Real es­tate tax pro­ceeds jump by 455% af­ter ap­ply­ing new Tax Law

The author­ity will de­ter­mine spe­cific cri­te­ria for eval­u­at­ing petroleum fa­cil­i­ties, while the tourism sec­tor will be granted a tem­po­rary ex­emp­tion

The Daily News Egypt - - Front Page - By Nevine Kamel

The real es­tate tax rev­enue jumped by 455% fol­low­ing the im­ple­men­ta­tion of the new real es­tate tax law, record­ing EGP 2bn in the last fis­cal year com­pared to EGP 360m before ap­ply­ing the law, ac­cord­ing to Samia Hus­sein, head of the Real Es­tate Taxes Author­ity.

She added that the author­ity plans to make the tax pro­ceeds about five times larger by 2023. It came dur­ing a meet­ing or­gan­ised on Fri­day by the Cus­toms and Tax Com­mit­tee in the Amer­i­can Cham­ber in Cairo, headed by Has­san Hegazi.

Hus­sein re­vealed that the author­ity con­cluded a pro­to­col that will de­ter­mine the cri­te­ria for eval­u­at­ing the petroleum fa­cil­i­ties sub­ject to the new real es­tate tax law No. 196 of 2008. The new pro­to­col shall be signed by the min­is­ters of fi­nance and petroleum in ac­cor­dance with the pro­vi­sions of the law.

She pointed out that the petroleum fa­cil­i­ties fall un­der the fa­cil­i­ties of spe­cial na­ture cri­te­ria stip­u­lated in Ar­ti­cle 13 of the law and its amend­ments. This ar­ti­cle stip­u­lates that spe­cial cri­te­ria shall be set for eval­u­at­ing in­dus­trial, tourist, and petroleum es­tab­lish­ments, air­ports, sea­ports, mines, quar­ries, and sim­i­lar fa­cil­i­ties.

Hus­sein said the author­ity has not yet signed the pro­to­col of eval­u­at­ing tourist es­tab­lish­ments due to the bad con­di­tions ex­pe­ri­enced by the tourism sec­tor, adding that it will be signed when the sec­tor re­cov­ers.

On the other hand, the cri­te­ria for eval­u­at­ing the fac­to­ries have al­ready been agreed by the min­is­ters of fi­nance and in­dus­try.

Hus­sein noted that President Ab­del Fat­tah Al-Sisi in­structed the author­ity to ease the bur­den on fam­i­lies liv­ing in a sin­gle build­ing, mostly in the coun­try­side. The house owner can pro­vide a pho­to­copy of his ID and his adult chil­dren, so that each apart­ment in­hab­ited by those chil­dren shall be ex­empted. She added that the law ex­empts pri­vate houses a worth max­i­mum of EGP 2m per unit.

Hus­sein said the author­ity con­sid­ers obli­gat­ing real es­tate own­ers to reg­is­ter their prop­er­ties com­pul­sory af­ter the author­ity had re­duced the reg­is­tra­tion fees sig­nif­i­cantly.

She pointed out the author­ity has not yet ap­plied any penal­ties on de­lay or neg­li­gence for reg­istry, but it will do so in the com­ing pe­riod.

Samia Hus­sein, head of the Real Es­tate Taxes Author­ity

Newspapers in English

Newspapers from Egypt

© PressReader. All rights reserved.