The Head of the Egyptian Tax Authority (ETA), Rasha Abdel Aal, , announced the launch of the 8th phase of the country’s automated tax system. This new phase, effective December 15, 2024, aims to streamline how companies and individual establishments calculate wages and salary taxes, as part of Egypt’s ongoing digital tax transformation.
Simplifying Tax Registration and Reporting
Under Ministerial Decision No. 386 of 2023, the new system applies to all companies and entities with salary obligations. It simplifies the registration process by requiring businesses to submit key documents such as a recent commercial register extract (no older than three months) and a copy of the national ID of the managing partner or establishment owner.
Abdel Aal emphasized that the system will automate tax reporting, reducing complexity for businesses. Companies must now submit monthly reports containing detailed employee data. This data will be used to generate quarterly declarations and annual settlements automatically.
Encouraging Transparency and Efficiency
Abdel Aal noted that this overhaul will improve efficiency, enhance compliance and ensuring accuracy. Thus, to ensure smooth implementation, the ETA will closely monitor monthly submissions. Abdel Aal urged businesses to fully cooperate with the tax offices and seek assistance if needed.
Egypt’s Commitment to Digital Tax Transformation
With this launch, Egypt takes another major step in its commitment to digital tax transformation. The new automated system will make tax procedures more efficient, transparent, and accessible to all taxpayers. Under Rasha Abdel Aal’s leadership, the ETA is pushing forward with reforms that promise a more modern, streamlined, and fair tax system.