Egypt Income Tax Law Amendment
Article Navigation
Egypt’s Income Tax Law Amended
The Egyptian Parliament has amended the Income Tax Law No 91 of 2005, as published in the official Gazette dated 20 June 2023, as follows:
- Annual Personal Exemption limit amended from EGP 9,000 to EGP 15,000
- Annual Personal Exemption limit for differently abled employees amended by 50% to EGP 22,500
- First tax bracket limit increased from EGP 15,000 to EGP 21,000.
- New tax bracket of 27.5% added for annual income greater that EGP 1,200,000.
The revised income tax brackets are provided below:
| Annual Income Tax Bracket (in EGP) | Total Annual Taxable Income | |||||
|---|---|---|---|---|---|---|
| Less than 600,000 | 600,000-700,000 | 700,000-800,000 | 800,000-900,000 | 900,000-1,200,000 | More than 1,200,000 | |
| 1-21,000 | 0.0% | 2.5% | 10.0% | 15.0% | 20.0% | 25.0% |
| 21,001-30,000 | 2.5% | 2.5% | 10.0% | 15.0% | 20.0% | 25.0% |
| 30,001-45,000 | 10.0% | 10.0% | 10.0% | 15.0% | 20.0% | 25.0% |
| 45,001-60,000 | 15.0% | 15.0% | 15.0% | 15.0% | 20.0% | 25.0% |
| 60,001-200,000 | 20.0% | 20.0% | 20.0% | 20.0% | 20.0% | 25.0% |
| 200,001-400,000 | 22.5% | 22.5% | 22.5% | 22.5% | 22.5% | 25.0% |
| 400,000-1,200,000 | 25.0% | 25.0% | 25.0% | 25.0% | 25.0% | 25.0% |
| >1,200,000 | 27.5% | 27.5% | 27.5% | 27.5% | 27.5% | 27.5% |
The amended Income tax law is effective from 1 July 2023 and therefore two declarations need to be provided by the entities with 31 December financial year-end:
- 1 January 2023 to 30 June 2023 – based the old income tax law
- 1 July 2023 to 31 December 2023 – based the new income tax law
Please contact your Mercans’ services delivery team for any additional information regarding the implications of the above change.
Mercans Recommend
View PDF
Egypt Income Tax Law Amendment
Size
777.75 KB