Egypt not to impose new taxes on economic activities: Maait

Updated 1/11/2023 11:08:00 AM

Arab Finance: The Egyptian government does not intend to impose new taxes on economic activities, nor undergoes amendments to tax on commercial and industrial profits, Minister of Finance Mohamed Maait said during his participation in the Egypt Tax Society (ETS) conference on January 11th.

In line with the presidential directives, a draft law is currently being prepared to end all the accumulated old taxes, Maait added.

The draft law is based upon the development of micro, small, and medium enterprises (MSME) that cover 60% of old cases, and there is another vision for tax treatment of the remaining 40%, he explained.

The minister pointed out that digital systems contributed to increasing tax revenues during the first half (H1) of the current fiscal year (FY) 2022/2023 with a semi-annual growth rate of 20%.

He also noted the integration of the e-invoicing system with the e-receipt system helps with the integration of the informal economy, and in achieving tax justice, maximizing the state’s public revenues, supporting social development, and mitigating the global inflationary wave on citizens.

Moreover, the minister confirmed that 260,000 companies have joined the e-invoicing system, with the issued monthly average e-invoices reaching 35 million.

The new e-system for preparing and managing workers' salaries is applied on 87% of state systems, contributing to unifying and automating the rules, standards, and procedures of calculating the income tax and insurance monthly through the "payroll" system, the minister added.