Parliament’s plan and budget committee approved the Presidential decree no. 614 for 2022; regarding the mutual administrative assistance of the 2010 protocol’s modified tax matters.
The decree, which demands banks to disclose exchange information for nationals of state, was approved during the committee’s meeting on Tuesday, in the presence of government representatives.
In December, the Egyptian government proposed new amendments on the uniform tax law measures, demanding banks to disclose exchange information in order to fulfill international tax agreements which Egypt is a part of.
The explanatory memorandum of the 2010 agreement revealed its aim for preventing tax evasion for all included parties.
“As a part of an agreement activated in 2010 by G20, Egypt can be required to provide and confirm transactions belonging to nationals of state to ensure clean tax records and vice versa” Deputy Minister of Finance, Ramy Mohamed previously stated in a meeting with the committee.
“The agreement exists since 1980, and has the membership of 145 countries” he added.
Member countries of the agreement can exchange information whether on-demand or unprompted, execute tax checks, contribute in restitution of property and facilitate mutual auditing processes.
The taxes within the agreement encompass all obligatory payments for the government including taxes on income and capital gains with the exclusion of customs duties.
Furthermore, the agreement acknowledges several limitations on the cooperation between countries in order to ensure ultimate secrecy and protection for personal information.
Source: Egypt Today Magazine