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Morocco Income Tax (IR) 2026: brackets, calculation, worked examples

Updated on May 16, 20269 min read

The Moroccan Income Tax (IR) bracket structure is set annually by the Finance Act and reviewed every 4-5 years. For fiscal year 2026 (declared March-April 2027), the bracket remains structured in 6 progressive brackets from 0 % to 38 %, applicable on net global taxable income after deduction of charges (social contributions, family allowances, flat professional expenses). Calculation uses the 'average rate' method: applying each bracket's marginal rate then adjusting by a predefined deduction sum. This guide details the 6 brackets for 2026, deduction amounts, provides 5 concrete worked examples (employee MAD 8K/month, executive 15K, liberal doctor 25K, MRE 30K, retiree 12K), and presents the quick calculation method to anticipate your annual IR without error.

1. Morocco IR 2026 — 6 official brackets

Brackets and rates table 2026

Bracket 1: income ≤ MAD 30,000/year → rate 0 % (full exemption). Deduction sum: MAD 0.

Bracket 2: 30,001 to 50,000/year → rate 10 %. Deduction sum: 3,000.

Bracket 3: 50,001 to 60,000/year → rate 20 %. Deduction sum: 8,000.

Bracket 4: 60,001 to 80,000/year → rate 30 %. Deduction sum: 14,000.

Bracket 5: 80,001 to 180,000/year → rate 34 %. Deduction sum: 17,200.

Bracket 6: > 180,000/year → rate 38 %. Deduction sum: 24,400.

Quick calculation method

Unique formula: Gross IR = (Net Global Taxable Income × Marginal Rate) − Deduction Sum

The marginal rate is the bracket in which the income falls. The deduction sum already integrates lower-bracket calculation (average-rate method).

Net IR = Gross IR − personal deductions (family charges MAD 360/dependent × max 6, ceiling MAD 2,160/year).

2. 5 concrete worked examples 2026

Example 1 — Employee MAD 8,000/month (96K/year)

Gross annual income: MAD 96,000. Professional expenses (20 % capped at 30K): MAD 19,200. CNSS social contributions (~4.48 %): MAD 4,300.

Net taxable income: 96,000 − 19,200 − 4,300 = 72,500. Bracket 4 (60,001-80,000) → 30 % rate, deduction sum 14,000.

Gross IR = 72,500 × 30 % − 14,000 = 21,750 − 14,000 = MAD 7,750/year, i.e. ~MAD 646/month withheld at source by employer.

Example 2 — Executive MAD 15,000/month (180K/year)

Gross annual: 180,000. Professional expenses (capped 30K): 30,000. CNSS: 8,064.

Net taxable: 180,000 − 30,000 − 8,064 = 141,936. Bracket 5 (80,001-180,000) → 34 % rate, deduction sum 17,200.

Gross IR = 141,936 × 34 % − 17,200 = 48,258 − 17,200 = MAD 31,058/year, i.e. ~MAD 2,588/month withheld at source.

Example 3 — Liberal doctor MAD 25,000/month (300K/year)

Gross annual: 300,000. Real professional expenses (practice, secretary, insurance): 80,000 (deductible in real regime).

Net taxable: 300,000 − 80,000 = 220,000 (no automatic CNSS for liberals, except voluntary CNSS Self-Employed enrollment).

Gross IR = 220,000 × 38 % − 24,400 = 83,600 − 24,400 = MAD 59,200/year. To declare March-April 2027 (1 annual payment).

Example 4 — MRE 30,000/month foreign pension (360K/year)

Foreign pension converted to MAD: 360,000/year. Specific MRE abatement on foreign pensions: 80 % (CGI art. 73), so taxable base = 360,000 × 20 % = 72,000.

Professional expenses: not applicable. Net taxable: 72,000. Bracket 4 → 30 % rate, deduction sum 14,000.

Gross IR = 72,000 × 30 % − 14,000 = 21,600 − 14,000 = MAD 7,600/year (vs ~85K MAD/year without abatement). Major MRE advantage.

Example 5 — Retiree MAD 12,000/month pension (144K/year)

Moroccan pension (CNSS/CMR/RCAR): 144,000/year. Retirement pension abatement: 60 % (art. 60 CGI), so taxable base = 144,000 × 40 % = 57,600.

