Morocco VAT Rules for Non-Resident Digital Services

In December 2025, the Moroccan government announced the implementation of VAT requirements for non-resident providers of digital services to local consumers. At the same time, the government stated that the new rules will enter into force six months after publication in the Official Gazette, which is June 11, 2026.

The Scope and VAT Requirements

The Decree introducing the VAT rules for non-resident digital service providers broadly defines remote or dematerialized services as those delivered through digital or communication technologies, covering not only classic digital products but also intangible goods and activities performed online. As a result, streaming platforms, software and SaaS solutions, cloud computing, online advertising, and similar electronically supplied services are all subject to VAT.

Notably, the rules are not limited to purely automated services. Thus, remotely delivered professional services such as training, consulting, and assistance provided from outside Morocco to Moroccan-based consumers are also taxable.

Furthemore, the Decree distinguishes between B2B and B2C transactions, but in practice it targets only B2C supplies. Also, the rules introduce clear criteria for establishing whether a customer is located in Morocco, which is essential because the VAT applies based on the customer’s place of consumption. 

Unlike in many other jurisdictions, in Morocco, VAT liability is not shifted to digital platforms or marketplaces that facilitate transactions. Consequently, the responsibility for VAT remains fully with non-resident service providers, even when services are sold through intermediaries.

Regarding VAT registration, foreign digital service providers must register via a dedicated electronic platform, regardless of turnover, as there is no minimum threshold. To complete the registration, taxable persons must provide detailed information on the business, its digital presence, tax identification abroad, contact information, a description of activities, and supporting legal and identity documents for the business and its representative.

Conclusion

With new rules in place, Morocco is extending its VAT system to capture the growing digital economy by making foreign providers responsible for charging and remitting Moroccan VAT when they sell services remotely to individuals or other non-taxable persons in the country. Moreover, this will align Morocco with the current global trend.

Source: KPMG