Egypt: Imports in Foreign Currency VAT

• Egypt does not collect VAT in foreign currency on imports
• VAT is deducted in foreign currency for purchases of goods and services paid in hard currency
• The tax collector can receive VAT in Egyptian pounds if the collected amount is equivalent to its value in foreign currency
• The finance ministry issued a decision mandating the collection of VAT in foreign currency for goods and services paid for in foreign currency
• Egypt is experiencing a severe US dollar liquidity crunch
• The government plans to collect $191 billion through 2026 by expanding its IPO program and introducing incentives for foreign investors
• Egypt’s commitments under a $3 billion loan program with the IMF involve implementing flexible regimes for exchange and interest rates, enhancing the role of the private sector, and accelerating IPOs.

Source: english.ahram.org.eg

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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