Building trust and partnership with the business community to expand the tax base without imposing additional burdens, while advancing simplification, digitalization, and dispute resolution

Ahmed Kouchouk, Minister of Finance, affirmed that the Ministry is pursuing a comprehensive approach to facilitate dealings with the tax community through improved services that encourage voluntary compliance and attract new taxpayers.

 

He stressed that integrating a “customer service culture” into the development of the tax system is a core pillar of reform, in a way that taxpayers can clearly feel and experience.

 

Speaking during a panel discussion at the Egyptian–Canadian Business Council, the Minister explained that the government has chosen a path based on trust, partnership, and support for the business community, with the aim of expanding the tax base without imposing any additional burdens on investors.

 

Kouchouk noted that the first package of tax facilitation measures demonstrated the speed and strength of the private sector’s response to Egypt’s economic and fiscal reforms.

 

He highlighted that setting a cap on penalties not exceeding the principal tax amount sent a strong message of support and reassurance to the business community.

 

The Minister emphasized that the Ministry remains committed to addressing tax-related challenges through further facilitation, simplification, and incentives.

 

He explained that the second package of tax facilitation measures places greater emphasis on supporting long-term partners of the tax system and includes, for the first time, the launch of a mobile application for real estate transactions, enabling electronic notification and payment of the tax.

 

He reiterated that the real estate disposal tax for individuals remains unchanged at 2.5% of the property sale value, regardless of the number of transactions.

 

Kouchouk also underscored ongoing efforts to enhance tax dispute resolution through consensual solutions that are satisfactory to all parties.

 

He confirmed the continuation of the simplified tax system, which offers tax incentives to ensure ease, certainty, and encouragement for professionals, startups, and small businesses. In addition, he announced unprecedented financing facilities for the first 100,000 taxpayers joining the simplified tax system.

 

For his part, Sherif Kilany, Deputy Minister of Finance for Tax Policies, stated that the Ministry aims to encourage the voluntary integration of small and medium-sized enterprises into the tax system.

 

He also noted the expansion of settlement committees to cover tax and customs disputes across all levels of litigation.

 

Engineer Moataz Rasslan, Chairman of the Egyptian–Canadian Business Council, said that Egypt’s business environment has become more flexible, clearer, and more capable of attracting investment.

 

He commended the Ministry of Finance for its efforts to restore trust and partnership between the Tax Authority and taxpayers.

 

Members of the Council emphasized that tax facilitation measures complement broader efforts to stimulate investment, production, and exports, and described the simplified tax system as an effective initiative for integrating small and medium-sized enterprises and entrepreneurship into the formal economy.

 

They also stressed the importance of continuing tax facilitation efforts to address challenges faced by the business community and remove any remaining obstacles.

 

The discussion also highlighted the Comprehensive Health Insurance System as a promising model for developing healthcare services in Egypt, with participants noting the need for continued support and expansion, particularly through the provision of rapid screening services within healthcare facilities to enhance early disease detection, treatment, and prevention.