🇲🇦 Tax

Morocco VAT (TVA) Calculator: Standard & Reduced Rates (2026)

Calculate VAT (TVA) in Morocco instantly — add or remove the 20% standard rate, or switch to the 10% reduced rate, with a full net, tax and gross breakdown.

Advanced: custom rate override

Useful for zero-rated planning or a temporary rate. Overrides the country default and any Ghana component breakdown.

Net amount (excl. VAT)
DH1,000.00
VAT (20.0%)
DH200.00
Gross amount (incl. VAT)
DH1,200.00
Effective rate used
20.0%

Based on Morocco’s standard VAT rate as of 2026. Zero-rated or exempt supplies are not automatically detected — use the custom rate override above if your transaction falls under one.

Morocco VAT (TVA) Calculator: How the Standard and Reduced Rates Work

Last updated: August 2026·Reviewed by Chidinma Okafor, Tax Analyst in Lagos·Source

Bar chart comparing Morocco VAT total at the 10% reduced rate versus the 20% standard rate

Morocco simplified its VAT (TVA) system in 2026 — down to just two rates from what used to be four — but that also means older guides referencing the old 7% and 14% rates are now out of date.

How it's calculated

Since the Finance Law n° 50-25 reform took effect on 1 January 2026, Morocco has only two VAT rates: 20% standard and 10% reduced. The former 7% and 14% categories (basic food, pharmaceuticals, transport, electricity, and others) have been reclassified into one of these two rates, or exempted entirely.

TaskFormula (20% standard)Formula (10% reduced)
Add VAT to a net priceNet price × 1.20Net price × 1.10
Remove VAT from an inclusive priceInclusive price ÷ 1.20Inclusive price ÷ 1.10

Worked example

A retailer sells goods for MAD 5,000 net, standard-rated (20%).

  • VAT to add: MAD 5,000 × 20% = MAD 1,000
  • Total invoice: MAD 6,000

If the same goods qualified for the 10% reduced rate instead:

  • VAT to add: MAD 5,000 × 10% = MAD 500
  • Total invoice: MAD 5,500

Getting the rate category wrong (20% vs 10%) makes a meaningful difference — always confirm which rate applies to your specific product or service under the current classification.

Things to know

  • The old 7% and 14% rates no longer exist as of 1 January 2026 — if you're using a reference from before the reform, the rate you remember for a given product may no longer be correct.
  • VAT registration is required once annual turnover exceeds MAD 500,000, administered by the DGI (Direction Générale des Impôts).
  • Morocco is introducing mandatory e-invoicing under a DGI clearance model starting in 2026 — businesses should confirm their compliance timeline directly with the DGI.

Frequently Asked Questions

What is the standard VAT rate in Morocco?+
20%, as of the completed 2024-2026 rate reform under Finance Law n° 50-25, effective 1 January 2026. Morocco now has just two VAT (TVA) rates: 20% standard and 10% reduced, after the previous 7% and 14% rates were abolished.
What used to be taxed at 7% or 14% in Morocco?+
Before the 2026 reform, 7% applied to basic food items, pharmaceuticals and school supplies, and 14% applied to transport, butter and electricity. These rates no longer exist — those categories have been reclassified into the 20% standard rate, the 10% reduced rate, or full exemption.
How do I calculate VAT backwards from a Morocco price that includes tax?+
Divide the gross amount by 1.20 (standard rate) or 1.10 (reduced rate) to get the net amount, then subtract net from gross to find the VAT (TVA) portion.
At what turnover does a business need to register for VAT in Morocco?+
MAD 500,000 in annual turnover, administered by the DGI (Direction Générale des Impôts). Morocco is also introducing mandatory e-invoicing under a DGI clearance model from 2026.
What happened to the 4-rate VAT system Morocco used to have?+
Morocco phased out its old 4-rate structure (7%, 10%, 14%, 20%) through the 2024-2026 reform under Finance Law n° 50-25, consolidating everything into just two rates -- 20% standard and 10% reduced -- effective 1 January 2026.
Are basic food items still taxed at a reduced rate in Morocco?+
Basic food items previously taxed at 7% have been reclassified under the 2026 reform into either the new 10% reduced rate or full exemption, depending on the specific product -- confirm the current classification for your specific goods with the DGI.
Does the VAT rate differ between Moroccan regions?+
No -- unlike some countries with region-specific VAT regimes, Morocco applies its national 20%/10% rate structure uniformly across all regions, with no separate rate for any specific city or province.

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