Arab Finance: The Egyptian Tax Authority (ETA) has denied media reports claiming a dispute between the government and oil companies over the application of the value-added tax (VAT) on crude oil, as per a statement.
ETA noted that the law is clear and that all parties are in full agreement. It added that executive regulations governing the matter will be issued soon.
The authority explained that the Egyptian General Petroleum Corporation (EGPC) is the sole buyer of crude oil in Egypt and bears the 10% VAT as the recipient and beneficiary of the commodity, whether locally produced or imported. EGPC is responsible for remitting the tax to the authority.
It further clarified that the 10% VAT applied only to crude oil, not to petroleum products, will not result in any increase in prices of petroleum products in the local market.
ETA called on media outlets to verify information with official sources, emphasizing the importance of accuracy in matters that affect national security.
