Are units used in commercial or industrial purposes different from the residential units in taxation?
Units used in commercial or industrial purposes are taxed with price of 10% after deducting 32% for maintenance and exemption limit of L.E. 1200. Commercial units differ from the residential units in the deducted ratio for maintenance. This ratio reaches 30% for residential units and 32% for non-residential units. Besides, residential units have tax exemption of L.E. 24000 for only unit for the family. The word 'family" when applying the rule of this article includes the taxpayer, spouse and minor children. On the other hand, the maximum increase due to re-estimation of rental value of the residential units is 30% every five years and it reaches 45% in case of the units used in non-residential purposes.
The real estate tax is due on the first of January of each year, and it gets two equal installments, the first until the end of June and the second until the end of December of the same year, and the taxpayer may pay it in full on the date of paying the first installment.
Property taxes
The taxpayer is the natural person or the legal person who has the right to own, use or utilize the property, where the tenant is not considered a taxpayer, but is a joint partner with the taxpayer to pay the tax within the approved lease.
Taxpayer
25% of the proceeds of the real estate tax will be directed to the governorates for spending on education and health, and 25% of the entire proceeds will be allocated for the purposes of developing and developing slums.