Egypt to Implement Progressive Tax System to Address its Budget Deficit in the New Fiscal Year

Analysis

Economic experts in Cairo say that there are very strong indicators that the government is moving to implement a progressive tax system at the beginning of July

The progressive tax would be applied for a maximum period of five years.

Tax brackets would not escalate by more than 5% each, with the maximum set at 25%.

In the past, Egypt has had a progressive tax regime of up to 40%.

The Egyptian Finance Minister said that a progressive tax system seeks to contribute to social justice. He also announced that the tax on corporate profits would be reduced to 20% from 40%.

For full story see: http://www.alarabiya.net/articles/2011/06/02/151522.html