Morocco’s corporate income tax (CIT), known locally as impôt sur les sociétés (IS), is generally paid in four instalments during the financial year. After closing its books, the company has three months to file its annual return and pay any outstanding balance. For a business with a 31 December year-end, March can bring two separate obligations. The company settles the previous year’s tax and pays the first instalment for the new year.
Morocco corporate tax calendar
The standard tax period is 12 months, although a company’s first period can be shorter. Instalments fall at the end of the third, sixth, ninth and twelfth months of the financial year. Companies with a different year-end should count from the start of their own financial year. The dates below apply to a company whose accounts close on 31 December.
| Tax obligation | Standard deadline |
|---|---|
| First CIT instalment | 31 March |
| Second CIT instalment | 30 June |
| Third CIT instalment | 30 September |
| Fourth CIT instalment | 31 December |
| Annual CIT return and any outstanding balance | 31 March of the following year |
How to calculate corporate tax instalments
Each instalment generally equals 25% of the tax due for the last completed financial year. If that reference period was shorter than 12 months, the company annualises the tax before calculating its instalments.
Suppose a company owed MAD 100,000 in corporate tax for its last full financial year. It would pay four instalments of MAD 25,000. If its final tax bill for the current year is MAD 115,000, it pays the remaining MAD 15,000 by the annual filing deadline. If the bill comes to MAD 90,000, it applies the MAD 10,000 overpayment against subsequent instalments.
How to file and pay corporate tax online
Companies file and pay electronically through the Direction Générale des Impôts (DGI). Enrol in the DGI’s SIMPL services, activate the company’s access and use SIMPL-IS for corporate tax. Have the company’s tax identification number and authorised user credentials ready before the deadline. Keep a copy of the submitted return, the electronic acknowledgement and the payment confirmation with the year’s tax records.
Penalties for late filing and payment
Article 184 generally applies a 5% surcharge when a return is filed up to 30 days late. The same rate can apply to a late corrective return that results in additional tax. The surcharge rises to 15% when the delay exceeds 30 days and to 20% when the tax authority issues an automatic assessment because the company failed to file.
Late payment carries a separate penalty under Article 208. The rate is generally 5% when payment is up to 30 days late and 10% after that. A 20% penalty can apply to late or unpaid VAT and withholding taxes covered by the provision. Additional late charges are 5% for the first month and 0.5% for each subsequent month or fraction of a month.
Tax audits and assessment periods
The ordinary assessment period generally runs to the end of the fourth year following the relevant tax year. Special rules can allow the DGI to examine earlier periods when losses or tax credits from those years affect a period still open to assessment. Common audit topics include pricing between related companies, the deductibility of accounting provisions, and the tax treatment of employee compensation and benefits.
Frequently asked questions
Does a new company pay instalments in its first financial year?
A newly formed company generally has no instalments to pay during its first financial year because it has no prior period on which to base them. It still files its first annual return and pays any tax due by the filing deadline. If its first period was shorter than 12 months, the annualisation rule applies when calculating instalments for the next period.
What if a corporate tax deadline falls on a public holiday?
Under Article 163, when a deadline falls on a public holiday or statutory non-working day, it moves to the next working day.