You have just signed your installation agreement in a Moroccan free zone and one question arises: how do you recover your profits and transfer them to your home country? The answer depends on a parameter that is often overlooked: the type of free zone you operate in. In 2026, the rules have evolved — and confusing them can cost between 5% and 15% more on your annual distributions.
EEZ or IAZ: A Distinction That Changes Everything for Your Dividends
Morocco distinguishes two types of free zone regimes with very different tax treatments for dividend distributions. Export Processing Zones (EPZ/ZFE) — including Tanger Free Zone and Atlantic Free Zone in Kenitra — operate under Law 19-94 and maintain a particularly favorable regime for non-residents. Industrial Acceleration Zones (IAZ/ZAI), created under Law 47-14, are now subject to the general fiscal convergence regime fully applicable in 2026.
Withholding Tax Rates on Dividends in 2026
| Shareholder Status | EPZ (e.g. Tanger Free Zone) | IAZ — 2026 | IAZ — from 2027 |
|---|---|---|---|
| Non-resident (foreign individual or entity) | 0% — exempt | 11.25% | 10% |
| Moroccan resident | 7.5% | 11.25% | 10% |
| Foreign-source dividends received by IAZ/CFC holding | — | 0% — exempt | 0% — exempt |
Source: General Tax Directorate (DGI), General Tax Code, Finance Law 2026.
The Repatriation Procedure via the Foreign Exchange Office
For the transfer to be legal and risk-free, your investment must be previously declared to the Office des Changes (Foreign Exchange Office). This formality, often neglected at incorporation, is the key to the “transfer guarantee” — the legal right to repatriate your capital, dividends, and capital gains without restriction.
- Foreign investment declaration with the Office des Changes (OC2 form) at the time of company creation or capital contribution.
- Opening a foreign currency account or convertible account with an authorized Moroccan bank.
- Transfer of dividends from the company account to the convertible account, following general assembly approval.
- International transfer after withholding tax and provision of tax receipt to the bank.
Double Taxation Treaties: Your Tax Shield
Morocco has signed bilateral tax treaties with over 60 countries. These agreements often allow reduction of withholding tax on dividends, subject to providing a tax residence certificate before payment:
| Country | Treaty WHT (participation ≥ 25%) | Treaty WHT (other cases) |
|---|---|---|
| France | 5% | 15% |
| Spain | 10% | 15% |
| UAE | 5% | 10% |
| Germany | 5% | 15% |
| Belgium | 6.5% | 15% |
The Strategic Case for an IAZ or CFC Holding
If your group channels its African activities through a holding company in an IAZ or within the Casablanca Finance City (CFC), foreign-source dividends received by this holding are fully exempt from withholding tax, regardless of the final shareholder’s nationality. This mechanism is widely used by European and Gulf groups routing their financial flows through Morocco.
How Cabinet Dami Can Help You
At Cabinet Dami Tanger, we assist foreign investors at every stage: Office des Changes declaration, tax optimization through bilateral treaties, withholding tax management, and holding structuring. Poor organization can cost tens of thousands of dirhams per year in avoidable taxes. Contact us for a personalized audit of your situation.
