Can I Claim Software and Subscriptions as a Business Expense in Egypt?
Yes. Software, cloud tools and online subscriptions used for the business are normal costs of an Egyptian company.
Finn does your books in Egypt
AccountsOS keeps the books for Egypt businesses, tracks tax deadlines and handles expenses, in plain English. Ask Finn about yours, no signup needed.
What Egyptian Tax Authority (ETA) says
A cost must relate to the business activity to be deducted from profit. Your accountant makes the adjustments from accounting profit to taxable profit. Keep the supplier invoice. 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. A foreign SaaS supplier does not issue ETA e-invoices; ask your accountant how the VAT on a service bought from abroad is recorded. An annual plan paid in advance covers several months, and your accountant may spread it over the period it covers rather than book it all in the month it was paid.
When you can claim
- Accounting, invoicing and project software used for the business
- Cloud storage and hosting
- Domain names and website hosting
- Design and development tools used for client work
- Paid seats used by staff
- Annual plans paid in advance, spread over the months they cover
- Security and backup software for company devices
When you cannot claim
- Personal streaming or entertainment subscriptions
- Software used mainly for private purposes
- Tools bought for a different company
- Apps bought for a director's family
Good to know
Pro tip: Put business subscriptions on a company card so every charge has a supplier invoice behind it. Forward software receipts to Finn as they arrive. It matches each one to the bank or card payment and flags a charge with no invoice behind it.
Important: Check that an Egyptian supplier's invoice is an ETA e-invoice carrying your company's name and Tax Registration Number.
Related expenses
Stop guessing what you can claim in Egypt
AccountsOS automatically categorises expenses with Egyptian Tax Authority (ETA)-aware rules and tells you exactly what is claimable.
Try Free