What tax exemptions do expats get in Egypt?

Egyptian Income Tax Law No. 91 of 2005 provides several exemptions that can reduce your taxable income. Under Article 13, the key exemptions available include:

• A 4,000 EGP annual personal exemption deducted from your total income
• Social insurance contributions made under Egyptian law
• Additional exemptions that may be granted under other special laws

Combined with the 5,000 EGP tax-free income threshold in Article 7, a resident taxpayer can effectively shelter a meaningful portion of their income from tax before the progressive rates kick in.

Certain categories of income are also fully exempt from tax. Under Article 12, pensions and severance allowances are not subject to income tax — relevant if you receive a pension from a previous employer. It is also worth noting that Article 20 exempts profits from asset revaluations in specific business restructuring scenarios, which may apply to expat business owners.

Importantly, most of these exemptions apply only to resident taxpayers. Non-residents are generally taxed at a flat rate on gross Egyptian-source income under Article 11, without access to the personal exemption or progressive brackets. If you recently became a tax resident, make sure your employer's payroll is applying the correct exemptions, and consider speaking with a licensed Egyptian tax consultant to ensure you are not overpaying.