The minister explained that the guideline issued by the ministry yesterday only clarifies the tax treatment of circulating securities in order to facilitate for financiers and in implementation of the provisions of the laws in force and in force now.
The Egyptian stock market indices declined significantly in trading today, Monday and yesterday, after the Ministry of Finance issued this guide, which raised questions and concerns about renewed talk about imposing new taxes on stock transactions, the tax treatment mechanism and the standards to be set regarding stock exchange transactions.
The EGX30 index declined by 1.1% to reach the level of 10972.37 points, and the EGX100 index fell by 3.2% to reach the level of 3791.58 points, while the EGX70 index fell by 3.6% to reach the level of 2819.73 points.
The indicative guide includes the chronology of amendments to the Income Tax Law, as well as the Stamp Tax Law, and the method, date and rates for the application of income tax on capital gains resulting from the disposal of securities and treasury bills, whether restricted or not on the Egyptian Stock Exchange.
The Minister of Finance said that this guide comes within the Ministry of Finance’s approach to supporting transparency, simplifying and clarifying procedures for financiers, which is what financiers and dealers always demand, and aims to explain the correct tax treatment in a way that contributes to sparing financiers dealing in securities any problems or falling under the law. ; As a result of lack of clarity or wrong application of the tax.