Moroccan Investors Using Airbnb Face Tax Audits
Investors in Morocco who rent properties through platforms like Airbnb could be at risk of facing hefty tax audits if they do not comply with the regulations outlined in the 2023 Finance Law. This law imposes an income tax on real estate profits, and it is crucial for investors to adopt a compliant tax strategy to avoid penalties.
Key points to remember include:
- Tax compliance is mandatory: Failure to declare income from daily rentals can lead to audits and fines.
- Annual declaration: Airbnb hosts must submit an annual declaration of their income by March 1.
- Withholding tax: A portion of rental income will be withheld at the source (10% or 15%).
- Calculating net income: Hosts can deduct 40% of their income for expenses related to rentals.
Overall compliance not only helps avoid penalties but also improves profitability. The Ministry of Tourism emphasizes the importance of advancing tourist accommodations and ensuring proper licensing for all rentals.