- The Egyptian government has approved a new value-added tax (VAT) on local tobacco sales.
- The tax, an amendment to the 2016 VAT law, will apply to both cigarettes and liquid tobacco.
- The head of the House’s Planning and Budget Committee, Fakhri El-Fiqi, stated that the tax could generate up to EGP8 billion in state budget revenues.
- The amendment is expected to encourage tobacco companies to increase production, potentially stabilizing cigarette prices.
- Egypt’s tobacco market has recently faced shortages and price increases.
- Some lawmakers have praised the measure for its potential to deter smoking, as recommended by the World Health Organization.
- Despite the tax increase, cigarettes in Egypt remain relatively cheap compared to other countries.
Source: theheritagetimes.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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