Rabat – Starting later this year, all Moroccans residing abroad (MREs) will have to declare their Moroccan bank accounts, if they have any, when filing their tax returns.
The new laws will be enacted within the Organisation for Economic Co-operation and Development’s (OECD) international tax conventions framework. If Moroccan residents abroad choose to not comply, they will risk facing heavy penalties.
“Through the multinational convention signed in June 2019, for the implementation of measures related to the OECD tax treaties, Morocco adheres to the automatic transfer of bank data from September 2021. This measure is already prescribed by law of Finances 2020 for fiscal years beginning on January 1, 2021,” reports Moroccan news site EcoActu.
The development comes parallel to the sweeping government reforms, among which are general social security, administrative issues, as well MRE matters.
In August 2020, Morocco’s Minister of Justice Mohammed Ben Abdelkader vowed his department’s commitment to improving legal services for MREs.
Read also: Remittances From Moroccans Residing Abroad Increase by 1.7%
Benabdelkader said the ministry is taking a set of measures, including the conclusion of many judicial cooperation agreements with a number of foreign countries, to strengthen the legal aid system and facilitate dispute management for MREs.
The Ministry of Justice is committed to supporting MREs, “whether it comes to preparing and contributing to the enrichment of the legal system related to this category, or providing services according to a socio-legal approach.”
Later in the year, the Moroccan Ministry of Tourism, Air Transport, Handicrafts, and Social Economy, and the Ministry Delegate in charge of Moroccans abroad signed a partnership agreement with the Office for Development of Cooperation on December 28 to mobilize the skills of MREs.
As part of a 2021-2030 action plan that aims to support 80% of handicraft and tourism cooperatives, the agreement seeks to support initiatives by Moroccans living abroad in the area of cooperation.
Approximately 6 million Moroccans, 20% of the total population, live abroad. According to various statistics 60% of the total diaspora is concentrated in Europe. Their contribution to the economy is significant and their remittances account for 5% of the Moroccan GDP.
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