The tax year in Egypt is the calendar year, 1 January to 31 December. Alternative tax years are allowed.
Annual tax returns must be filed by 30 April of the year following the end of the fiscal year or within 4 months of the end of the fiscal year if an alternate tax year is adopted.
Effective 20 October 2020, the following new rules apply to the filing of amended tax returns:
- Taxpayers that discover an omission or error in their return may submit an amended return during the year following the legal deadline for the return, in which case the omission or error in the original return will not be considered tax evasion;
- The amended return filed within 30 days of the legal deadline is considered as the original return; and
- The submission of an amended return will not be accepted if there is a discovery of tax evasion or the tax authority had already issued a notification on the start of examination procedures, and if the amended return results in a lower amount of tax due, refunds are to be reviewed and verified within 6 months of a refund request.
Previously, amended tax returns were allowed to be filed within 5 years of the end of the relevant fiscal year.
Resident companies in Egypt are required to make 3 provisional tax payments, first by 30 June, second by 30 September, and third by 31 December. The payments must be of equal amounts and total 60% of either:
- The previous year's total tax liability; or
- Annual tax estimated for the current period if no tax return was submitted in the previous year or the previous period resulted in a loss.
The final tax payment is due with the annual return.
Joint-stock companies and state-owned enterprises are mandatorily required to settle their corporate tax liabilities through the Country’s e-payment system.
Egypt introduced a new tax amnesty scheme providing for a reduction in interest, fines, and additional taxes charged on taxes due before 31 August 2022, as follows:
- 65% of interest, fines, and additional taxes charged will be waived, if the principal amount of tax due is paid in full by 31 August 2022; and
- 35% of the remaining interest, fines and additional taxes is required to be paid by 1 March 2023.
If the remaining 35% is not paid by 1 March 2023, the 65% relief initially provided will be revoked. The amnesty scheme is available in respect of income tax, VAT, sales tax, customs duty, real estate tax, stamp duty, and the development levy due before 31 August 2022.
A new electronic filing (“e-filing”) system has been introduced for the submission of income tax returns. Corporates are required to submit the income tax returns electronically (through the tax authority’s website). The e-Filing portal can be accessed here (in Arabic).