In brief: The minimum contribution under Article 144-I of the 2026 General Tax Code (CGI) (0.25%, minimum 3,000 DH) applies to situations the text does not settle word for word. The DGI has ruled on seven of them: contribution in kind, branch, subsidies, foreign exchange, reduced rates, end of exemption and GIE.
The general rules (scope, rates, base, 36-month exemption, comparison with corporate tax) are set out in our reference article on the 2026 minimum contribution. This article deals with specific cases. The rulings cited date from 2001 to 2011: their reasoning is tested against the 2026 CGI, and positions that have lapsed are flagged as such.
What the 2026 CGI says on the disputed points
The base. Article 144-I-B of the CGI takes the amount, excluding VAT, of three families of income, defined by reference to Article 9-I:
| Item | Reference | In the base? |
|---|---|---|
| Turnover and other operating income | 9-I-A-1° and 5° | Yes |
| Income from equity investments, exchange gains, interest and other financial income | 9-I-B-1°, 2° and 3° | Yes |
| Operating subsidies | 9-I-A-4° | Yes |
| Balancing subsidies and other non-current income (donations) | 9-I-C-2° and 4° | Yes |
| Change in inventories, self-constructed assets, operating releases | 9-I-A-2°, 3° and 6° | Not covered |
| Financial releases | 9-I-B-4° | Not covered |
| Proceeds from disposal of fixed assets | 9-I-C-1° | Not covered |
| Releases of investment subsidies | 9-I-C-3° | Not covered |
| Non-current releases | 9-I-C-5° | Not covered |
Items “not covered” fall outside the base on an a contrario reading: Article 144-I-B does not mention them.
The rates. Article 144-I-D sets three rates, introduced by Finance Law no. 50-22 for 2023:
| Rate | Transactions covered |
|---|---|
| 0.25% | Standard rate |
| 0.15% | Sales, by commercial businesses, of petroleum products, gas, butter, oil, sugar, flour, water, electricity and medicines |
| 4% | Professions under Articles 89-I-12° and 91-VI-1° carried on by persons subject to income tax (IR) |
The minimum is 3,000 DH for corporate tax and 1,500 DH for income tax, even without turnover.
The exemptions. Article 144-I-C provides for three, and only three: companies (other than public service concession holders) for the first 36 months following the start of operations, and no later than the first 60 months following incorporation; income tax payers for their first 3 financial years; the minimum alone in the event of a declared temporary cessation (Article 150 bis).
The excess. Article 144-I-E allows the minimum contribution to be offset only against income tax. In corporate tax, no offset is provided for financial years beginning on or after 1 January 2016 (Finance Law no. 70-15, article 8-II-12).
After an exemption. Under Article 170-III, the reference year for the instalments of companies exempt from the minimum contribution or totally exempt from IS (6-II-B) is the last exempt financial year. Instalments are calculated on “the tax or the minimum contribution that would have been due in the absence of any exemption”, at the rates of the current financial year.
Key points:
- The minimum contribution base (Article 144-I-B of the 2026 CGI) includes only the Article 9-I income items it names; disposals of fixed assets and releases are excluded.
- The rates have been 0.25%, 0.15% and 4% since financial years beginning on 1 January 2023 (Finance Law no. 50-22), with a minimum of 3,000 DH in corporate tax.
- Article 144-I-C provides for only three exemptions: 36 months (within 60 months), 3 financial years for income tax, temporary cessation for the minimum alone.
- Since financial years beginning on 1 January 2016, the excess of the minimum contribution over corporate tax cannot be offset in any year (Article 144-I-E).
What the tax administration specifies in its circular notes
Operating and balancing subsidies. Circular Note no. 717 (2011) states that operating subsidies “are to be allocated to the financial year in which they are received and are included in the calculation of the minimum contribution for that year” (p. 105). The same rule applies to balancing subsidies, included in the year they are collected (p. 112). Both positions follow the wording of Article 144-I-B.
