Egypt's President Abdel Fattah El-Sisi directed on Sunday the launch of the second phase of the tax facilitation initiative, Supporting and Stimulating Tax Compliance. The move is part of a strategy to modernise the tax system, strengthen investor confidence, and enhance trust with taxpayers. The announcement made after his meeting with Prime Minister Moustafa Madbouly and Finance Minister Ahmed Kouchouk, who briefed the president on the package's measures. The second phase targets all compliant taxpayers, offering incentives to boost voluntary compliance, support business growth, enhance competitiveness, and improve liquidity. Kouchouk highlighted the success of the first phase, noting that 400,000 old tax files were voluntarily closed, 650,000 new or amended returns added 78 billion Egyptian pounds in taxes, and newly declared business volumes reached nearly one trillion pounds. The package also includes improvements to the VAT refund system, premium tax-support centres, and further reforms requested by taxpayers and businesses. During the meeting, they also reviewed property-tax facilitation, aimed at easing burdens, simplifying procedures, and advancing digital transformation, including extended valuation cycles, higher exemptions, penalty relief in specific cases, and electronic payments. Economic performance was also discussed, with private investment rising 73 per cent in the last fiscal year. Kouchouk outlined plans to develop the customs system, including faster clearance, digitisation, electronic payments, and staff training, while emphasising oversight to curb smuggling. Attribution: Amwal Al Ghad English
