The Small, Medium, and Micro Enterprises Development Law provides an integrated package of facilities and advantages for project owners, the most important of which are the tax advantages and incentives announced by the Ministry of Finance, Minister of Trade and Industry and CEO of the Small, Medium and Micro Enterprises Development Agency Nevine Gamea stated.
Gamea said that the law provides a simplified tax system for the medium, small and micro enterprises sector, and the volume of sales or business is determined through a simplified tax return that the project owner prepares once a year and does not require books, documents or purchase invoices.
She explained that according to the new law, if sales or businesses are less than LE 250,000, the tax is LE 1,000 annually, and if it is less than LE 500,000, the tax is LE 2,500, and if it is less than LE 1 million, the tax is LE 5,000 annually.
“If sales or businesses range from LE 1 to 2 million, the tax is 0.5 percent of the volume of sales or business, and if it ranges from LE 2-3 million, the tax is 0.75 percent, and if it ranges from LE 3-10 million, the tax is 1 percent.” .
Gamea indicated that the medium, small and micro enterprises are exempted from the stamp tax, notarization fees and the month of establishment contracts for companies and establishments, credit facilities contracts, mortgage and land registration contracts, and customs duties will be reduced from 5 percent to 2 percent on machinery, equipment and devices necessary for the activity.
She stated that these advantages, tax incentives and various facilities provided by the law will be activated through the branches of the Enterprise Development Authority after the issuance of the executive regulations that were prepared by the agency and all ministries and agencies concerned with the small enterprises sector, including the Ministry of Finance Where the role of each party will be determined and the services it will provide to project owners and citizens wishing to benefit from the law.