The House of Representatives approved, during its plenary session today, led by Councilor Dr. Hanafi Gabaly, a bill presented by the government regarding the granting of certain concessions to Egyptians residing abroad, which includes the exemption of cars Egyptians abroad from taxes and customs.
“The law is very important to the Egyptian state,” Gebali said, “and the bill includes the exemption of Egyptian cars abroad from taxes and customs.”
And to the text of the law approved by the Council:
(Article 1)
Notwithstanding the rules and provisions governing taxes and duties due to the importation of cars for personal use, the customs exemption provisions established pursuant to the Customs Law promulgated by Law no. 207 of 2020, and the import controls established in the same regard, an Egyptian who has a valid residence abroad has the right to import a private car for personal use, exempt from taxes and charges that should have been paid for the release of the car, including value added tax and service tax, according to the rules and provisions of this law, against the payment of a cash amount in foreign currency, for which no refund is due, transferred from ‘foreign in favor of the Ministry The financial position on one of the bank accounts determined by the decision referred to in Article (8) of this law, 100% of the value of all taxes and fees that had to be paid for the release of the car , including value added tax and program tax, and is refunded after five years from the payment date of equal value, in the local equivalent of the foreign currency in which it was paid, and at t ace of exchange announced by the Central Bank at the time of redemption.
(Article 2)
An Egyptian wishing to benefit from the provisions of this law, by paying the cash amount provided for in article 1 of this law, must satisfy the following:
1. Have a valid legal residence outside the country.
2. Must be at least 16 full Gregorian years old.
3. Must have a bank account abroad, at least three months have passed since opening.
An exception to this condition is the spouse of an Egyptian resident overseas and their children, if the remaining conditions set out in this article are met for them.
(Article 3)
A car imported by a person other than the first owner, according to the provisions of this law, must not be more than three years old, on the date of entry into force of its provisions, from the year of manufacture.
(Article 4)
The Egyptian who wishes to benefit from the provisions of this law registers his data, and the data of the vehicle to be imported, and pays the amount in cash provided for in article 1 of this law, and in exchange obtains an import authorization which demonstrates full payment and vehicle data, and this approval is valid for completing the import procedures and the release of the imported car for a period of one calendar year from the date of its release, all in the manner determined by the decision referred to Article (8) of this law. The value, in the local equivalent of the foreign currency in which it was paid, and at the exchange rate announced by the Central Bank at the time of redemption, without interest.
(Article 5)
The Egyptian who intends to benefit, in any capacity, from the provisions of this law, can replace another car with the one registered in the import approval referred to in article (4) of this law, provided that he transfers from ‘foreign, in the same currency, the value of the difference for the amount of any increase in Taxes and duties that should have been paid, and an import authorization is issued with the data of the new car, without exceeding the period validity of the previous import approval.
(Article 6)
The provisions of this law are without prejudice to the customs exemptions provided for by international agreements
of which the Arab Republic of Egypt is a part.
(Article 7)
It constitutes a crime of smuggling, and in this regard the procedures envisaged by the Customs Law promulgated by Law no. .
(Article 8)
The Council of Ministers issues, within two weeks from the date of entry into force of the provisions of this law, on the proposal of the Minister of Finance, after coordination with the Central Bank and the competent authorities, the decision to implement its provisions, accompanied by tables the values of the cash amounts and the type of foreign currency payable according to the provisions of article (1) of this law, distributed according to the types and categories of cars and their origin.
(Article 9)
To benefit from the provisions of this law, the cash amount referred to in article (1) must be transferred within a period not exceeding four months from the date of execution of the decision referred to in article (8) of this law.
(Article 10)
This law will be published in the Official Gazette and will enter into force from the day following the date of its publication. This law will be stamped with the seal of the state and will be applied as one of its laws.
