Following Finance Minister Ahmed Kouchouk's announcement on December 16, Rasha Abdel Aal, head of the Egyptian Tax Authority, launched the second package of tax facilitations on December 23. It introduces the 'Excellence Card' for compliant taxpayers, accelerated VAT refunds, capital market incentives, and healthcare VAT relief, building on prior successes to enhance compliance and economic support.
Rasha Abdel Aal's statement aligns with Minister Kouchouk's directives to improve the investment climate, emphasizing trust-based partnerships and voluntary compliance. This package expands on the December 16 details by introducing the 'Excellence Card' to reward compliant taxpayers and stabilize interactions.
Taxpayers can now opt into the simplified tax system for 2023 and 2024. Capital market support includes shifting from capital gains tax to stamp duty on stock transactions and three-year tax incentives for companies listing on the Egyptian Exchange to boost volumes.
New electronic systems will streamline company liquidation/closure and real estate transactions, including tax notifications and payments. Healthcare benefits lower VAT on medical devices to 5% (from 14%) and exempt inputs, spare parts, and supplies for dialysis equipment and kidney filters, easing burdens and aiding local manufacturing.
An advisory platform shares ETA issuances with businesses pre-implementation for feedback, refining regulations.