Significant Tax Policy Change for Fuel Distributors in Morocco
The Moroccan government is preparing to implement a notable increase in the corporate tax rate applied to large fuel importers and distributors in its upcoming 2027 budget. This tax hike will see the rate rise from its current level of 35% to 40%, a significant adjustment aimed at companies that report net profits of 100 million dirhams or more. This strategic move is designed to target what the government identifies as 'superprofits' within the fuel sector, particularly following a substantial rebound in profitability that has been observed in recent years.
The new tax rate, which is markedly higher than the standard corporate tax rate of 20%, represents a five-point increase from the existing rate for high-profit companies across all sectors. Notably, banks and insurance companies are already subject to this higher 40% rate, indicating a trend towards increased tax burdens for firms operating in regulated and oligopolistic markets.
This initiative aligns with the broader framework law No. 69-19 regarding tax reform, which aims to ensure that businesses in monopolistic or oligopolistic sectors contribute more significantly to the national economy. Importantly, the government has framed this tax increase as a targeted measure rather than a blanket tax hike, emphasizing its focus on the most profitable entities in the fuel distribution landscape.
Recent data from Morocco's Competition Council highlights the financial success of the nine largest diesel and gasoline distributors, which collectively reported a net income of 2.295 billion dirhams in their fuel operations for the year 2024. This figure was generated from a total turnover of approximately 77.9 billion dirhams, resulting in a net margin of 2.9%. This margin has seen a significant improvement compared to previous years, indicating a robust recovery for the sector.
As part of this financial landscape, TotalEnergies Marketing Maroc reported impressive figures, with a social net profit of 803 million dirhams in 2025, underscoring the financial viability and profitability of major players in this market. The government's decision to raise the corporate tax rate on these entities reflects a calculated approach to taxation that seeks to balance the interests of the state with the operational realities of the fuel distribution industry.
As reported by northafricapost.com.
