House of Representatives approves section of Finance Bill

The Finance and Economic Development Committee of the House of Representatives approved, on Tuesday evening, the first section of the Finance Bill.

21 deputies from the majority groups approved the project, as 10 deputies from the opposition rejected it.

According to the data obtained by Hespress, the government has accepted an amendment aimed at extending the exemption of income taxes on wages paid by contractors to young people aged 35 years and less upon their first employment within an indefinite contract until 2022.

This measure aims to encourage companies to hire young people, in an attempt to reduce the negative effects of the Corona pandemic on the labor market.

The government rejected an amendment submitted by the opposition aimed at raising the age of young people benefiting from this measure to 45 years.

Akhannouch’s cabinet refused to increase taxes on biscuit products that contain high levels of sugar, but it pledged to organize a study day, where all products containing high sugar levels will be inventoried before tax raise.

MAD 240 million from the investment budget of the Ministry of Economic Integration, Small Enterprise, Employment, and Competencies, will be granted for the benefit of the investment budget of the Ministry of Industry and Trade, according to the newly issued amendments.

The government accepted other amendments submitted by the majority, including expanding the scope of the social contribution of solidarity to include self-employed persons whose taxable income is equal to or greater than MAD one million.

The majority groups say this amendment aims to strengthen social solidarity and mobilize the resources necessary to apply the planned social programs for the benefit of vulnerable groups.

The government aims to expand the scope of the application of the social contribution of solidarity to also include professional or agricultural incomes achieved by self-identified persons according to the net result system real.

Taxes imposed on electronic panels and TVs with a screen equal to or less than 32 inches, will be reduced, especially for the benefit of students, taking into account the effects of the Covid 19 crisis that imposed remote work and education on Moroccan citizens.

The amendments also exempted batteries for wheelchairs for people with disabilities, and batteries for electric bicycles, motorcycles, and tricycles, which are generally used in transporting goods.

The amendments also include associations working in fighting the effects of natural disasters, which will benefit from the subsidies granted by the Fund for Reducing the Effects of Natural Disasters.

Beginning from next year, the ministries of national education, vocational training, and higher education will be in charge of managing the resources and expenditures related to the Special Fund for the Advancement of the Education and Training System and its Quality Improvement.

According to the approved amendments, the governmental authority in charge of sports, the Ministry of Youth culture and Sports, will be responsible for the resources and expenditures of the account of the National Fund for the Development of Sports.