The Egyptian Tax Authority determines the VAT on freight services for exempted goods
The Egyptian Tax Authority has recently announced the value-added tax (VAT) due on sea, land, and air freight services for exempted goods, scheduled goods, machinery, and equipment. This move comes after reviewing the prices of freight service values approved by the Division of International Transport and Logistics Services in the Chamber of Egyptian business in Alexandria. The taxes sent an approved guiding statement of the values of freight services to the Customs Authority to circulate it to all customs outlets for use in collecting the value-added tax due on the values of freight services.
Measures Taken to Ensure Proper the value-added tax Collection
The Egyptian government has taken measures to ensure proper collection of the value-added tax due on freight services for exempted goods, scheduled goods, machinery, and equipment. The cooperation protocol between the Egyptian Tax Authority, the Egyptian Customs Authority, and the Division of International Transport and Logistics Services aims to facilitate the collection of the value-added tax. The guiding statement of the values of freight services has been sent to all customs outlets to ensure proper collection of the value-added tax and preserve the funds of the state’s public treasury. Furthermore, the government has been cracking down on smuggling and customs evasion to recover the due fees and fines.
The latest developments in the “Tahya Misr” station in Alexandria Port
The Alexandria Port is one of the most important ports in Egypt, and as such, there are many major projects currently underway overseen by the Ministry of Transportation. The port is managed by a well-known international company, CMA of France, which specializes in management and operation, and owns shipping lines, making it the second-largest company of its kind in the world.
One of the important major projects is the establishment of the “Tahya Misr” station, which is a smart, green station that operates with the best modern methods for loading, unloading, and trading goods.
How can AHG help you?
AHG is a member of Morison Global in Egypt, which places us in the top 10 audit and tax firms in Egypt. We have over 30 years of operating experience setting up in the Dubai, Egypt and GCC market with a variety of clients and industries.
You can rely on us in all your financial affairs related to your investment, and we can also support you if you wish to invest in free zones or ports inside and outside Egypt in accordance with applicable legal regulations.