deduct VAT

  • Sales of food including fresh, frozen, whole or cut fish products, other than for consumption on the spot
  • Sales of recovered metals and water pumps that use solar energy or any other renewable energy used in the agricultural sector
  • Services provided by insurance and reinsurance companies

Goods and services subject to Zero rate (0%) with the right to deduct VAT

  • Exported goods/services
  • Goods placed under customs suspensive regime
  • Fertilizers
  • Machinery for exclusively agricultural use
  • Investment goods recorded as fixed assets, acquired by taxpayers, for a period of 36 months as from the start of the activity, excluding vehicles acquired by car rental agencies


A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on October 5, 2021.


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