MREs residing in Spain are subject to IRPF (Impuesto sobre la Renta de las Personas Físicas) on all their worldwide income as soon as they are Spanish tax residents. The Spain-Morocco tax treaty of 10 July 1978, supplemented by a 1985 protocol, precisely determines which income is taxable in which country and how to avoid double taxation.
Spanish tax residence: the 183-day rule and its exceptions (art. 4 treaty)
You are a Spanish tax resident if: (1) you spend more than 183 days per year in Spain (physical presence days counted, sporadic absences not deducted); (2) your main economic interests are in Spain (business, employment, main assets); (3) legal presumption: if your non-separated spouse and/or minor children habitually reside in Spain. In case of conflict with Morocco, article 4 sets a cascade of criteria: permanent home, centre of vital interests, habitual abode, nationality.
💡 Tip — Download your Spanish tax residence certificate for free on the Agencia Tributaria website (sede.agenciatributaria.gob.es) via the certificados service.
⚠️ Warning — The 183-day presumption is hard to overturn: even if you consider yourself a Moroccan tax resident, the Agencia Tributaria can reclassify you if you exceed this threshold.
Employment income: taxed in Spain, deduction for Moroccan tax (art. 15)
Article 15 provides that employment income is taxable in the country where the activity is performed. An MRE working in Spain is taxed in Spain on their salary (IRPF, progressive rates from 19% to 47% by bracket in 2026). If you also worked in Morocco part of the year, the Moroccan salary fraction is taxable in Morocco. In Spain, you declare the total and claim an international double taxation deduction (art. 80 Ley IRPF): tax paid in Morocco is offset against the IRPF owed in Spain, up to the Spanish tax corresponding to that income.
💡 Tip — The international double taxation deduction is claimed in form 100 (specific box 'deducciones por doble imposición internacional').
Spanish retirement pensions: taxed only in Spain (art. 18)
Article 18 allocates private pension taxation to the beneficiary's state of residence. Spanish pensions (Seguridad Social, private Spanish pension plans) received by a Spanish tax resident are taxed only in Spain, even if the retiree spends time in Morocco. Spanish public sector pensions (Spanish civil servants) are taxed exclusively in Spain under art. 19. Moroccan pensions (CNSS, RCAR) received by a Spanish resident are taxable in Morocco under art. 18; the Spanish resident declares them in Spain and may obtain a double taxation deduction.
💡 Tip — If you retire and transfer your tax residence to Morocco, your Spanish pension will become taxable in Morocco (art. 18). Anticipate this change with a tax advisor.
⚠️ Warning — Some bilateral treaties provide for residual withholding in Spain even after residence transfer — check the 1985 protocol for your situation.
Moroccan real estate income: declared in Spain with deduction (art. 6 and 13)
Article 6 allocates rental income taxation to the state where the property is located. Your Moroccan rental income is taxable in Morocco (progressive Moroccan income tax or, for non-residents, 10% withholding tax). BUT: as a Spanish tax resident, you must also declare this Moroccan rental income in your Spanish IRPF (form 100). The treaty provides a double taxation deduction: tax paid in Morocco is offset against the corresponding IRPF. Article 13 provides that capital gains on Moroccan real estate (sale) are taxable in Morocco (TPI 20%). These gains must also be declared in Spain with a deduction for Moroccan tax already paid.
💡 Tip — Keep the Moroccan TPI payment receipt (DGI receipt): essential for the deduction on the Spanish IRPF.
⚠️ Warning — MAJOR TRAP: undeclared Moroccan rental income in Spain constitutes an infringement of the Ley IRPF. In case of an Agencia Tributaria audit (4-year statute of limitations), the reassessment includes unpaid tax, late interest (3.75%/year in 2026) and a penalty of 50% to 150% of evaded tax.
Moroccan-source dividends and interest (art. 10 and 11)
Article 10 of the treaty provides for a maximum 10% withholding tax on dividends paid by a Moroccan company to a Spanish resident (15% if the shareholding is below 25% of capital). Article 11 provides a maximum 10% withholding on interest. In practice, the Moroccan company or bank withholds this tax at source. In Spain, these incomes are declared in IRPF (savings base, rates 19%-28%) and Moroccan tax is offset via the international double taxation deduction in form 100. The Spanish tax residence certificate presented to the Moroccan bank can enable the application of the reduced treaty rate.
💡 Tip — Ask your Moroccan bank to apply the conventional 10% rate (not the higher Moroccan domestic rate) by presenting your Spanish tax residence certificate.
❌ Common mistakes to avoid
- ✕Not declaring Moroccan rental income in Spanish form 100: an infringement exposing you to reassessment with a 50%-150% penalty plus 3.75%/year interest.
- ✕Ignoring the 183-day rule and considering yourself a Moroccan tax resident when you live and work in Spain.
- ✕Not claiming the international double taxation deduction (art. 80 Ley IRPF) in form 100: tax paid in Morocco is not automatically offset.
- ✕Selling a property in Morocco without declaring the capital gain in Spain: TPI paid in Morocco does not exempt you from the Spanish IRPF declaration.
- ✕Not keeping proof of payment of Moroccan taxes (TPI, withholding tax certificates): essential in case of an Agencia Tributaria audit.
🔗 Official links and resources
Agencia Tributaria - Spain-Morocco Convention
Official treaty text and protocol, Agencia Tributaria practical guides
Agencia Tributaria - Renta Web (form 100)
Annual IRPF campaign, online form 100 filing, tax simulator
Agencia Tributaria - Tax residence certificate
Online application for Spanish tax residence certificate
Moroccan DGI - Simpl Portal (TPI, rental IR)
Moroccan DGI portal: TPI payment, income declarations, tax certificates for non-residents
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