Starting this month… Integration of Income Tax and Value-Added commissions all Over Egypt

“After merging the Income Tax Authority and the Sales Tax Authority with the Egyptian Tax Authority “(ETA”), this month, the merging of income tax and value-added commissions will also be launched all over Egypt” said Dr. Mohamed Maait, Minister of Finance. He also pointed out that the automated unified tax procedures system will be applied to the merged commissions to facilitate procedures for the investors.

He confirmed that the Ministry is acting vigorously in order to expedite the applying the projects of modernization and digitization of the tax management system, which contributes to increasing investments and facilitating procedures for taxpayers by simplifying and mechanizing procedures and raising the efficiency of tax collection process.

The commissions assigned to apply the new system are 14 all over Egypt, whether Income Tax or Value-Added commissions which includes the following first 10 areas in Cairo: Sayeda Zainab, El Khalifa, El Darb El Ahmar, El Maniel, Old Egypt, Dar El Salam, El Basatien, Maadi, Helwan, 15 May.

The Minister added that this new system will unify procedures for all the taxpayer's files (income or/and value added) in one commission, which is the one that taxpayer's main activity follows, in order to unify dealing with the authority.

It will also allow electronic transactions through the Internet and following standardized procedures on a consistent approach on all tax receptacles, which will save time and effort for investors. Moreover, the automated tax procedures system will be based on automating and integrating the main tax business in the 10 integrated commissions of Cairo region (Fourth).

Dr. Maait added, applying this system will allow providing full electronical services for investors without needing to physically exist in the commissions, that is through the online website of the (ETA) using the unified Tax registered number for each of them which includes all types of taxes subject to, submitting all tax returns forms (up to 49 forms) electronically, each according to its activity whether income tax, employment tax, deduction and collection returns, value-added tax, or stamp tax and payments will be made electronically through one of the available non-cash payment methods.

For further information or to discuss the new ETA system in more detail, please contact:

Muhammed Abu Daif

m.abudaif@tcmglaw.com

or

Omar Abu Daif

o.abudaif@tcmglaw.com