Discusses pricing formula and other fees, value-added tax (VAT), etc.
Last Published: 7/15/2019

The Moroccan currency is the Moroccan dirham, which is divided into 100 centimes.  Common abbreviations for the dirham are MAD, DH, and Dhs.  Most prices are quoted in dirhams although some businesspeople occasionally include centimes.

Morocco operates under a Value Added Tax regime (TVA in French) with different TVA rates for different products, and some businesses are exempt from TVA altogether.  Before doing business in Morocco, it is advisable to consult with a local tax advisor on how TVA will affect the company’s business.  The market determines prices without government involvement with exceptions for staple commodities like flour,  sugar, and butane gas which remain subsidized.  For service providers, all invoices issued by foreign companies are subject to a 10% tax.  It is important to clarify with the contracting partner if negotiated rates are before or after this tax has been added.

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