Egyptian VAT returns
VAT registered businesses must submit returns on a monthly basis. Returns are due up to two months after the reporting period.
Penalties for non-payment of due VAT include 1.5% per month of the outstanding amount.
Egyptian tax point
The time at which VAT becomes due on any supply is known as the tax point. In Egypt, it is the earliest of the following events:
- Delivery of the goods or services;
- Payment for the supply of goods or services; or
- Issuance of a sales invoice.
Import VAT is due at the border and is payable to Customs prior to clearing the goods into the country. The tax point for continuous supply of services is generally each time an invoice is raised. Prepayments for goods or services creates a tax point.
Egyptian VAT invoices
The following information should be included on all VAT invoices to ensure the customer may reclaim the output VAT:
- Unique invoice number
- Supplier names, including address
- Tax and Registration number
- Description of services or goods supplied
- Customer name and address
Invoices may not be made out in foreign currencies.