New tax measures published

Law 114 of 2008 (the Law) was published in the Egyptian Official Gazette dated 15 May 2008. The Law, which became applicable on 5 May 2008, contains the following measures:

Direct taxes

The exemption from income tax of interest derived from treasury bills has been abolished. Accordingly, interest derived by corporate entities on treasury bills issued after 5 May 2008 is subject to tax as ordinary income. However, when the recipient is a non-resident, withholding tax is applicable…