Key takeaway: The housing tax in Morocco (Law 47-06, effective since 2007) applies to buildings in urban areas under a progressive rate schedule: 10%, 20% or 30% of annual rental value, with an exempt bracket up to MAD 5,000. Primary residences benefit from a 75% reduction. Since 2025, management has been transferred to the DGI with online payment options.
The housing tax (taxe d’habitation) is a local tax established by Law 47-06 on local taxation, enacted by Dahir 1-07-195 of 30 November 2007. It replaced the former urban tax for residential properties.
Since June 2025, management of the housing tax has been transferred to the General Tax Directorate (DGI) under Law 14-25. No changes have been made to rates or the tax base — only collection is now centralised at DGI level on behalf of local municipalities.
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Scope of the housing tax
The housing tax applies to all buildings and constructions used for residential purposes, whether as a primary or secondary residence.
Geographic areas covered
- Urban municipality perimeters
- Peripheral zones of urban municipalities
- Designated centres defined by regulation
- Summer, winter and thermal resorts with a tax perimeter set by regulation
Who is liable?
The tax is assessed in the name of the:
- Owner or usufructuary of the property
- Possessor or occupant, when the owner cannot be identified
Commercial premises fall under the professional tax rather than the housing tax.
Housing tax rate schedule
The housing tax is calculated using a progressive rate schedule based on the annual rental value of the property:
| Annual rental value bracket | Rate |
|---|---|
| 0 — MAD 5,000 | Exempt |
| MAD 5,001 — 20,000 | 10% |
| MAD 20,001 — 40,000 | 20% |
| Above MAD 40,000 | 30% |
75% reduction for primary residence
The rental value of the primary residence benefits from a 75% reduction before applying the rate schedule. This substantially reduces the amount owed.
Example: for a property with an annual rental value of MAD 40,000:
- Secondary residence: (5,000 × 0%) + (15,000 × 10%) + (20,000 × 20%) = MAD 5,500
- Primary residence: rental value after reduction = 40,000 × 25% = MAD 10,000 → (5,000 × 0%) + (5,000 × 10%) = MAD 500
Exemptions
Permanent exemption
The following are exempt from the housing tax:
- Properties belonging to social housing organisations (HLM) used as primary residences for 15 years from the date of obtaining the occupancy permit
5-year temporary exemption
New constructions and building extensions benefit from a total exemption for 5 years following the year of completion or equipment installation.
This exemption also applies to new constructions used as primary residences for the remaining period after the 5-year window.
Determining rental value
The rental value is set by the assessment committee through comparison with similar properties in the same area. It is revised every 5 years with a 2% increase.
For properties made available to third parties free of charge, the rental value is determined as if the property were occupied by its owner.
Assessment and payment
The housing tax is issued by way of a tax roll, on the same roll as the communal services tax (TSC). The taxpayer receives a tax notice indicating the amount due.
Online payment
Since the transfer to the DGI, the housing tax can be paid through several channels:
- DGI online portal: tax.gov.ma
- Banking websites and mobile apps of partner banks
- Bank branches upon presentation of the tax notice
Filing obligations
Property owners must file a declaration with the DGI in the following cases:
- New construction or change of use: declaration within 45 days
- Property sale: declaration within 45 days
Failure to file or late filing results in a 15% surcharge on the tax amount.
Read also
- Communal Services Tax (TSC) in Morocco
- Professional Tax in Morocco
- Morocco Tax Calendar 2026: all deadlines
