Ministerial Decision No. 66 of 2017 — implementing the Value Added Tax Law (Law No. 67 of 2016). Issuance Provisions and Articles 1–79, current through October 2025.

The Egyptian VAT Executive Regulations, issued by Ministerial Decision No. 66 of 2017, are the operative rules that put Egypt’s Value Added Tax Law (Law No. 67 of 2016) into practice. Where the Law sets the principles, the Executive Regulations set the obligations: how to register, when tax accrues, how invoices and records must be kept, how input tax is deducted, how exemptions and refunds work, and how the Schedule Tax regime operates.

This is the complete English translation of those Regulations — the Issuance Provisions and all seventy-nine articles — prepared by Consortio Law Firm and kept current through the most recent amendment, Ministerial Decision No. 417 of 2025 (effective 24 October 2025).

For foreign investors, in-house counsel, and companies operating under Egyptian law, a reliable English version of the Executive Regulations has not previously been available in consolidated form. This translation closes that gap, with every article classified by its current status — active, amended, or repealed — and every amending decision tracked at the article where it applies.

Scope and currency

This translation covers the Egyptian VAT Executive Regulations in full:

  • Issuance Provisions (Articles 1–8) — enactment and transitional rules
  • Chapter One — Definitions
  • Chapter Two — Value Added Tax: levy and accrual, value, invoices and records, registration, input-tax deduction, exemptions, collection, and refund
  • Chapter Three — Schedule Tax
  • Chapter Four — General provisions, supervision, and appeals

It reflects all amendments in force as of 2026. The ten Ministerial Decisions that have amended the Regulations are summarised below and noted in full at each affected article.

Amendments at a glance

Ministerial Decision Effective Principal effect on the Regulations
Decision 160/2020 12 March 2020 Added the Administrative Control Authority to the national-security exemption bodies (Art. 34).
Decision 286/2021 4 June 2021 Repealed the invoice, return, books, records, and appeals machinery (Arts. 13–16, 23–24, 44, 57–58, 60–71, 73–74); these matters now sit under the Unified Tax Procedures Law (Law 206/2020).
Decision 426/2022 6 September 2022 Rebuilt the consumer-incentive system — cash and in-kind prizes conditional on electronic invoices (Art. 75).
Decision 24/2023 12 January 2023 Wide-ranging digital-economy and procedural reform: rewrote non-resident registration, refund certification, and diplomatic exemptions; repealed the refund guarantee-letter regime (Art. 38 bis).
Decision 57/2023 6 February 2023 Restructured the commission examining allegations against Authority officers (Art. 72).
Decision 188/2023 10 April 2023 Re-established Art. 38 bis: electronic invoices mandatory for deduction and refund from 1 July 2023.
Decision 93/2025 25 March 2025 Doubled the alcoholic-beverage banderol price to 100 qursh per stamp (Art. 55).
Decision 157/2025 21 May 2025 Schedule Tax rate transition: 15% per annum from 1 January 2026, reduced to 12% from 1 January 2029 (Art. 45 bis).
Decision 190/2025 21 May 2025 Added the Non-Resident Registrant refund route and detailed Schedule-goods supervision (Arts. 37, 59).
Decision 417/2025 24 October 2025 Most recent amendment: refined definitions, input-credit conditions, industrial-machinery tax suspension, and the continuous-services list (Arts. 1, 29, 34 bis, 43).

Disclaimer: This English translation is provided for reference and general information only. The Arabic text published in the Official Gazette is the sole authoritative version. This material does not constitute legal advice; for advice on a specific matter, please contact Consortio Law Firm.

Issuance Provisions

Issuance Article 1 (Active — formal enactment)

The provisions of the attached Executive Regulations on the Value Added Tax Law promulgated by Law No. 67 of 2016 shall have effect.

Issuance Article 2 (Transitional — operative effect expired October 2016)

The Executive Regulations of the General Sales Tax Law issued by Ministerial Decision No. 749 of 2001 are hereby repealed, provided that Chapter Seven bis thereof shall continue to apply during the period specified in Article 2 of Law No. 67 of 2016, after which any undecided disputes shall be remitted to the committees prescribed in the Value Added Tax Law.

Issuance Article 3 (Transitional — operative effect expired; relevant for historical audits)

For the purposes of applying Article 4 of Law No. 67 of 2016, every person registered under the General Sales Tax Law shall continue with their registration number in the following cases:

  1. Where the total value of their sales of taxable and exempt goods and services has reached or exceeded the registration threshold prescribed in the Value Added Tax Law.
  2. Where they are a producer or importer of a good listed in Schedule (1) appended to the General Sales Tax Law and that good has been included in the Schedule appended to the Value Added Tax Law, regardless of the volume of their transactions.
  3. Where they are an importer of goods subject to Value Added Tax, regardless of the volume of their transactions.

Such a Registrant shall be required to remit any General Sales Tax due from them that had not yet fallen due at the date on which the Value Added Tax Law entered into force, and to retain their books and records in accordance with the following conditions and controls:

(a) Any General Sales Tax due that had not yet fallen due shall be remitted to the Authority on the forms prescribed under the General Sales Tax Law, within the same deadlines and in accordance with the same procedures prescribed under the Value Added Tax Law.

(b) The Registrant shall continue to issue Tax Invoices and to collect and remit Tax with their tax returns.

(c) The Registrant shall retain books, records, and documents for a period of five years commencing from the date on which the Value Added Tax Law entered into force.

(d) The Registrant shall complete the data update form (Form No. 6 VAT) reflecting their latest position and submit it to the tax office at which they are registered.

(e) The Registrant shall retain their registration number under the General Sales Tax Law and replace their registration certificate.

Issuance Article 4 (Transitional — operative effect expired; relevant for historical audits)

For the purposes of applying Article 5 of Law No. 67 of 2016, any person who wishes to continue their registration shall notify the tax office at which they are registered of that wish within sixty days of the date on which the Law’s provisions entered into force.

Any person whose registration has been cancelled shall be required to:

  1. Surrender their registration certificate.
  2. Refrain from holding themselves out in any form as a Registrant from the date on which the Law’s provisions entered into force.
  3. File the final tax return on Form No. (122 VAT) within thirty days of the date on which the Law’s provisions entered into force.
  4. Submit a statement of their inventory on Form No. (123 VAT) within thirty days of the date on which the Law’s provisions entered into force.
  5. Pay all amounts due within six months of the date on which the Law’s provisions entered into force.
  6. Retain books, records, and documents relating to the three years preceding the application of the Value Added Tax Law for a period of five years commencing from the date on which the Law’s provisions entered into force.

Issuance Article 5 (Transitional — potentially relevant for historical disputes involving GST credit claims)

For the purposes of applying Article 6 of Law No. 67 of 2016, the following conditions and controls shall be observed:

  1. Regular accounting books and records shall be maintained.
  2. Original Tax Invoices shall be held, or evidence of customs clearance procedures and receipts for payment of General Sales Tax at customs.
  3. The inputs shall have been previously declared in the returns filed for the periods in which the relevant purchases were made; in respect of Tax paid on machinery, equipment, their component parts, and spare parts, the books and records must reflect the Tax paid at purchase and the balance remaining after deducting what was set off in the monthly returns.
  4. The value of the General Sales Tax had not been included in the cost.

In respect of General Sales Tax previously paid on returned sales, only the tax previously paid on the returned goods themselves may be deducted.

Schedule Tax shall be settled in accordance with instructions issued by the Authority in the following cases:

(a) Subjecting a good or service to Schedule Tax for the first time. (b) Increasing the rate levied on Schedule goods and services.

In all cases, Article 30(3) of the Value Added Tax Law shall not apply to the credit balance referred to in this Article.

Issuance Article 6 (Transitional — operative effect expired December 2016; relevant as definitional framework in historical audits)

For the purposes of applying Article 7 of Law No. 67 of 2016, “alignment of positions” means taking the necessary steps to address any discrepancy with the provisions of the Value Added Tax Law in the existing legal, accounting, or systemic positions of establishments — including, where necessary, amending manual or electronic recording systems — and in particular in the following cases:

  1. A change in the rate of Tax or Schedule Tax.
  2. First-time subjection to Tax or Schedule Tax.
  3. Applying the input tax deduction on indirect inputs.
  4. Subjection to Schedule Tax in addition to Tax.

The Registrant shall, upon inspection, provide evidence of having aligned their positions and demonstrate that the VAT and Schedule Tax differentials lawfully due arose from the alignment of positions.

The Competent Tax Office shall, if it determines that the Registrant is entitled to the Surcharge exemption under Article 7 of the Law, issue a decision to that effect on the form issued by the Authority Head.

Issuance Article 7 (Transitional — relevant for any dispute covering transactions straddling September 2016)

In accordance with the provisions of Law No. 67 of 2016, the following shall be observed:

  1. The substantive provisions of the General Sales Tax Law shall apply to events relating to the sale of a good or the performance of a service that commenced and concluded before the date on which Law No. 67 of 2016 entered into force.
  2. The substantive provisions of the Value Added Tax Law shall apply to events relating to the sale of a good or the performance of a service that commenced before the date on which the Law entered into force and continued and concluded after that date.
  3. The procedural provisions of the Value Added Tax Law shall apply to all procedural steps required to be taken after the date on which the Law entered into force.

Issuance Article 8 (Administrative — spent)

This Decision shall be published in the Official Gazette and shall enter into force on the day following the date of its publication.

Chapter One: Definitions

Article 1 (Active — current text per Ministerial Decision No. 417 of 2025, effective 24 October 2025)

The definitions set out in the Value Added Tax Law shall carry the same meaning in applying the provisions of these Regulations. For the purposes of applying these Regulations, the following terms and expressions shall have the meanings assigned to them below:

“Law”: the Value Added Tax Law.

“Regulations”: the Executive Regulations of the Value Added Tax Law.

“Schedule”: the Schedule appended to the Value Added Tax Law.

“Person”: a natural or legal person.

“Competent Tax Office”: the tax office within whose jurisdiction the Taxable Person’s principal place of business falls, or from which the registration certificate was issued. Where the Taxable Person has multiple establishments and branches, the Competent Tax Office shall be the one within whose jurisdiction the principal place of business falls as reflected in the Commercial Register. The Authority Head may, by decision, designate a specific Competent Tax Office for particular activities or particular Taxable Persons.

“Indirect Inputs”: costs borne by the Taxable Person indirectly in connection with the sale of a taxable good or the performance of a taxable service, including construction costs, financing costs, indirect production and operating costs, selling and distribution costs, and administrative and general expenses.

“Imported Service”: a service supplied by a person abroad to a recipient in Egypt, whether supplied by a non-resident person who has no Permanent Establishment in Egypt, or by a person resident in Egypt who supplies it from outside Egypt.

“Exported Service”: a service supplied by a person inside the country to a recipient abroad, whether supplied by a person resident in Egypt or who has a Permanent Establishment in Egypt, or by a non-resident person who supplies it from inside Egypt.

“Electronic Distribution Platform”: a visible digital interface — such as a website, internet portal, electronic store, online marketplace, or similar — that enables the supplier of a good or the provider of a service and the recipient of the good or service to connect with each other for the purpose of supplying the good or performing the service through it.

Chapter Two: Value Added Tax

Section One: Levy and Accrual of Tax

Article 2 (Active — original text)

For the purposes of applying the provisions of the Law, the following shall not constitute a taxable Sale:

  1. Transfer of ownership of a good after death by inheritance or bequest.
  2. Goods produced by a person for their own use, where the purpose is not to produce a good or service for sale to others, or to use the production for sale or circulation from one stage to another.

