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Monday, 17 September 2018

FinMin reaches agreement with Lawyers Syndicate on VAT

FinMin renews agreement with Lawyers Syndicate on VAT: The Finance Ministry renewed an agreement on Sunday with the Lawyers Syndicate that sets the value-added tax rates for their services. The agreement sets a flat VAT on each service or type of court proceeding undertaken by a firm. Representing clients or filing a motion in a district court (whether in civil or criminal suit) will taxed at EGP 20. VAT for proceedings in the Court of First Instance will be EGP 40 and EGP 60 for Court of Appeals proceedings. Lawsuits filed in the courts of cassation, administrative, constitutional, and international arbitration will have a VAT of EGP 200, Finance Minister Mohamed Maait said in a statement (pdf). The agreement will see the Justice Ministry issue receipts to lawyers and will send those receipts to the Tax Authority, said Justice Minister Hussam Abdel Rahim, who also signed the agreement. The agreement was initially signed in April 2017 and expired in April 2018. The Syndicate had been opposed to the initial agreement and vowed earlier this month to negotiate better terms.

Perhaps the rest of us should have hired lawyers to negotiate with the Tax Authority on our collective behalf when it was formulating the VAT?

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