Raising the exemption limit from 40,000 to 60,000 pounds.. “Representatives” approve amendments to the “income tax”

During the plenary session, today, Monday, the House of Representatives finally approved a draft law amending some provisions of the Income Tax Law, by raising the tax exemption limit to 60,000 pounds instead of 40,000 pounds, and implementing it from the first of next March.

During the session, Dr. Fakhri Al-Feki, Chairman of the Plan and Budget Committee, reviewed the amendments, pointing out that the tax exemption limit would be raised to 60,000 pounds instead of 40,000 pounds in the current law, with the implementation of the exemption being expedited starting next March.

Representative Mustafa Salem, Undersecretary of the Plan and Budget Committee, said that the amendment came in implementation of President Sisi’s directives regarding the social protection package that comes at an important time and its implementation before the month of Ramadan.

Salem added: “The president intervenes at the right time for the sake of the citizen and to confront the wave of inflation resulting from global conditions and political events in the region. Before that, there was a social protection package months ago that benefits 23 million families and 5 million from solidarity and dignity, and workers benefit from raising the exemption limit. Stressing that the amendments aim to reduce the burdens on the citizen, within the social protection package to be implemented starting next March.

Amendments to the income tax law included raising the tax exemption limit and the schedule of different brackets. The draft law stipulates amending Article 6 of the Income Tax Law by amending the income tax brackets for natural persons to benefit all those who pay the salary tax – commercial and industrial activity – real estate wealth – professional and non-commercial activity in accordance with economic and social conditions, as the bracket that is not eligible has been increased. There is a tax on it to become 40 thousand pounds annually, with an increase of 10 thousand pounds annually, as well as amending Article 13, Clause (1) of the same law by raising the taxpayer’s annual personal exemption limit to 20 thousand pounds instead of 15 thousand pounds.