print logo

Ahram Online: Egypt's new VAT now in force

President Sisi ratified the VAT and thus is officially implemented.
10.09.16 | Interesting article at Ahram Online

Egypt's new value-added tax was officially implemented on Friday shortly after Egyptian President Abdel-Fattah El-Sisi ratified it, Egypt's finance ministry said in a statement on Saturday.
The statement added that following Eid Al-Adha holiday this week, meetings would be held with business representatives to explain the mechanisms that the ministry would use to ensure correct implementation of the new law, as well as clarifying the needed procedures for companies paying the tax.

The ministry added that the law allows a three-month deadline as a transitional period so that companies and all those involved within the law can adjust their conditions, stressing that no fines would be imposed for a delay in payments of the due tax.

According to Article 9 of the VAT law, bylaws on the tax's implementation will be issued by the finance minister within 30 days from the law's ratification in the official gazette.

In August, Egypt's parliament approved the law at a rate of 13 percent for the 2016/17 fiscal year, to rise to 14 percent the following year.