Morocco has dropped a proposed 40% telecom tax rate for the most profitable operators after the finance minister opposed it, though he said the sector’s position would be reviewed next year.
The decision spares the largest operators in a market shared by Maroc Telecom, Orange Maroc and inwi a five-point rise in corporate tax in the 2027 budget, while large fuel distributors still face it. It leaves open a debate in parliament about how much Morocco’s most profitable companies in concentrated markets should contribute.
What did the telecom tax amendment propose?
Groups from the parliamentary majority filed an amendment on 10 November to apply the 40% corporate tax rate to cement makers and telecom operators earning net profit of at least 100mn dirhams, InfoMagazine reported (in French). The standard rate for large companies is 35%.
The majority argued for fiscal fairness, pointing to the companies’ profitability and to markets they described as “quasi monopolistic”, according to Le360. They wanted the two sectors taxed like banks, insurers, Bank Al-Maghrib and the Caisse de Dépôt et de Gestion, which already pay 40%.
The amendment was withdrawn on 11 November during the finance committee’s review of the 2027 finance bill in the House of Representatives. The bill’s original measure, raising the rate to 40% for fuel importers and distributors with net profit of at least 100mn dirhams, was kept.
Why did the government reject a higher telecom tax?
Fouzi Lekjaa, the minister for the economy and finance, said operators already pay sector contributions on top of corporate tax, Le360 reported. Those levies amount to 3% of revenue: 2% for the universal telecoms service fund and 1% for research, development and information technology, according to H24info.
Taking those contributions into account, the minister said, puts operators’ effective burden about five points above the headline rate, so a 40% telecom tax would add to an already heavy load. That calculation is the government’s; the majority had argued the sector’s margins could bear more.
Lekjaa said the government would monitor operators’ revenue and re-examine their situation next year, Le360 reported.
How profitable are Morocco’s telecom operators?
Only Maroc Telecom, which is listed in Casablanca and Paris, publishes detailed accounts. Its revenue in Morocco fell 2.4% to 18.69bn dirhams (about $2bn) in 2025, while group adjusted net profit fell 4.9% to 5.65bn dirhams, according to the company’s annual results statement. Growth came from its African subsidiaries rather than the home market.
Operators are also rolling out 5G networks, ahead of the 2030 World Cup that Morocco co-hosts with Spain and Portugal. The sector is supervised by the National Telecommunications Regulatory Agency (ANRT).
What happens next?
The House of Representatives was due to vote on the finance bill in plenary on Saturday 14 November, H24info reported, before it goes to the House of Councillors, the upper chamber. The budget also raises social aid, as DNE Africa reported in its story on Morocco’s 600-dirham minimum aid, and follows September’s legislative elections. A telecom tax rise could return in the 2028 budget if the review finds room for it.
FAQ
Did Morocco raise the telecom tax rate to 40%?
No. An amendment to apply 40% corporate tax to the most profitable telecom operators was withdrawn on 11 November. They remain at 35%.
Who will pay 40% corporate tax under the 2027 budget?
Fuel importers and distributors with annual net profit of at least 100mn dirhams join banks, insurers, Bank Al-Maghrib and the CDG, which already pay 40%.
What other levies do telecom operators pay in Morocco?
Contributions worth 3% of revenue, of which 2% funds universal service and 1% research and development, according to the government.
Could the telecom tax change later?
Yes. The finance minister said the government would review operators’ situation next year.
