Egyptians can always surprise the world by creating promising opportunities out of challenges.

• E-Tax is a strong warranty for managing, operating and developing the e-tax systems.
• Automation of taxation system shows successful progress, with 460 companies joining the "e-invoice" by 3.8 million electronic documents.
• By end of March 2021, electronic tax returns for income tax taxpayers reached almost 2 million documents compared with 1.5 million returns last year.
• We look forward to launching the electronic receipt system and to electronically connect tax, customs and real estate authorities.
• Special thanks are expressed to success partners from major companies, employees at the Egyptian Tax Authority and the staff in charge of the development and automation system.
• Head of the Egyptian Taxation Authority: Development projects helps in enhancing the State's rights in tax collection.
• Head of the Real Estate Tax Authority: Digitalization of the Authority aims to facilitate procedures for taxpayers.
• Head of E-Finance Co.: Development of taxation and customs systems is the vehicle for digital transformation for the benefit of the national economy.
• Head of E-Tax: Most advanced solutions of electronic taxation are employed, with high technological and security measures.

 

In the launching conference of E-Tax tax solution company, Dr. Maait stressed that Egyptians are always capable of surprising the whole world and transferring obstacles to promising opportunities by hard work,  prompt and unprecedented achievements.

This came in the presence of Deputy Minister for Public Treasury Affairs, Mr. Ehab Abu Aish, and Deputy Minister for Financial Policy and Institutional Development, Mr. Ahmed Kojak.

Guided by its wise political leadership, Egypt is successfully implementing the national project to modernize and automate the tax administration system, which is based on the simplification, automation and standardization of tax procedures. This  facilitates measures for taxpayers,  helps in identifying the tax community more precisely, achieves tax justice, integrates the informal economy into the formal economy, and collects the state’s right, said the minister. Moreover,  these measures help in laying  the foundations for an advanced tax system similar to that in the developed countries  in order to create an inviting investment environment, expand the export base, and create more jobs chances, added the minister.

In the same context, Dr. Maait noted that the E-TAX Company is a strong guarantee for the optimal management, operation and development of electronic tax systems, including: the service provider system for the e-invoice, the e-receipt, the unified portal of the Tax Authority, field technical support for projects, and specialized services for taxpayers in the area of ​​the tax system, consulting services and technological solutions for the Real Estate Tax Authority.

 

The first phase of the automated and unified tax procedures system was launched in January 2021 at the Large and Medium Taxpayers centers and  the large free professions taxpayers center, and shall be rolled out through all  the tax offices nationwide by end of 2022 on four gradual phases. This shall help in building an integrated digital tax system that provides electronic services and guarantees rights of taxpayers. By end of March 2021, electronic tax returns for natural persons  (individuals) for 2020 reached about 2 million as compared with 1.5 million tax returns in the prior year, the minister noted.

 

Egypt was one of the leading countries in Mena region to apply the electronic invoice system. 460 companies joined the system in its first and second mandatory phase, with 37 companies joining voluntarily and a total of  3.8 million documents being processed via the e-system, detailed the minister.  

The e-invoice portal is applied in collaboration with Ernst &Young Co., Microsoft and E-Finance companies and is considered a new transformation towards "Digital Egypt". The e-portal facilitates tax inspection for companies , ends repeated tax return filing visits, offers a remote inspection solutions, simplifies tax refund procedures. It also enhances tax positions of the companies by placing them under "low tax risks" list and simplifies tax settlement among companies thanks to the instant data exchange of the automated invoices offered by the system.

The minister stressed that all procedures shall be taken against non-complying companies to "the electronic invoice" system according to provisions of the Unified Tax Procedures Law, pointing out that by  next July 1^st, those companies will neither be able to take advantage of  the refund of export burdens nor of VAT refunds as of next January 1^st.

As related to the national modernization and automation project of the tax administration, the Minister announced that they are about to launch the new electronic receipt system and to electronically link the Egyptian Tax Authority, the Customs Authority and the Real Estate Tax Authority by end of June 2020. The three authorities shall be interconnected with the State's bodies via G2G system in a way that enhances governance , facilitates internal and external trade, promotes industry, improves spending and citizens' standards of living and upgrades public services.

The Minister extended his thanks and appreciation to companies participating in the success of this national project; namely, Ernst&Young, Excel, SAP, IBM , Microsoft and E-Finance . He also thanked companies which joined the e-invoice system, staff of the Egyptian Tax Authority and other relevant personnel.

Head of the Egyptian Tax Authority, Mr. Reda Abdul Qader, reiterated the importance of the e-invoice system and the unified tax procedures portal and praised efforts of his staff, underling the role of E-TAX company in improving the sustainability of electronic taxation systems.

Head of the Real Estate Tax Authority, Mr. Anwar Fawaz, also highlighted development efforts towards the digital transformation of all the levels of the real estate taxation system, noting that this shall help citizens get automated tax services, control tax community and achieve tax justice.

He added that several meetings were held with representatives of E-TAX company to demonstrate the organizational structure of the Real Estate Tax Authority,  job description cards and distribution of  real estate tax offices nationwide.  Procedures of work patterns of the constructed buildings tax, forms, records, and the used paper forms are all discussed as a preliminary step towards embarking on automation procedures.

On his part, Mr. Ibrahim Sarhan, Chairman of Board and managing director of E-Finance technological financial company, lauded Mr. Maait's efforts in issuing the required legislations, developing the taxation and customs systems, and  government's financial network that led the digital transformation which best served the national economy. He underlined the success achieved in major tax development projects; namely, electronic tax returns, e-invoices, the unified tax procedures portal and the automation of tax appeal system.

 

He also stressed that E-TAX has abound tax solutions and enjoys highly-experienced staff that will cooperate with employees at the Egyptian Tax Authority to come up with innovative solutions that meet the requirements of taxation system.

  

In the same context, Head of E-TAX company, Mr. Khaled Abdul Ghany, indicated that the company aims to provide the  most advanced operational and management digital solutions to all elements of the taxation system. It shall implement Egypt's digital tax portal to manage and secure tax databases along with the governance of transactions between taxpayers and the Tax Authority.  He added that the company has technical and tax support teams for helping employees and taxpayers.

 

He also noted that a memorandum of understanding was signed with Microsoft company to support the e-invoice project and develop human resources, noting that another joint cooperation memo will be signed with SAP &IBM to support the automation project of tax transactions.