The Moroccan General Directorate of Taxation (DGI) has recently released latest Country-by-Country (CbC) reporting guidance. Morocco implemented CbC reporting obligations starting from 1 January 2021, in accordance with the Finance Law for 2020. These requirements apply to multinational enterprise (MNE) groups with annual group revenue of MAD 8.1225 billion in the preceding year. The CbC reports must be submitted within 12 months following the end of the fiscal year.

The CbC reporting guidance includes:

  • The scope of CbC reporting;
  • Contents of the CbC report;
  • The background to CbC report;
  • The CbC reporting procedures;
  • The CbC declaration instructions; and
  • Penalties.

According to the CbC guidelines, when a constituent entity is designated as a surrogate parent entity, it is mandatory to submitted CbC notification by the last day of the reporting fiscal year. Furthermore, the CbC report must be submitted electronically using the standard OECD XML schema. It is crucial to note that failure to file or incomplete filing of Country-by-Country (CbC) reports can result in penalties, including a significant fine of MAD 500,000.