Investment subsidies. Circular Note 717 (p. 114-115) included in the minimum contribution base the portion of an investment subsidy released to profit in each financial year. However, Article 144-I-B of the 2026 CGI does not refer to Article 9-I-C-3°, which covers releases of investment subsidies. No administrative position has been published since 2011.
The 2023 rates. Circular Note no. 733 (p. 77) describes the reform: 0.50% cut to 0.25%, 0.25% cut to 0.15% for basic products, 6% cut to 4%, for financial years beginning on or after 1 January 2023. The rates of 0.75% (2019 Finance Law), 0.60% (2020 Finance Law) and 0.40% (2022 Finance Law), described in Circular Note 730 (p. 45-46), are repealed.
The official example in Circular Note 730. Circular Note 730 (p. 46) adds turnover excluding tax, financial income and a balancing subsidy: 2,500,000 + 300,000 + 1,200,000 = 4,000,000 DH of base. The following instalments are 25% of the minimum contribution payable. The method remains valid; its rates are out of date.
Total IS exemption. Regarding the exemption linked to FIFA (Article 6-I-A-36°, 2025 Finance Law), Circular Note no. 736 (p. 54) “recalled that a permanent total exemption from IS gives entitlement to a permanent total exemption from the minimum contribution”. This rule is doctrinal: Article 144 of the CGI does not codify it.
2026 Finance Law. Circular Note no. 737 (p. 5) contains no new measure on the minimum contribution. It states (p. 50) that amounts distributed by OPCC funds out of interest received are “treated as taxable financial income” (Article 9-I-B-3°, supplemented by Finance Law no. 50-25). Their inclusion in the base follows from the reference in Article 144-I-B; the circular does not say so expressly.
Key points:
- Circular Note 717 (2011, p. 105 and 112) includes operating and balancing subsidies in the minimum contribution base of the year in which they are received.
- Circular Note 717 (p. 114-115) included the released portion of investment subsidies; Article 144-I-B of the 2026 CGI does not refer to Article 9-I-C-3°.
- Circular Note 736 (2025 Finance Law, p. 54) recalls that a permanent total IS exemption carries a permanent total minimum contribution exemption; the rule is not codified in Article 144.
- The 2026 Finance Law does not change the minimum contribution (Circular Note 737, p. 5).
The cases settled by the DGI
The following rulings were issued at a taxpayer’s request, before the 2026 CGI. An individual ruling has indicative value for third parties; each one is transposed to the text in force.
Contribution of a sole proprietorship to a new SARL: 36-month exemption granted
Ruling no. 443 of 19/08/2011. An individual taxed on actual net profit contributes their business assets to a newly created SARL, under the contribution regime of the 2010 Finance Law. Does the SARL benefit from the temporary exemption for new companies? The DGI accepted that it does.
Scope. Individual ruling, indicative value. 2026 transposition: Article 144-I-C-1° covers “companies” with no condition on the origin of the assets. The reasoning remains transposable, within the double limit of 36 and 60 months. The 2010 contribution regime has been amended since: its article of the time does not describe the law in force.
Branch or new establishment: no second exemption
Ruling no. 265 of 24/05/2011. A company created in 2002 opens a branch in 2008 carrying on the same activity, with a new business tax registration. A new exemption period? The DGI said no. The exemption covers the first 36 months following the start of operations of the company. Once that period has run out, new premises, establishments or branches do not give rise to a second exemption.
Scope. Individual ruling, indicative value. 2026 transposition: transposable word for word to Article 144-I-C-1°. For income tax, Article 144-I-C-2° likewise excludes a new period where the same activity is resumed.
Subsidies and donations: operating and non-current items in the base
Ruling no. 488/09 of 18/09/2008. Which subsidies and donations are included in the base? According to the DGI, those recorded as operating income (operating subsidies, Article 9-I-A-4°) and/or as non-current income (balancing subsidies and donations recorded as “other non-current income”, Article 9-I-C-2° and 4°).
