“Local Authority Tax Revenue Soars: Latest Stats and Analysis in 2023”

2023-04-21 18:44:40

The tax revenue of local authorities (CT) stood at 6.9 billion dirhams (MMDH) at the end of March 2023, up 5.2% compared to a year earlier, according to the General Treasury of the Kingdom (TGR). ).

This increase is driven by the 18.5% increase in direct taxes and 0.9% in indirect taxes, specifies the TGR in its recent monthly bulletin of local finance statistics (BMSFL), noting that tax revenues constituted 78 .9% of overall CT revenue at the end of March 2023.

Standing at 5.7 billion dirhams at the end of March 2023 once morest 4.9 billion dirhams a year earlier, the resources transferred are up by 17.1%, due to the increase in subsidies (819 million dirhams) and the share of regions in income from corporate income tax and income tax (91 MDH), combined with the reduction in the share of local authorities in the income from VAT (-40 MDH) and support funds (-37 MDH).

50.3% of local authority revenue is made up of their share of VAT revenue, notes the same source.

As for the resources managed by the State on behalf of the CTs, they reached 685 MDH once morest 549 MDH a year earlier, an increase of 24.8%, coming from the increase in the professional tax (76 MDH) municipal services tax (54 MDH) and housing tax (6 MDH).

The resources managed by the CTs stood at 2.39 billion dirhams at the end of March 2023 once morest 2 billion dirhams recorded a year earlier, up 18.3%. They are largely made up of revenue from the tax on unbuilt urban land (874 MDH), the fee for temporary occupation of the municipal public domain (336 MDH), state revenue (222 MDH) and the tax on construction operations (187 MDH).

The evolution of the structure of the resources of local authorities between the end of March 2022 and the end of March 2023, shows a decrease in the share of resources transferred, combined with an increase in the share of resources managed by local authorities and resources managed by the state.

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