Remote work taxes in Egypt: what to know

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This guide is general information for people who live in Egypt and work remotely for employers or clients abroad. It isn't tax advice. Egypt's rules for small businesses and freelancers changed in 2025 and 2026, the official legal texts are in Arabic, and some details below come from reputable reporting rather than from the Egyptian Tax Authority (ETA) itself. We say which is which. Check with the ETA or a registered tax adviser before you act.

The rules and who runs them

The ETA runs income tax and VAT. Its English site lists the Income Tax Law, No. 91 of 2005, as the main income tax law. The law has been amended many times since; WIPO's legal database, for example, tracks a version amended up to Law No. 16 of 2020.

Two more recent changes matter for remote workers:

• Law No. 6 of 2025 created a simplified tax regime for small businesses, in force from 1 March 2025.
• The ETA has moved invoicing online. Its site runs the electronic invoice system for sales to businesses and the electronic receipt system for sales to individuals, plus a taxpayer portal for registration and returns.

Is income from foreign clients taxable?

Generally, yes, if you live and work in Egypt. Enterprise, an Egyptian business news service, explained in an October 2026 guide that the ETA taxes freelance earnings as income from "non-commercial professions" under Part Four of Law 91 of 2005, and that money from foreign clients counts as long as Egypt is the center of your work.

If you're a salaried employee of a foreign company, the picture depends on how you're employed. An employer of record that runs Egyptian payroll handles salary tax for you. If a foreign company pays you directly with no Egyptian payroll, ask the ETA or an adviser how to declare it, because that's where people most often go wrong.

Registering as a freelancer

Enterprise's guide sets out the steps as the ETA applies them:

• Register within 30 days of starting work, under Article 25 of the Unified Tax Procedures Law.
• Register at the tax office for your home or work address, or through the ETA's online portal.
• Bring your national ID, a lease or ownership contract for your work address, and a recent utility bill.
• Choose your activity code. You then get a tax card and a registration number.

Put the registration number on your contracts and invoices. Keep a copy of the tax card with your business papers.

The simplified regime under Law No. 6 of 2025

According to EY's summary of the law and statements by the ETA's head reported in the press, the regime works like this:

• It's open to businesses with annual turnover up to EGP 20 million, whether or not they were already registered for tax.
• Income tax is a small share of turnover, from 0.4% to 1.5% depending on the turnover band, instead of tax on profit.
• Members get an exemption from tax audits for five years and file VAT returns quarterly rather than monthly.
• You have to apply to the ETA, file returns on time, and use the ETA's e-invoice and e-receipt systems. Once you apply, you can't withdraw for five years.

Enterprise's guide lists the turnover bands like this:

So on turnover of EGP 400,000, the income tax under the regime would be 0.4%, or EGP 1,600, before any VAT. The tax is on turnover, not profit, so your costs don't reduce it.

The catch for remote contractors

EY reports that professional consulting businesses earning 90% or more of their revenue from one or two clients are excluded. Many remote contractors work for exactly one or two companies. If that's you, don't assume you qualify. Ask the ETA or an adviser first.

VAT and e-invoices

Enterprise's guide reports three points that surprise many freelancers:

• Most freelancers must register for VAT from their first day of work, whatever their income.
• Services sold to clients abroad are treated as exports and taxed at 0%. You still record them.
• You issue e-invoices to companies registered with the ETA and e-receipts to individuals.

These are the parts of Egyptian practice that change most often. Before you register, confirm your VAT position for your exact activity with the ETA's hotline, a tax office or an adviser.

Filing and records

Enterprise reports that the annual income tax return is filed between 1 January and 31 March for the previous year. If you stop working, it says you should tell your tax office within 30 days.

Keep these for every year:

• contracts with each client or employer abroad
• statements from any platform that pays you, such as a freelance marketplace or a payment service
• bank statements showing the pound amount received
• receipts for every expense you want to deduct
• copies of every e-invoice and e-receipt you issued

When to talk to a registered tax adviser

• You have one or two main clients and want to use the simplified regime.
• You're a salaried employee of a company abroad with no Egyptian payroll.
• You're not sure whether you need to register for VAT.
• Tax was withheld abroad, or you're moving into or out of Egypt.

Related reading: getting paid from abroad, contractor or employee, and remote jobs open to people in Egypt.

Sources

• Egyptian Tax Authority: Income Tax Laws
• Egyptian Tax Authority: English home page and portals
• WIPO Lex: Egypt Income Tax Law No. 91 of 2005 (record and versions)
• EY: Egypt introduces tax incentives and benefits for small enterprises
• Zawya: Simplified tax regime marks major step in supporting SMEs, ETA chief
• Enterprise: Your guide to registering as a freelancer in Egypt (October 2026)