The Egyptian government has introduced discounts on property taxes for owners of residential and non-residential units who file their tax returns on time. According to Rami Youssef, head of the Real Estate Tax Authority, a 25% discount is offered to residential units, while non-residential units receive a 10% discount. Additionally, a 5% discount is available for advance payments, bringing the total discount to 30% for residential units and 15% for non-residential units.
The deadline for filing property tax returns is September 30th. Youssef emphasized that timely filing and payment are crucial to benefiting from these discounts. The Real Estate Tax Authority has made it easier for citizens to file their returns and make payments through an electronic application, "Egyptian Real Estate Tax."
Residential units with a market value of less than 8 million Egyptian pounds are exempt from property taxes. To qualify for the exemption, the unit must be the primary residence of the owner and their family, and the owner must provide required documents. If the unit's value exceeds 8 million pounds, tax is payable on the excess amount at a rate of 1260 pounds per million pounds.
The Real Estate Tax Authority has introduced an electronic application to facilitate registration and filing of tax returns. Citizens can download the application, create an account using their phone number and national ID, and declare their properties across the country. They can also request exemptions for their primary residence and submit required documents.
Citizens can inquire about their property tax obligations electronically through the Real Estate Tax Authority's official website or the Egypt Digital platform. By entering their national ID and property details, they can access information on their tax debt and status. Payment can be made electronically through various services, mobile wallets, and bank cards.
The Egyptian government distinguishes between property tax and real estate transaction tax. Property tax is an annual tax on owning a property, while real estate transaction tax is levied on the sale or transfer of a property, at a rate of 2.5% of the total contract value. The seller is liable for the transaction tax, which must be paid within 30 days of the transaction.
To assist citizens with registration and filing, the Real Estate Tax Authority has set up support teams at sports clubs and new city authorities nationwide. These teams help citizens complete registration, filing, and exemption procedures for their properties.
Key points
- Residential units valued at less than 8 million Egyptian pounds are exempt from property taxes.
- Timely filing and payment of property taxes can result in discounts of up to 30%.
- The Egyptian government offers electronic services for property tax registration, filing, and payment.
