House of Representatives Limits Solidarity Contribution
the minimum amount is now set at 20,000 dirhams
Significant amendments have been introduced to a controversial article which aims at adopting a solidarity contribution targeting – among others – individuals with incomes equal to or exceeding 10,000 dirhams.
Thanks to parliamentary groups’ exerted pressure in the House of Representatives, the minimum amount is now set at 20,000 dirhams.
Within this framework, the Committee on Finance and Economic Development of the House of Representatives voted on solidarity contribution in the following ascending order:
- Legal entities (companies) making a net profit of between one million dirhams and 5 million dirhams will pay 1.5%.
- Companies with net profits between 5 million dirhams and 40 million dirhams will pay 2.5%.
- Companies with net profits exceeding 40 million dirhams will pay 3.5%.
As for annual net profits of more than 240,000 dirhams (20,000 dirhams per month), the rate of solidarity contribution will be around 1.5%.