# How are dividends taxed in Egypt?

Last updated: 25 October 2026
Country: Egypt
Category: tax

**Quick answer:** Dividends distributed by companies carry a 10% tax, or 5% on shares listed on the Egyptian Exchange, with no deduction for costs.

## Detailed explanation

## The rule

Article 56 bis of the Income Tax Law (Law 199 of 2020) taxes dividends at 10%, or 5% on shares listed on the Egyptian Exchange (EGX). Dividends between resident legal persons are outside the base. Simplified-regime businesses are exempt.

## Undistributed profit

Profits of the permanent establishment of a non-resident company that are not distributed within 60 days after the financial year can be treated as distributed under that article. That rule does not apply to other companies.

## How AccountsOS helps

Finn records the dividend against retained earnings and shows the 10% tax.

Source: https://eta.gov.eg/sites/default/files/2024-03/law_no.199-2020.pdf

## Real-world examples

### Owner dividend

An EGP 100,000 dividend carries EGP 10,000 of tax.

## Common mistakes to avoid

- Recording a dividend as an expense

## Frequently asked questions

### Does a holding company pay it?

Dividends between resident companies are outside the base.

## Practical tips

- Agree dividends in writing before paying

## Related questions

- [What is the corporate tax rate in Egypt?](https://accounts-os.com/eg/questions/what-is-the-corporate-tax-rate-in-egypt)