FEI exporters object to rebate for exporters who source inputs locally: The value-added tax (VAT) legislation apparently grants tax rebates for exporters who source production inputs domestically — provided they deposit all their export revenues in banks, Al Masry Al Youm reports. Exporters who are part of the Federation of Egyptian Industries (FEI) have balked at the incentive, which they feel will simply drive exporters to rely heavily on drawbacks from their exports to supplement their need for imports, said Mohamed El Bahay, head of the FEI’s taxation committee, adding that importers warned that this would drive-up prices in feeder industries significantly. On a related note, Bahay stated that the FEI dropped its objection to the EGP 500K mandatory minimum income to register for the VAT after receiving assurances from the Finance Ministry that it will set a separate law to include SMEs as part of the VAT system.