Tax is imposed on the taxpayer whether a natural or corporate person having the right to own, acquire, usufruct or use the real estate even if the right deed is not notarized.
An annual tax would be levied on constructed real estate regardless of their building materials or the purposes they are used for, be they permanent or not, and whether they are constructed on land or beneath it or on water, occupied against compensation or not, and whether they are completely constructed and occupied or completely constructed and not occupied, or rather occupied but not completely constructed. Tax would apply to all constructed real estate and those subjects of the same treatment all over the country.
Tax rate is 10% of the annual rental value of residential and non-residential units after deducting 30% to cover the cost in respect of the premises used for residential purposes including maintenance and 40% in respect of premises used for on-residential purposes.
Our business tax practice provides advice on a range of issues, considering your specific needs and objectives. With support from our experts, you can make better decisions regarding tax and stay compliant.
KPMG Egypt will provide a dedicated team of compliance specialists to undertake the technical review of the real estate tax return and assist in the filing process.
How we can help
The KPMG team can assist you in:
- Understanding how to comply with the real estate tax;
- Identifying taxable and exempt real estate transactions in your work stream;
- Assist in reviewing and filing of the tax returns.