Scope. Individual ruling, indicative value. 2026 transposition: the ruling reproduces the wording of Article 144-I-B of the 2026 CGI. The official example in Circular Note 730 (p. 46) includes a balancing subsidy in the base. Releases of investment subsidies, not covered by the 2026 text but included by Circular Note 717 (p. 115), remain unsettled: the prudent option is to declare them.
Foreign exchange gains: included at their gross amount
Ruling no. 67/07 of 26/01/2007. Are exchange gains included in the base at their gross amount or net of losses? The DGI took the gross amount of the gains (Article 9-I-B-2°), not the balance of gains minus losses. Offsetting is allowed only when determining the taxable profit.
Scope. Individual ruling, indicative value. 2026 transposition: Article 144-I-B refers to Article 9-I-B-2° with no deduction of expenses. A company that records 150,000 DH of exchange gains and 120,000 DH of exchange losses includes 150,000 DH, not 30,000 DH.
Reduced rates: strict reading and split of the base
Ruling no. 72/07 of 26/01/2007. Can a seller of solar power generation equipment apply the reduced rate provided for the National Electricity Office (ONE)? The DGI said no: the activity is neither the production nor the distribution of energy. The standard rate applies to all turnover excluding tax. Reduced rates are read strictly.
2026 transposition: the standard rate was then 0.50%; it has been 0.25% since the 2023 Finance Law (Article 144-I-D). The list for the 0.15% rate covers “sales” made by “commercial businesses” of listed products, including electricity.
Rulings no. 519 of 15/12/2003 and no. 237 of 06/05/2001. For a veterinarian, the DGI split the base by type of receipts (fees at 6%, medicines at 0.5%). For a flour mill, it applied the reduced rate, then 0.25%, only to the “flour” portion of turnover. The splitting principle transposes to the 0.25% and 0.15% rates; the figures do not. In 2026, flour falls under the 0.15% rate, and 0.25% is the standard rate.
Scope. Individual rulings, indicative value.
End of exemption: link between corporate tax and minimum contribution, and instalments
Ruling no. 606/08 of 01/12/2008. Under the exporters’ regime then in force (5 years of total exemption, then 17.5%), the DGI ruled that (1) companies totally exempt from IS benefit from the total minimum contribution exemption for the same period; (2) after the exemption, the reference year for instalments is the last exempt financial year.
Scope. Individual ruling, indicative value. Position abandoned: the exporters’ regime has been repealed; it does not describe the law in force. 2026 transposition: point (1) remains an administrative position, confirmed in 2025 by Circular Note 736 (p. 54) for a permanent total exemption, but not codified in Article 144. Point (2) is codified in Article 170-III, with the rates of the current financial year (Finance Law no. 70-15 for 2016).
Ruling no. 208 of 07/05/2003. For an exporter moving from a total exemption to a partial exemption, the DGI applied the same rule: instalments calculated on the tax or the minimum contribution that would have been due without the exemption. Article 170-III reproduces it.
GIE: the member’s share enters its base
Ruling no. 221 of 30/04/2001 (IS collection 2000-2005, p. 17). The GIE is not taxed as such; its members are taxed on their share. The DGI adds: “Each member’s share of the group’s net profit is treated as ancillary or financial income to be included, where applicable, in the minimum contribution calculation base.”
Scope. Ruling published by the DGI in its collection, issued at a taxpayer’s request. 2026 transposition: Articles 2-I-7° and 8-V of the CGI include the share of the GIE’s profits or losses in the members’ taxable profit. Ruling no. 196 of 24/04/2001, published on the same page, concerns a lapsed housing regime and does not deal with the minimum contribution. The way the grouping works is detailed in our article on the GIE in Morocco.
Key points:
- DGI ruling no. 443 of 19/08/2011: the new SARL arising from the contribution of a sole proprietorship benefits from the 36-month exemption (Article 144-I-C-1° of the 2026 CGI).
