Do your clients pay you months late? Do you yourself settle your suppliers well after the due date? Since Law No. 69-21, these delays are no longer just a cash-flow problem: they come with a tax cost.
This law, which amends the Commercial Code, strictly regulates payment terms between businesses. It requires a periodic declaration to the DGI and penalizes every delay with a fine paid to the Treasury, borne by the business that pays late.
After a gradual phase-in since 2023, the framework now applies in full: since January 1, 2026, all businesses concerned file a declaration every quarter. Next deadline: the Q3 2026 declaration, to be filed before October 31.
Which businesses are affected?
The law applies to traders, whether individuals or legal entities, whose annual turnover before tax exceeds MAD 2,000,000.
| Annual turnover before tax | Affected? |
|---|---|
| Up to MAD 2 M | No |
| Over MAD 2 M | Yes: legal payment terms, quarterly declaration and fines |
Most active SMEs are therefore affected, including small SARLs (limited liability companies).
Which payment terms must be respected?
| Situation | Maximum term |
|---|---|
| No term agreed between the parties | 60 days from the invoice date |
| Term agreed in the contract, quote or purchase order | 120 days maximum from the invoice date |
The term must be set before the transaction and communicated to the client in writing (contract, quote, purchase order, invoice).
Certain sectors benefit from specific terms set by regulation.
The late-payment fine
The fine is borne by the business that pays late, and is calculated on the amount, including tax, of the invoice unpaid at the due date.
| Length of delay | Fine rate |
|---|---|
| First month of delay | Bank Al-Maghrib's key rate |
| Each additional month or part of a month | + 0.85% |
The fine is declared and paid spontaneously by the debtor company, together with its quarterly declaration.
Watch out: an invoice paid only a few days late already triggers the first month's fine.
The quarterly declaration
Each business concerned must file an electronic declaration on the DGI's SIMPL – Payment Terms platform.
| Quarter | Filing deadline |
|---|---|
| Q1 (January-March) | April 30 |
| Q2 (April-June) | July 31 |
| Q3 (July-September) | October 31 |
| Q4 (October-December) | January 31 of the following year |
The declaration states, in particular:
- the turnover for the period;
- invoices paid late, with their amount and the length of the delay;
- the amount of the corresponding fine.
The declaration is mandatory even if all your invoices were paid on time.
For businesses with turnover above MAD 50 M, the declaration must be certified by the statutory auditor.
Failing to declare: a flat-rate fine
Failing to file the declaration, or filing it late, is penalized by a flat-rate fine that depends on turnover.
| Annual turnover before tax | Fine per declaration |
|---|---|
| MAD 2 M to 10 M | MAD 5,000 |
| MAD 10 M to 50 M | MAD 12,500 |
| MAD 50 M to 200 M | MAD 50,000 |
An SME that forgets its four annual declarations is therefore exposed to MAD 20,000 in fines, even if it pays all its suppliers on time.
Worked example
An SARL with a turnover of MAD 8 M receives a supplier invoice of MAD 120,000 including tax, payable at 60 days. It settles it 2 months and 10 days late, i.e. 3 months of delay within the meaning of the law (the first month, then two additional months or parts of a month).
| Calculation | Amount |
|---|---|
| First month: 120,000 × 2.25% (key rate*) | MAD 2,700 |
| Two additional months: 120,000 × 0.85% × 2 | MAD 2,040 |
| Total fine | MAD 4,740 |
* Key rate to be checked on the date of calculation.
Over a year, a few supplier invoices settled late can quickly add up to tens of thousands of dirhams in fines.
Frequently asked questions
My turnover is below MAD 2 M: am I affected?
No, businesses whose annual turnover before tax does not exceed MAD 2 M are excluded from the framework.
All my invoices are paid on time: do I still have to declare?
Yes. The quarterly declaration is mandatory even when there is no delay, under penalty of a flat-rate fine.
Who pays the fine: my client or me?
The fine is borne by the business that pays late. If your client pays you late, it is the client who must declare and pay it.
Can I provide for a 180-day term in my contract?
No, unless your sector benefits from a specific term. The agreed term cannot exceed 120 days from the invoice date.
When must I file my next declaration?
The Q3 2026 declaration must be filed before October 31, 2026.
Conclusion
Law 69-21 is a game changer: paying suppliers late is no longer a mere cash-flow convenience, but a tax cost declared every quarter.
To limit the risks, three reflexes are essential: set payment terms in writing with each partner, closely track supplier due dates, and never forget the quarterly declaration, even when it is nil. Your chartered accountant can help you set up this monitoring and secure your declarations.