THE GOVERNMENT continues to receive property tax reports even after the set deadline. Yesterday was originally scheduled to be the last day for handing in the much-debated reports. Any latecomers were to pay a fine ranging from between LE200 to LE2,000. But on Monday to avoid the overcrowding, the government decided to go easy. Minister of Finance Youssef Boutros Ghali announced that citizens could continue to hand in their reports after the deadline and they would not be fined. He did not specify until when late comers would not be fined. In the meantime, the government continues to urge citizens to present their tax reports on time by airing television ads. This is the second extension period given for the filing of tax reports. Citizens were originally due to hand in their reports at the end of December 2009, but due to crowding the deadline was extended until the end of March. In a further attempt to facilitate the process, the Ministry of Finance extended work hours at property tax offices until 7pm, including Saturdays. The ministry has also set up a hotline -- 19117 -- where agents are available around the clock to answer questions. A couple of weeks ago, Ghali announced that tax offices had received 11 million registration forms representing 15 million real estate units -- around 50 per cent of Egypt's total units. He also said that the ministry has sent more than 175,000 letters informing citizens that their units were exempt from the tax. According to the new property tax law, all structures, residential or commercial, including apartments, villas, shops, and even kiosks, owned by Egyptians or non-Egyptians are to be reported to the property tax office. Properties less than LE500,000 in value are exempt from the tax. Speaking during a seminar at the Press Syndicate last Thursday, Minister Ghali said that 82 per cent of Egyptians are living in a property less than LE200,000 in value, while 15 per cent are living in a property that is worth less than LE400,000. Ghali further noted that the government is ready to modify the tax law in case problems should arise during its implementation. It is not expected that the government will be able to collect the new tax before next year, after it completes necessary valuations of units across the country. The Appreciation and Enumeration Council is the authority responsible for evaluating and assessing properties. According to the law, units are reassessed every five years, but President Mubarak recently requested that the period be extended to 10 years. Property re-evaluation will not exceed 30 per cent of the first assessment for residential property and 45 per cent of the first assessment for non-residential property. Reporting by Nesma Nowar
