Mohamed Maait, Minister of Finance, said that the government, despite the challenges imposed by the novel coronavirus (COVID-19) crisis, fulfilled its obligations to add the periodic bonus for public workers subject to the Civil Service Law.
The added bonus was due on 1 July 2020 at a rate of 7% of basic wage with a minimum of EGP 75 per month.
Other public employees who are not subject to the Civil Service Law received a special bonus at a rate of 12% of the basic wage on 30 June 2020, or upon appointment for those starting work after this date, with a minimum of EGP 75 per month.
The minister added that the year 2020 witnessed the approval of an additional incentives package to improve the wages of workers in the health sector, teachers and assistants in the public and Al Azhar pre-university education sector, who represent 60% of the employees in the state’s administrative apparatus.
He emphasised that the new amendments to the income tax law contribute to establishing the foundations of tax justice progressively, improving tax brackets, and increasing tax savings for the lower, middle and upper middle classes. Additionally, the tax exemption was increased by 60%, as the exempted bracket for each taxpayer was raised from EGP 8,000 to EGP 15,000, in addition to increasing the exemption limit for salaried employees from EGP 7,000 to EGP 9,000, making the annual income for those with a salary up to EGP 24,000 exempted from taxes.