The Ismail government pulled the value-added tax (VAT) bill from consideration by the House of Representatives and will return an amended bill for consideration this week. Cabinet approved the amended bill during its weekly meeting yesterday, according to Al Masry Al Youm. Deputy Finance Minister for tax policy Amr El Monayer said the amendments include the imposition of a 0.5% fine for late filing of returns as well as changes to procedures for how the VAT is accounted for in income tax filings. El Monayer said the bill will also clamp down on tax evasion, making clear that a difference of 10% or more between a company filing and a Tax Authority audit would be regarded as criminal tax evasion; a difference of less than 10% would be seen purely as an administrative matter. For the education sector, El Monayer tells Al Mal that only international schools will be subject to 10% VAT; other institutions, including private schools, are exempt. The amended VAT bill will return to the House of Representatives this week.