How is salary tax calculated and paid in Egypt?
Pay is annualised, the EGP 20,000 personal exemption and the employee's social insurance share are deducted, and the Article 8 brackets apply. The employer pays within 15 days after the month.
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Detailed Explanation
## Calculation
The ETA unified payroll system annualises pay, deducts the EGP 20,000 personal exemption and the employee social insurance share, applies the Article 8 brackets and prorates the result.
## Payment and returns
- Pay the tax within 15 days after the month
- File Form 4 in January, April, July and October
- Simplified-regime members file payroll returns annually
## How AccountsOS helps
Finn tracks the dates and posts payroll journals from your payroll report. It does not quote bracket amounts from memory.
Source: https://eta.gov.eg/ar/node/1382
Real-World Examples
First hire
A company adds its first employee; Finn adds the monthly and quarterly payroll dates.
Common Mistakes to Avoid
- Taxing monthly pay without annualising
Frequently Asked Questions
What is the personal exemption?
EGP 20,000 a year.
Practical Tips
- Use the ETA payroll system for every calculation
Related Egypt Questions
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