- within International Law, Antitrust/Competition Law and Real Estate and Construction topic(s)
Egyptian Minister of Finance issued 4 decrees No. 379, 380, 381 and 382 regarding amendments in the withholding tax as follows:
A- Decree No. 379 of 2018 related to article No. 67 amending decree No. 534 of 2005:
Customs Authority is obliged to collect 1 % withholding tax on
payment from import values instead of 0.5 % from taxpayers related
to tax on industrial, commercial activities or corporate income
tax.
This is to be applied starting from 15th of August 2018.
B- Decree No. 380 of 2018 related to article No. 59 amending decree No. 537 of 2005:
The withholding tax rates that should be deducted according to article No.59 of Corporate Income Tax Law No. 91 of 2005 will be as follows:
This table represents the amount collected before and after the issuance of such decree:
|
Activity Nature |
WHT Rate Before Decree No. 380 |
WHT Rate After Decree No. 380 |
|
|
1 |
Contracting and supplying, except for the supply of agricultural crops to the government and the public sector from the owners of the farms within the limits of their farms. |
0.5% |
1% |
|
2 |
Purchases. |
0.5% |
1% |
|
3 |
a- Services |
2% |
3% |
|
b- Amounts that are paid by cooperative organizations for transportation for their members against their cars. |
0.5% |
1% |
|
|
c- Agency commission and brokerage |
5% |
5% |
|
|
d- Deductions, grants, commissions and exceptional and additional incentives that are granted by tobacco, fertilizer, and cement companies. |
5% |
5% |
|
|
e- All deductions, grants and commissions that are granted by oil & gas companies to their distributes. |
2% |
2% |
This is to be applied starting from 15th of August 2018.
C- Decree No. 381 of 2018 related to article No. 71 amending decree No. 530 of 2005:
All forms of court archives, degrees, authentication offices and authorities should collect the below withholding tax amounts, under account of the tax due to the lawyers as follows:
This table represent the amount collected before and after the issuance of such decree:
|
Procedure |
Amount Collected Before Decree No. 381 |
Amount Collected After Decree No. 381 |
|
|
1 |
Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, before the Court of First Instance. |
EGP 5 |
EGP 20 |
|
2 |
Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, before the Court of Appeal |
EGP 10 |
EGP 50 |
|
3 |
Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, in front of the Court of Cassation. |
EGP 15 |
EGP 100 |
This is to be applied starting from 15th of August 2018.
D- Decree No. 382 of 2018 related to article No. 71 amending decree No. 532 of 2005, specifically for doctors or medical specialist:
Any doctor / medical specialist that works in a hospital for his own benefit, the hospital should collect a withholding tax amounting to EGP 100 from each job carried out, and this will be under the account of the income tax on non-commercial activities that doctors/specialists are eligible for.
This is to be applied starting from 15th of August 2018.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
