Parliament greenlights 27.5% new income tax bracket: Egypt

House of Representatives has approved a new tax of 27.5% levied on citizens earning annual income of over EGP 1.2 million, Deputy Chairman of House of Representatives Yasser Amr told Asharq Business on May 29th.

On May 25th, the committee approved amendments to the income tax law, under which the income tax exemption limit would be raised to EGP 36,000 from EGP 24,000.

The newly ratified tax will be effective from July 1st, advisor to the head of the Egyptian Tax Authority (ETA) Ragab Mahrous revealed to Asharq Business.

Mahrous also estimated that the new tax would add revenues of around EGP 1.2 billion to the state’s budget.

The current income tax of 25% is applicable to individuals earning over EGP 400,000 a year.

Meanwhile, a 22.5% tax is imposed on corporates that record more than EGP 200,000 as annual profit.

Copyright © 2022 Arab Finance Brokerage Company All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).