Article 3 (Active — original text)

For the purposes of applying the provisions of the Law, the following shall not constitute a taxable Service:

  1. Work performed by an employee for their employer in consideration of remuneration pursuant to an employment or service contract.
  2. Work performed by jointly liable partners in partnerships pursuant to the partnership agreement.
  3. Work carried out by representative offices, liaison offices, or technical or scientific offices established in accordance with the Companies Law on behalf of their affiliated companies abroad, to the extent of the amounts they receive to cover their operating costs.
  4. General services provided by government bodies.
  5. Lending transactions carried out between holding or parent companies and their subsidiaries, or between those subsidiaries.
  6. Transactions involving the trading of shares and other securities.

Article 4 (Active — original text)

For the purposes of applying the first paragraph of Article (3) of the Law, the following shall be observed:

  1. The standard rate of Tax shall be 13% from the date on which the Law entered into force until 30 June 2017, and 14% from 1 July 2017.
  2. By way of exception from paragraph (1) of this Article, the rate of Tax shall be 5% on machinery and equipment imported from abroad or purchased from the domestic market where such machinery and equipment are exclusively used in the production of goods or the performance of services, pursuant to a decision issued by the Minister to that effect — excluding buses and passenger vehicles, which shall be subject to the standard rate of Tax or Schedule Tax rates or both, as applicable, without prejudice to the Registrant’s right to a refund in accordance with Article 30(4) of the Law.

Machinery and equipment shall include complete production lines, even if imported in parts. Where their use is not exclusively in the production of goods or the performance of services, they shall be subject to the standard rate of Tax or Schedule Tax rates or both, as applicable, and the necessary adjustments or refunds shall be made upon their use in the production of a good or the performance of a service.

Component parts and spare parts of machinery and equipment shall also be subject to the standard rate of Tax.

Article 5 (Active — original text)

For the purposes of applying the second paragraph of Article (3) of the Law, the rate of Tax on goods and services exported from inside the country to outside shall be zero (0%), subject to the following conditions:

First — In respect of exported goods:

The exporter shall, upon exporting a good, follow the prescribed customs procedures and shall retain for a period of five years all documents relating to the transaction and demonstrating completion of the export, including the export certificate issued by the competent Customs Authority or any official customs document serving the same purpose.

Second — In respect of exported services:

The transaction between the service provider in Egypt and the recipient outside Egypt shall be evidenced by a service performance contract or by any other means consistent with the nature of the service, and the following documents shall be submitted:

  1. A carbon copy or electronic copy of the Tax Invoice or statement containing detailed information about the service, including in particular its type and value, and the name and address of both the service provider and the service recipient.
  2. A copy of a document evidencing payment of the value of the service by bank transfer to one of the banks subject to the oversight of the Central Bank of Egypt, in accordance with the controls it determines. Where it is proved that bank transfer is not feasible, any of the payment methods or settlement arrangements set out in Article (35) of these Regulations shall be accepted.

Article 6 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (4) of the Law, the Taxable Persons required to collect, declare, and remit Tax to the Authority are:

  1. Producers.
  2. Importers.
  3. Service providers.
  4. Distribution agents.
  5. Exporters.
  6. Traders, excluding those dealing exclusively in Schedule goods and services subject to Schedule Tax only.
  7. The representative or agent of the non-resident person, until the Simplified Supplier Registration System enters into force.
  8. The Non-Resident Registrant under the Simplified Supplier Registration System.

Article 7 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (5) of the Law, Tax shall become due in the following cases:

1. In respect of goods sold in the domestic market: Upon occurrence of the taxable event of the sale of a good by Taxable Persons at all stages of its circulation.

2. In respect of domestic services: Upon occurrence of the taxable event of the performance of the domestic service by the Taxable Person at all stages of its circulation.

3. In respect of imported goods: Upon occurrence of the event giving rise to customs duty, at the stage of customs clearance, whatever the purpose of importation — whether for trading, Personal Consumption, or Own Use — and Tax shall be collected in accordance with the procedures applicable in that regard.

Tax shall likewise become due at all stages of circulation of imported goods inside the country following their customs clearance.

Tax on imported goods shall not be collectible upon customs clearance where it is established that Tax has been collected by the Non-Resident Registrant. Where the value used by the Non-Resident Registrant as the basis for computing the Tax collected is less than the value prescribed in Article 10(7) of the Law, Customs shall collect the difference in Tax and any other applicable taxes and charges due under Article 10(7) of the Law.

4. In respect of imported services: Upon occurrence of the taxable event of the recipient benefiting from the service in Egypt, whether the service is performed by a non-resident person in Egypt, through their representative, or through electronic or other means, or by a person resident in Egypt who performs it from outside Egypt.

Where the performance of the service does not require the physical presence of a specific person, the place of performance of the service shall be deemed the place of residence in Egypt of the recipient, determined from any of the following circumstances:

(a) Where the service recipient is a Registrant with a place of residence in Egypt.

For the purposes of applying this item, residence shall be determined in the light of data and information relating to the service in the context of the Electronic Distribution Platform’s usual activities, including:

  • Residence data (such as the service recipient’s address on the invoice or their place of residence).
  • Payment data (such as credit card data, including the credit card number and bank account details).
  • Electronic access data (such as the mobile country code, the landline number of the person providing the service at the place of performance in Egypt, the Internet Protocol (IP) address, and other data).

Where such data are inconsistent or contradictory, it is sufficient for determining residence that two consistent items of data are available, or that one corroborates the other, for the purpose of establishing residence.

(b) Where the service recipient is a Registrant registered in Egypt.

(c) Where the service recipient is a government body, or any legal person, or any legally recognised entity in Egypt, whether registered or not.

5. Upon the Taxable Person’s use of a good for Personal Consumption or Own Use.

The following shall be deemed Own Use for the purposes of the second paragraph of Article (5) of the Law: the distribution by holding or parent companies of the cost of a taxable service that they perform to their subsidiaries in consideration of payment, or that they obtain from third parties in consideration of payment, on to those subsidiaries.

Article 7 bis (Active — new provision introduced by Decision 24/2023, effective 12 January 2023)

Where the service referred to in item (4) of Article (7) of these Regulations is provided through an Electronic Distribution Platform, the Platform shall not be liable for collecting and remitting Tax to the Authority where any of the following applies:

(a) There is a written agreement between the person providing the service and the Platform stating that that person is responsible for paying the Tax instead of the Platform.

(b) The invoice or receipt issued to the Non-Resident Registrant includes a statement that the person dealing in the service through the Platform is the same person providing that service, together with a description of its nature.

(c) The general terms and conditions governing the operation of the Platform provide that the Platform does not deliver the service to its recipient, and nothing in those terms and conditions expressly or implicitly indicates that the Platform plays a role in completing the delivery of the service to its recipient.

Article 7 bis 1 (Active — new provision introduced by Decision 24/2023, effective 12 January 2023)

Without prejudice to the provisions of item (4) of Article (7) of these Regulations, an Electronic Distribution Platform shall not be liable for any Tax that may be due in excess of what was actually due, where the Platform collected and remitted Tax on the basis of data correctly submitted to it by the service provider, and an error in those data is subsequently established — provided that the Platform had no prior knowledge of the error and could not, in the ordinary course of events, have been expected to know of it.

Article 8 (Active — original text)

Tax shall not become due on:

  1. Goods in transit, provided that their carriage is conducted under the supervision of the Customs Authority in accordance with the applicable customs procedures, guarantees, and control systems.
  2. The transfer of a good from one stage of production to another between production lines within or outside the factory, without prejudice to the accrual of Tax on that same good.
  3. The transfer of a good from its place of production or from commercial warehouses to distribution outlets owned by the same Registrant, without prejudice to the accrual of Tax on that same good or service.
  4. The performance of a service in stages within the same unit or establishment responsible for performing it.

The Authority Head shall issue a decision setting out the controls to be observed in applying items (2), (3), and (4) of this Article.

Article 9 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Articles (6) and (7) of the Law, the following shall be observed:

First: Goods and services imported from abroad by projects in the free zones, free cities, free markets, and economic special nature areas that are necessary for carrying on the licensed activity within those areas shall be subject to Tax at zero rate (0%), in accordance with the applicable customs regulations, excluding passenger vehicles.

Second: Goods and services purchased from the domestic market by projects in the free zones, free cities, and economic special nature areas that are necessary for carrying on the licensed activity within those areas shall be subject to Tax at zero rate (0%), excluding passenger vehicles, provided that the domestic Registrant seller submits to the Authority the following documents:

  1. A copy of the invoice for the sale of the good exported to the free zone, or a copy of the service contract, certified by the General Authority for Investment or the General Authority for the Special Economic Zone.
  2. A letter from the General Authority for Investment or the General Authority for the Special Economic Zone referred to in item (1), confirming that the goods or services are necessary for carrying on the licensed activity of the project within those areas.
  3. A copy of the export certificate (Form No. 13 Customs) or the Single Administrative Document (S.A.D.), containing detailed information about the nature of the exported good and confirming completion of the export during the Tax Period; such copy must be certified by Customs and stamped with the State seal.

Third: Tax shall become due on goods and services subject to Tax that are supplied into the free zones, free cities, free markets, and economic special nature areas within the country for local consumption. Trading within the free zones shall be treated as local consumption for the purposes of this Article. In the case of goods leaving the free zones, free cities, and free markets in their original state to enter the domestic market, Tax shall be assessed only on their applicable customs value.

Article 10 (Active — original text)

For the purposes of applying Article (8) of the Law, cessation of activity means the total cessation, liquidation, or transfer to third parties of the activity relating to a good or service subject to Tax.

In such case, the Registrant shall notify the Head of the Competent Tax Office in writing of the cessation within a period not exceeding thirty days from the date of cessation, liquidation, or transfer to third parties, as applicable.

In the event of cessation, the Registrant shall declare and pay the Tax and Schedule Tax due on the goods and Schedule goods and services in their possession at the time of disposal.

These provisions shall not apply where the successor is registered or has registered themselves in accordance with the provisions of the Law.

Section Two: Value (Tax Base)

Article 11 (Active — original text)

For the purposes of applying Article (10) of the Law, the following shall be observed:

1. The taxable value to be declared, and which shall serve as the basis for assessment of Tax in respect of the sale of taxable goods or services — whether imported or not — shall be the amounts actually paid or due to be paid, in any form of consideration, for the taxable good or service in the ordinary course of business.

The taxable value in the case of a sale of a good or the performance of a service without consideration, or the performance of a service, shall be computed in accordance with market forces and commercial circumstances.

Recognised trade discounts shall be accepted where the sale is from one Registrant to another Registrant; discounts that are not shown on the Tax Invoice, or that are not actually independent of the sale transaction, shall not be accepted.

2. For the purposes of applying Article 10(4) of the Law, in the case of a barter sale, the value serving as the basis for computing Tax shall be the market price in accordance with market forces and commercial circumstances.

3. For the purposes of applying Article 10(6) of the Law in respect of instalment sales, the value serving as the basis for Tax assessment in respect of an instalment sale shall be the instalment finance charges to the extent that they exceed the discount and credit rate published by the Central Bank, in accordance with the following rules and procedures:

(a) The instalment sale contract must be notarised; two original copies shall be held by the Registrant. The contract must in particular include the following essential data: the name, registration number, and address of the Registrant; the name, registration number, and address of the buyer; a description and specifications of the good and its sale price; the amount paid immediately and the deferred amount; the schedule and amount of each instalment; and the terms and conditions of payment.

(b) The sale price of the good shall not be less than its market value in accordance with market forces and commercial circumstances.

(c) The finance charges shall be separated from the value of the good on the Tax Invoice, and the Tax Invoice shall be dated the date on which the Law entered into force, without prejudice to the non-application of the full input tax deduction rules at the time of sale.

Where any of the conditions of this item are not met, the taxable value shall be the full sale price.

This item shall not apply to:

(a) Used goods sold in the domestic market. (b) Imported goods used abroad or in free zones. (c) Waste materials and scrap.

