Content creators with revenues above EGP 500,000 per year will have to apply for value-added taxes (VAT) as well
Photo by AQVIEWS on Unsplash
Content creators will be joining the formal economy as the Egyptian Tax Authority (ETA) called on digital media/content creators (bloggers, YouTubers, and similar) to register for income tax.
The ETA requested that all digital content creators register through the Tax Authority office, opening a tax file for relevant income taxes, explained head of the Egyptian Tax Authority, Reda Abdel Kader.
Content creators with revenues above EGP 500,000 per year will have to apply for value-added taxes (VAT) as well.
The tax authority included a request for companies and individuals that use social media networks for e-commerce to register for income tax and VAT.
Related > FinMin announces pilot launch of new e-receipt system
According to Abdel Kader, all companies that engage in commercial or non-commercial activities (activities of liberal professions) are subject to income tax in accordance with Law 91 of 2005, and must register and declare revenues as of the date of the start of the activity.
Abdel Kader explained that there are three types of companies that engage in e-commerce activity; for sales and distribution, those that use the internet as a platform to display products and services and facilitate comparison processes, and those that rely solely on social media/online platforms to sell and distribute.
Abdel Kader said that ETA allocated hotline 16395 to receive inquiries related to taxation of e-commerce and online content creation activities.