- DGI ruling no. 265 of 24/05/2011: a branch opened after the company’s first 36 months of operation does not open a second exemption.
- DGI rulings no. 488/09 of 18/09/2008 and no. 67/07 of 26/01/2007: operating subsidies, balancing subsidies and non-current donations in the base; exchange gains at their gross amount.
- DGI ruling no. 72/07 of 26/01/2007: reduced rates are read strictly; in 2026, the standard rate is 0.25% and the reduced rate 0.15% (Article 144-I-D).
Application in 2026: worked example
Assumptions (fictitious). Commercial company X, a SARL subject to corporate tax, 2026 financial year (1 January to 31 December), outside any exemption and with no temporary cessation. Turnover excluding tax of 8,000,000 DH, including 2,000,000 DH of sugar and oil sales; exchange gains of 150,000 DH and exchange losses of 120,000 DH; balancing subsidy from the parent company of 300,000 DH; disposal of a fixed asset for 500,000 DH; release of a financial provision of 40,000 DH; taxable profit of 60,000 DH.
1. Minimum contribution base (Article 144-I-B)
| Item | Treatment | Basis | Amount (DH) |
|---|---|---|---|
| Turnover excl. tax, ordinary products | In the base, 0.25% rate | 144-I-B; 9-I-A-1° | 6,000,000 |
| Turnover excl. tax, sugar and oil | In the base, 0.15% rate | 144-I-D; rulings no. 519 and no. 237 | 2,000,000 |
| Exchange gains | Gross amount, losses not deducted | 9-I-B-2°; ruling no. 67/07 | 150,000 |
| Balancing subsidy | In the base | 9-I-C-2°; ruling no. 488/09; Circular Note 730 p. 46 | 300,000 |
| Proceeds from disposal of a fixed asset | Outside the base | 9-I-C-1° not covered | 0 |
| Release of a financial provision | Outside the base | 9-I-B-4° not covered | 0 |
2. Calculation of the minimum contribution and of the tax due
| Step | Calculation | Amount (DH) |
|---|---|---|
| Portion at the 0.25% rate | (6,000,000 + 150,000 + 300,000) × 0.25% | 16,125 |
| Portion at the 0.15% rate | 2,000,000 × 0.15% | 3,000 |
| Total minimum contribution | Above the 3,000 DH minimum | 19,125 |
| Standard corporate tax (Articles 19-I-A and 247-XXXVII-A-1) | 60,000 × 20% | 12,000 |
| Tax due for 2026 (Article 144-I-A) | The higher of the two amounts | 19,125 |
| Excess retained by the Treasury (Article 144-I-E) | 19,125 − 12,000 | 7,125 |
| Each 2027 instalment (Article 170-I) | 19,125 × 25% | 4,781.25 |
The four 2027 instalments are paid before the end of the 3rd, 6th, 9th and 12th months.
Variant with no income at all. The same company with no turnover or other income owes the 3,000 DH minimum, in a single payment before the end of the 3rd month of the financial year (Article 170-I). If it has declared a temporary cessation (Article 150 bis), it is exempt from this minimum (Article 144-I-C-3°); the regime for this declaration is set out in our article on temporary cessation of activity.
Variant on the 36- and 60-month limits. A company is incorporated on 1 January 2021 and begins operations on 1 July 2023. The 36 months of operation expire on 30 June 2026, but the 60 months since incorporation expire on 31 December 2025. The exemption therefore ends on 31 December 2025: the 2026 financial year is fully subject to the minimum contribution.
Key points:
- In the 2026 example, a base of 8,450,000 DH split between 0.25% and 0.15% gives a minimum contribution of 19,125 DH, higher than corporate tax of 12,000 DH (20%).
- The 7,125 DH excess is retained by the Treasury (Article 144-I-E of the 2026 CGI) and each 2027 instalment amounts to 4,781.25 DH (Article 170-I).
