Egypt’s Minister of Finance Mohamed Maait has announced that 46,475 taxpayers and financiers have benefited from Cabinet-granted exemptions and waivers of late payment fees and interest on taxes, additional tax, and similar non-criminal financial penalties until 18 November. The financiers paid EGP 7.2bn in income and value-added tax and the state exempted them from EGP 6.5bn of late fees on taxes.
Maait added, in a statement on Thursday, that it comes in line with President Abdel Fattah Al-Sisi’s directives to support the economic sectors affected by the novel coronavirus (COVID-19) crisis.
The reduction of late payment interest, additional taxes, and penalties applied as follows:
A total of 29,597 financiers and taxpayers got 100% waiver of late payment and additional taxes, which amounted to EGP 4.9bn, as they took the initiative to pay in full the owed income and value-added taxes, which reached about EGP 5.6bn, prior to the effective date (16 August) of Law no. 173 of 2020.
Additionally, 14,913 taxpayers benefited from 90% exemption worth EGP 1.5bn, as they paid the principal amount of tax within 60 days from the issuance of the Law, which amounted to EGP 1.4bn including 10% only of late payment fees.
A total of 1,965 taxpayers received 70% exemption worth EGP 11m, as they paid the principal amount of tax within the next 60-day period which will end on 14 December. They paid EGP 44m comprising the original amount of tax and 30% of late payment fees.