|
Samar Abdel Rahman |
The Egyptian Minister of Finance Amr El Garhy has announced that the VAT rate will increase by one percentage point, effective July 1 2017. The general VAT rate will now be 14% instead of 13%, subject to the provisions of the Egyptian VAT Law No. 67/2016.
According to the VAT Law, the increase on VAT rate shall be applied to all goods and services except those listed in the exemption table, which include goods and services such as nutrition goods, and health and educational services. The VAT rate increase shall not be applied to goods and services subject to table tax only, and not subject to the general VAT. This category of products includes cigarettes, petroleum products, fertilisers and construction services.
For the goods considered as entertainment goods, such as soda drinks, air condition devices, perfumes and cosmetics, the 1% increase on the general VAT rate will be applied in addition to the relevant table tax rate applied to each category.
Samar Abdel Rahman (samar.abdel.rahman@eurofast.eu)
Eurofast Egypt
Tel: +20 100 6578928
Website: www.eurofast.eu