4. Where a price adjustment occurs between two Registrants following the last return filed after the date of the transaction, the following shall apply:

First — Where the price has increased: both the seller and the buyer shall each reflect that fact in the return filed for the month in which the event occurs:

(a) The seller shall add the increase to the Tax due by submitting a Tax increase notification to the Authority. (b) The buyer shall deduct the increase from their Tax due as Input Tax on previous purchases or inputs.

Second — Where the price has decreased: both the seller and the buyer shall each reflect that fact in the return filed for the month in which the event occurs:

(a) The seller shall deduct the decrease from the Tax due on their sales. (b) The buyer shall add the decrease to the Tax due, by submitting a Tax increase notification to the Authority, provided that a written document is available to the buyer evidencing the occurrence of the decrease.

In all cases, the Tax deduction and addition notification must state the name and registration number of the seller and the buyer (where registered), the date of the original invoice, and the reason for the adjustment, and the seller must maintain regular accounting books and records.

5. For the purposes of applying Article 10(7) of the Law in respect of imported goods and services, the customs value shall serve as the basis for Tax assessment at the time of customs clearance, which is the value used for assessing customs duties plus all customs duties and other applicable charges — this constituting the tax base — except in the case of partial customs exemption, where the tax base shall be the customs value plus the reduced customs duties and other charges excluding the exempted charges, provided that it shall not fall below the international transaction value under the arm’s length principle and shall not prejudice what is provided by applicable international tax treaties.

In the event of partial customs exemption, the Tax base shall be the customs value including the customs duties, and other charges, with any customs duties and other charges being added as provided for in this item.

In all cases, the Customs Authority shall collect Tax on imported goods and services that the customs officer provides, regardless of whether the importer is a person registered with Schedule Tax, even if those goods are exempted from all customs duties, provided that the Tax Invoice shall not be required where those goods fall within the Schedule Tax rates provided for in the Schedule.

For the purposes of applying this item, the commercial reasons justifying a lower taxable value than the customs clearance value shall be determined as follows:

(a) A decrease in the market price of the good or service due to the existence of alternatives, technology, or a decrease in prices globally. (b) Surpluses. (c) Defective or sub-standard goods.

All subject to the condition that supporting documents be available evidencing any of these reasons, stating the buyer’s name and registration number if the buyer is registered, or their national identity number or tax registration number, and the Authority shall have the right to verify these at the time of Tax assessment in accordance with all applicable objective criteria for determining value, in accordance with market forces and commercial circumstances, in the light of what is available to the Authority as justification for assessment.

6. For the purposes of applying Article 10(8) of the Law in respect of goods entering the country from free zones, the value serving as the basis for Tax assessment at customs clearance shall be the full value of the good inclusive of its foreign and domestic components, plus customs duties and other applicable charges assessed thereon.

7. For the purposes of applying Article 10(9) of the Law, precious stones shall be classified in accordance with the headings and texts of the sections and chapters of the applicable Customs Tariff Schedules.

The workmanship (manufacturing) value for platinum and gold and silver articles and precious stones shall be computed on the basis of the difference between the sale price and the price of the precious metal, whether announced by the seller or by the importer or by the Customs Authority at the time of customs clearance; the Authority Head shall set rules governing the computation of the workmanship value jointly with the relevant craft associations for platinum, gold, and silver articles and precious stones, in coordination with the industry associations of craftsmen and producers of these industries.

8. For the purposes of applying Article 10(11) of the Law, the Taxable Person shall meet the following conditions:

(a) The Taxable Person must be the one who purchased the good, and the good must be a newly purchased good that has not been previously used. (b) The Taxable Person must have used the good domestically for a period of not less than two years. (c) The good is subsequently sold pursuant to the deduction rules set out in Article (22) of the Law, without completing the full input tax deduction upon purchase of the new good.

Where any of the conditions of this item are not met, the taxable value shall be the full sale price.

9. Where a price adjustment occurs between a Registrant and another Registrant following the last return filed after the date of the transaction, the following shall apply:

First — Where the price has increased: both the seller and the buyer shall each reflect the increase in the return filed for the month in which the event occurs:

(a) The seller shall add the Tax increase notification to the Authority as Tax due on their sales. (b) The buyer shall deduct the increase from the Tax due as Input Tax on previous purchases or inputs by submitting a Tax increase notification to the Authority, provided that it is included in their return.

Second — Where the price has decreased: both the seller and the buyer shall each reflect the decrease in the return filed for the month in which the event occurs:

(a) The seller shall deduct the decrease from the Tax due on their sales. (b) The buyer shall reflect the decrease in the Tax increase notification to be submitted to the Authority.

Article 12 (Active — original text)

For the purposes of applying the second paragraph of Article (11) of the Law, the following shall be observed in adjusting the prices of contracts concluded prior to the Law’s entry into force and that continue to be performed after the Law entered into force:

An amendment shall be limited to the part of the contract that is performed after the Law enters into force.

Where government contracting authorities refuse to amend the prices of the contracts referred to above, the Ministry of Finance shall deduct the Tax and Schedule Tax from their entitlements or from the budgets of those bodies.

The first paragraph of this Article shall not apply to contracts for tourism activities concluded prior to the Law’s entry into force and to be performed during the season through to their natural conclusion, provided that the Taxable Person submits evidence proving that the contract was concluded before the Law entered into force.

Chapter Two: Value Added Tax (Continued)

Section Three: Invoices, Returns, Notifications, Books, and Records

Article 13 — Repealed by Decision 286/2021 (Unified Tax Procedures Law Executive Regulations), effective 4 June 2021.

Original text: A Registrant was required to issue a paper or electronic Tax Invoice for every taxable sale of a good or performance of a service, delivered as an original and a copy — the original to the buyer, the copy retained by the Registrant. Invoices had to be sequentially numbered, free of cancellations and erasures, and contain: the invoice serial number and date; the Registrant’s name, address, and registration number; the buyer’s name, address, national identity number or tax registration number; a description and specification of the good or service sold and its value; and the total invoice value including Tax. The Minister or their delegate could establish simplified invoice systems for establishments for which individual per-transaction invoices were impracticable, and could require certain Registrants not to issue invoices unless approved by the Authority. Every producer, importer, or service provider of Schedule Tax goods was also required to maintain a separate Schedule Tax summary register in addition to the Tax summary register.

Article 14 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: A Registrant was required to maintain — manually or electronically — all books and records prescribed in the Commercial Transactions Law (Law No. 17 of 1999), first-recording all transactions therein. The prescribed registers were: (1) purchases book — containing data from purchase invoices and customs clearance documents; (2) sales book — containing data from Tax Invoices issued; (3) returns book — containing data from sales and purchase returns from debit and addition notifications; (4) exports book — containing export correspondence data including the customs export certificate number, export date, port, and destination; (5) inventory ledger — recording raw materials, finished goods, and services movements; (6) general journal — recording all commercial transactions including personal withdrawals, internal work-in-progress, receipts, payments, and deferred transactions; (7) stocktaking book; (8) Tax summary register — showing aggregate operations per Tax Period, containing: total sales and purchases values net of Tax; total Tax charged on goods and services including for personal consumption and own use; total deductible input Tax (inputs); adjustments from debit and addition notifications; and the Tax balance due per period. Producers and importers of Schedule Tax goods were additionally required to maintain specific Schedule Tax registers. The Authority Head could, for certain activities, determine simplified books and records systems; where a Registrant used such a system, they were required to maintain at minimum a daily sales register showing all Schedule Tax-related operations.

Article 15 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: Every page of every book and register prescribed in Article (14) of these Regulations had to be free of any blank spaces and free of any writing in the margins. “Cash register tapes” issued by cash registers or electronic point-of-sale systems in respect of Tax were accepted as substitute records, provided that the Authority Head issued rules and procedures ensuring their regularity, monitoring, and auditability. A Registrant was required to retain all books, records, documents, and invoice copies — including cash register tapes and electronic sales records — for a period of five years following the end of the financial year in which the relevant entry was made.

Article 16 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: Every Registrant was required to file a monthly return for VAT and Schedule Tax — or either, as applicable — with the Competent Tax Office on Form (10 VAT), in whichever of its two versions applied. The return for each Tax Period was to be filed and the Tax and Schedule Tax paid within two months of the end of that Tax Period; the April return was to be filed and paid by no later than 15 June. A Registrant was required to file the return even if no taxable sales or services occurred during the Tax Period. Where the prescribed filing deadline fell on an official holiday, the next working day was deemed the final day. The Authority Head, or their delegate, could permit certain exporters or importers who carried out export or import transactions only once or twice a year to file a return only for the month in which the export or import transaction occurred, accompanied by a sale during that period, without the need to file monthly returns.

Article 17 (Active — current text per Decision 286/2021, effective 4 June 2021)

For the purposes of applying Article (15) of the Law, the Competent Tax Office may amend returns filed by a Registrant where there is any mismatch with the Tax and Schedule Tax legally due, on the basis of any data or documents available to it, subject to the following rules:

  1. Where the Competent Tax Office amends the return and notifies the Registrant within the first three years from the date on which the filing deadline expired: the Surcharge shall be computed from that deadline until the date of payment.
  2. Where the Competent Tax Office amends the return after the expiry of the first three years: the Surcharge shall be computed only for those three years. In all cases, where the Registrant fails to pay or pays after the specified date, the Surcharge shall run from the filing deadline, plus the period from the date of notification until the date of payment.

What the original text additionally provided (removed by Decision 286/2021, now governed by the Unified Tax Procedures Law): The Competent Tax Office was required to notify the Registrant of the amendment and the bases relied upon on Form (15 VAT) by registered mail with acknowledgement of receipt, or by any electronic means with evidentiary force under the Electronic Signature Law, or by any written means by which certain knowledge was achieved.

Section Four: Registration

Article 18 (Active — original text)

For the purposes of applying Article (16) of the Law, the following shall apply:

(a) Every producer, trader, or service provider whose aggregate taxable and exempt sales and services reached or exceeded EGP 500,000 during the twelve months preceding the date on which the Law entered into force shall apply to the Competent Tax Office for registration by submitting their name and data on Form (1 VAT). Every Taxable Person who meets the registration conditions in any financial year or part thereof after the Law enters into force shall likewise apply to register within thirty days of reaching the registration threshold.

(b) Every importer of a taxable good or service for trading purposes, and every distribution agent of a taxable good or service, regardless of the volume of their transactions, shall apply to the Competent Tax Office for registration by submitting their name and data on Form (1 VAT).

In all cases, the Competent Tax Office shall notify the Taxable Person of their registration within fourteen days of the application date. The provisions of the Law shall apply to the Registrant from the date of registration.

Article 19 (Active — original text)

The following rules and procedures shall apply to the registration of Taxable Persons:

  1. The Taxable Person or their authorised representative shall submit a registration application to the Competent Tax Office.
  2. The Competent Tax Office shall review the application to verify that all required data have been provided. Where data are incomplete, the application shall be registered on a provisional basis and the Taxable Person shall be notified on Form (2 VAT) of the outstanding data within the period determined by the Authority in the notification.
  3. The Authority shall register applications that are complete — or that are in the process of completion — in the register designated for this purpose.
  4. The Authority shall determine the registration number for the Taxable Person, issue a registration certificate on Form (3 VAT), and notify the Registrant thereof, accompanied by Form (4 VAT), for display in a prominent location on the establishment’s premises.
  5. Taxable Persons who did not apply for registration shall be deemed registered under the provisions of the Law in accordance with the fourth paragraph of Article (16) of the Law; the Competent Tax Office shall notify them of their registration on the applicable form.

Article 20 (Active — original text)

The registration obligations prescribed in Articles (18) and (19) of these Regulations shall not apply to the following categories:

  1. Producers, importers, or service providers whose activity is confined exclusively to exempt goods or services.
  2. Traders whose activity is confined exclusively to goods and services subject to Schedule Tax only.
  3. A natural person who does not carry on a business of selling goods or providing taxable services, even though their sales reached the threshold referred to in Article (16) of the Law.

