Egypt's President Abdel Fatah El-Sisi (Photo:Reuters)
Egypt's President Abdel-Fattah El-Sisi ratified amendments to a property tax law which will go in to effect retroactively from July 2013.
The amendments – published in the cabinet's official gazette earlier this week – cover articles on the maximum limit in raising a property's valuation, exemptions and forming assessing committees.
The first property tax collection will take effect retroactively from July 2013 and then property taxes will be collected annually in January of each year.
The maximum limit on raising a property's valuation was set at 30 percent every five years for property used for private accommodation and 45 percent for all other properties.
Under the new amendments, private accommodations with an annual rent value of LE24,000 and below will be exempted from property tax. Also, commercial stores with an annual rent value of LE1,200 and less will not be taxed.
New exemptions incorporate military property – clubs, hotels, hospitals and armoury warehouses.
Other exemptions include properties owned by foreign governments, on the condition of reciprocity.
The amendments further specified the process of forming local committees for the property evaluation.
The finance minister will cooperate with relevant ministers to set taxes within three months from the ratification of the amendments for properties of special nature such as mines, industrial and touristic buildings, airports and ports.