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CAIRO, March 28 (Reuters) - Egypt is looking to increase its value-added tax revenue by 7 to 8 billion Egyptian pounds ($386-$441 million) in the coming 2017-2018 financial year, deputy finance minister Amr al-Mounir said on Tuesday.
Egypt's parliament approved a VAT law in August introducing a tax of 13 percent, rising to 14 percent in the coming fiscal year which starts on July 1. Egypt was aiming to raise 20 billion pounds from the tax, which went into force in the last quarter of 2016.
The VAT law is part of a reform programme that formed the basis of a $12-billion, three-year loan agreed with the International Monetary Fund in 2016.
It is expected to broaden the tax base in a country where the government struggles to collect income tax because of a large informal economy and widespread avoidance.
($1 = 18.0000 Egyptian pounds)
(Reporting By Ehab Farouk; Writing By Maha El Dahan; Editing by Tom Heneghan) ((Maha.Dahan@thomsonreuters.com; + 9712 4082101; Reuters Messaging: maha.dahan.thomsonreuters.com@reuters.net))
Egypt's parliament approved a VAT law in August introducing a tax of 13 percent, rising to 14 percent in the coming fiscal year which starts on July 1. Egypt was aiming to raise 20 billion pounds from the tax, which went into force in the last quarter of 2016.
The VAT law is part of a reform programme that formed the basis of a $12-billion, three-year loan agreed with the International Monetary Fund in 2016.
It is expected to broaden the tax base in a country where the government struggles to collect income tax because of a large informal economy and widespread avoidance.
($1 = 18.0000 Egyptian pounds)
(Reporting By Ehab Farouk; Writing By Maha El Dahan; Editing by Tom Heneghan) ((Maha.Dahan@thomsonreuters.com; + 9712 4082101; Reuters Messaging: maha.dahan.thomsonreuters.com@reuters.net))
