{"id":3701,"date":"2024-02-04T17:57:02","date_gmt":"2024-02-04T17:57:02","guid":{"rendered":"https:\/\/riad-riad.com\/?p=3701"},"modified":"2024-02-04T19:01:53","modified_gmt":"2024-02-04T19:01:53","slug":"egypt-announces-new-tax-incentives-for-industrial-projects","status":"publish","type":"post","link":"https:\/\/riad-riad.com\/egypt-announces-new-tax-incentives-for-industrial-projects\/","title":{"rendered":"Egypt Announces New Tax Incentives for Industrial Projects"},"content":{"rendered":"\n
Egyptian Cabinet issued Decree No. 77 of 2023 (“Decree<\/strong>“) granting new tax incentives (\u201cTax Incentives<\/strong>\u201d) to the industrial investment projects and their expansions.<\/p>\n\n\n\n The Decree comes without prejudice to the recent incentives<\/a> granted under the Investment Law No. 72\/2017 (the “Investment Law\u201d<\/strong>).<\/p>\n\n\n\n The Industrial Projects which can benefit from the newly decided Tax Incentives are those which work in the following sectors:<\/p>\n\n\n\n A Project can benefit from the Tax Incentives upon satisfying the following conditions:<\/p>\n\n\n\n This incentive shall not be granted to a project if proven that any shareholder has contributed in its establishment by assets of an existing project in Egypt or has liquidated an already existing project to establish a new project for the purpose of benefiting from the Tax Incentive.<\/p>\n\n\n\n The Incentives as per the Decree are classified into three categories according to the percentage of the foreign funding\/financing of the Project, as follows:<\/p>\n\n\n\n The Decree provides for a new committee (the \u201cCommittee<\/strong>\u201d) to be established for the purpose of examining investors\u2019 applications to benefit from the Tax Incentives and determining the fulfillment of the eligibility criteria.<\/p>\n\n\n\n The Committee shall be headed by a representative from GAFI and membership of representatives from the following entities:<\/p>\n\n\n\n To benefit from the Tax Incentive, the investor shall submit a request to the Committee expressing their interest to obtain the Incentive, while submitting all the required documents, the request shall include the following:<\/p>\n\n\n\n The Committee shall examine the applications within forty-five (45) days from the date of submission and notify the investor within seven (7) working days whether by acceptance or rejection and in the event of the latter case the Committee shall specify the reasons of such rejection.<\/p>\n\n\n\n Upon the Committee\u2019s approval, a certificate for incentive eligibility shall be issued for the project. The incentive will be due starting from the tax year preceding the submission of the eligibility application if the application has been submitted within thirty (30) days from the end of the tax year. As for applications that have been submitted after the expiry of the deadline, they will be eligible starting from the current tax year.<\/p>\n\n\n\n The incentive will be eligible for seven consecutive years.<\/p>\n\n\n\n The project shall submit to the Committee a request to disburse the incentive for each year of entitlement before submitting the tax return on the realized income.<\/p>\n\n\n\n The Ministry of Finance shall disburse the due incentive amount within forty-five (45) days from the deadline of submitting the tax return; otherwise, it will be subject to a delay fee.<\/p>\n\n\n\n The Investor may submit to the Committee in the preliminary stages before establishing the Project a request to review the financial and technical requirements, obtain the necessary clarification regarding the eligibility for the Tax Incentive, and obtain an initial approval that the project fulfils the conditions for the Incentive.<\/p>\n\n\n\n This initial approval shall be approved by the chairman of GAFI, and it will be valid and binding for a period of three years from the date of its issuance.<\/p>\n","protected":false},"excerpt":{"rendered":" Egyptian Cabinet issued Decree No. 77 of 2023 (“Decree“) granting new tax incentives (\u201cTax Incentives\u201d) to the industrial investment projects and their expansions. The Decree comes without prejudice to the recent incentives granted under the Investment Law No. 72\/2017 (the “Investment Law\u201d). Projects Eligible for the New Tax Incentives The Industrial Projects which can benefit … Read more<\/a><\/p>\n","protected":false},"author":3,"featured_media":3720,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7,6],"tags":[229,308,133,68,296,310,311,309,42],"yoast_head":"\nProjects Eligible for the New Tax Incentives<\/strong><\/a><\/h3>\n\n\n\n
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Eligibility Criteria<\/strong><\/a><\/h3>\n\n\n\n
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Tax Incentive Categories<\/strong><\/a><\/h3>\n\n\n\n
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Competent Authority<\/strong><\/a><\/h3>\n\n\n\n
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Procedures of the Application<\/strong><\/a><\/h3>\n\n\n\n
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Timeframe<\/strong><\/a><\/h3>\n\n\n\n
Issuance of Incentives Certificate<\/strong><\/a><\/h3>\n\n\n\n
Incentive Disbursement<\/strong><\/a><\/h3>\n\n\n\n
Preliminary Approval<\/strong><\/a><\/h3>\n\n\n\n