Article 21 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (17) of the Law, the following rules and procedures shall apply to the registration of the non-resident, non-registered person through the Simplified Supplier Registration System on the Authority’s electronic portal:

  1. The non-resident, non-registered person, or their representative, shall submit a registration application on the Authority’s electronic portal on Form (12/1).
  2. The Authority shall review the registration application to verify that it contains all required data. Where data are incomplete, the application shall be registered on a provisional basis and the non-resident person or their representative shall be notified through the electronic postal service to complete the outstanding data within the period determined by the Authority in the notification.
  3. The Authority shall register applications that are complete — or that are in the process of completion — in the register designated for this purpose.
  4. The Authority shall issue a registration certificate to the non-resident person and notify them of the certificate number on Form (13/1 VAT).
  5. For non-registered non-resident persons who do not apply for registration under the Simplified Supplier Registration System: they shall be treated as registered under the System from the date on which the System enters into force, and shall be registered and notified of their registration on Form (13/1 VAT).

Original text: For the purposes of applying Articles (17) and (32) of the Law, registration of the non-resident, non-registered person required that their representative or agent be a person holding a notarial or informal power of attorney accredited by the Egyptian Embassy in the country of residence of the principal, and that the representative or agent be resident in Egypt or registered with the Authority.

Article 22 (Active — original text)

For the purposes of applying Article (18) of the Law, a natural or legal person who has not reached the registration threshold may apply to the Competent Tax Office for registration by submitting their name and data on Form (1 VAT), subject to the following conditions:

(1) The volume of their transactions during the twelve months preceding the application date must not be less than EGP 150,000, or their paid-up capital must not be less than EGP 50,000. (2) They must have a fixed establishment from which they carry on their activity. (3) They must hold a valid tax registration certificate.

A Registrant registered under this Article may not request cancellation of their registration until twenty-four months have elapsed from the date of registration, unless they have definitively ceased their activity before that date and can demonstrate this to the Authority.

Article 23 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: Registration certificates were to be issued on Form (3 VAT) in accordance with the data in the Regulations, signed by the Authority Head or their delegate, and stamped with the State seal. The certificate was to be sent to the Registrant within fourteen days of registration, and the Registrant was required to display it — or a certified copy — in a prominent location on the establishment’s premises. Where a Registrant had branches, each branch was to display a separate registration certificate. Where premises changed, a new certificate was to be issued reflecting the updated data and the Registrant was to surrender the previous certificate. The Authority maintained a register of all certificates and registrations. If a certificate was lost or damaged, the Registrant could apply on Form (7 VAT) for a certified replacement copy in accordance with the rules and controls issued by the Authority Head.

Article 24 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: Every Registrant was required to notify the Authority in writing of any change to the data submitted with their registration application within twenty-one days of the occurrence of that change. The data covered included the activity name and address, the principal activity, and any other activities. On receipt of the change notification, the Authority would issue a new registration certificate containing the updated data; the Registrant was required to surrender the old certificate and replace it with the new one on the premises.

Article 25 (Active — original text)

For the purposes of applying Articles (8) and (21) of the Law, the Authority Head or their delegate may cancel registration in the following cases:

  1. The Registrant ceases to meet one of the registration conditions prescribed in Articles (16) and (41) of the Law.
  2. The Registrant requests cancellation in accordance with Article (18) of the Law.
  3. The Authority establishes that the Registrant’s registration was made contrary to the facts.
  4. The Registrant ceases to carry on their activity; the Authority Head or their delegate shall cancel the registration from the last day of the Tax Period in which the cessation occurred.

The Authority shall notify the Registrant of the cancellation in writing by registered mail on Form (5 VAT). The Registrant’s registration shall be treated as effectively cancelled from the day following the date of notification of cancellation.

A Registrant whose registration has been cancelled shall be required to:

  1. Refrain from holding themselves out in any form as a Registrant from the date of cancellation.
  2. Retain Form (5 VAT) and all books, records, invoices, and documents from their registration period for five years from the date of cancellation notification, and make them available for inspection by Authority officers.

The Competent Tax Office may amend returns and take the necessary legal measures to collect the Tax and Schedule Tax due in accordance with the Law.

Section Five: Input Tax Deduction and Exemptions

Article 26 (Active — original text)

For the purposes of applying Article (22) of the Law, the Registrant may deduct from the aggregate Tax due on the value of their sales and services the following:

First — Tax previously paid on returned sales, subject to the following conditions:

  1. Only the Tax previously paid on the returned goods themselves may be deducted.
  2. The goods must have actually been physically returned; the return must be recorded in the Registrant’s regular books and records; and the credit amount — including the Tax — must have been refunded to the buyer or credited to their account.
  3. The Registrant shall issue a dated debit or credit notification bearing a sequential number, stating the data of both the seller and the buyer, and showing: the seller’s name and registration number, the buyer’s name and registration number, the original Tax Invoice number and date.

Second — Tax previously paid on goods and services, whether directly or indirectly, where they form part of sales during or after the Tax Period:

  1. Inputs — direct and indirect — of taxable goods and services.
  2. Purchases for trading purposes.
  3. Tax previously paid on imported goods and inputs for trading purposes, evidenced by the Customs clearance document and proof of Tax payment at Customs.

Where the excess Tax on Schedule Tax inputs exceeds the Tax due on sales for trading purposes, the deduction shall be carried forward monthly from the Tax due until fully exhausted. In all cases, the deduction is conditional on the Registrant holding a Tax Invoice.

Article 27 (Active — original text)

Where a Registrant’s sales and services include both taxable and exempt — or Schedule Tax-only — supplies during the same Tax Period, the deduction shall be made as follows:

  1. Deduct in full the Tax on all inputs related to the sale of a taxable good or the performance of a taxable service, whether the sale occurred in the Tax Period or subsequently.
  2. Do not deduct Tax on inputs in respect of exempt goods and services, or goods and services subject to Schedule Tax only, whether the sale occurred in the Tax Period or subsequently.
  3. Deduct Tax on inputs used for both taxable and exempt or Schedule Tax-only supplies proportionally, based on the ratio of taxable sales to total sales.

The seller shall issue a Tax addition notification for the Tax on sales of exempt goods or services or Schedule Tax-only goods or services in items (2) and (3), if such input Tax was previously deducted in earlier returns.

The same rules apply to the Tax on Schedule Tax goods and services whose inputs are subject to VAT: the deduction of VAT on those inputs is taken against VAT, not against Schedule Tax itself.

Article 28 (Active — current text per Decision 24/2023, effective 12 January 2023)

The deduction rules shall apply to the following:

  1. Sales of goods and services covered by the Eighth Article of the Promulgating Provisions of Law No. 67 of 2016.
  2. Goods and services supplied to embassies, consulates, and non-honorary diplomatic missions, exempted in accordance with the principle of reciprocal treatment, except food, beverages, and tobacco.
  3. Goods and services supplied for the personal use of the members of the diplomatic and consular corps of foreign missions who are listed in the tables issued by the Ministry of Foreign Affairs, and their spouses and minor children, within the limits of the principle of reciprocal treatment.
  4. Goods supplied for personal use — personal effects, furniture, household items, and one used vehicle — for each foreign diplomatic or consular employee not listed under item (3), within the limits of the principle of reciprocal treatment.
  5. Goods and services sold under a legally issued decree exempting them from Tax.

The deduction rules shall not apply to the following:

  1. Schedule Tax on goods or services, whether as such or as inputs in taxable goods or services.
  2. Tax previously paid on inputs included within the cost — unless the necessary accounting and tax adjustment has been made and evidence submitted to the Authority within a period not exceeding three years from the date of purchase or importation.
  3. Tax previously paid on inputs of exempt goods and services.
  4. Cases covered by the Simplified Supplier Registration System referred to in the first paragraph of Article (17) of the Law.

Original text: Same as above but without item (4) — the Simplified Supplier Registration carve-out was added by Decision 24/2023.

Article 29 (Active — current text per Decision 417/2025, effective 24 October 2025)

The Registrant may deduct Tax previously paid on inventory in their possession at the date of their registration, or at the date on which their sales of goods and services become subject to Tax, subject to the following conditions:

  1. Regular accounting books and records must be maintained.
  2. Original Tax Invoices of purchase, or the Customs clearance document and proof of Tax payment at Customs, must be held, as applicable.
  3. A statement of inventory must be submitted: (a) At the date of registration — together with the registration application; or (b) At the date on which their sales become subject to Tax; all within the period determined by the Authority Head.
  4. The Tax previously paid on the inputs must not have been included in the cost — unless the necessary accounting and tax adjustment has been made and evidence submitted to the Authority within a period not exceeding one year from the date of purchase or importation.
  5. The inventory must relate to the sale of a good or the performance of a taxable service.

Original text differences (pre-Decision 417/2025): Condition (3) required only a simple inventory statement at the date of registration without the (a)/(b) split; condition (4) gave a three-year period, not one year; condition (5) did not exist.

Article 30 (Active — current text per Decision 24/2023, effective 12 January 2023)

In all cases of Tax deduction prescribed by law, the deduction shall not be recognised unless, at the end of each financial year, the Registrant submits a certificate signed by a chartered accountant registered with the accountants’ and auditors’ register, confirming their entitlement to the deduction — provided that the Tax payment has not been electronically registered with the Authority.

Original text: Same but without the qualifier “provided that the Tax payment has not been electronically registered with the Authority” — that condition was added by Decision 24/2023

Chapter Two: Value Added Tax (Continued)

Section Five: Input Tax Deduction and Exemptions (Continued)

Article 31 (Active — current text per Decision 24/2023, effective 12 January 2023)

Exemptions prescribed in Article (23) of the Law shall be granted on Form (5 Embassy Exemptions) for embassies, on Form (6 Diplomatic Staff Exemptions) for members of the diplomatic and consular corps, or on Form (9 Mechanised Exemptions) — as applicable — for embassies and for members of the diplomatic and consular corps, after approval of the exemption applications by the Head of the diplomatic or consular mission, certification by the Ministry of Foreign Affairs, and approval by the Authority. The Registrant is required to retain the original exemption certificate and attach it to copies of the invoices issued without charging Tax.

Original text: Same but without Form (9 Mechanised Exemptions) — that option was added by Decision 24/2023.

Article 32 (Active — original text)

For the purposes of applying Article (24) of the Law, the beneficiary of the exemption shall submit a declaration undertaking not to dispose of the exempted good or use it for purposes other than those for which it was exempted during the five years following the date of the exemption, except after notifying the Authority or the Competent Tax Office — as applicable — and paying the Tax due and the Surcharge — where due — in accordance with the state and value of the good and the rate of Tax in force at the date of disposal or change of use.

The following rules shall apply:

  1. The beneficiary of the exemption shall notify the Authority of their wish to dispose of or change the use of the good before proceeding.
  2. The Authority’s approval for the disposal requires the concurrence of the Ministry of Foreign Affairs, and that the principle of reciprocal treatment does not require otherwise.
  3. The Authority shall inspect the good to determine its value for the purpose of computing the applicable Tax and Schedule Tax due at the time of payment; it may call in Customs experts for this purpose.
  4. The Authority shall issue a letter to the person requesting disposal confirming clearance of their obligation after payment of the Tax, Schedule Tax, and any other amounts due.

Article 33 (Active — original text)

For the purposes of applying Article (26) of the Law, the following exemptions from Tax shall apply within the following limits and conditions:

First — Imported categories and goods specified in Article (26):

The provisions of the Executive Regulations of the Customs Exemptions Law (Ministerial Decision No. 861 of 2005) shall apply to the exemption of those categories from Tax.

