{"id":638204,"date":"2024-08-11T00:00:00","date_gmt":"2024-08-11T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/egypt\/2024\/08\/11\/govt-considers-raising-income-tax-exemption-threshold\/"},"modified":"2024-08-11T00:00:00","modified_gmt":"2024-08-11T00:00:00","slug":"govt-considers-raising-income-tax-exemption-threshold","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/egypt\/2024\/08\/11\/govt-considers-raising-income-tax-exemption-threshold\/","title":{"rendered":"Gov't considers raising income tax exemption threshold"},"content":{"rendered":"

Gov\u2019t mulls raising the tax exemption threshold: <\/strong>Raising the personal income tax exemption threshold is currently \u201cunder consideration\u201d in light of recent economic changes, Deputy Finance Minister for Taxes Sherif Al Kilani reportedly told Al Arabiya<\/a> last week. <\/p>\n

(Tap or click the headline above to read this story with all of the links <\/strong>to our background as well as external sources.)<\/p>\n

Part of a bigger social support package:<\/strong> The move \u2014 which follows March\u2019s increase of the threshold from EGP 45k to EGP 60k<\/a> \u2014 could come as part of the government\u2019s upcoming package of social protection measures, which will be aimed at mitigating the impact of inflationary pressures on Egypt\u2019s most vulnerable, Finance Minister Ahmed Kouchouk said<\/a> last week. The government is gearing up to announce the new social protection package in September, with plans to begin implementing it in October, two government sources told us<\/a> last week. <\/p>\n

That\u2019s not all though \u2014 we may be headed toward a tax bracket overhaul:<\/strong> The government is also studying shifting tax brackets up in light of continued inflationary pressures, a government source tells Enterprise. Al Kilani told reporters last week that raising the tax exemption limit is being considered as part of a package of reform measures, without providing further details. <\/p>\n

What would the new tax pyramid look like?<\/strong> The expected changes in income tax brackets would be progressive, with the tax exemption threshold and zero-tax bracket potentially rising by 20-25% to match inflation rates, our source said. This would be accompanied by upward adjustments to other brackets.<\/p>\n

Expanding the tax base:<\/strong> To offset the tax losses from raising tax exemption limits and easing the burden on low earners, efforts are underway to increase the number of registered taxpayers, the source said. <\/p>\n","protected":false},"excerpt":{"rendered":"

The income tax exemption threshold could rise by 20-25% to match inflation rates<\/p>\n","protected":false},"author":1,"featured_media":638205,"comment_status":"closed","ping_status":"open","sticky":false,"template":"single-feature.php","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7382],"tags":[679,72,182,69],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-638204","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax","tag-egyptian-tax-authority","tag-enterpriseam","tag-inflation","tag-tax","wpautop","entry"],"acf":{"mongo_id":"5dcc8e4d-3cca-4423-a070-8ca345677916","order":"8","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/8\/820.jpg","photo_position":"above","homepage_title":"","full_issue_title":"Egyptian gov\u2019t could be restructuring income tax brackets to alleviate inflationary pressures","related_issue":[638191],"teaser":"The income tax exemption threshold could rise by 20-25% to match inflation rates","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/8\/.c6a16b24-6ecb-4806-aee5-f005644667d2.mp3"},"yoast_head":"\nGov't considers raising income tax exemption threshold - 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