News

Minister of Finance: Launching the new electronic system for salaries at the state level next January

Minister of Finance

Faneh Al-Sayeh

The Minister of Finance, Dr. Mohamed Maait, confirmed that next January, the new electronic system will be launched to prepare and manage the salaries and entitlements of workers in all sectors of the national economy, at the state level, with the various laws regulating their work; In a manner that contributes to the unification and automation of the rules, standards and procedures for calculating monthly “work and insurance tax” through the payroll system; So that the trial run will be completed during the month of December 2022, and extends to the rest of the financiers starting from January 2023 in stages, and the tax settlement for the year 2023 will take place according to the new system, because the annual settlement requires an electronic monthly entry since the beginning of the year; In a way that contributes to ensuring justice among all employees, fair competition between companies in estimating their expenses, and helps achieve the desired goals by strengthening the governance of the state’s financial system, laying the foundations for transparency, maximizing financial inclusion efforts, and collecting public treasury dues. 5253680924267952 The Minister added, that the new system is based on the establishment of a unified platform that is Through it, the taxes due on the salaries and entitlements of workers in all sectors of the national economy are calculated electronically, without the intervention of the human element, in a way that contributes to achieving tax justice, and making tax adjustments monthly; To reduce the gap in the annual settlement, facilitate settlement procedures between government employers and the private sector, and allow employees or financiers to extract an automated and certified document, with legal authenticity, from the website of the Tax Authority, proving the payment of taxes due on their wages. 034688 Ramy Youssef, Assistant Minister for Tax Policies, indicated that the electronic system for preparing and managing Salaries and entitlements of workers in all sectors of the national economy, based on a unified model for the tax withheld from all employees, that ensures the unification of the foundations of tax accounting and the calculation of tax differences monthly, pointing to the new electronic system that takes into account the variation in the variable wages of workers, the periodicity of disbursing their dues between companies, or the disbursement of quarterly or Semi-annual.

added that Calculating the tax under the new electronic system will be more easy, accurate and fair, as it is done automatically, explaining that the unified form for calculating the tax includes all income items in their various forms, to be included in the settlement.

Mukhtar Tov confirmed The head of the Tax Authority believes that the new electronic system receives data sent from various agencies in the sectors of the national economy, so that the electronic system for salaries is independent by itself, through which data is received and sent, pointing out that relying on technological solutions in calculating withholding tax reduces tax waste, and increases Rates of voluntary tax commitment.

Khaled Abdel Ghani, Managing Director of the Tax Solutions Technology and Operation Company (E-TAX), said that we aim to sustain the quality of the performance of electronic tax systems; Which leads to simplifying and mechanizing procedures, and facilitating the financiers or taxpayers, in a way that ensures the creation of a tax system comparable to the developed countries and encourages investment, pointing out that the gradual application of the electronic system for preparing and managing the salaries and entitlements of workers in all sectors of the national economy contributes to standing up to all obstacles. And the challenges that may unfold when implementing on the ground, and finding immediate solutions.

)