Second — Domestic goods and categories specified in that Article:

  1. Samples consumed in analysis in government laboratories, provided a certificate from a government laboratory confirming the analysis and consumption of the sample is submitted.
  2. Goods and personal effects of a purely non-commercial character, provided the granting body or interested party submits an application to the Authority accompanied by evidence: (a) of an undertaking not to dispose of the exempted good for purposes other than those for which it was exempted during the five years following the exemption; and (b) that the item was received from a recognised sports, scientific, or other competition.
  3. Personal baggage of travellers arriving from abroad — whether domestic or foreign goods carried by them or purchased from free markets or free zones — exempt at the same value as the applicable customs exemption under the Customs Law.
  4. Items on which Tax was previously paid, subsequently exported without Tax being refunded, and re-imported as the same items, provided the Customs Authority verifies this.

Article 34 (Active — current text per Decision 160/2020, effective 12 March 2020)

For the purposes of applying Article (28) of the Law, the following shall apply:

First — Ministry of Defence requirements:

  1. The goods and services necessary for armament purposes shall be identified by a certificate from the Ministry of Defence confirmed by the Head of the Financial Affairs Authority of the Armed Forces or their delegate.
  2. The provisions of this Article shall apply to all commands, units, administrations, equipment, and funds of the Armed Forces and the bodies attached to or affiliated with the Ministry of Defence.
  3. These goods shall be funded from the budget of the Ministry of Defence or from its own resources or any government body’s budget.
  4. The Financial Affairs Authority of the Armed Forces is the liaison body with the Authority for matters relating to this exemption.
  5. In the event of any purchase, importation, sale, or performance of any service or class of goods not covered by the exemption, the Financial Affairs Authority of the Armed Forces shall immediately notify the Authority to take measures to collect the Tax due.
  6. A special joint committee shall be formed from the Authority and the Financial Affairs Authority of the Armed Forces by a decision of the Authority Head in coordination with the Head of the Financial Affairs Authority to follow up on executive procedures relating to this exemption.
  7. The following procedures shall apply to exemptions:(a) The Ministry of Defence shall issue a certificate — confirmed by the Head of the Financial Affairs Authority or their delegate — to the Registrant, certifying that the requirements are for armament purposes for the Armed Forces or in their interest, accompanied by the Authority’s approval of the exemption.

    (b) The Registrant shall sell to the Ministry of Defence without charging Tax, issuing a Tax Invoice stating that the goods are exempt for the Ministry of Defence under Article (28) of the Law, and retaining this in their records along with the original exemption certificate.

    (c) Competent units of the Ministry of Defence shall record the data from Tax Invoices issued by Registrants in their registers.

  8. The Head of the Financial Affairs Authority shall notify the Authority Head of the name of the person authorised to issue certificates and their signature model.

Second — Requirements of other bodies:

  1. The provisions of Article (28) of the Law shall apply to the following bodies for national defence and national security purposes: (a) Companies, units, and entities under the Ministry of Military Production. (b) Ministry of Interior. (c) Arab Organisation for Industrialisation. (d) National Security Agency. (e) Administrative Control Authority. (Added by Decision 160/2020)
  2. The Minister or Head of the relevant body, or their delegate, shall issue a certificate confirming these requirements are for armament, national defence, and national security purposes, and shall notify the Authority Head of the authorised person’s name and signature model.
  3. The same provisions and procedures in items (3), (5), (6), and (7) of the First part shall apply to each of these bodies as applicable.
  4. These bodies shall pay Tax on goods and services they purchase for purposes other than those prescribed in this Article, and on what they sell to non-exempt bodies.

In all cases, all goods, equipment, machinery, services, production inputs, and components entering into the manufacture of goods and services sold to those bodies are exempt from Tax; in every case the seller’s prior Tax payment gives the seller a right to deduction, settlement, or refund of that Tax, as applicable.

Original text: Same but without item (e) of the Second part — the Administrative Control Authority was added by Decision 160/2020.

Article 34 bis (Active — current text per Decision 417/2025, effective 24 October 2025)

For the purposes of applying Article (28 bis) of the Law, Tax suspension on machinery and equipment imported from abroad or purchased from the domestic market by factories and production units for use in industrial production shall be subject to the following rules and procedures:

  1. The industrial producer shall submit to the Competent Customs Authority a document certified by the competent technical authority confirming that those machinery and equipment are imported for use in the licensed industrial production activity of the factory or production unit.
  2. The industrial producer shall submit to the Authority a document certified by the competent technical authority confirming that those machinery and equipment have been purchased from the domestic market for use in the licensed industrial production activity of the factory or production unit.
  3. Where machinery and equipment are imported for trading purposes for supply to the industrial producer, the importer must submit to the Competent Customs Authority the delivery order to the industrial producer confirming the supply for use in their licensed industrial production activity, which shall include:(a) The document certified by the competent technical authority for the factory or production unit confirming the items are for use in the licensed industrial production activity. (b) The delivery order issued by the industrial producer to the importer confirming supply for use in industrial production. (c) The industrial producer’s Tax registration card, with the suspended Tax recorded in the name of the industrial producer.
  4. Tax suspension shall apply for one year from the date of customs clearance of the machinery and equipment or from the date of domestic purchase, as applicable. Where production lines arrive disassembled or in separate consignments, the suspension begins from the date of the last instalment purchase from the domestic market or the date of customs clearance, as applicable.
  5. Where justified reasons are submitted to the Authority, the Authority Head may extend the suspension period for one or more further periods, provided the total additional periods do not exceed one year in aggregate.
  6. Where the Authority establishes that those machinery and equipment have been used in industrial production within the suspension period under conditions (4) and (5), those items shall be exempt from Tax.

In all cases, to suspend Tax payment the required guarantees must be submitted to the Authority or to the Customs Authority, as applicable, and accepted by the receiving body, on condition they are sufficient to cover the Tax amount to be suspended. The Authority Head shall issue a decision establishing the rules and procedures governing extensions of the Tax suspension period.

Original text (pre-Decision 417/2025): Conditions (1) and (2) only, without the detailed sub-conditions in (3), the customs clearance alternative in (4), the guarantee requirement, or the exemption-on-confirmed-use provision.

Section Seven: Refund of Tax

Article 35 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article 30(1) of the Law, Tax shall be refunded subject to the following conditions and procedures:

First — Exported goods:

  1. The goods and their inputs must have been purchased from a Registrant with a Tax Invoice.
  2. They must not have been previously used by the exporter.
  3. Their export must be processed through the Customs Authority.
  4. Export proceeds must be remitted to a bank under Central Bank supervision in accordance with its controls; where bank transfer is proved impossible, any payment method or settlement in Article (35) of these Regulations shall be accepted.
  5. Tax must not have been included in the cost, and Tax shall only be refunded up to the limits of the credit balance.
  6. The Authority must verify that prior Tax remittance is registered in its electronic system.
  7. The Registrant must attach to their application: export evidence documents (Form 13 Customs or an equivalent official customs document), together with the original Tax Invoice or the Customs clearance certificate and proof of payment; and must maintain a register recording the exported goods data, the export certificate number, and the export date.

The Customs Authority may — in cases agreed with the Authority — refund Tax on exported goods and on imported goods re-exported abroad whether in their original state or incorporated into locally manufactured exported goods, in accordance with the customs procedures applicable to exported goods.

Second — Exported services performed:

  1. A copy of the service performance contract certified by both parties shall be submitted.
  2. The Authority must verify that prior Tax remittance is registered in its electronic system.
  3. The refund application must be matched with: (a) the submitted supporting documents; and (b) the original Tax Invoice or the electronic invoice available on the Authority’s electronic system.

Third — Exported services received:

Tax on inputs of exported services received shall be refunded where the following conditions are met:

  1. Evidence of the transaction between the service provider and the recipient — provider in Egypt, recipient outside — by the service contract or any other means consistent with the nature of the service.
  2. Submit a carbon or electronic copy of the Tax Invoice or statement containing detailed information about the service — in particular its type and value — and the name and place of residence of both the service provider and the recipient.
  3. Submit a document confirming payment of the service value by bank transfer to a bank under Central Bank supervision in accordance with its controls; where bank transfer is proved impossible, any of the following settlement methods shall be accepted:(a) Any other electronic payment method from the exporter or their agent to the recipient. (b) Bank deposit in foreign currency through Central Bank procedures for foreign transactions; where foreign bank transfer is impossible, alternative settlement including barter — the Registrant must show that the value of the exported goods invoice offsets the imported goods value, certified by Customs. (c) Intra-group settlements between parent companies or subsidiaries and their branches.
  4. Submit the original Tax Invoice for the inputs of the service performance.
  5. The Authority must verify prior Tax remittance is registered in its electronic system.

In all cases:

  • Tax shall only be refunded at the rate and value applicable at the time of actual payment or actual charging, and only up to the limits of the credit balance of taxable goods and services subject to input deduction.
  • The value of exports must not be less than the value of their inputs.
  • Tax must not have been included in the cost elements.
  • Tax shall be refunded within forty-five days of submission of the application with supporting documents.

Original text: Same structure but without the electronic registration confirmation requirement; the “in all cases” credit balance and export value conditions; and the extended settlement methods in Third.

Article 36 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (30 bis) of the Law, Tax shall be refunded to foreign visitors upon departure subject to the following conditions:

  1. Obtain Tax refund Form (124 VAT) showing the value of the purchased good and the Tax paid thereon, together with the original Tax Invoice showing the Tax amount paid.
  2. The value of the good purchased from the Registrant seller in Egypt must not be less than EGP 1,500 per single invoice.
  3. The purchased goods must leave the country in the accompaniment of the departing foreign visitor.
  4. The purchased goods must be presented to the competent Customs officer for inspection and matching against the original purchase invoice or electronic invoice.
  5. The competent Customs officer shall stamp the documents after matching with the Customs stamp confirming “No objection to refund.”

The documents referred to in this Article shall be submitted within the prescribed administrative refund deadlines per the Tax Refund Regulations, and 5% administrative fees shall be deducted from the refunded amount.

Where for any reason the Tax amount cannot be collected at the point of departure, the departing foreign visitor may submit the Tax refund documents to the competent Customs officer, who shall send them to the Tax Refund Department of the Authority for processing. After deduction of the administrative fees, the refund shall be sent to the foreign visitor’s address within three months of the date of departure.

Original text: Same conditions but without the 5% administrative fee deduction and without the postal fallback procedure — both were added by Decision 24/2023.

Article 37 (Active — current text per Decision 190/2025, effective 21 May 2025)

For the purposes of applying Articles 30(2), (3), (4), and (5) of the Law, Tax shall be refunded in the following cases subject to the conditions and procedures applicable to each:

1. Tax collected by error:

The interested party shall submit a written or electronic application stating the value of the Tax collected by error, the reason therefor, and the Tax Period in which the error occurred, accompanied by the supporting documents.

2. A credit balance outstanding for more than six consecutive Tax Periods:

The Registrant shall submit a written or electronic application stating the value of the credit balance due under Article 30(3) of the Law, accompanied by supporting documents. Refund shall be made after reviewing and verifying the documents, without prejudice to the provisions of these Regulations on refund or credit balances under Articles 30(1), (2), (4), and (5) of the Law.

3. Tax previously paid on buses and passenger vehicles where their use constitutes the establishment’s licensed activity:

(a) The Registrant shall submit a written or electronic application for refund of the Tax on buses and passenger vehicles, accompanied by supporting documents.

(b) Where buses or passenger vehicles on which Tax was refunded are disposed of before five years have elapsed from customs clearance or domestic purchase, the Competent Tax Office shall notify the Taxable Person before disposal; the refund shall be recovered in accordance with the applicable Tax rate and value at the date of disposal.

4. Tax borne by the Non-Resident Registrant under the Simplified Supplier Registration System for activity inside the country:

The Non-Resident Registrant under the Simplified Supplier Registration System shall submit a written or electronic application for refund of the Tax on which the credit balance has exceeded six consecutive Tax Periods, stating the value of the Tax claimed. A refund application not accompanied by the required certificate shall not be accepted.

