Minister of Finance Amr El-Garhy approved the decisions of the Egyptian Tax Authority’s higher committee for tax remission to drop 150 financiers’ dues of EGP 2.117m, according to a statement from the Ministry of Finance on Wednesday.
The minister said that these decisions come in order to ease the burden of financiers and establish bridges of trust between the Egyptian Tax Authority and the tax community, and to confirm the keenness of the Ministry of Finance on the strict and proper implementation of Income Tax Law 91 of 2005, especially the facilitations available to the financiers, the most important of which is the possibility of dropping the taxes due if the taxpayer is unable to pay.
The minister added that article 114 of the Income Tax Law provides for the possibility of dropping the tax or part thereof with the approval of the minister of finance in three cases: if a taxpayer dies without a will, if it is proved that the financier has no money to be collected, or if the financiers conclude activities with taxes due, they or their heirs must still have revenues of no less than EGP 5,000.
The minister said that he instructed the Egyptian Tax Authority to pay attention to the humanitarian aspects of the tax community, especially the financiers who stopped practicing the activity, as well as the heirs to whom the third clause of article 114 apply.
The minister pointed out that these decisions are a first step and that there are other cases that are being studied and will soon be announced.
