If your company sells software, streaming content, or cloud services to customers in Morocco and has no physical office there, a new rule now applies to you. VAT on digital services in Morocco became mandatory on June 11, 2026, when Morocco’s tax authority, the Direction Générale des Impôts (DGI), activated registration for non-resident providers through its SIMPL online portal. The change affects any foreign company selling digital services to Moroccan consumers — from streaming platforms to AI software subscriptions — regardless of revenue. This guide explains who must register, how the 20% VAT rate applies, the registration steps on SIMPL, filing deadlines, and the penalties for missing them, so you can bring your business into compliance without guesswork.
Key Takeaways
- Since June 11, 2026, non-resident companies selling digital services (streaming, software, cloud storage, apps) to Moroccan consumers must register for VAT via Morocco’s SIMPL portal.
- Standard VAT rate: 20%. There is no minimum revenue threshold — registration is mandatory from the first taxable sale.
- Filing is quarterly; declarations and payment are due by the end of the month following each quarter.
- Late registration costs MAD 1,000 (about EUR 92); late filing or payment adds a further 5% to 20% penalty on the VAT due.
- B2B sales to VAT-registered Moroccan companies work differently — the Moroccan buyer self-liquidates the VAT instead of the foreign supplier registering.
What Is Morocco’s VAT on Digital Services?
VAT on digital services in Morocco is the value-added tax that non-resident companies must charge, collect, and remit on remote digital services — such as streaming, software subscriptions, and cloud storage — sold to consumers located in Morocco, under Article 99-A of the Code Général des Impôts (CGI).
The rule did not appear out of nowhere. Since 2025, remote B2B services supplied by foreign companies to Moroccan businesses were already brought into Morocco’s VAT net through a reverse-charge mechanism on the Moroccan buyer. The 2026 Finance Law (Loi de Finances 2026) extended this regime to B2C sales, requiring non-resident suppliers themselves to register, declare, and pay VAT when selling directly to Moroccan consumers who are not VAT-registered — the same model several EU countries and Morocco’s regional peers use for cross-border digital sales.
Who Must Register
You fall under this obligation if all of the following apply:
- No establishment in Morocco — your company has no branch, subsidiary, or fixed place of business there.
- You supply digital or remote services — streaming, software-as-a-service, mobile apps, cloud or data storage, e-learning platforms, and similar online services.
- Your customers are Moroccan consumers (B2C) who are not themselves VAT-registered.
- There is no minimum revenue threshold. Registration is mandatory from your first taxable transaction, unlike some jurisdictions that exempt small sellers below a turnover cap.
Morocco World News reported that the measure directly covers services such as Netflix-style streaming and AI software subscriptions sold to Moroccan consumers, underlining how broad the “digital services” definition is meant to be.
B2C vs. B2B: How the VAT Applies Differently
Whether you or your Moroccan customer handles the VAT depends entirely on who is buying.
| Transaction type | Who registers and pays | Mechanism | In effect since |
|---|---|---|---|
| B2C — sale to a Moroccan consumer not VAT-registered | The non-resident supplier | Direct SIMPL registration; 20% VAT charged, collected, and remitted by the foreign company | June 11, 2026 |
| B2B — sale to a Moroccan VAT-registered business | The Moroccan business buyer | Self-liquidation (reverse charge) with a 75% withholding applied to the VAT amount | 2025 |
Table 1: How Morocco’s digital services VAT mechanism differs depending on whether the end customer is a private consumer (B2C) or a VAT-registered business (B2B).
In practice, this means a foreign SaaS company selling subscriptions to individual Moroccan users needs SIMPL registration, while the same company invoicing a Moroccan corporate client for the identical software does not — the corporate client handles the VAT internally.
How to Register on the SIMPL Portal
The DGI made registration available through the SIMPL teleservices portal at tax.gov.ma starting May 15, 2026, ahead of the June 11 enforcement date. Follow these steps:
- Confirm scope — verify your company has no Moroccan establishment and sells qualifying digital services to Moroccan consumers.
- Gather documents — company registration certificate, foreign tax identification number, description of services, website or digital presence details, and passport/ID of the company representative.
- Access the SIMPL portal at www.tax.gov.ma.
- Complete the online registration form with company, activity, and representative details, including the date of first taxable supply into Morocco.