Net taxable: 57,600. Bracket 3 (50,001-60,000) → 20 % rate, deduction sum 8,000.

Gross IR = 57,600 × 20 % − 8,000 = 11,520 − 8,000 = MAD 3,520/year, i.e. ~MAD 293/month withheld on pension by the fund.

3. Deductible charges before IR calculation

For employees

Professional expenses: 20 % of gross salary, capped at MAD 30,000/year (automatic flat deduction).

CNSS + AMO contributions: fully deductible (~4.48 % of gross salary). Complementary retirement contributions: deductible up to 10 % of net income (cap MAD 50,000/year).

Family charges: MAD 360/year per dependent (spouse + children up to 25 if students), capped at 6 persons = MAD 2,160/year deduction from gross IR (not from base).

For liberal professions and self-employed

Real regime: deduction of real professional expenses (practice rent, secretary, pro RC insurance, continuing training, travel).

Flat regime (CPU): fixed tax rate 1 % of pre-tax revenue for services, 0.5 % for commerce (vs IR bracket up to 38 %). Preferable if revenue < 500K services / 200K commerce.

Life insurance + PER contributions

Contributions to retirement life-insurance contracts: deductible up to 10 % of net taxable income, capped at MAD 50,000/year. Conditions: contract ≥ 8 years, exit at 55 minimum.

Ideal optimization for executives > 100K/year and liberals > 150K/year: IR savings MAD 3,400-19,000/year depending on bracket.

4. IR 2026 declaration and payment (March-April 2027)

Employees (withholding at source)

Employer withholds IR monthly on payslip. No mandatory personal declaration UNLESS:

(a) Rental income > 30K/year, (b) Movable capital income > 5K/year, (c) Real-estate capital gains, (d) Liberal activity in addition, (e) Total income > MAD 1M/year.

Self-employed / liberals / rentals

Mandatory annual declaration via tax.gov.ma SIMPL-IR before April 30, 2027 (2026 income). Download pre-filled form with employer + CNSS data.

Payment: bank transfer or CMI card on tax.gov.ma. Possibility to spread payments in case of difficulty (motivated request to tax office).

5. FAQ

Q.What are the 6 Morocco IR 2026 brackets?
0 % up to MAD 30,000, 10 % from 30,001 to 50,000, 20 % from 50,001 to 60,000, 30 % from 60,001 to 80,000, 34 % from 80,001 to 180,000, and 38 % above 180,000. Respective deduction sums are 0, 3,000, 8,000, 14,000, 17,200 and 24,400 MAD.
Q.How do I quickly calculate my IR from gross salary?
Simplified formula for employees: Net Taxable = Gross × 0.75 (deducts 20 % professional + CNSS). Then apply Bracket × Rate − Deduction Sum. For MAD 10,000/month gross (120K/year): Net taxable ≈ 90K, 34 % bracket, IR ≈ 90,000 × 34 % − 17,200 = MAD 13,400/year (~MAD 1,117/month). Exact calculation via wafir.ma/outils/calcul-ir-maroc.
Q.What charges are deductible to reduce my IR?
For employees: professional expenses 20 % capped at 30K, CNSS/AMO contributions, family allowances MAD 360/person. For all: retirement life-insurance contributions ≤ 10 % of net income (cap 50K), mortgage interest on primary residence (on declaration), donations to recognized public-utility organizations.
Q.Do MRE benefit from IR abatement in Morocco?
Yes, major 80 % abatement on foreign pensions (CGI art. 73). For an MRE retiree with MAD 360K/year foreign pension, taxable base is only 20 % i.e. 72K MAD → IR ~MAD 7,600/year instead of ~85,000 without abatement. Additional bilateral tax treaty by country.
Q.When must I declare my IR for 2026 income?
Before April 30, 2027 on tax.gov.ma SIMPL-IR. Pure employees (without complementary income) are exempt from personal declaration (withholding at source by employer). Liberals, real-estate owners, MRE pensioners, and mixed-income earners must declare mandatorily.

Calculate my 2026 IR in 30 seconds

Our Morocco IR calculator integrates 2026 brackets, abatements, family charges, PER contributions. Precise estimation for employees, liberals, MRE.

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