Egypt plan to withdraw the capital gains tax on stock market transactions, Asharq Business, an Arabic financial portal, reported, citing Minister of Investment and Foreign Trade Hassan El-Khatib.
The decision is expected within three weeks according to the government official.
The capital gains tax incurred from trading EGX-listed financial securities has been cancelled or postponed five times due to challenges in implementation and investor withdrawal following its announcement, the report said.
However, in May, English news portal Ahram Online reported that the government decided to apply the capital gains tax on shares and stakes listed in the Egyptian Stock Exchange starting from the tax season of March/April 2025, through the Egyptian Clearing Company.
Capital gains tax is a tax imposed on the profits realized from certain assets’ sale or disposal, including securities traded in the stock exchange market. The specific capital gains tax rates and regulations can vary between countries.
The Egyptian Stock Exchange (EGX) began collecting stamp tax in 2013, raising EGP 350 million ($7.23 million) in its first year when daily trading value did not exceed EGP 500 million.
When the tax was re-implemented in 2017, 2018 and 2019, the collection soared to EGP 354 million, EGP 583 million and EGP 729 million, respectively, Asharq Business said.
