By: Mostafa Adel

Cairo - Mubasher: The Egyptian House of Representatives’ budget committee has approved the draft law that applies stamp tax to the capital market, the deputy finance minister for tax policies, Amr El Mounir, told Mubasher.

El Mounir added that a transitional article has been added to suspend the capital tax on 17 May, indicating that the tax will be effective from the beginning of June 2017.

In March, the cabinet approved a draft law imposing stamp duty to the transaction of the Egyptian Exchange (EGX) as a substitute for the capital tax which was suspended in May 2015 for two years, only for the suspension to be extended by the supreme investment council for another three years until May 2020.

The International Monetary Fund (IMF) previously said that Egypt will apply either the capital tax or the stamp duty on the capital market transactions before the fiscal year 2017-2018, as part of the $12 billion loan agreement and the accompanied economic reform programme.

Translated by: Moslem Ali