# Egypt

 Country code: EG · Currency: EGP · Language: Arabic

**Pros**
- Strategic geographic position linking global trade routes through the Suez Canal.
- Access to an abundant, young, and cost-effective labor force for scaling.
- Massive state investment in modern transport infrastructure and new urban developments.

**Cons**
- Significant military involvement in the economy hindering fair private sector competition.
- Opaque regulatory environment and heavy bureaucratic requirements for business operations.
- Persistent currency volatility and high inflation impacting long-term capital stability.

Long story short: In Egypt, your real enemy isn't the tax office, it's the central bank: getting your dollars out is a nightmare of currency shortages and pound devaluations.

On the flip side, the tax burden stays light since the administration lacks both the means and the will to check much, and corruption stays small time, easy to dodge petty bribes. In neighborhoods like Zamalek, security isn't your problem.

Other things worth knowing: infrastructure keeps improving, power cuts are still frequent, food is generous and cheap, and the scenery between the Nile and the desert is stunning.

## Will your income be taxed?

Long story short: YES, A LOT.
Income gets *fleeced* in **Egypt** (top marginal rate **27.5%**), but the residency test is surprisingly hands-off.

The bill is brutal for residents; the whole game is simply not to become one by accident.

**01.1 Income tax**

| Metric | Value | Detail |
| --- | --- | --- |
| Personal income tax | 0 → 27.5% | progressive · 7 brackets |

| Bracket (USD) | Rate |
| --- | --- |
| 0 – 797 | exempt |
| 797 – 1,095 | 10% |
| 1,095 – 1,394 | 15% |
| 1,394 – 3,983 | 20% |
| 3,983 – 7,966 | 22.5% |
| 7,966 – 23,898 | 25% |
| 23,898 + | 27.5% |

**01.2 Tax residence test**

_A single active rule is enough to make you tax-resident._

| Metric | Value | Detail |
| --- | --- | --- |
| 183-day rule | exists here |  |
| Economic interest | does not exist here |  |
| Family centre | does not exist here |  |
| Habitual abode | exists here |  |
| Extended-stay test | does not exist here |  |

## Will your wealth be taxed?

Long story short: YES, A LOT.
**Egypt** shears capital gains hard (**27.5%** at the top), but at least it stops there: no annual wealth levy, no inheritance regime.

Selling is the trigger; as long as you don't pull it, the position compounds untouched.

**02.1 Investment income**

| Metric | Value | Detail |
| --- | --- | --- |
| Capital gains | 27.5% | progressive |

| Bracket (USD) | Rate |
| --- | --- |
| 0 – 797 | exempt |
| 797 – 1,095 | 10% |
| 1,095 – 1,394 | 15% |
| 1,394 – 3,983 | 20% |
| 3,983 – 7,966 | 22.5% |
| 7,966 – 23,898 | 25% |
| 23,898 + | 27.5% |

| Metric | Value | Detail |
| --- | --- | --- |
| Dividend tax | 5% | progressive · +5% Dividends paid by Egyptian companies unlisted on the EGX to resident or non-resident shareholders |
| Interest income | 27.5% | progressive |

| Bracket (USD) | Rate |
| --- | --- |
| 0 – 797 | exempt |
| 797 – 1,095 | 10% |
| 1,095 – 1,394 | 15% |
| 1,394 – 3,983 | 20% |
| 3,983 – 7,966 | 22.5% |
| 7,966 – 23,898 | 25% |
| 23,898 + | 27.5% |

**02.2 Wealth & estate**

| Metric | Value | Detail |
| --- | --- | --- |
| Wealth tax | NONE | no annual wealth tax · no real-estate wealth tax · no net-worth assessment |
| Inheritance system | NONE | no estate tax · no heir-based duties · no succession tax framework. Wealth transfers across heir-classes are not taxed in this jurisdiction. Only standard probate / registration fees may apply. |

**02.3 Crypto**

| Metric | Value | Detail |
| --- | --- | --- |
| Crypto · tax regime | UNREGULATED | Fallback rate: 27.5% · Cryptocurrency trading and issuance are strictly prohibited under Article 206 of the Central Bank and Banking System Law No. 194 of 2020. Despite the ban, the Egyptian Tax Authority (ETA) maintains that all income, including that from illegal or unlicensed activities, is subject to progressive income tax. The top marginal rate was increased to 27.5% in 2023 for income exceeding 1.2 million EGP. |
| Crypto-to-crypto | TAXABLE | each swap counts as a disposal — gains realised at every trade |
| FATF travel rule | NOT SIGNED | no information-sharing obligation on VASP transfers |

## Easy to run a company there?

Long story short: NO.
Corporate tax in **Egypt** is **22.5%**, but the rate isn't what hurts. *Misuse of corporate assets is a criminal offense*; the textbook case is the French *abus de biens sociaux*: spend your own company's money on yourself and you can end up prosecuted, even as sole shareholder, because the company is a separate legal person and your consent means nothing.