Original text (pre-Decision 190/2025): Items (1)–(3) only; item (3) covered machinery and equipment (not buses/vehicles); item (4) did not exist. Paper applications only; Decision 190/2025 added the electronic submission option.

Article 38 (Active — current text per Decision 24/2023, effective 12 January 2023)

Without prejudice to Articles (34) and (53) of the Unified Tax Procedures Law (Law No. 206 of 2020), a certificate signed by a chartered accountant registered with the accountants’ and auditors’ register confirming the Taxable Person’s entitlement to the refund must be included among the documents in all refund cases under Article (30) of the Law. A refund application not accompanied by this certificate shall not be accepted — provided that Tax payment has not been electronically registered with the Authority.

Original text: Same but without the opening Unified Tax Procedures Law reference and without the final rejection clause — both added by Decision 24/2023.

Article 38 bis (Active — re-established with new content by Decision 188/2023, effective 10 April 2023)

In all cases of Tax deduction and refund under the Law, only electronic invoices shall be accepted for the purposes of Tax deduction or refund from 1 July 2023, for Registrants participating in the electronic invoice system. Paper invoices previously issued by Taxable Persons before the date of application for switching to electronic Tax invoices are excluded from this requirement.

Note: The original Article 38 bis (guarantee letter procedure for refund applications) was repealed by Decision 24/2023 (effective 12 January 2023). Decision 188/2023 subsequently re-established Article 38 bis with the above new content.

Original text (pre-Decision 24/2023): The detailed guarantee letter procedure for refund claims under Art. 30(1): bank guarantee equal to 65% of the claimed amount, renewable and subject to encashment; Authority to complete audit within nine months; guarantee released within 15 days of final refund report approval; amounts due from non-entitlement set off against the guarantee.

Section Six: Collection of Tax

Article 39 (Active — current text per Decision 24/2023, effective 12 January 2023)

The government administrative bodies referred to in Article (31) of the Law shall remit the Tax and Schedule Tax due on their purchases of goods and services in accordance with the prescribed rules and at the prescribed deadlines. They shall do so by monthly electronic settlement orders — identified by the Registrant’s Tax registration number — credited to the primary institutional accounting unit of the Registrant maintained by the Central Financial Administration of the Authority, stamped with the State seal, and sent to the relevant Tax district, together with a notice to the Registrant’s Competent Tax Office containing the name of the Registrant, registration number, invoice date, quantity, value, Tax, and Schedule Tax remitted.

The Central Financial Administration shall forward those amounts to the relevant tax office for each Registrant individually, based on reports extracted from the Authority’s databases by tax office. The Registrant shall settle or remit any remaining Tax due in accordance with the prescribed rules. The relevant administrative tax offices shall credit those amounts to the Registrant’s accounts in accordance with the statements received. The date of electronic settlement — being equivalent to 20% of the Tax value or the full Schedule Tax due — shall be the due date for the Tax or Schedule Tax in question. Each party (the body and the Registrant) shall bear the Surcharge due on any late or non-payment of Tax or Schedule Tax, as applicable.

The Registrant shall remit Tax periodically to the Competent Tax Office with their monthly return at the deadline prescribed in Article (31) of the Unified Tax Procedures Law; the Authority Head may specify the payment method and means.

Tax and Schedule Tax on imported goods shall be paid at the stage of customs clearance in accordance with applicable customs procedures, with VAT and Schedule Tax paid on separate receipts unless it is established that the Non-Resident Registrant has collected the Tax on the imported goods. Final customs clearance may not be given before full payment of Tax due, unless it is established that the Non-Resident Registrant has collected the Tax. Where Tax is not paid at the prescribed deadline, the Surcharge accrues and is collected together with the Tax.

Original text: Required Registrants to file the monthly return and pay Tax to the Competent Tax Office; Authority Head specifies payment method; Tax on imports paid at customs clearance; final clearance cannot be given without full Tax payment.

Article 40 — Repealed by Decision 24/2023, effective 12 January 2023.

Original text: Without prejudice to the Customs Law and its Executive Regulations, the Authority Head could grant provisional customs clearance of machinery, equipment, and goods imported for production of a good or performance of a service, subject to payment conditions, limits, and guarantees set by the Authority Head; final customs clearance required full payment of Tax and Schedule Tax. The Authority Head could require appropriate guarantees equal to the Tax and Schedule Tax on goods cleared on export-ratio or special customs regime grounds. For machinery, equipment, buses, and passenger vehicles subject to Tax or Schedule Tax used in production of exempt goods or services, payment was structured as follows: (1) 5% of Tax or Schedule Tax paid at provisional clearance from the competent Customs Authority; (2) Balance paid in four equal annual instalments, with the first instalment due two years after provisional clearance date. Surcharge accrued on any late instalment from the date of final clearance until payment. Rules on Tax suspension applied separately to buses and passenger vehicles for tourism transport under specific conditions and guarantees.

Article 41 (Active — original text)

For the purposes of applying Articles (31), (56), and (59) of the Law, Tax shall become payable in the following cases:

  1. From the tax return filed.
  2. From an agreement reached at the internal committee.
  3. From a decision of the appeal committee, even if that decision is being appealed.
  4. In the event of non-appeal against the notification forms, the Tax assessment shall be deemed final.
  5. From a court judgment that is enforceable.

In all cases, the Surcharge shall accrue from the date on which the prescribed filing deadline expired until the date of payment, without prejudice to Article (17) of these Regulations.

Article 42 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (32) of the Law in respect of imported services supplied by a non-resident person not registered with the Authority under the Simplified Supplier Registration System, the beneficiary of the imported service shall calculate the Tax due on that service and pay it to the Authority within thirty days of the date of supply.

Original text: The beneficiary paid Tax on Form (11 VAT) within thirty days; additionally addressed the position of overseas parent companies, principal establishments, and head offices in relation to their Egyptian branches and subsidiaries — those Egyptian entities were treated as a single entity covering their costs from a lump-sum allocation from the overseas entity.

Article 43 (Active — current text per Decision 417/2025, effective 24 October 2025)

For the purposes of applying Article (33) of the Law, continuous-nature services are services performed on a regular, uninterrupted basis to meet the ongoing needs of their recipients and in respect of which electronic invoices or electronic receipts are issued.

The following shall be deemed continuous-nature services:

  1. Telecommunications and facsimile services.
  2. Cleaning and security services.
  3. Goods and materials transport services.
  4. Contracting, construction, and building services — being services that include both supply and installation, in respect of which electronic invoices or electronic receipts are issued based on an interim certificate approved by the consultant — including: (a) Building works. (b) Foundation works. (c) Metallic construction works. (d) Finishing (specialist) works. (e) Roads, bridges, railways, airports, and tunnelling works. (f) Water supply networks and stations, drainage, gas networks, and fuel networks. (g) General civil works, hydraulic and thermal power stations. (h) Marine, river, and well-sinking works. (i) Electromechanical, electronic, and telecommunications network works. (j) New, renewable, and solar energy station works.

Original text (pre-Decision 417/2025): Listed four service types only: telecom/fax; contracting/construction; cleaning/security; goods transport. Decision 417/2025 added the detailed construction sub-categories (a)–(j) and the electronic invoice requirement.

Article 44 — Repealed by Decision 286/2021 (Unified Tax Procedures Law Executive Regulations), effective 4 June 2021.

Original text: For the purposes of applying Article (35) of the Law, set-off by operation of law applied where both amounts — the amount due to the Authority from the Registrant and the amount due from the Authority to the Registrant — were final, certain, and free of any dispute. Set-off occurred in the following order: (1) Between excess amounts paid by the Registrant and amounts due and payable under the Law; (2) Between excess amounts paid by the Registrant and amounts due and payable under any other tax law; (3) Between excess amounts paid by the Registrant and amounts due from other tax laws administered by Ministry of Finance revenue bodies. The Competent Tax Office notified the Registrant of the set-off result.

Article 45 (Active — original text)

For the purposes of applying the second paragraph of Article (36) of the Law, the rate of Schedule Tax on goods and services that are exported shall be zero (0%), subject to the following conditions:

First — Exported goods:

The exporter shall follow the prescribed customs procedures when exporting a good and shall retain for five years all documents relating to the transaction and demonstrating completion of the export, including the export certificate issued by the competent Customs Authority or any official customs document serving the same purpose.

Second — Exported services:

The transaction between the service provider in Egypt and the recipient outside Egypt shall be evidenced by the service performance contract or any other means consistent with the nature of the service, and the following documents shall be submitted:

  1. A carbon or electronic copy of the Tax Invoice or statement containing detailed information about the service — in particular its type and value — and the name and address of both the service provider and the recipient.
  2. A copy of a document confirming payment of the service value by bank transfer through a bank under Central Bank supervision in accordance with its controls; where bank transfer is proved impossible, any of the payment methods or settlements in Article (35) of these Regulations shall be accepted.

Article 45 bis (Active — new article introduced by Decision 157/2025, effective 21 May 2025)

For the purposes of applying the second paragraph of Article (3) of the Law, the Schedule Tax on goods and services listed under the First, Second, Third, and Fourth serial items of item “Second” of the Schedule appended to the Value Added Tax Law shall be levied at 15% per annum from 1 January 2026 for a period of three years, and that rate shall be reduced to 12% per annum from 1 January 2029.

Chapter Three: Schedule Tax

Article 46 (Active — original text)

For the purposes of applying the second paragraph of Article (37) of the Law, Schedule Tax on returned sales of goods listed in the Schedule shall be adjusted subject to the following conditions:

  1. Only the Schedule Tax previously paid on the returned goods themselves may be adjusted.
  2. The returned goods must have actually been received in the condition in which they were sold, and must not be damaged or past their expiry date.
  3. The Registrant shall issue a sequentially numbered debit/credit notification bearing the data of both the seller and the buyer.

Tax previously paid on component parts of machinery and equipment and spare parts used in the production of goods and services subject to Schedule Tax only shall be offset against the Schedule Tax assessed thereon until exhausted.

Article 47 (Active — original text)

Schedule Tax settlement shall occur in the following cases:

  1. Schedule Tax collected on raw tobacco listed in item (1/a) of Band 2 of the Schedule shall be set off against the Schedule Tax due on the domestic product into which that item enters, being the product of the domestic producer in whose manufacture the item is incorporated.
  2. Schedule Tax collected on raw tobacco, spirits, extracts, and materials listed in item (1/b, Band 6) of the Schedule shall be set off against the Schedule Tax due on the domestic product into which those items enter, being the product of the domestic producer in whose manufacture the item is incorporated.
  3. Schedule Tax collected on fixed, liquid, or refined edible vegetable oils listed in item (3) of First of the Schedule shall be set off against Schedule Tax due on products in item (4) of the Schedule when those oils are hydrogenated.
  4. Schedule Tax previously paid by a subcontractor shall be set off against the Schedule Tax paid by the main contractor for the same works.

Article 48 (Active — original text)

For the purposes of applying Articles (36) and (38) of the Law, Schedule Tax on goods and services listed in the Schedule shall become due once only, upon the occurrence of one of the following events:

  1. For domestic goods and services: upon their production or performance by the domestic producer in the domestic market.
  2. For imported goods: upon the occurrence of the event giving rise to customs duty.
  3. For imported services: upon the occurrence of the event of receiving the service in Egypt.

Schedule Tax shall not become due again unless a change of state occurs in the good in accordance with Article (2) of the Law.

This is all without prejudice to the accrual of Value Added Tax on goods and services listed in the Schedule, unless the Schedule specifies otherwise.

Article 49 (Active — original text)

The provisions of Article (48) of these Regulations shall apply to goods and services listed in the Schedule supplied in the form of free goods or services or promotional offers. The value in such cases shall be determined in accordance with the sales policies used by companies and establishments to incentivise customers to prefer the offered good or service or to strengthen their brand loyalty, consistent with the nature of each activity.

