New Law to waive the Late Payment Interests and Additional Tax & to Renew Tax Disputes Resolution Committee

The above-mentioned law No.173/2020 has stated the following:

Firstly: Waiving and Removing Late Payment Interests and Additional Tax

To waive and remove the late payments interests and additional tax on taxpayers totally or partially including the following types of taxes:

• Customs Law No. 66/1963
• Stamp Tax Law No. 111/1980
• Income Tax Law No. 157/1981
• State Development Tax Law No. 147/1984
• Sales Tax Law 11/1991
• Income Tax Law No. 91/2005
• Value Added Tax Law No. 67/2016

Any type of to tax due or duty due related to the above laws before the issuance of this law can enjoy the waiving provided that the taxpayer or the party responsible to pay the original tax or duty in full after the issuance of this law.

The Criteria of waiving the late payment interests and additional tax shall be as follows:

1. 90% waiving from late payment interests or additional tax in case the original tax is paid within 60 days after the issuance of this law.

2. 70% waiving from late payment interests or additional tax in case the original tax is paid within 60 days from the period ended as per previous criteria (A). 

3. 50% waiving from late payment interests or additional tax in case the original tax is paid within 60 days from the period ended as per previous criteria (B).

4. 100% waiving from late payment interests or additional tax can be removed in case the taxpayer has paid the original tax due or duty due in full before the issuance of this law.

Secondly: Renewal of Tax Disputes Resolution Law No. 79/2016 amended by Law No. 174/2018 and Law No. 16/2020

The above law has been extended to be applied until December 2020.

Responsibility and Commitment:

Andersen Egypt’s tax team has prepared this summarized tax alert to introduce the new law to waive the late payment interests and additional tax & the renewal of tax disputes resolution committee. Efforts have been combined to produce this alert with clear and accurate content. However, this report aims only to spread general information and should not be treated as a legal document or a document that can be used for decision-making, or for issuing specialized consultations. Please contact Andersen Egypt for tailor-made solutions.