Tax Services
Full Egyptian tax compliance and planning — corporate income, VAT, payroll, withholding — and representation before the Tax Authority and appeals committees.
Tax shouldn’t be a source of worry. Our team combines deep knowledge of Egyptian tax legislation with a clear understanding of your business — planning to reduce your tax burden, preparing and filing returns on time, and stepping in to resolve any disputes before they escalate.
What We Offer
- Tax Planning Built Into Strategy — We plan your tax position alongside your business decisions — structuring your tax practices to reduce burden and maintain legal compliance ahead of every filing deadline.
- End-to-End Compliance — Annual income tax, monthly VAT, monthly payroll (نموذج 4), withholding, real-estate, and stamp tax — all filed electronically through the ETA portal.
- Dispute Representation — If the Tax Authority issues a notice, we represent you before it and the appeals committees.
Frequently Asked Questions
What kinds of taxes are applied on corporates in Egypt, and what are the reporting requirements?
An Egyptian company is subject to several distinct taxes. Treatment differs across the standard regime, the Simplified Tax System (Law 6/2025), and free zones (Investment Law 72/2017), noted explicitly where they apply. Corporate income tax (Law 91 of 2005). Standard companies pay 22.5% on net taxable profit. Sector rates differ — oil and gas reach an effective ~40.55%. The annual return is filed electronically through the ETA portal within four months of the financial year-end, alongside the audited financial statements and the chartered accountant's tax certification. Simplified Tax System enterprises (annual turnover up to EGP 20 million): pay a graduated rate on turnover instead of profit — from 0.4% under EGP 500,000 up to 1.5% near EGP 20 million. Annual return only; no profit computation, no chartered accountant certification required. Free zone companies: exempt from corporate income tax. Instead, pay an annual fee on the value of goods entering or exiting the zone (typically 1%). Value-added tax / VAT (Law 67 of 2016). Standard companies apply 14% VAT on taxable supplies (reduced rates for specific categories). Monthly returns are filed through the ETA portal by the end of the month following the tax period. All sales invoices and consumer receipts must be issued via the e-invoicing (الفاتورة الإلكترونية) and e-receipt (الإيصال الإلكتروني) systems. Simplified Tax System enterprises: 14% VAT applies, but with quarterly returns (filed in the month following each quarter-end). Free zone companies: zone exports are zero-rated; capital assets, equipment, and production supplies imported into the zone are VAT-exempt. Payroll tax (under Income Tax Law 91/2005). Standard companies withhold payroll tax monthly from each employee's salary at the progressive personal income tax rates and remit to the ETA. Reporting: monthly Form 4 (نموذج ٤) return + annual reconciliation (التسوية الضريبية السنوية). Full framework in the Outsourced Accounting payroll-filings answer. Simplified Tax System enterprises: file an annual payroll settlement return only — no monthly Form 4. Free zone companies: standard payroll obligations apply (payroll follows the employee, not the entity's regime). Withholding tax on payments. Standard companies withhold tax at source on certain payments to local suppliers (services, professional fees, commissions) and on cross-border payments (royalties, interest, dividends, services). Rates vary by payment type and recipient jurisdiction; double-taxation treaties may reduce the rate. Reporting: quarterly return filed with the ETA within one month of each quarter-end. Simplified Tax System enterprises: exempt from withholding tax obligations. Free zone companies: exempt from withholding tax on most payments related to free zone activity. Stamp tax (Law 111 of 1980). Standard companies pay fixed and proportional stamp duties on certain documents and transactions — bank loans, insurance premiums, advertisements, government contracts. Reporting cadence varies; some are remitted at the transaction, others monthly or quarterly. Free zone companies: exempt from stamp tax on transactions related to free zone activity. Real estate tax (Law 196 of 2008). Annual tax on real estate used for non-residential purposes (offices, factories, commercial premises), assessed by the Real Estate Tax Authority on rental value. Annual self-assessment and payment. Real estate within free zones is generally exempt. Customs duties (Customs Law 207 of 2020). Standard imports are levied at rates set by the Harmonized System tariff schedule. Declared at the point of clearance through the Egyptian customs single-window system; separate from VAT, which is also collected on imports at clearance. Free zone companies: imports into the zone are duty-exempt; the standard tariff applies only when goods exit into the Egyptian mainland. Additional benefits for Simplified Tax System enterprises: Exempt from capital gains tax and dividend distribution tax. Corporate income tax and VAT inspections are conducted only after a 5-year holiday from the date of registration under the simplified system. Note on tax-law changes. Egyptian tax rules — rates, thresholds, exemptions, and reporting cadences — are amended frequently by ministerial decree or amendment law. The specific figures and rules in this answer reflect the law in force at the time of writing. For the rules in force at the time of your transaction, consult current ETA guidance or a registered tax adviser.
What is VAT in Egypt — who must register, what's the rate, and what's filed?