The following shall not be deemed promotional offers:

  1. Liquidations, including seasonal liquidations issued by a decision of the competent Minister.
  2. Trade discounts in accordance with Article (11) of these Regulations.

Article 50 (Active — original text)

The taxable value on which Schedule Tax is assessed for goods and services listed in the Schedule shall be determined as follows:

  1. For domestic goods and services: the amount actually paid or payable in any form of consideration, in the ordinary course of events.
  2. For imported goods: the customs duty assessment value plus the customs duties and other levies imposed.
  3. For imported services: the amount actually paid or payable in any form of consideration, in the ordinary course of events.

This is all unless the Schedule specifies otherwise.

Article 51 (Active — original text)

For the purposes of applying Article (41) of the Law, every producer, service provider, or importer of a good or service listed in the Schedule — regardless of the volume of their sales — shall apply to the Competent Tax Office for registration on Form (1 VAT). The Competent Tax Office shall notify the Taxable Person of their registration within fourteen days of the application date; the Law shall apply from the registration date.

The following registration procedures shall apply:

  1. The Taxable Person or their representative shall submit a registration application to the Competent Tax Office.
  2. The Tax Office shall review the application for completeness; where data are incomplete, the application shall be provisionally registered and the Taxable Person notified on Form (2 VAT) within the period determined by the Office.
  3. The Tax Office shall register complete — or in-process — applications in the designated register.
  4. The Authority shall assign a registration number, issue a registration certificate on Form (3 VAT), and notify the Taxable Person on Form (4 VAT) for display in a prominent location on the establishment’s premises.
  5. Taxable Persons who did not apply for registration but are deemed registered by operation of law under the fourth paragraph of Article (16) of the Law shall be treated as registered from the date they began their activity; the Competent Tax Office shall notify them and the Law shall apply from the registration date.

Article 52 (Active — original text)

Every person holding a licence to establish or operate a factory or plant for the production of a good or performance of a service subject to Schedule Tax shall:

  1. Notify the Competent Tax Office on Form (101 VAT) upon establishment or commencement of operation.
  2. Notify the Competent Tax Office on Form (102 VAT) upon total or partial cessation of activity or upon expiry of a cessation period.

Both notifications must be made within twenty-one days of the date of the occurrence requiring notification.

Article 53 (Active — original text)

The provisions of these Regulations shall apply to goods and services listed in the Schedule appended to the Law, to the extent that no specific provision is made in this Chapter or in the Schedule itself.

Chapter Four: General Provisions and Appeals Procedures

Section One: General Provisions

Article 54 (Active — current text per Decision 24/2023, effective 12 January 2023)

For the purposes of applying Article (44) of the Law, the beneficiary of the exemption from Schedule Tax shall submit a declaration undertaking not to dispose of the exempted good or use it for purposes other than those for which it was exempted during the five years following the date of exemption, except after notifying the Authority or the Competent Tax Office — as applicable — and paying the Schedule Tax due and the Surcharge — where due — in accordance with the state and value of the good and the applicable rate at the date of disposal or change of use.

The following rules shall apply:

  1. The beneficiary shall notify the Authority of their wish to dispose of or change the use before proceeding.
  2. The Authority shall issue a letter to the person requesting disposal confirming clearance of their obligation after payment of the Schedule Tax, Surcharge, and any other amounts due.

Original text: Same but without the explicit Surcharge reference — Decision 24/2023 added the Surcharge to the payment obligation.

Article 55 (Active — current text per Decision 93/2025, effective 25 March 2025)

For the purposes of applying Article (46) of the Law:

  1. The price of the banderol evidencing payment of Schedule Tax on alcoholic beverages of all types — domestic and imported — listed in the Schedule shall be 100 qursh per stamp.
  2. The price of the banderol evidencing payment of Schedule Tax on cigarettes and tobacco products of all types — domestic and imported — listed in the Schedule shall be 25 qursh per stamp.
  3. Service fees for Authority officers performing duties on behalf of interested parties outside official working hours: (a) Opening the safe outside official hours: EGP 2 per payment voucher issued. (b) Travel allowances: EGP 50 for travel within the city of the Competent Tax Office; EGP 100 where multiple officers travel; both amounts doubled for travel outside the city limits — in addition to any applicable travel expense allowances. Interested parties shall deposit the value of these expenses in the Authority’s safes before the officers travel.

Original text: Same but the alcoholic beverages banderol was 50 qursh — Decision 93/2025 doubled it to 100 qursh.

Article 56 (Active — original text)

For the purposes of applying Article (47) of the Law, the Authority shall have the right to dispose of smuggled goods and transport equipment and smuggling tools seized in accordance with the following rules:

  1. Smuggled goods, smuggling tools, and seized transport means shall be deposited — in respect of domestic goods — in warehouses designated for this purpose at the Tax Authority, and — in respect of imported goods — in Customs Authority warehouses, until a final court judgment is issued or either of the two Authorities acquires them through settlement.
  2. Disposal of smuggled goods, smuggling tools, and transport means may not take place until after their transfer to the Authority or the Customs Authority, as applicable, following settlement or a final court judgment of confiscation.
  3. Disposal shall be by public auction by a decision of the Authority Head or the Customs Authority Head within their respective jurisdictions, in accordance with the Auctions and Tenders Organisation Law (Law No. 89 of 1998) and its Executive Regulations. The General Authority for Government Services shall conduct the sale procedures in accordance with the prescribed rules.
  4. Disposal by court order before a final judgment — of perishable or depletable smuggled goods and smuggling tools — may be effected by negotiated sale where auction is impracticable, with sale proceeds deposited as a trust pending final transfer to the General Treasury.
  5. Goods prohibited from circulation, harmful to public health, or whose sale would threaten citizens’ security and safety shall be destroyed by a court order, by a decision of the Authority Head or the Customs Authority Head within their respective jurisdictions, after consulting the competent technical bodies.

Article 57 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: The limitation period was interrupted upon notification of Tax assessment elements or upon referral of the Registrant to appeal committees. Grounds for interruption included: judicial claim (even if filed with a court lacking jurisdiction); attachment; official notification; a creditor’s petition in liquidation or distribution proceedings; any act by the creditor to assert their right during proceedings; and express or implied acknowledgment by the debtor.

Article 58 — Repealed by Decision 286/2021, effective 4 June 2021.

Original text: Formation of write-off committees (لجان الإسقاط) for uncollectable Tax debts under the second paragraph of Article (50) of the Law: each Tax District shall have at least one write-off committee; each committee shall be chaired by an Authority employee of at least Director General grade; the committee shall issue decisions by majority vote.

Section Two: Supervision

Article 59 (Active — current text per Decision 190/2025, effective 21 May 2025)

For the purposes of applying Article (52) of the Law, supervision related to Tax and Schedule Tax shall be carried out on a documentary and field basis, using computerised accounting systems where applicable; the Authority may review and test those systems to verify their quality. Where those foundations are absent, the Authority Head may determine the applicable rules and controls, and may in certain cases — where special considerations relating to the nature of the good apply — establish specific supervisory procedures and a dedicated supervisory monitoring system.

With due regard to the foregoing, for Schedule goods and services:

First — Conversion of pure alcohol:

  1. Operations converting pure alcohol to fuel or for industrial use may only be carried out in the factories producing it, or in customs areas if the alcohol is imported. In all cases the conversion must take place in the presence of a committee from the Authority formed by a decision of the competent Director General. Where the conversion is for industrial purposes under a specific industrial system, the approval of the Industrial Supervision Authority must be obtained per case.
  2. After completion of a conversion operation — whether to fuel or for industrial use — a three-way sample shall be taken from the product and from the other materials used in the conversion; the containers in which the conversion took place shall be sealed; the quantity may not be released until the analysis result confirms adequate conversion.
  3. Factory and plant owners permitted to obtain industrial alcohol shall maintain books and records showing the quantities received with purchase invoices and particulars, available at all times for Authority inspection.
  4. “Industrial alcohol” means alcohol converted for use in one of the basic industries determined by an Authority Head decision issued after consultation with the Head of the Industrial Supervision Authority, specifying conversion ratios per case.

Second — Wine, spirits, and alcoholic beverages:

  1. Factories and plants producing fresh grape wine, grape juice with fermentation stopped by adding alcohol, and alcoholic beverages shall:
    • Maintain records documenting each stage of the production process (fermentation; distillation; reduction; refinement; bottling) and notify the Authority at least twenty-four hours before each operation, to enable the Authority to assign an inspector.
    • Allow the Authority representative to seal the equipment upon commencement of each operation and supervise and record produced quantities. Upon completion of distillation and fermentation operations, the owner shall specify the bottling schedule; produced quantities remain under direct Authority supervision until the Authority representative records the bottled quantities, affixes banderols, confirms Tax amounts due, and takes the necessary undertaking; all procedures are documented in a report signed by both the Authority representative and the Registrant or their authorised delegate.
  2. For persons allowed to receive pure non-industrial alcohol: the Authority shall maintain records of the quantities they consume; at least twenty-four hours before any operation, the Authority representative shall record, check, and seal quantities; records of any reductions, dilutions, or uses shall be maintained and confirmed by the Authority representative; banderols shall be affixed and Tax amounts confirmed.
  3. For perfume and cologne manufacturers specifically: records of the quantities of pure alcohol purchased shall be maintained; purchase invoices from Schedule-registered suppliers shall be retained; records shall include invoice numbers and dates as required by the Schedule.

Third — Transport of alcohol:

When transporting more than five litres of alcohol, alcoholic solutions, or industrial alcohol for the purpose of pure supply — whether imported or domestic — from one place to another, a permit from the Authority is required. The permit shall not be issued until it has been confirmed that the Tax on the quantities has been paid and that the quantities are not exempt.

Fourth — Banderol affixing:

Every producer or importer must affix banderols on the following goods before their circulation in the market:

1 — Schedule Tax-only goods (Band First, item 1 of the Schedule): Cigarettes; honey and molasses; tobacco; cigars and cigarillos; heated tobacco products; electronic cigarette liquid.

2 — Schedule Tax and VAT goods (Band Second, item 3(c) and (d) of the Schedule): Fresh grape wine; grape juice with fermentation stopped by adding alcohol (“including the distilled equivalent”); fruit wines and other wines; roah wines and perfumed/flavoured wines; other alcoholic beverages; compound alcoholic preparations; natural liqueurs; natural beer (birra); alcoholic beverages.

3 — Goods subject to the standard VAT rate: Disposable electronic cigarettes containing electronic liquid, disposed of in one unit electronically.

Fifth — Tobacco manufacturing records:

Without prejudice to Law No. 92 of 1964 on tobacco smuggling, establishments licensed to produce cigarettes, tobacco, honey, molasses, pipe tobacco, and blended and unblended tobacco shall maintain records proving the quantities purchased, with purchase invoices, and shall record in those invoices the invoice number and date.

Importers may not sell unblended tobacco to unlicensed manufacturers; the importer must notify the Authority’s relevant Tax Office of the quantities sold to licensed manufacturers within four days of the sale date, accompanied by invoices; the Tax Office shall be notified after those sales.

Original text (pre-Decision 190/2025): Covered the same general subject (alcohol supervision, wine/spirits production, tobacco records) but without the current text’s detailed provisions on conversion committee requirements, the three-way sampling procedure, the updated Schedule goods lists in Fourth, and the revised tobacco record-keeping obligations in Fifth.

Section Three: Appeals Procedures

Note: Articles 60–71, 73–74 were all repealed by Decision 286/2021, effective 4 June 2021. Their subject matter is now governed by the Unified Tax Procedures Law (Law No. 206 of 2020) and its Executive Regulations.

Articles 60–65 — All repealed by Decision 286/2021, effective 4 June 2021.

