Abdel Aal highlighted that the authority has achieved
significant success and remarkable results through the first package of tax
incentives, which led to an increase in voluntary compliance. A total of
761,000 tax returns were submitted, generating a total tax collection of EGP 97
billion. She added that the authority organized a conference under the auspices
of the Finance Minister to thank the business community for their trust in the
ministry and the tax authority, acknowledging their role as key partners in
supporting the national economy. She emphasized that while progress has been
made in addressing challenges, not all issues have been resolved, noting that
challenges accumulated over many years cannot be solved at once. She affirmed
their sincere commitment to establishing a fair and stable tax system that
meets the needs of partners and ensures the desired tax justice.
The chairwoman indicated that the Ministry of Finance and
the Egyptian Tax Authority have pledged to launch a second package of tax
incentives by the end of the current year. The social dialogue process has been
announced for November 2025, in preparation for implementation at the beginning
of 2026, following approval by the Parliament scheduled to convene on January
12, 2026.
She added that the second package will focus on speeding up
tax refund procedures and supporting compliant taxpayers. All suggestions and
feedback received during the first package, including issues affecting certain
sectors, have been collected. Abdel Aal stressed that a series of comprehensive
awareness and community meetings will follow the launch of the second package
to explain its provisions and benefits, ensuring active participation and
receiving feedback from the business community.
Abdel Aal noted that despite the authority’s progress in
digital transformation, several challenges facing the business community were
identified, which prompted the launch of the first package of 20 tax
incentives. A key component is Law No. 6 of 2025, targeting enterprises with
annual revenues not exceeding EGP 20 million. The law features a progressive
tax scale, starting from 0.4% for businesses with annual revenues under EGP
500,000 and up to 1.5% for enterprises with revenues below EGP 20 million.
She confirmed that the efficiency and effectiveness of the
Investor Support Unit under the Tax Authority Chair’s office have been
enhanced. The unit is staffed with qualified experts empowered to intervene
swiftly to resolve any issues facing taxpayers and investors. Additionally, a
Pre-Ruling Unit reporting directly to the Chair’s office has been established
to educate investors and ensure full awareness of their tax obligations before
starting their investment activities.
Regarding the law on waiving late payment penalties and
additional taxes, Abdel Aal emphasized that there are no plans to renew it, as
it rewards non-compliant taxpayers and penalizes compliant ones, contradicting
the principle of tax justice the ministry and authority seek to uphold.
The meeting also covered the latest updates and detailed
explanations of tax packages and their implementation mechanisms. Discussions
were constructive, focusing on future cooperation between the Egyptian Tax
Authority and civil society institutions to enhance transparency and strengthen
mutual trust between the state and citizens.
Attendees from the Egyptian Tax Authority included Saeed
Fouad, Advisor to the Chair; Dr. Safwat Hassan, Head of the Central
Administration of the Technical Office; Mostafa Kouch, Director General of the
Chair’s Technical Office; Maha Ali, Director General of the Website and Head of
Media Unit at the Chair’s Office; and Mohamed Sorour, Head of the Pre-Ruling
Unit.
The meeting also saw participation from several Rotary
clubs, with notable presence from the Rotary Club of Cairo Royal, including
Nabila Omran, Club President; Dr. Ahmed El Sherbiny, Vice President; Wafaa
Moussa, Deputy Finance Minister and club member; Hanan Abu El Azm, Member of
the Senate; Engineer Mohamed El Shenawy, Head of the Club’s Projects Committee;
Ola El Nouri, Projects Committee Member; and Hani Darwish and Zeinab El Ghazaly,
club members.