And the *registries are public*: your name as shareholder, free to browse.

For an owner-operator, those two together weigh far more than the rate, and unlike the rate they don't negotiate. Run it clean and you're fine; run it casually and you'll get burned.

**03.1 Rates**

| Metric | Value | Detail |
| --- | --- | --- |
| Corporate tax | 22.5% | flat · +18.1% oil exploration companies (total rate 40.55%) · +17.5% Suez Canal Authority, Egyptian Petroleum Authority, and Central Bank of Egypt (total rate 40%) |
| VAT standard rate | 14% | single rate · no reduced tiers |

| VAT family | Category | Rate |
| --- | --- | --- |
| Construction | construction | 14% |

**03.2 Regime & registry**

| Metric | Value | Detail |
| --- | --- | --- |
| IP Box · Patent Box | NONE | no IP regime · IP income taxed under standard corporate rules |
| Misuse of corporate assets | CRIMINAL | criminal liability · Article 163, Clause 3 of Law No. 159 of 1981 (Companies Law) · Egypt follows the 'Autonomy of the Legal Entity' principle, meaning a company is a separate legal person from its owner. Under Article 163(3) of the Companies Law, any manager who uses company funds for personal purposes contrary to the company's interests commits a criminal offense (misdemeanor). This applies to sole shareholders because the company's assets are legally distinct from their personal property. The act is punishable by imprisonment and fines regardless of the company's solvency, as the company itself is considered the victim of the asset depletion. |
| Shareholders privacy | PUBLIC PAYWALL | Commercial Registry (Internal Trade Development Authority - ITDA) |
| Directors privacy | PUBLIC PAYWALL | Commercial Registry (Internal Trade Development Authority - ITDA) |

**03.3 Incorporation cost**

_In this country, the most standard company form is called شركة ذات مسؤولية محدودة (Limited Liability Company (LLC)). The costs below are for incorporating a company in its simplest form, for reference only._

| Metric | Value | Detail |
| --- | --- | --- |
| Government Registration & GAFI Administrative Fees | USD 50 |  |
| Bar Association Authentication & Notary Fees | USD 119 |  |
| Professional Legal & Incorporation Services | USD 896 |  |
| Total | USD 1,065 |  |

## A good fit for a holding?

Long story short: NOT REALLY.
**Egypt** has a *moderate* **49**-treaty network, but no participation exemption: dividends from subsidiaries land straight in the corporate schedule (**22.5%**).

Fine for operational subsidiaries; as a pure holding base, you're feeding the local taxman at every distribution.

**04.1 Substance & exemptions**

| Metric | Value | Detail |
| --- | --- | --- |
| Territorial · individuals | WORLDWIDE | worldwide income taxation regardless of source |
| Territorial · corporates | WORLDWIDE | worldwide corporate taxation |
| Participation exemption | NONE | no dividend participation exemption regime |
| CFC rules | NONE | no controlled foreign corporation regime · foreign-source corporate income out of scope |

**04.2 Withholding tax · non-resident**

| Metric | Value | Detail |
| --- | --- | --- |
| WHT · dividends | 10% | non-resident outbound |
| WHT · interest | 20% | non-resident outbound |
| WHT · royalties | 20% | non-resident outbound |
| Tax-haven WHT | NONE | no punitive rate on record |

**04.3 Treaty network**

| Metric | Value | Detail |
| --- | --- | --- |
| Treaties signed | 42 | active |
| Treaties pending | 7 | in negotiation |

## Easy to come and go?

Long story short: SOME.
**Egypt** taxes your worldwide income while you're resident, but at least the exit is free: *no exit tax* on the way out.

Leaving costs you paperwork, not money; your unrealised gains walk out the door with you, untouched.

**05.1 Exit & dual nationality**

| Metric | Value | Detail |
| --- | --- | --- |
| Exit tax | NONE | no triggers active · residence change tax-free · no deemed-disposal mechanism |
| Dual citizenship | FORBIDDEN | naturalisation requires renouncing existing citizenship |

**05.2 Citizenship paths**

| Metric | Value | Detail |
| --- | --- | --- |
| Residence | 10 years | available path to naturalisation |
| Marriage | — | not available |
| Birth | — | not available |
| Descent | — | not available |
| Investment | available | available path to naturalisation |

## Is your money watched?

Long story short: NO.
Foreign tax offices see next to nothing of what you do in **Egypt**: it has signed *few exchange frameworks*.