Original texts — Article 60: Appeal submission procedure: Registrant filed written appeal with Competent Tax Office within 30 days of receiving Tax assessment notification by registered mail; Tax Office referred the file to the internal committee within two months. Article 61: Internal committee formation: one committee per Tax District, chaired by Authority employee at Director General level, with two members. Article 62: Internal committee procedures: committee heard appeals within 30 days of receipt; it notified the Registrant of session date; second session within two months if needed; committee notified Tax Office within two days of its decision; decisions issued within 60 days; membership renewable. Article 63: Second notification: committee notified Registrant of decision by registered mail within 15 days; Registrant had 15 days to accept or appeal. Article 64: Sessions confidential; all defences discussed; if 30 days elapsed without resolution, dispute referred to appeal committee; electronic means could be used. Article 65: Internal committees had jurisdiction on appeals from Taxable Persons against Tax amendments or assessments within two years of filing.

Article 66 — Repealed by Decision 286/2021.

Original text: Each internal committee maintained three registers: an appeals register, a sessions minutes register, and a decisions register.

Article 67 — Repealed by Decision 286/2021.

Original text: Appeal committee composition and rules: formed by ministerial decision; chaired by Authority employee; two members from Authority and from chartered accountants/auditors on the approved list; reserve members appointed; no one could sit on multiple committees; committee could not include anyone who had previously examined the subject; Tax Office forwarded appeal to committee within two months; notifications by registered mail; membership renewable; decisions within 60 days; majority vote; annual performance review and members’ remuneration determined.

Articles 68–71 — All repealed by Decision 286/2021.

Original texts — Article 68: Committee deliberations in camera. Article 69: Committee working procedures — general litigation principles, territorial jurisdiction, notification of parties, recusal and withdrawal, discussion of all defences, substantive decision-making, adherence to deadlines. Article 70: Corporate officer liability for Tax evasion: the responsible person is the responsible partner, director, managing board member, or board chairman exercising actual management; the entity must notify the Competent Tax Office of the responsible person within 21 days of any change. Article 71: Same general litigation principles as Article 69.

Article 72 (Active — current text per Decision 57/2023, effective 6 February 2023)

For the purposes of applying Article (65) of the Law, a commission shall be formed under the chairmanship of the Authority Head or their deputy, with membership of each of the following:

  • The Head of the Tax Districts, Centres, and Ports Sector
  • The Head of the Central Administration for the Authority Head’s Office Affairs
  • The Head of the Central Administration for Legal Affairs
  • The Director General of the General Administration for Internal Review and Governance
  • The Director General of Investigations

The commission’s purpose is to examine allegations made against Authority employees who hold judicial officer status in the course of or because of their duties. The commission shall prepare a report of its recommendations for submission to the Minister of Finance or their delegate, for taking the necessary measures to issue orders for investigations leading to criminal prosecution for such conduct. An Authority decision shall be issued to form the technical secretariat of the commission.

Original text (pre-Decision 57/2023): Commission chaired by Authority Head; members included head of the Central Administration for Financial Affairs and head of the Central Administration of the relevant Tax Administration, head of the Central Administration for Investigations, and General Audit Director. The previous text did not specify “judicial officer status” as the criterion for the affected employees.

Articles 73–74 — Both repealed by Decision 286/2021.

Original text — Article 73: Appeal committee general principles of proceedings — territorial jurisdiction, party notification, recusal, deliberation, substantive reasoning, prescribed deadlines. Original text — Article 74: Corporate officer liability for Tax evasion: in the event of any act of Tax evasion by a legal person, the responsible person is the responsible partner, director, managing board member, or board chairman exercising actual management; the establishment must notify the Competent Tax Office of the responsible person within twenty-one days of any change.

Article 75 (Active — current text per Decision 426/2022, effective 6 September 2022)

For the purposes of applying Article (74) of the Law, after the Council of Ministers approves a consumer incentive system, the Minister may establish a system of incentives in the form of cash or in-kind prizes for the final consumer participating in the system, provided they submit a correct Tax Invoice or electronic Tax receipt. Incentives may also be granted to the participating final consumer where they report the seller’s failure to issue a correct Tax Invoice or Tax receipt.

The incentive system may include prizes for retailers and service providers participating in the system.

The Authority shall register in the system retailers and service providers required to issue electronic Tax Invoices (electronic Tax receipts) for services rendered and goods sold to final consumers, as well as other retailers and service providers who request to participate.

The final consumers and the retailers and service providers who win shall be selected through the electronic procedures and register approved by the Authority for this purpose.

A ministerial decision — after Council of Ministers approval — shall specify the areas of application, the incentives and prizes, and their administrative systems.

Original text (pre-Decision 426/2022): A simpler provision permitting a system of Tax refund in cash for final consumers who submit valid Tax Invoices for non-trading purposes, without the retailer registration framework, the informant incentive, or the detailed electronic system structure.

Article 76 (Active — original text)

For the purposes of applying item (9) of Band (First) of the Schedule, contracting, construction, and building services means services that include both supply and installation, including:

  1. Building works.
  2. Foundation works.
  3. Metallic construction works.
  4. Finishing (specialist) works.
  5. Roads, bridges, railways, airports, and tunnelling works.
  6. Water supply networks and stations, drainage, gas networks, and fuel networks.
  7. General civil works, hydraulic power stations, and thermal power stations.
  8. Marine, river, and well-sinking works.
  9. Electromechanical and electronic works and telecommunications networks.
  10. New, renewable, and solar energy stations.

The following rules apply:

  1. Schedule Tax shall be levied at 5% of the value of the interim certificate on all contracting, construction, and building services (supply and installation); where a contract is supply-only or installation-only it falls outside the definition in item (9) and the standard applicable rates and categories shall apply.
  2. The value is the value of the interim certificate approved by the consultant; Schedule Tax becomes due upon approval of the interim certificate.
  3. The Schedule Tax base for contracting services must include all goods and services — domestic and imported — entering the contracting works, whether supplied by the main contractor or subcontractors.
  4. All goods manufactured and services performed by the contractor entering the contract are subject to Tax at the prescribed rates as own use, on the basis of total cost less the Tax already paid on those inputs.
  5. A subcontractor shall be deemed to have paid Schedule Tax where the main contractor pays it, subject to the following conditions:(a) The main contractor shall issue a certificate to the subcontractor specifying the project name, the project number and cheque number, and the data of the contract between the principal and the subcontractor; a separate certificate for each sub-contract; the certificate must be updated if the contract or its value is amended. (b) The main contracting agreement between the main contractor and the principal must be a supply-and-installation contract. (c) The value of the subcontractor’s works must not exceed the value of the works assigned by the main contractor. (d) The subcontractor must be registered with the Authority and their Tax returns must include the value of works executed and the Schedule Tax paid thereon by the main contractor.
  6. Schedule Tax previously paid by the subcontractor shall be set off against the Schedule Tax paid by the main contractor for the same works.
  7. For all government bodies, their subsidiaries, and local administrative units: Schedule Tax on contracting works executed for their benefit shall be remitted by the contracting companies — for the first time from the main contractor — with each interim certificate payment to the Competent Tax Office, accompanied by a statement listing: the main contractor’s name, the works executed, their value, and the Schedule Tax amount. The Surcharge on Schedule Tax shall also be stated on the same checklist at the prescribed deadline.
  8. Where a contract is concluded with an exempting entity under Article (29) of the Law, the entire contract shall be exempt by a single exemption certificate coordinated between the Authority’s Exemptions Administration and the relevant exempting authority; the exemption shall be limited to the total contract value of works executed as shown in the final interim certificate, with the necessary adjustment thereafter.

Article 77 (Active — original text)

For the purposes of applying item (12) of Band (First) of the Schedule, professional and advisory services means services of a non-industrial or non-commercial nature performed by a natural or legal person on an independent basis, where labour is the principal element.

Article 78 (Active — current text per Decision 24/2023, effective 12 January 2023)

The scope of the following exemptions shall be determined as follows:

First — Band (27): Postal stamps Includes postal stamps issued by the Post Authority as counter-payment for postal services, excluding express mail. Financial stamps means stamps issued by any body authorised by special law to issue such stamps to support its financial resources.

Second — Band (28): Housing units A housing unit means every unit prepared by its owner for others for residential use. A non-housing unit means every unit prepared by its owner for others for carrying on a commercial, industrial, or professional activity. The exemption does not cover hotel establishments, or establishments governed by Law No. 11 of 1940, or places governed by special laws.

Third — Band (33): Banking services Banking operations means operations exclusively conducted by banks under Law No. 88 of 2003.

Fourth — Band (36): Non-banking financial services Non-banking financial services means the non-banking financial instruments supervised and monitored by the Financial Regulatory Authority under the second article of Law No. 10 of 2009, including: capital markets; futures exchanges; insurance activities; mortgage finance; leasing; factoring; securitisation; and micro-finance under Law No. 141 of 2014.

Fifth — Band (37): Insurance and re-insurance services Insurance and re-insurance services means insurance services provided by a natural or legal person licensed by the competent authority to operate in the field of insurance.

The following are excluded from the insurance and re-insurance services exemption: actuaries and value-assessment experts (“appraisers”), survey and inspection services, other expert services, legal services related to submitting claims, and maintenance, repair, and similar services arising from insurance — whether provided by the insurance company itself or through third parties.

Sixth — Band (39): Health services Health services means every health service a patient receives in hospitals, health centres, and medical clinics and similar healthcare premises. Services of a commercial or investment nature provided by those establishments are excluded, as are aesthetic surgery and cosmetic treatment operations.

Seventh — Band (57): Advertising services Advertising services means the final service in its final form — being the message communicated to the audience by the advertiser, whether by broadcast, print, publication, or any other format — and does not include the production of the advertising content itself.

Eighth — Band (55): Medications The Ministry of Health shall notify the Authority with approved lists of medications authorised by the Minister of Health; the Authority is bound to grant the prescribed exemption for medications appearing on those notifications.

Original text: Same structure but without the specific references to Law No. 141 of 2014 in Fourth, and without the explicit exclusion list in Fifth.

Article 79 (Active — original text)

The Authority Head shall issue guidelines, explanations, and clarifications required for the implementation of the Law and these Regulations. The Authority is bound to apply them; the Taxable Person may use them for guidance in implementation.

Frequently asked questions

What are the Egyptian VAT Executive Regulations? They are the implementing rules for Egypt’s Value Added Tax Law (Law No. 67 of 2016), issued by Ministerial Decision No. 66 of 2017. They set out the detailed procedures and obligations that taxpayers must follow — registration, invoicing, record-keeping, input-tax deduction, exemptions, collection, refunds, and the Schedule Tax regime.

Is this English translation official? No. The authoritative text of the Regulations is the Arabic version published in the Official Gazette (Al-Waqāʾiʿ al-Miṣriyya). This English translation is provided by Consortio Law Firm for reference and does not replace the Arabic original or constitute legal advice.

How current is this translation? It reflects all amendments to the Regulations in force as of 2026, up to and including Ministerial Decision No. 417 of 2025 (effective 24 October 2025).

What is the difference between the VAT Law and the VAT Executive Regulations? The VAT Law (Law No. 67 of 2016) sets the legal principles — what is taxed, the rates, and the core framework. The Executive Regulations (Decision No. 66 of 2017) set the operational detail — exactly how each obligation is carried out in practice.

What is Schedule Tax under the Egyptian VAT regime? Schedule Tax is a separate tax levied on specific goods and services listed in the Schedule appended to the VAT Law (for example tobacco, alcoholic beverages, and certain services), in addition to or instead of standard VAT. Chapter Three of the Regulations governs how it is assessed, settled, and collected.

Prepared by Consortio Law Firm — Your Safe House. English translation for reference only; the Arabic text published in the Official Gazette is authoritative. www.consortiolawfirm.com | info@consortiolawfirm.com | +20 10 2880 6061