Morocco is preparing to take a major step forward in modernizing its local tax system.
Adopted by Parliament in 2025 and published in the June 2025 Official Bulletin, Law No. 14-25 amending Law No. 47-06 on the taxation of local authorities introduces a major reform of the Tax on Unbuilt Land (TNB).
A circular from the Ministry of the Interior dated August 5, 2025, now specifies the detailed modalities of its implementation.
Atlasimmobilier explains in detail what will change for landowners starting in 2026.
A calculation now based on real on-the-ground conditions
Until now, the TNB was calculated according to a theoretical zoning system defined in urban planning documents — villa zone, collective housing area, and so on.
This system, often disconnected from reality, led to inconsistencies: some poorly serviced plots were subject to high taxes, while others, better equipped, benefited from lower rates.
The 2025 reform puts an end to this logic.
From now on, the amount of the tax will be determined according to the actual level of infrastructure on the land — roads, water and electricity networks, sanitation, lighting, public facilities, and transportation.
This approach aims to establish greater fiscal fairness among property owners and to encourage the development of buildable land.
Three new zone categories
The circular of August 5, 2025, introduces a standardized classification across the entire country.
Each commune must assess the existing infrastructure and classify the land into three levels:
- Well-equipped zone: from 15 to 30 MAD/m²
(presence of paved roads, potable water supply, electricity, sanitation, public lighting, health and education facilities, waste collection, and urban transport) - Moderately equipped zone: from 5 to 15 MAD/m²
(presence of usable roads and access to potable water and electricity networks) - Poorly equipped zone: from 0.5 to 2 MAD/m²
This new rate structure replaces the old scales tied to urban zoning.
It establishes a direct link between the quality of public infrastructure and the level of taxation.
A concrete example: when infrastructure makes the difference
Let’s take a 1,000 m² plot previously taxed at 10 MAD/m², or 10,000 MAD per year.
If it is reclassified as a well-equipped zone at 25 MAD/m², the annual tax will rise to 25,000 MAD.
Conversely, an isolated plot or one without basic networks could see its tax burden decrease.
The TNB thus becomes a tool to encourage construction or the sale of undeveloped plots, with the aim of combating land hoarding and promoting sustainable urban development.
Gradual implementation by municipalities
The implementation of the reform will not take place simultaneously across the Kingdom.
Each municipality will have to:
- Map its public infrastructure;
- Classify the sectors according to the criteria set out in the circular;
- Adopt a fiscal decree setting precise rates within the legal ranges;
- Have this decree validated by the governor (the supervisory authority).
The new rates will take effect only from January 1 of the year following the decree’s approval.
In other words, some municipalities will implement the reform as early as 2026, while others will do so later.
How to determine your land’s category?
To anticipate the reform, it is recommended to:
- Contact the municipality’s tax department;
- Check the official public notices or the municipality’s website;
- Request an urban planning information note.
Until the new classification has been approved, the old system remains in effect.
Property owners should therefore actively monitor local developments.
Exemptions: the system remains unchanged
The TNB reform does not alter the exemption system defined by Law No. 47-06 (Articles 41 to 43).
Permanent exemptions still apply to:
- Land owned by the State, local authorities, or public habous (religious endowments);
- Guich or collective lands with a special legal status.
Temporary exemptions continue to apply for:
- Land not connected to water or electricity networks (the absence of just one of the two is sufficient);
- Land subject to a construction ban;
- Land covered by a subdivision or building permit, for the duration of the permit’s validity.
In all cases, property owners must provide the necessary administrative documents (urban planning note, utility attestations, copy of the permit, etc.).
The reform also introduces an automatic exemption for amounts below 200 dirhams.
Taxable surface area: beware of errors
Some municipalities calculate the TNB based on the total surface area recorded on the land title.
However, part of that area may be non-taxable — such as public easements, roadways, green spaces, or rights-of-way.
To avoid overtaxation, it is strongly recommended to have a certified plan prepared by a licensed surveyor specifying the actual taxable surface area.
Declaration and collection: unchanged schedule
Property owners must declare and pay the TNB by March 1 each year.
Collection is handled by the communal tax collector or the revenue officer.
The role of public accountants is now limited, in line with the reform under Law 14-25.
The digital platform announced by the Ministry of the Interior for online declarations and payments is, as of today, still being rolled out.
A reform with lasting economic and urban impacts
Beyond taxation, this reform raises questions about urban planning dynamics.
By linking the tax level to public infrastructure, it encourages municipalities to invest in order to increase their revenue — but it could also exacerbate territorial disparities if investment priorities are not distributed equitably.
This represents a new balance between urban planning, fiscal equity, and local development — one that property owners must now incorporate into their asset management strategy.
Atlasimmobilier Advice
To anticipate the impact of this reform on the value and taxation of your land, check its potential classification now.
Our teams in Marrakech and Essaouira can assist you in analyzing your land situation and preparing an appropriate strategy.
Contact : [email protected]
Website : www.atlasimmobilier.com
Legal references:
- Law No. 47-06 on the taxation of local authorities (Official Bulletin No. 5480 of August 6, 2006)
- Law No. 14-25 amending and supplementing Law No. 47-06 (Official Bulletin No. 7310 of June 24, 2025)
- Ministry of the Interior Circular No. DCL/2025/85 of August 5, 2025
