Morocco income tax brackets 2026 for employees (IR)
Wadifa Info · updated 28 October 2026 · Also in French and Arabic
In short: in 2026 the brackets set by the 2025 Finance Law still apply: tax-free up to MAD 40,000 of annual net taxable income, then 10%, 20%, 30%, 34% and 37% above MAD 180,000. Professional expenses are deducted first (35% up to MAD 78,000 gross, then 25% capped at MAD 35,000). New in 2026: a reduction of MAD 600 per dependant, capped at MAD 3,600.
The 2026 brackets
The scale for salaries (art. 73-I of the General Tax Code) is progressive by bracket: each rate applies only to the part of income within its bracket.
| Annual net taxable income | Rate |
|---|---|
| Up to MAD 40,000 | Exempt |
| MAD 40,001 to 60,000 | 10% |
| MAD 60,001 to 80,000 | 20% |
| MAD 80,001 to 100,000 | 30% |
| MAD 100,001 to 180,000 | 34% |
| Over MAD 180,000 | 37% |
Did the 2026 Finance Law change the brackets?
No. The current brackets come from Finance Law 60-24 for 2025 and apply to income earned since 1 January 2025; Finance Law 50-25 for 2026 left them unchanged. What changed in 2026 is the family reduction: MAD 600 per dependant, capped at MAD 3,600 a year, for income earned from 1 January 2026 (Finance Law 50-25, Bulletin officiel No. 7465 bis of 16 December 2025).
What does the 2027 draft budget change?
The 2027 draft finance law, tabled in October 2026 and not yet passed, provides from January 2027 for tax-free net taxable income up to MAD 60,000 a year, a professional-expense deduction raised to 45% (capped at MAD 35,000 a year according to the press) and scales falling each year until 2031 (top rate 30%). Estimate the change with the 2027 income tax simulator (FR).
Monthly table and amount to deduct
Our calculation from the annual scale of art. 73-I divided by 12. Quick method: monthly tax = net taxable income × rate − amount to deduct.
- up to MAD 3,333.33: exempt;
- MAD 3,333.34 to 5,000: 10%, deduct MAD 333.33;
- MAD 5,000.01 to 6,666.67: 20%, deduct MAD 833.33;
- MAD 6,666.68 to 8,333.33: 30%, deduct MAD 1,500;
- MAD 8,333.34 to 15,000: 34%, deduct MAD 1,833.33;
- over MAD 15,000: 37%, deduct MAD 2,283.33.
Then subtract MAD 50 a month per dependant (MAD 600 a year, at most MAD 300 a month). This scale is for salaries; an auto-entrepreneur (FR) pays a flat tax on turnover (0.5% or 1%).
How is net taxable income calculated?
Under art. 58, exempt items (art. 57) are removed from gross pay, then the deductions of art. 59:
- the flat-rate professional-expense allowance;
- pension contributions (CNSS, CMR, RCAR, CIMR…);
- employee social-security contributions for short-term benefits and to provident schemes;
- the employee's share of group health, maternity, disability and death insurance;
- repayments of a social-housing loan for the main home, withheld monthly by the employer.
Professional-expense allowance
- 35% if annual gross taxable income is at most MAD 78,000;
- 25% above MAD 78,000, with the deduction capped at MAD 35,000 a year;
- special rates, capped at MAD 35,000: 25% (casino staff), 35% (night newspaper printers, miners, artists), 45% (journalists, life-insurance agents, sales representatives, flight crew) and 40% for merchant-navy and fishing crews.
Reduction for spouse and children
MAD 600 per dependant is deducted from the annual tax, up to MAD 3,600 (art. 74). Dependants are the wife and children (including legally fostered children) whose income does not exceed the exempt bracket (MAD 40,000) and who are at most 27 years old, with no age limit for disabled children unable to support themselves. A woman taxpayer gets the reduction for her husband and children when they are legally her dependants.
Worked example: MAD 100,000 of net taxable income
Our calculation for a married employee with two children (3 dependants):
- 0 to 40,000: 0;
- 40,001 to 60,000: 10% × 20,000 = MAD 2,000;
- 60,001 to 80,000: 20% × 20,000 = MAD 4,000;
- 80,001 to 100,000: 30% × 20,000 = MAD 6,000;
- total MAD 12,000, minus 3 × 600 = MAD 1,800, so MAD 10,200 a year (MAD 850 a month).
From gross to net pay: net salary calculator (FR). Civil-service pay by grade: salary scale (FR). Employing a foreigner: work permit.
Related guides
Minimum wage · CNSS and AMO rates · Income tax brackets · Overtime · Annual leave · Severance pay · Public holidays
Sources
General Tax Code 2026 as published by the Ministry of Economy and Finance (finances.gov.ma), arts. 56–59, 73-I and 74; Finance Law 60-24 for 2025 (art. 8) and Finance Law 50-25 for 2026 (art. 7, Bulletin officiel No. 7465 bis of 16 December 2025), read on 4 October 2026. The monthly table and the worked example are our arithmetic on art. 73-I and 74. The English wording is our translation; not tax advice.
Information only, not legal advice. Reuse with a link to this page (CC BY 4.0). Corrections: [email protected].