Egypt - Apply for Employment Income Tax

Advertisement

Procedure

Apply In-Person:

1. Employees are not required to submit annual returns for their employment income. Companies must withhold monthly tax from the salaries of employees and remit such amounts to the tax authorities.
2. It is the employer’s responsibility to withhold and remit the tax to the tax authority within 15 days following the month of payment. Employees are required to report their income to the tax authority and remit the tax due on their income only if they have income other than employment income in Egypt, or the employer is nonresident for tax purposes, or has no PE in Egypt.
3. Non-residents with commercial and industrial activities operating as partnerships must file annual tax returns within 4 months after the end of the financial year or within 30 days after the cessation of their activities.
4. If an individual fails to pay the tax due before the due date, a delay penalty applies until the date of payment. The delay penalty is imposed at a rate of 2% plus the credit and discount rate set each January by the Central Bank of Egypt.
5. To get the employment income tax certificate, the employees much approach the Office of General Directorate of taxes at the Egyptian authority.
6. Please ensure to carry the required documents with you. Refer to the “Required Documents” section for more.
7. The employee must wait until their documents are processed after submission.
8. The employee will be called to pay the fees and tax.
9. The applicant must collect their Employment income tax certificate.
   

Advertisement

Required Documents

• A copy of certificate of incorporation.
• List of income earned from employment or annual income from rewards.
• The Directors Tax Clearance Certificates (now Electronic Tax Clearance Certificate)
• Letter of application for registration,
  

Office Locations & Contacts

Ministry of Finance
Address Nasr City
Phone no. 23428886 - 23428010 - 23428830
Fax 26861680 - 2686181
Fax: ++2(0)2 26861861
Email Address: [email protected]
E-mail [email protected]

Egyptian Tax Authority
Website Link
Ministry of Finance
Ministry of Finance Towers, Nasr City.
Extension of Ramsis Street,
Abbassiya, Cairo
Tel: +20 2 2342 8886;
Tel: +20 2 2342 8010;
Tel: +20 2 2342 8032;
Tel: +20 2 2342 8830;
Tel: +20 2 2342 8840
Email: [email protected]
Contact Link

Eligibility

• Casual workers are also subject to tax.
• Tax is imposed on income generated from Egyptian sources, regardless of whether the work is performed in or outside Egypt. Tax is also imposed on income generated from foreign sources for work performed in Egypt.
• Tax is imposed on all salaries, remunerations and bonuses paid to managing directors, board members and managers of corporations for the performance of administrative duties.
  

Fees

The corporate income tax rate in Egypt is 22.5%.
Companies are required to file tax returns within 4 months from the end of the financial year. A company’s financial year corresponds to the accounting year. Grossed income 0 - 8,000 EGP: 0% tax rate
Grossed income 8,001 - 30,000 EGP: 10%, with a 85% tax credit
Grossed income 30,001 - 45,000 EGP: 15%, with a 45% tax credit
Grossed income 45,001 - 200,000 EGP: 20%, with a 7.5% tax credit
Grossed income > 200,001 EGP: 22.5%

Validity

The validity is 1 year.

Documents to Use

Please attach documents that can be used by people. e.g. links

Sample Documents

Please attach sample completed documents that would help other people.

Processing Time

The processing time is 7 working days.

Related Videos

Videos explaining the procedure or to fill the applications.
Attach videos using the following tag <&video type='website'>video ID|width|height<&/video&> from external websites.
Please remove the '&' inside the tags during implementation.
Website = allocine, blip, dailymotion, facebook, gametrailers, googlevideo, html5, metacafe, myspace, revver,
sevenload, viddler, vimeo, youku, youtube
width = 560, height = 340, Video ID = Can be obtained from the URL of webpage where the video is displayed.
e.g In the following url 'http://www.youtube.com/watch?v=Y0US7oR_t3M' Video ID is 'Y0US7oR_t3M'.

Instructions

All Egyptian residents who earn income from any meaningful employment or gain a reward must register for Employment income Tax on their income derived from Egypt, as well as be familiar with the rules relating to the filing of Employment income tax and how it is calculated.

Required Information

A list which displays the kind of information which is required to complete the procedure.
e.g.
1. Date of Birth.
2. City or Country of Birth.

Need for the Document

This application lets you apply for employment income tax. Every individual need to pay an employment tax as per governmental mandatory rules.

Information which might help

Employment Income tax is levied on salaries, wages, compensation awards, overtime pay and all cash and in-kind fringe benefits.

Other uses of the Document/Certificate

Please explain what are other uses of obtaining this document/certificate.
e.g. Birth Certificate can be used as proof of identity.

External Links

Place some external links which might help.

Others

More information which might help people.