Egyptian Minister of Finance issued 4 decrees No. 379, 380, 381 and 382 regarding amendments in the withholding tax as follows:

A- Decree No. 379 of 2018 related to article No. 67 amending decree No. 534 of 2005:

Customs Authority is obliged to collect 1 % withholding tax on payment from import values instead of 0.5 % from taxpayers related to tax on industrial, commercial activities or corporate income tax.
This is to be applied starting from 15th of August 2018.

B- Decree No. 380 of 2018 related to article No. 59 amending decree No. 537 of 2005:

The withholding tax rates that should be deducted according to article No.59 of Corporate Income Tax Law No. 91 of 2005 will be as follows:

This table represents the amount collected before and after the issuance of such decree:

Activity Nature

WHT Rate Before Decree No. 380

WHT Rate After Decree No. 380

1

Contracting and supplying, except for the supply of agricultural crops to the government and the public sector from the owners of the farms within the limits of their farms.

0.5%

1%

2

Purchases.

0.5%

1%

3

a- Services

2%

3%

b- Amounts that are paid by cooperative organizations for transportation for their members against their cars.

0.5%

1%

c- Agency commission and brokerage

5%

5%

d- Deductions, grants, commissions and exceptional and additional incentives that are granted by tobacco, fertilizer, and cement companies.

5%

5%

e- All deductions, grants and commissions that are granted by oil & gas companies to their distributes.

2%

2%

This is to be applied starting from 15th of August 2018.

C- Decree No. 381 of 2018 related to article No. 71 amending decree No. 530 of 2005:

All forms of court archives, degrees, authentication offices and authorities should collect the below withholding tax amounts, under account of the tax due to the lawyers as follows:

This table represent the amount collected before and after the issuance of such decree:

Procedure

Amount Collected Before Decree No. 381

Amount Collected After Decree No. 381

1

Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, before the Court of First Instance.

EGP 5

EGP 20

2

Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, before the Court of Appeal

EGP 10

EGP 50

3

Any lawsuit or appeals or documents that are signed by a lawyer that is registered in the Bar Association, in front of the Court of Cassation.

EGP 15

EGP 100

This is to be applied starting from 15th of August 2018.

D- Decree No. 382 of 2018 related to article No. 71 amending decree No. 532 of 2005, specifically for doctors or medical specialist:

Any doctor / medical specialist that works in a hospital for his own benefit, the hospital should collect a withholding tax amounting to EGP 100 from each job carried out, and this will be under the account of the income tax on non-commercial activities that doctors/specialists are eligible for.

This is to be applied starting from 15th of August 2018.

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