Cairo – Mubasher: The Egyptian Ministry of Finance said that the new income tax law will be applied starting from the beginning of next July.

The new law applies to the income generated from commercial, industrial, and professional activities as well as real estate wealth revenues, according to a statement on Tuesday.

Taxpayers will calculate their income tax on their own monthly and annually as per the tax rates provided by the finance ministry.

According to the new amendments, the basic income tax exemption limit has been raised by 60% to EGP 15,000 from EGP 8,000.

In addition, the personal income tax exemption limit has been increased to EGP 9,000 from EGP 7,000. Accordingly, earners of annual incomes up to EGP 24,000 will be exempted.

A new segment has been created to include lower-income people with income from EGP 15,000 to EGP 30,000 annually, excluding the personal income tax exemption limit, who will pay only a 2.5% income tax, while earners of more than EGP 30,000 to EGP 45,000 annually will pay 10% instead of 15%. Earners of EGP 45,000 to EGP 60,000 will pay 15% instead of 20%.

Moreover, earners of EGP 60,000 to EGP 200,000 will pay 20% instead of 22.5%, and people earning from EGP 200,000 to EGP 400,000 will pay 22.5%. In addition, a new segment has been created to include earners of more than EGP 400,000 who will be taxed 25%.