- The Article 144-I-C-1° exemption ends at the first of the two limits: 36 months of operation or 60 months since incorporation.
Points to watch
- No minimum contribution credit in corporate tax. The former offset over the following 3 financial years no longer exists (Article 144-I-E). What happens to credits built up before 2016 is not settled by the texts.
- Outdated rates. The 0.50% of 2007, the 0.25% “flour” rate of 2001, the 0.60% and 0.40% rates and the 6% for liberal professions no longer apply.
- Investment subsidies. Unsettled point (2026 text versus Circular Note 717 p. 115); the prudent option is to declare them in the base.
- Start of operations. Article 144 does not define it. The only administrative definition (Circular Note 717 p. 68: first procurement act or first service provided) concerns another regime, now repealed.
- End of the 36 months during a financial year. The CGI does not say whether the minimum contribution is then prorated or due for the whole financial year: the point is not settled by the texts.
- Partial IS exemption. Only total exemption is settled, by the administration (ruling no. 606/08, Circular Note 736 p. 54). The effect of an allowance or a reduced rate is not settled.
- Merger, demerger, conversion. Their effect on the 36-month count is settled by no source; only the contribution of a sole proprietorship to a new company is (ruling no. 443).
- Dividends and amounts distributed by OPCC funds. Income under Article 9-I-B-1° and 3° enters the base on the wording of the text, even where it benefits from a 100% allowance for corporate tax. No administrative position expressly confirms this for the minimum contribution.
- Real estate profits. The 3% under Article 144-II is a different minimum contribution, specific to real estate profits under income tax.
- Surcharges. Article 184 calculates surcharges on the minimum contribution where it exceeds the duties, or where a late or incomplete return shows a nil or loss-making result.
Key points:
- In Morocco, the excess of the minimum contribution over corporate tax has been permanently retained by the Treasury since financial years beginning on 1 January 2016, under Article 144-I-E of the 2026 CGI.
- DGI rulings from 2001 to 2011 quote outdated rates: in 2026, only 0.25%, 0.15% and 4% apply (Article 144-I-D, 2023 Finance Law).
- Prorating during a financial year, the definition of the start of operations and the effect of a merger or demerger are not settled by the texts.
Frequently asked questions
Is a SARL set up to receive its founder’s sole proprietorship entitled to the 36-month exemption?
Yes. In ruling no. 443 of 19/08/2011, the DGI accepted that the new company arising from the contribution benefits from the temporary minimum contribution exemption. Article 144-I-C-1° of the 2026 CGI covers companies with no condition on the origin of their assets: 36 months after operations begin, within 60 months of incorporation.
Does opening a branch or a new establishment restart the exemption?
No. In ruling no. 265 of 24/05/2011, the DGI held that the exemption covers the first 36 months of operation of the company itself. Once that period has run out, new premises, establishments or branches do not give rise to a second exemption (Article 144-I-C-1° of the 2026 CGI).
Are subsidies included in the minimum contribution base?
Yes for operating subsidies, balancing subsidies and donations recorded as non-current income (Article 144-I-B of the 2026 CGI, ruling no. 488/09, Circular Note 717 p. 105 and 112). Releases of investment subsidies are not covered by the 2026 text, whereas Circular Note 717 p. 115 included them: the point is unsettled.
Must exchange gains and losses be offset to calculate the minimum contribution?
No. In ruling no. 67/07 of 26/01/2007, the DGI took foreign exchange gains at their gross amount: exchange losses are not deducted from the minimum contribution base. Offsetting applies only to the taxable profit. Article 144-I-B of the 2026 CGI refers to the exchange gains of Article 9-I-B-2°.
If the minimum contribution exceeds corporate tax, can the excess be recovered in later years?
No. For financial years beginning on or after 1 January 2016 (Finance Law no. 70-15), Article 144-I-E of the CGI allows the minimum contribution to be offset only against income tax. In corporate tax, the excess of the minimum contribution over the tax calculated is permanently retained by the Treasury.
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