New Tax File Registration Rules for Companies in Egypt

In recent developments, the Egyptian Tax Authority has issued comprehensive guidelines to regulate Tax File Registration at the Joint Stock and Investment Departments located in Cairo. These guidelines primarily focus on geographic areas and tax offices merged since 2020, ensuring a streamlined and efficient tax administration process. This initiative aims to streamline administrative procedures and ensure efficient management of tax records across the newly merged offices.

Key Changes Under the New Regulations

Dr. Sayed Mahmoud Saker, Deputy Head of the Egyptian Tax Authority and Sector Head for Regional and Center Affairs, communicated these new instructions to the Heads of the Joint Stock and Investment Tax Offices in Cairo. One of the key directives is to refrain from opening new tax files for businesses within the geographic scope of the areas or offices that have been merged. Instead, taxpayers whose businesses fall under the merged jurisdictions are required to open their tax files with the appropriate merged offices. This directive aligns with the provisions outlined in Minister of Finance Decree No. 593/2020, which serves as the legal framework for these changes.

VAT Registration and Tax File Transfer Process

Taxpayers seeking to register for Value Added Tax (VAT) in merged geographic areas must formally request the transfer of their tax files to the designated office, ensuring compliance with the updated regulatory requirements. These offices include the Joint Stock Tax Office and the Investment Tax Office in Cairo. This process ensures businesses comply with VAT regulations at the appropriate tax office under the new merged structure.

Steps for Transferring Tax Files

The file transfer process is now explicit. Taxpayers must submit transfer requests to their designated tax office. Tax offices must forward all transfer requests to the Tax Zones, Centers, and Outlets Sector within 24 hours of submission to facilitate efficient VAT registration processing and ensure compliance with regulatory timelines. This 24-hour timeline helps maintain efficiency and prevents delays in taxpayer registration. The Egyptian Tax Authority has provided a detailed list of merged office locations to assist taxpayers. The list, as outlined in Minister of Finance Decree No. 593/2020, includes the complete addresses of all merged offices. This information helps taxpayers identify the correct office for submitting file transfer requests and completing VAT registration.

Merged Offices Table According to Decree No.593/2020

In conclusion, the Egyptian Tax Authority’s recent instructions aim to simplify tax file creation and VAT registration in Cairo, particularly in areas affected by the 2020 mergers. The guidance provides taxpayers with clear directions to navigate the system and comply with updated regulations. Through streamlined file transfer procedures and proper office routing, the Authority ensures efficient VAT registration across merged offices. The comprehensive list of merged office locations and the established 24-hour transfer request deadline serve as effective tools to facilitate taxpayer compliance with the new system. If you chose us to support your specific issue, please do not hesitate to contact us using Inquiries Form (link to https://youssrysaleh.com/contact-us/) or by sending an email to coop@youssrysaleh.com.