- Receive your electronic tax identity number, issued automatically once registration is validated.
- Track quarterly revenue generated from Moroccan customers.
- File your quarterly VAT declaration before the end of the month following each quarter.
- Pay the 20% VAT due alongside the declaration.
The DGI has published a user guide on the SIMPL portal itself to walk foreign companies through each of these steps in more detail.
Filing and Payment Deadlines
Once registered, declarations follow a fixed quarterly rhythm — each due before the end of the first month after the quarter closes:
- Q1 (January–March): declaration and payment due by April 30
- Q2 (April–June): declaration and payment due by July 31
- Q3 (July–September): declaration and payment due by October 31
- Q4 (October–December): declaration and payment due by January 31
Each declaration must report all revenue generated from Moroccan customers during the quarter, with the corresponding 20% VAT payment submitted at the same time.
Penalties for Non-Compliance
Missing registration or filing deadlines is not a minor administrative slip — it carries defined financial penalties under Morocco’s general VAT law:
- Late registration: a flat penalty of MAD 1,000 (about EUR 92).
- Late payment or late filing: an additional penalty of 5% to 20% of the VAT amount due, scaled to the length of the delay.
Because there is no revenue threshold before registration becomes mandatory, even a foreign company with modest Moroccan sales is exposed to these penalties from its very first transaction if it does not register in time.
How Neo Expertise Can Help
Determining whether your digital services qualify, registering correctly on SIMPL, and keeping up with quarterly filings is exactly the kind of recurring compliance work our Tax Advisory & Compliance and Business Service Outsourcing teams handle for foreign companies operating in or selling into Morocco. We assess your exposure, manage the SIMPL registration, and run your quarterly declarations so nothing slips past a deadline.
What is the VAT rate on digital services in Morocco?
Digital services supplied by non-resident providers to Moroccan consumers are taxed at Morocco’s standard VAT rate of 20%, under Article 99-A of the Code Général des Impôts. This applies to streaming, software subscriptions, cloud storage, and similar remote services delivered to customers in Morocco who are not themselves VAT-registered.
Who must register for Morocco’s non-resident digital services VAT?
Any foreign company with no physical establishment in Morocco that supplies digital services — streaming, software-as-a-service, cloud storage, online platforms — to Moroccan consumers who are not VAT-registered must register via the SIMPL portal. There is no minimum revenue threshold, so registration is mandatory from the first taxable transaction.
When did Morocco’s digital services VAT registration become mandatory?
The SIMPL portal opened for registration on May 15, 2026, and mandatory VAT registration, filing, and payment for non-resident digital service providers took effect on June 11, 2026. Companies already selling qualifying services into Morocco should register as soon as possible to avoid late-registration penalties.
What happens if a foreign digital company doesn’t register on time?
Late registration triggers a penalty of MAD 1,000 (about EUR 92), while late payment or late filing of the quarterly VAT declaration carries an additional penalty of 5% to 20% of the VAT amount due, depending on the delay. Both penalties apply under the general provisions of Morocco’s VAT law.
Does the digital services VAT apply to B2B sales to Moroccan companies?
No. When the Moroccan customer is itself VAT-registered (a B2B transaction), that customer self-liquidates the 20% VAT through a reverse-charge mechanism with a 75% withholding, a rule in place since 2025. Non-resident suppliers only need SIMPL registration for B2C sales to non-VAT-registered Moroccan consumers.
Conclusion
If your company sells digital services to individual consumers in Morocco and has no local establishment, the question is no longer whether Morocco’s VAT on digital services applies to you — since June 11, 2026, it does, from your very first sale, with no revenue threshold to hide behind. The path forward is straightforward: confirm your B2C exposure, register on the SIMPL portal, and file your quarterly declarations on time to avoid the MAD 1,000 late-registration penalty and the 5%-20% late-filing surcharge. If you’re unsure whether your service qualifies or want the registration and quarterly filings handled for you, reach out to Neo Expertise’s Tax Advisory & Compliance team for an assessment.
Brahim Rami | Member of institute of chartered accountants in Morocco
He is a CPA and tax advisor, founder of NeoExpertise.net, a Legal and Tax firm helping foreign companies with business setup, due diligence, payroll, and tax compliance in Morocco and Africa.
