Background

A company filed a case against the tax authority before the first instance court requesting a final clearance of taxes for 1992. The company said that they had already paid the tax for 1992.

The court dismissed the case.

The company appealed the ruling before the court of appeal. The court dismissed the appealed ruling and ruled that the tax authority had no right to claim the tax for the mentioned year.

Decision

The tax authority appealed the ruling before the court of cassation and said in its grounds of appeal that the ruling had erred in the application of law and that the company should pay sales tax on the imported goods and should pay the sales tax when it sells the goods in the local market under Article 6 of Egypt Law No. 11/1991.