The Egyptian government has approved the extension of a freeze on capital gains tax for three years starting May 17, according to state media.
The postponement of the tax was one of several exemptions issued by the Supreme Investment Council last year, according to reports in November.
Egypt introduced a 10% capital gains tax in July 2014 as it sought to raise government revenues, but suspended the tax the following year.
The government had been criticised for a lack of clarity in the laws, for instance failing initially to explain collection methods for the tax.
The International Monetary Fund, however, criticised Egypt in 2015 for suspending the tax, suggesting the tax was “fair” and that postponing it would spare wealthy people from making adequate contributions to the nation’s finances.
©2017 funds global mena