Minister of Finance Mohamed Maait said on Tuesday that on 15 April the trial operation of the electronic receipt system will be launched in companies selling goods and providing services to consumers, and that the mandatory application will begin in July. Maait explained in a statement that this ensures that the amounts consumers pay for taxes on goods and services are directed to the state's public treasury. This is consistent with efforts to integrate the informal economy into the formal one and to more accurately account for the tax community. It also lays the foundations for tax justice, equal opportunities for financiers in the Egyptian market, and usurping the right of the state in a way that helps increase the volume of GDP, achieve economic and development goals, and strengthen aspects of public spending on improving the standard of living of citizens. He added that the electronic receipt system is based on establishing a central electronic system that enables the tax authority to follow up on all commercial transactions of companies selling goods and providing services with consumers (B2C) moment by moment. It also helps verify their validity through electronic integration with point of sale (POS) devices and automated accounting systems to issue receipts at merchants and service providers. He pointed out that the electronic receipt system helps achieve many advantages for financiers, including facilitating tax examination procedures in the shortest possible time, ending repeated requirement visits, and examining files of sales receipts electronically. This also facilitates the process of preparing and submitting tax returns, as there will be no need to provide sales receipt data. They will be kept in a central database at the Tax Authority. Maait explained that companies joining the electronic receipt system contribute to strengthening their tax position by classifying them among companies with low tax risks. It also helps them develop mechanisms for issuing receipts and verifying the validity of the elements and data of receipts before they are issued, in addition to facilitating internal or external audit procedures in companies. He added that the electronic receipt system complements the electronic invoice system that is integrated with it within the framework of the national project to modernise and automate taxes. He explained that more than 52,000 companies have registered on the electronic invoice system and have sent more than 154m electronic invoices, reflecting the success of this experience in Egypt. Maait also stressed his ministry's keenness on the sustainability of the quality performance of electronic tax systems to help achieve the desired goals behind it, including integrating the informal economy into the formal one, and the GDP reflecting the true volume of the Egyptian economy. Furthermore, he explained that the ministry aims to expand electronic tax solutions, which limit human interference in the management of the tax system and leave no room for arbitrary estimates, and to ensure the optimal operation of all these developed systems in accordance with the latest experiences, practices, and international standards.
