CAIRO: In an attempt to collect tax arrears (totaling at 84.5 billion EGP), Minister of Finance Hani Kadry Demian ordered Tuesday tax offices to present monthly statistical bulletins about tax arrears and the collected sums during each month, Dot Masr news gate reported Tuesday.
Besides obliging tax offices to present monthly bulletins, Kadry directed the central administrations to provide technical support to tax offices along with offering quick solutions to finance problems,” he added.
Out of the 84.5 billion EGP, 77 billion EGP is in public tax while the other 7.5 billion EGP are sales taxes, he said, pointing out that the Ministry seeks through boosting Egypt’s revenues from tax collection to surround the soaring budget deficit, flourish the economy and develop infrastructure.
Mustafa Abdel Kader, head of the Egyptian Tax Authority announced that “the ministry of finance drafted a plan for dealing with such tax arrears, he said, adding that the plan will address submitting friendly reconciliations along with allowing repayment through banking remittances and checks to facilitate tax collectors’ work,” Dot Masr news gate reported Tuesday.
Kadry previously announced he would amend the tax system by imposing progressive taxes, wealth taxes and real estate taxes as steps for covering the budget deficit and increasing Egypt’s tax revenues.
“This amendment is aimed at redistributing the burdens of fiscal and economic reform on the widest possible tax base, excluding low-income people,” he said.
Few days before ending his term, former interim President Adly Mansour approved a 5 percent tax on annual incomes exceeding 1 million EGP ($142,000), effective for three years starting this year. The Ministry of Finance set the expected annual revenue from this temporary tax between 3 billion EGP to 3.5 billion EGP.