# Can I claim Accountant and Audit Fees as a business expense in Egypt?

**Yes, fully claimable.** Yes. Fees for bookkeeping, tax returns and audit are costs of running the business.

Typical amount: Varies with the size of the business and the number of filings. Many firms charge a monthly fee for VAT and payroll work and a separate fee for the annual return and the audit. Clean books usually cost less to close.

## What Egyptian Tax Authority (ETA) says

Professional fees for the company's own accounts and returns relate to the business. Keep the e-invoice from the firm. Purchase VAT is deductible only on a valid ETA e-invoice from an Egyptian supplier. Since 1 July 2022 VAT on a paper invoice is not deductible except in the cases the executive regulations allow. The firm should issue its e-invoice to the company's Tax Registration Number. An invoice in a director's personal name is weak support in an ETA audit.

## When you can claim

- Preparing the annual income tax return
- Monthly VAT and payroll filings
- Statutory audit of the financial statements
- Tax advice on the simplified regime or a specific transaction
- Help with the e-invoicing set-up
- Advice on Form 41 withholding
- Company secretarial work for shareholder meetings
- Legal fees for company contracts
- Fees for registering the company for VAT

## When you cannot claim

- The owner's personal tax affairs unrelated to the business
- Fees for another company in the group
- Fines and late payment charges paid to the ETA

## Good to know

**Pro tip:** Ask for one e-invoice per engagement so fees are easy to match to the work. Send Finn each e-invoice from the firm as it arrives so the fees are matched to the bank payments before the year end.

**Important:** Fees for advice on forming the company may need different treatment from running costs. Ask your accountant. Finn keeps the books ready for your accountant, but it is not a registered accountant and does not file anything with the ETA.

Source: https://eta.gov.eg/en/home

## Related expenses

- [Software and Subscriptions](https://accounts-os.com/eg/expenses/software-subscriptions-egypt)