Value-added tax (VAT) is a consumption tax on the sale of goods and the provision of services in Egypt, governed by VAT Law 67 of 2016 (as amended, most recently by Law 157 of 2025). It is collected at each stage of the supply chain — a registered business charges VAT on its sales (output VAT), recovers VAT paid on its purchases (input VAT), and remits the net difference to the Egyptian Tax Authority (ETA). Who must register. Mandatory registration. Any business whose annual taxable sales exceed EGP 500,000 must register with the ETA and obtain a VAT registration number. Voluntary registration. Businesses below the mandatory threshold may register voluntarily if their turnover exceeds EGP 150,000 or paid-up capital is at least EGP 50,000. Voluntary registration allows the business to recover input VAT on its purchases. Importers. Importers of taxable goods must register from the start of the activity, regardless of the turnover threshold. Rates. Standard rate: 14% on most taxable supplies of goods and services. Reduced rate: 5% for machinery and equipment used in production lines (passenger cars and buses excluded). Table tax (ضريبة الجدول). A separate list of goods and services attached to the law carries specific rates — tobacco products, certain telecom services, advertising services, professional services, and others. The table tax applies in place of or in addition to standard VAT depending on the item. Zero-rated supplies. Exports of goods and services, and supplies from free zones, are zero-rated — VAT applies at 0%, and the supplier can still recover input VAT on its purchases. Exempt supplies. Specific categories (basic foodstuffs, healthcare, education, financial services, among others) are exempt — no VAT is charged, but input VAT cannot be recovered. How VAT is calculated. A registered business charges VAT (output VAT / ضريبة المخرجات) on the selling price of its taxable supplies and pays VAT (input VAT / ضريبة المدخلات) on its purchases used in the business. The net VAT due to the ETA each period is output VAT minus input VAT. Example: a business sells EGP 1,000 of goods and charges the customer EGP 140 in VAT (14%); it also bought materials for EGP 500 and paid EGP 70 in input VAT. The net VAT due to the ETA is EGP 140 − EGP 70 = EGP 70. If input VAT exceeds output VAT in a given period, the credit balance is carried forward to the next period (or, in specific cases such as exporters and capital-asset purchases, refunded by the ETA on application). What's filed. Standard companies. Monthly VAT return filed electronically through the ETA portal by the end of the month following the tax period, with the net VAT payment due at the same time. Simplified Tax System enterprises (annual turnover up to EGP 20 million under Law 6/2025): quarterly VAT return filed in the month following each quarter-end. All registered businesses. Sales invoices and consumer receipts must be issued through the e-invoicing (الفاتورة الإلكترونية) and e-receipt (الإيصال الإلكتروني) systems administered by the ETA. Paper invoices outside these systems are not accepted for VAT purposes. Note on tax-law changes. Egyptian VAT rules are amended frequently — Law 157 of 2025 is a recent example of significant changes to the table tax, exemptions, and construction-services treatment. Specific rates, thresholds, and exemption categories in this answer may change via subsequent ministerial decrees or amendment law. For the rules in force at the time of your transaction, consult current ETA guidance or a registered tax adviser.
What happens when the Tax Authority issues an assessment notice — what's the appeals process?
If the Egyptian Tax Authority (ETA) reviews your tax return and arrives at a different figure from what you declared, it issues a tax assessment notice (إخطار ربط) stating the additional tax it considers due. Under the Unified Tax Procedures Law (206 of 2020), you have a clear, time-bound appeal pathway: Step 1 — Object within 30 days. You have 30 days from receiving the assessment to file a written objection with the tax office that issued it. Missing this deadline means the assessment becomes final and enforceable. Step 2 — Internal Committee (اللجنة الداخلية), if required. Where the procedure calls for an Internal Committee review, the objection is first considered at the tax office. The committee reviews your supporting documents and meets with you (or your authorised representative) to discuss the disputed items. If agreement is reached, the assessment is amended accordingly and closed. In other cases, the matter proceeds directly to the Appeal Committee. Step 3 — Appeal Committee (لجنة الطعن). If the Internal Committee cannot resolve the dispute, the file is referred to the competent Appeal Committee within 30 days of the internal decision, along with the committee's opinion. The Appeal Committee is a quasi-judicial body composed of tax experts, with timelines fixed by law: the ETA must provide your file to the committee within 15 days, and the committee must issue its decision within 60 days of receiving it. Step 4 — Court appeal (if needed). The Appeal Committee's decision is final for tax-collection purposes. If either you or the ETA disagree, the decision can be challenged in the competent court within 30 days of being notified of it. Further escalation runs through the Court of Appeal and, on points of law, the Court of Cassation. Practical points. The disputed tax is generally not collected pending a final decision — though interest and additional tax (الضريبة الإضافية) may accrue if the dispute is ultimately resolved against you. Strong documentation at each stage matters more than legal arguments at later stages — assessments often turn on whether supporting documents (contracts, invoices, bank statements) were complete and timely produced. Representation by a chartered accountant or tax adviser registered with the ETA is the norm — they handle the procedural correspondence, attend committee meetings, and prepare the technical and legal arguments. Note on tax-law changes. Egyptian tax-dispute procedures have been amended in recent years, most significantly by the Unified Tax Procedures Law 206 of 2020 which consolidated provisions from prior tax codes. Specific timelines and committee structures may be further modified by amendment law or executive regulation. For the rules in force at the time of your dispute, consult current ETA guidance or a registered tax adviser.
Contact
16 Hedaya Basha Street, Gleem, El Raml 2, Alexandria, Egypt
Email: info@inspect-solutions.com
Office hours: Saturday – Thursday, 9:00 AM – 5:00 PM