During its plenary session on Monday, the Egyptian Senate gave the final approval to amendments to the tax law on properties issued under Law #196 of 2008.
The senate also approved the government’s proposal to add a new article within the amendments granting Finance Minister a specific time frame.
Minister of Parliamentary Affairs, Legal Affairs, and Political Communication Mahmoud Fawzy read out the text of the article, which states:
“The Finance Minister shall issue a decision amending the executive regulations of the law on the tax on built properties No. 196 of 2008 in a manner that ensures the implementation of the provisions of the law, within a period of six months from the date this law comes into force. Until such a decision is issued, the current law shall continue to apply insofar as it does not conflict with the provisions of this law.”
Fawzy added, “We want to establish a timeline that ensures the implementation of the provisions of the law.”
There was also a debate over Article (29 bis) of the property tax law, which stipulates that the tax debt and late-payment penalties due may be paid in installments, in whole or in part, by the taxpayer in the following cases:
- If the debt is not attributable to an apparent act of evasion
- If it is proven that the taxpayer has no assets against which enforcement can be carried out
- If a final ruling declares the taxpayer bankrupt and the bankruptcy proceedings are closed
- If the taxpayer has left the country for ten consecutive years without leaving assets that can be enforced against.
The Senate approved the text of Article Three, which regulates exemption from late-payment penalties.
The article provides that the taxpayer shall be exempt from late-payment penalties if they settle the outstanding tax debt up to the day preceding the date this law comes into force, so long as the payment is made within three months from that date.
The Finance Minister may extend this period once.
Edited translation from Al-Masry Al-Youm