But the *corporate registries are public*: your shareholdings and directorships are one search away for anyone curious. Invisible from abroad, on display at home.

**Multilateral reporting frameworks — 1/9 active · 2 pending**

| Item | Status | Detail |
| --- | --- | --- |
| CRS | None | — |
| CARF | None | — |
| FATCA | None | — |
| MLI | In force | 2020 |
| BEPS | Signed | — |
| MAAC | None | — |
| GLOBAL FORUM | Signed | — |
| EOIR | None | — |
| CRYPTO TRAVEL RULE | None | — |

## Is it blacklisted?

Long story short: NO.
**Egypt** sits on no major blacklist, though it's *outside* the FATF club.

Some counterparties will run a bit of extra due diligence out of habit, but there's no formal stigma: you won't get hassled for dealing with it.

**Blacklist exposure — Clear everywhere**

| Item | Status | Detail |
| --- | --- | --- |
| EMBARGO | Clear | un / us / eu sanctions |
| FATF | Clear | grey / black list |
| EU | Clear | non-cooperative list |
| FRANCE | Clear | ETNC list |
| SPAIN | Clear | tax-haven list |
| PORTUGAL | Clear | favourable regimes |
| BRAZIL | Clear | low-tax list |

## Do you feel free there?

Long story short: NO.
Press freedom in **Egypt** is *locked down* (RSF rank **\#170**). Independent media and civic space operate under pressure (when they operate at all), and that kind of grip usually spills over into economic life too.

Small mercy: crypto isn't formally banned.

**08.1 Press freedom**

| Metric | Value | Detail |
| --- | --- | --- |
| Press freedom · RSF index | 170/180 | score 24 · · 0 rank year-on-year |

Central bank digital currency

    Program Status Cross-border Sources     Egypt CBDC

The Central Bank of Egypt (CBE) says that a CBDC can enhance the competitiveness of the national currency and increase the efficiency of monetary policy, and exploit opportunities provided by digital transformation to further develop the Egyptian financial sector.

Central Bank of Egypt (CBE)

   RESEARCH   —   [announce →](https://www.egyptindependent.com/egypt-aims-to-launch-digital-currency-by-2030/ "Announcement")

 programs 1

## Connected to the world?

Long story short: SOMEWHAT CONNECTED.
**Egypt** is only half-plugged in, and it's the half that hurts. *Stripe* won't take local businesses: to charge cards you'll be shopping for workarounds (a foreign entity, a local PSP, a merchant of record).

*Amazon*, at least, delivers to your door. **5/11** of the services we track run here.

**Accept payments — 2/6 available**

| Item | Status | Detail |
| --- | --- | --- |
| Stripe | Not available | card payments |
| PayPal | Not available | wallet payments |
| Adyen | Available | enterprise psp |
| Mollie | Not available | eu payments |
| GoCardless | Not available | direct debit |
| Paddle | Available | merchant of record |

**Bank and move money — 1/3 available**

| Item | Status | Detail |
| --- | --- | --- |
| Wise | Available | multi-currency |
| Revolut | Not available | personal banking |
| Revolut Business | Not available | business banking |

**Buy and sell on Amazon — 2/2 available**

| Item | Status | Detail |
| --- | --- | --- |
| Amazon | Available | consumer delivery |
| Amazon Seller | Available | marketplace selling |

  SEE ALSO## Other jurisdictions worth comparing

Picked by similarity of strategic profile to Egypt. No editorial ranking — neighbours in the same scoring space.

  PROFILE-ADJACENT Same shape, comparable overall friction.

 [   Bangladesh BD  → ](https://stateless.sx/en/country/bd) [   Madagascar MG  → ](https://stateless.sx/en/country/mg) [   Mauritania MR  → ](https://stateless.sx/en/country/mr)

  NOTABLY MORE FAVORABLE Same family of strategies, higher total score.

 [   Timor-Leste TL  → ](https://stateless.sx/en/country/tl) [   Kazakhstan KZ  → ](https://stateless.sx/en/country/kz) [   Armenia AM  → ](https://stateless.sx/en/country/am)

  NOTABLY LESS FAVORABLE Same family of strategies, lower total score.

 [   Mali ML  → ](https://stateless.sx/en/country/ml) [   Gabon GA  → ](https://stateless.sx/en/country/ga) [   Bhutan BT  → ](https://stateless.sx/en/country/bt)