Authorities probe suspected real estate tax evasion, money laundering involving foreign buyers

Morocco’s Foreign Exchange Office and General Directorate of Taxes have stepped up joint inspections targeting suspicious property sales to foreign nationals, according to sources cited by Hespress.

The coordinated audits, based on risk analysis from the tax administration’s investigations and data analysis unit, were also triggered by alerts from European regulatory partners, particularly in France and Spain.

Sources said the probes focus on land and subdivision sales in major cities, especially Casablanca and Marrakech. The transactions, carried out through notaries and in compliance with formal property transfer procedures, nonetheless showed signs of tax evasion when examined against capital gains tax (TPI) declarations.

Officials suspect that some sellers underreported sale prices to reduce tax liabilities, while arranging for the remainder of the agreed amount to be paid illegally abroad through intermediaries. The funds were allegedly received in European countries via brokers, bypassing Moroccan financial regulations.

Three property developers — two in Casablanca and one in Marrakech — are facing heavy tax reassessments in the initial phase of the investigation. One is also under scrutiny by the Foreign Exchange Office for suspected illegal foreign currency transactions after investigators linked him to suspicious bank transfers in France.

In one case, a French national who sold a property near Casablanca reportedly declared a lower sale price to Moroccan authorities, obtained approval to transfer the funds to her French bank account, and received the rest of the payment abroad.

Under Morocco’s general foreign exchange rules, foreign individuals and companies can repatriate profits from investments and property sales if they meet specific conditions. Banks act as intermediaries, verifying documentation such as investment declarations, contracts, and financial statements before executing transfers. The Foreign Exchange Office can request additional explanations if irregularities are suspected.

Investigators are also examining the role of currency brokers alleged to facilitate illicit fund transfers. The scheme reportedly involves receiving cash payments in Morocco, then delivering equivalent sums abroad via other contacts, minus high commission fees. In some cases under review, part of the property sale value was collected abroad by the buyers themselves, outside the official sales contracts, in countries like Spain and France.