Rabat – Morocco expects to collect MAD 23.3 billion ($2.37 billion) in taxes on manufactured tobacco and alcoholic beverages in 2027, according to figures contained in the government’s draft Finance Bill.
The projected revenue is up by around MAD 2.13 billion ($217 million) from the MAD 21.17 billion forecast for 2026, representing an increase of roughly 10.1%.
Manufactured tobacco will account for the overwhelming majority of the projected revenue. The government expects the domestic consumption tax on manufactured tobacco to generate MAD 19.32 billion ($1.97 billion) in 2027, compared with MAD 17.72 billion in 2026. That represents an increase of approximately MAD 1.6 billion ($163 million), or 9.05%.
Revenue from taxes on wine and other alcoholic beverages is expected to reach MAD 1.83 billion ($186 million), up from MAD 1.49 billion in 2026, an increase of nearly 23%.
Beer taxes are projected to generate MAD 2.15 billion ($219 million), compared with MAD 1.96 billion this year, an increase of about 9.5%.
Combined revenue from wine, other alcoholic beverages and beer is therefore expected to reach nearly MAD 3.98 billion ($405 million) in 2027, while manufactured tobacco alone would account for about 83% of the total tax revenue projected from these products.
The figures emphasize the continued importance of domestic consumption taxes to Morocco’s budget revenues. However, the amounts are government projections rather than final collections, with actual receipts depending on consumption, declared products and price developments during the 2027 fiscal year.
Further tax increases planned
The higher revenue projections come as the government continues to adjust domestic consumption taxes on tobacco and alcoholic beverages.
Under the draft 2027 Finance Bill, beer would be subject to an ad valorem tax of 30%, with a minimum levy of MAD 1,705 per hectoliter. Wine would face the same 30% rate, with a minimum of MAD 1,265 per hectoliter.
Certain categories of alcohol and spirits would be subject to a 50% ad valorem rate, with a minimum tax of MAD 33,150 per hectoliter of pure alcohol.
For manufactured tobacco, the government is continuing its gradual increase in cigarette taxation. The proposed 2027 system sets a specific tax of MAD 645 per 1,000 cigarettes, combined with an ad valorem rate of 57.5% and a minimum tax of MAD 1,025 per 1,000 cigarettes.
The minimum levy is scheduled to rise further in subsequent years, reaching MAD 1,097 in 2028, MAD 1,176 in 2029, MAD 1,261 in 2030 and MAD 1,346 from January 1, 2031.
Tobacco revenues
Projected tobacco-tax revenue has risen sharply in recent years, from MAD 12.5 billion ($1.27 billion) in 2024 to MAD 13.7 billion in 2025, MAD 17.72 billion in 2026 and the projected MAD 19.32 billion ($1.97 billion) in 2027.
That represents an increase of more than MAD 6.82 billion ($694 million) compared with the 2024 projection.
The 2027 figures also show that tobacco taxation is expected to generate almost five times more revenue than wine, alcohol and beer combined.
The MAD 23.3 billion ($2.37 billion) projected from these products would also exceed the MAD 19.97 billion ($2.03 billion) expected from customs duties under the new Finance Bill by more than MAD 3.32 billion ($338 million), highlighting the growing weight of domestic consumption taxes in Morocco’s public finances.
Betting and Lottery activities
Morocco expects to collect nearly MAD 195 million in revenue from betting and lottery activities and profits generated by the Royal Society for the Encouragement of the Horse (SOREC) during 2027, according to figures included in the draft Finance Bill for the 2027 fiscal year.
The draft legislation also provides for stronger tax oversight of gambling-related activities, including the inclusion of the corresponding tax declarations among cases in which the tax administration may directly initiate an automatic tax assessment procedure, in accordance with applicable legal provisions.
The projected MAD 195 million in revenue is divided into two main components. The first, estimated at MAD 170 million, relates to deductions from betting activities. The second consists of an estimated MAD 25 million in additional profits to be generated by SOREC, the state-owned company responsible for promoting horse racing.
SOREC is described in the draft legislation as one of the institutions involved in organizing betting activities associated with horse racing in Morocco.
