IGR (Impôt Général sur le Revenu) is Morocco’s progressive personal income tax on employment income. Every employer in Morocco is legally required to calculate, withhold, and remit IGR monthly on behalf of each employee. There is no self-assessment option for employment income: the obligation sits entirely with the employer, and errors in the calculation create a liability between the employer and the Direction Générale des Impôts (DGI). This guide covers the 2026 IGR rates, how monthly withholding works, and what the filing deadlines mean in practice.
AFRICA DEPLOYMENTS MOROCCO S.A.R.L., operating from its registered office in Casablanca, calculates and remits IGR for all employees under its Employer of Record and managed payroll service. Every monthly IGR remittance is filed with the DGI before the statutory deadline.
What Are the IGR Tax Brackets for 2026?
Morocco’s IGR is applied on a progressive scale to annual taxable employment income after the applicable statutory deductions. The brackets for 2026 are:
|
Annual Taxable Income (MAD) |
IGR Rate |
|---|---|
|
Up to 30,000 |
0% |
|
30,001 to 50,000 |
10% |
|
50,001 to 60,000 |
20% |
|
60,001 to 80,000 |
30% |
|
80,001 to 180,000 |
34% |
|
Above 180,000 |
38% |
In plain English: an employee earning MAD 80,000 per year does not pay 30% on all of it. The first MAD 30,000 is exempt, the next MAD 20,000 is taxed at 10%, the next MAD 10,000 at 20%, and the final MAD 20,000 at 30%. The effective rate is substantially lower than the top marginal rate.
How Is Monthly IGR Withholding Calculated?
Employers calculate monthly IGR by annualising the employee’s monthly gross salary (multiplying by 12), applying the progressive bracket scale, subtracting applicable deductions, and then dividing the resulting annual tax figure by 12 to get the monthly withholding amount.
Deductions that reduce the IGR base include:
- CNSS employee contribution (~4.48% of gross salary)
- AMO employee contribution (~2.26% of gross salary)
- Professional expenses deduction (20% of gross salary, subject to a maximum)
- CIMR employee contributions where applicable
These deductions are applied before the bracket rate is calculated, which is why the effective IGR rate for most employees is meaningfully lower than the headline bracket rate.
When Must IGR Be Remitted to the DGI?
IGR must be remitted to the Direction Générale des Impôts (DGI) monthly, by the last working day of the month following the salary payment. For a May 2026 payroll, the IGR remittance deadline is the last working day of June 2026. Late remittance triggers financial penalties and surcharges under Moroccan tax law.
The DGI also requires an annual withholding declaration summarising all IGR withheld and remitted during the calendar year. This must be submitted by 1 March of the following year.
Are There Any IGR Exemptions for Employment Income?
Certain categories of allowances and indemnities may be partially or fully exempt from IGR, depending on their nature and the applicable legal basis. Common partial exemptions include:
- Expense reimbursements that are justified by actual professional expenses
- Specific hardship allowances defined under collective agreements
- Certain expatriate indemnities for qualifying international assignments
These exemptions are narrowly defined and subject to audit. Applying an incorrect exemption is a common source of IGR exposure for employers without dedicated in-country tax expertise.
How Does IGR Apply to Foreign Nationals Working in Morocco?
Foreign nationals working in Morocco are subject to IGR on their Morocco-sourced employment income from the first day of work. There is no minimum residency threshold before IGR withholding applies: if the employee works in Morocco, IGR is due. Morocco has bilateral tax treaties with a number of countries, including France, Spain, and the United Kingdom. Under these treaties, employees may be eligible for relief from double taxation on the same income, but the employer’s withholding obligation in Morocco is not suspended while treaty relief is being claimed.
What Is the Employer’s Liability If IGR Is Incorrectly Calculated?
The employer is the withholding agent for IGR purposes. If the employer under-withholds, the liability sits with the employer, not the employee, unless the under-withholding resulted from incorrect information provided by the employee. The DGI can assess and recover the underpaid IGR, plus penalties, from the employer directly. This is why IGR calculation accuracy is not an administrative formality: it is a direct financial liability.
Can IGR Be Managed Without a Moroccan Entity?
No. IGR remittance to the DGI requires a registered Moroccan tax identification number (identifiant fiscal). A foreign company without a local entity cannot hold a Moroccan tax ID and cannot legally remit IGR. Employing staff in Morocco without this structure creates unregistered income tax liability for both the employer and the employees involved.
The Direction Générale des Impôts (DGI) is the definitive authority for IGR rates, filing deadlines, and withholding procedures for employers operating in Morocco.
Rule of Thumb on IGR
Never estimate IGR. The bracket system is progressive, deductions are specific, and the DGI cross-references CNSS declarations against payroll records. If your numbers do not reconcile, you will be audited. Use a payroll provider whose team calculates IGR in-country, under direct DGI accountability.