Tax revenues targeted in fiscal year (FY) 2018/19 increased by EGP 166.38bn to register at EGP 770.28bn, rising from EGP 603.9bn in the FY 2017/18 budget, a 27.55% increase, according to the draft budget sent to parliament for approval, which Daily News Egypt obtained a copy of.
One of the most prominent targeted tax revenues increase was taxes on income, which accounts for EGP 45.5bn in the FY 2018/19 draft budget, an increase of 40% compared to EGP 32.4bn in the previous year.
On the other hand, the total value added tax (VAT) revenues, which included both VAT and tax table rates (tax rate schedule), accounted for EGP 320.148bn in the FY 2018/19 budget, up from EGP 252.770bn in FY 2017/18.
Furthermore, Egypt aims to raise its revenues from taxes imposed on tobacco—included in the total VAT tax—by almost EGP 7.072bn compared to the expected FY 2017/18 financial results.
The country is targeting around EGP 58.524bn in revenues from tobacco taxes, rising from the expected revenues of EGP 51.452bn this financial year, which ends in June.
With regard to customs duties taxes, the government aims to increase them by EGP 8.9bn to reach EGP 45.328bn in FY 2018/19.
Moreover, bills and bonds tax revenues witnessed a huge increase of 52.2% to reach EGP 59.57bn in the FY 2018/19 draft budget, up from EGP 39.133bn in FY 2017/18.
Predicted tax collections from state institutions, such as the Central Bank of Egypt, the Suez Canal Authority, and the Egyptian General Petroleum Company, reached EGP 168.2bn, up from EGP 142.946bn in the current fiscal year.
Meanwhile, expected capital movement tax revenues in the FY 2018/19 budget reached EGP 30.865bn, which almost doubled from EGP 16.766bn in the FY 2017/18 budget.
