The Egyptian Government has given its approval to amendments modifying specific provisions within Tax Law No. 91 of 2005.
The following amendments affect payroll for the 2024 tax year with effect from 1 March 2024:
- Increasing the zero-rated bracket from EGP 30 000.00 to EGP 40 000.00.
- Raising the annual personal exemption from EGP 15 000.00 to EGP 20 000.00.
Click here for Official Gazette in Arabic.
Tax Tables
Annual Individual Income Tax Tables March 2024:
| Tax Rate | Up to
600 000.00 |
600 000.00 –
700 000.00 |
700 000.00 –
800 000.00 |
800 000.00 –
900 000.00 |
900 000.00 –
1 200 000.00 |
More than
1 200 000.00 |
| 0% | Up to
40 000.00 |
– | – | – | – | – |
| 10% | 40 000.00 –
55 000.00 |
Up to
55 000.00 |
– | – | – | |
| 15% | 55 000.00 –
70 000.00 |
55 000.00 –
70 000.00 |
Up to
70 000.00 |
– | – | |
| 20% | 70 000.00 –
200 000.00 |
70 000.00 –
200 000.00 |
70 000.00 –
200 000.00 |
Up to
200 000.00 |
– | |
| 22.5% | 200 000.00 –
400 000.00 |
200 000.00 –
400 000.00 |
200 000.00 –
400 000.00 |
200 000.00 –
400 000.00 |
Up to
400 000.00 |
– |
| 25% | 400 000.00 –
1 200 000.00 |
400 000.00 –
1 200 000.00 |
400 000.00 –
1 200 000.00 |
400 000.00 –
1 200 000.00 |
400 000.00 –
1 200 000.00 |
Up to
1 200 000.00 |
| 27.5% | More than
1 200 000.00 |
More than
1 200 000.00 |
More than
1 200 000.00 |
More than
1 200 000.00 |
More than
1 200 000.00 |
More than
1 200 000.00 |
Taxpayers with a higher net taxable income are not allowed to avail of the lower tax brackets:
- The annual net taxable income ranging between 600 000.00 and 700 000.00 is not eligible for the 0% tax bracket.
- The annual net taxable income ranging between 700 000.00 to 800 000.00 is not eligible for the 0% and 10% tax brackets.
- The annual net taxable income ranging between 800 000.00 and 900 000.00 is not eligible for the 0%, 10%, and 15% tax brackets.
- The annual net taxable income ranging between 900 000.00 and 1 200 000.00 is not eligible for the 0%, 10%, 15%, and 20% tax brackets.
- The annual net taxable income above 1 200 000.00 is not eligible for the 0%, 10%, 15%, 20%, and 22.50% tax brackets.
Simplified Tax Tables
| Lower Income Limit | Upper Income Limit | Income Threshold | Marginal Rate | Tax on Threshold |
| 0.00 | 40 000.00 | 0.00 | 0.00% | 0.00 |
| 40 000.00 | 55 000.00 | 30 000.00 | 10.00% | 0.00 |
| 55 000.00 | 70 000.00 | 45 000.00 | 15.00% | 1 500.00 |
| 70 000.00 | 200 000.00 | 60 000.00 | 20.00% | 3 750.00 |
| 200 000.00 | 400 000.00 | 200 000.00 | 22.50% | 29 750.00 |
| 400 000.00 | 600 000.00 | 400 000.00 | 25.00% | 74 750.00 |
| 600 000.00 | 700 000.00 | 600 000.00 | 25.00% | 128 750.00 |
| 700 000.00 | 800 000.00 | 700 000.00 | 25.00% | 156 500.00 |
| 800 000.00 | 900 000.00 | 800 000.00 | 25.00% | 185 000.00 |
| 900 000.00 | 1 200 000.00 | 900 000.00 | 25.00% | 215 000.00 |
| 1 200 000.00 | 99 999 999 999.00 | 1 200 000.00 | 27.50% | 290 000.00 |
Impact of the Egypt Income Tax Amendments on PaySpace
- All open runs have been recalculated.
- The revised tax brackets have been implemented effective 01 March 2024.
- If customers make use of the “average tax method”, then employees should be terminated and reinstated starting a new tax record.
- If customers make use of the “non cumulative tax method”, then this tax method can be used for the remainder of the tax year.
- The annual personal exemption limit increased from EGP 15 000.00 to EGP 20 000.00.
- Some employees will experience a decrease in tax.
Should you have any questions regarding the Egypt Income Tax Amendments, please feel free to visit our Support page for more ways to get in touch, or email us at [email protected]
The PaySpace Team