New brains for a new tax map: The Finance Ministry is in the process of selecting three to four private-sector consulting firms to help reassess Egypt’s real estate assets and propose new valuation methods for the property tax system, a government source told EnterpriseAM.

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Coming soon: The consulting firms are expected to be selected and begin work next month, the source told EnterpriseAM. The new valuations — expected to be out in 2H 2025 — are part of a broader strategic overhaul of the property tax law that will include legislative amendments. The tax code is currently under review, with work underway to re-categorize real estate into geographic zones and recalibrate tax accordingly, he added.

REMEMBER- A senior government official confirmed to EnterpriseAM in March that the ministry was mulling amendments to the property tax law in order to raise the exemption threshold to EGP 4-5 mn, up from EGP 2 mn currently, in light of rising property prices and inflation. The adjustments would come as part of a larger package of changes to property taxes, which will also include payment facilities for taxpayers and regulatory changes.

One sticking point: The government is also waiting to resolve the long-standing issue of theOld Rent Law, which the source said would have a “clear impact” on the new property tax system. The law has been at the House for discussion for some time but has been receiving a lot of pushback.

The expected windfall: The nation’s real estate assets are expected to generate some EGP 18 bn in tax revenues in the coming fiscal year, up from a targeted EGP 8 bn in FY 2024-2025, according to our source. The projected increase reflects higher valuations across key areas, including the North Coast, the new capital, Sheikh Zayed, the Fifth Settlement, and other coastal hotspots.

We’ve been on the lookout for important property tax changes for the last few months after Deputy Finance Minister for Taxes Sherif Al Kilani told EnterpriseAM that the ministry was considering either raising the cap or exempting private family residences entirely, while taxing additional properties. A phased rollout of the revised law is under consideration, starting with areas that have seen significant urban expansion, such as the North Coast, Sheikh Zayed, and the Fifth Settlement, before expanding nationwide, Al Kilani told us.

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