House of Councillors Approves First Part of 2025 Finance Bill

Tuesday 03 December 2024 - 14:20

The Finance, Planning, and Economic Development Committee of the House of Councillors has officially approved the first part of the 2025 Finance Bill. This decision came after a majority vote on Monday, with the proposal passing 12 votes in favor, 2 against, and one abstention.

The government responded positively to 63 amendments out of the 231 proposed for the first part of the bill. These included 27 changes related to customs and 117 adjustments to tax regulations. Notably, the General Confederation of Moroccan Enterprises (CGEM) introduced an amendment to cancel the planned reduction of customs duties on table honey in containers of 20 kg or less, which was subsequently accepted by the government.

Regarding the revision of import duties on pharmaceutical products, Fouzi Lekjaa, Minister Delegate to the Minister of Economy and Finance, highlighted the government's commitment to reviewing these duties further. A special committee will work in consultation with both the Ministry of Economy and Finance and the Ministry of Social Protection to refine these changes.

One of the most significant amendments approved is the exemption of retirement pensions from income tax. This measure will be rolled out in two phases: from January 2025, a 50% tax deduction will apply, and by 2026, the exemption will be fully implemented.

In addition, a tax on gambling earnings was also addressed, with the bill including a 30% income tax rate on such earnings.

These developments are part of ongoing efforts to fine-tune Morocco's fiscal policies, particularly in customs, taxes, and social welfare. The reforms reflect the government's commitment to improving its economic landscape while maintaining a focus on the needs of businesses and retirees alike.