Tax revenues surge by over 38% since beginning of FY24/25: Finance Minister

CAIRO – 1 April 2024: Minister of Finance, Mohamed Maait, highlighted the government's commitment to integrating the informal economy through the effective utilization of digital transformation, mechanization, and the expansion of electronic tax systems.

 

Tax revenues have recorded a growth rate exceeding 38 percent since the beginning of the current fiscal year (FY24/25), demonstrating the positive impact of these measures.

 

The Egyptian Tax Authority has been conducting field campaigns and inventory operations targeting informal economy activities in Cairo and other regions. These efforts aim to minimize tax evasion, promote fairness among taxpayers, and ensure the collection of rightful state revenues. 

 

737 field campaigns involving 50,000 establishments in Cairo and other areas were conducted and showed a compliance rate of 66 percent for income tax registration and 49 percent for value-added tax registration. As a result of these campaigns, tax dues totaling LE 1.6 billion have been paid instantly.

 

Maait reiterated his strict directives to promptly address any instances of tax evasion and to confront establishments that avoid fulfilling their tax obligations while benefiting from goods and services provided by the government.

 

Finance Minister highlighted the importance of electronic tax systems in providing an accurate database of commercial transactions at the national level. The electronic invoice system has already issued over one billion electronic invoices, complemented by the electronic receipt and electronic declarations systems. These digital platforms significantly contribute to the governance of the tax community and have already facilitated the integration of a portion of the informal economy.