In implementation of the directives of President Abdel-Fattah El-Sisi, the government decided, starting from next April’s salary, to pay the periodic bonus to those who are addressed by the provisions of the Civil Service Law, which has been increased to 8% of the job wage, with a minimum of EGP 100 per month, and without a maximum limit. According to the provisions of the Civil Service Law, a special bonus of 15% of the basic wage or its equivalent in the comprehensive reward for each of them, with a minimum of 100 pounds per month, and without a maximum.
The government indicated that 36 billion pounds will be arranged to disburse the periodic bonus to those who are addressed by the provisions of the Civil Service Law at 8% of the job wage, with a minimum of 100 pounds per month, and without a maximum, and to grant state workers who are not addressed by the provisions of the Civil Service Law, a special bonus of 15% from The basic wage, and the additional incentive for all of them, as of next month, as part of the financial allocations for wages in the budget for the next fiscal year, amounting to 400 billion pounds..
The government added that the decision comes in implementation of presidential directives, as a package of financial and social protection measures worth 130 billion pounds has been prepared to deal with the repercussions of global economic challenges and mitigate their effects on citizens, pointing out that 2.7 billion pounds will be arranged to include 450 thousand new families for the beneficiaries of « Solidarity and Dignity”, and allocating 190.5 billion pounds to the National Authority for Social Insurance to disburse the annual increase in the value of pensions by 13%, with a minimum of 120 pounds, starting from the first of next April, and increasing the tax exemption limit by 25% from 24 to 30 thousand pounds..
The government indicated that, starting from next April’s salary, the additional monthly incentive for employees who are addressed by the provisions of the Civil Service Law and workers who are not addressed by it will be increased, with cut-off financial categories of 175 pounds for the sixth, fifth and fourth grades, 225 pounds for third-degree occupants, and 275 pounds for second-degree occupants. , 325 pounds for first-degree occupants, 350 pounds for general manager rank, 375 pounds for high-ranking occupants, and 400 pounds for occupants of the excellent class, or the equivalent of each, and whoever is appointed following this date benefits, and this incentive is part of the supplemental wage or the variable wage. Thus, the minimum increase for the periodic bonus and additional incentive is 300 pounds per month.
And she added that the customs dollar was set at a value of 16 pounds for basic commodities and production requirements at the end of next month, pointing out that the state’s public treasury bears the value of the real estate tax due on the industrial sectors for a period of three years, at a value of 3.75 billion pounds..
She emphasized that the amendments to the draft income tax law include reforms related to revitalizing the Egyptian Stock Exchange, according to what was agreed upon with investors and the stock exchange to support and encourage investment in it. To encourage investments in Egypt; Provided that it is not used to avoid tax, and the tax treatment of investment funds has been modified, to encourage institutional investment, which supports the economy and emerging companies, while setting controls to ensure the safety of implementation; In accordance with international applications, the exemption of investment funds in debt instruments, investment funds in stocks listed in the stock exchange, and venture capital funds and companies, and that policy holders are subject to 5% of natural persons and 15% for legal persons, and charitable funds are completely exempted, and a “transparent entity was established for taxation.” » To invest individuals in the Egyptian Stock Exchange through specialists; Which creates a good investment environment to support the Egyptian economy.
The amendments include advantages for simplified accounting for individual and institutional investors, and for the purposes of achieving tax justice, the articles of the law have been amended to ensure that profits made during the tax suspension period are not subject to taxation, and to give investors a set of additional tax incentives to support the capital market and increase the demand for trading, as well as listing companies in the stock exchange, and exempting the percentage of From the profit realized to shareholders, it is equivalent to the credit and discount rate issued by the Central Bank at the beginning of each calendar year, and a 50% deduction from the value of the capital gains achieved at the initial offering on the stock exchange for a period of two years from the date of issuance of the law, which is reduced to 25% following that, In the event of an increase in capital through initial offerings, this sale will not be considered as a tax-generating event, and the exchange of shares between listed companies and non-listed companies will not be considered as a tax-generating event to encourage an increase in the structures of companies listed in the stock exchange..
The government indicated that the renewal of the law on ending tax disputes and the provisions and procedures in force in this regard until December 31, 2022, to speed up their completion and reduce the burden on the tax authority within the framework of working on its automation and development, and providing an incentive for people to request invoices and electronic receipts, while obligating the business community with invoices. In addition to the inclusion of the simplified tax treatment in the Income Tax Law, which will benefit all companies.
