The parliament’s Budget and Planning Committee will start discussing the amendments of the state resources development fees law No. 147 for year 1984 on Monday.
Hussein Eissa, head of the committee, said that the government passed the project to the parliament in April, but there was an agreement with the Finance Ministry to postpone the project until conditions are more suitable for carrying out amendments in a way that does not harm those with low incomes.
The Ministry of Finance said in the financial report of next fiscal year’s budget that some fees on development services not related to those with low-incomes will be reconsidered—most importantly, car licensing and mobile usage, in addition to other kinds of licenses.
Eissa said that he cannot predict the expected revenues from the amendments to be carried out on the current law, where they may increase or decrease in a way that does not harm those with low-income.
The government expects an increase of EGP 6bn or EGP 8bn in the proceeds of development in the next fiscal year to reach EGP 11.4bn.
The increases include the development fees of vehicles, new cars, travel tickets, and passports, in addition to consular procedures.
The imposed increases are also on the stamps of the subscription of water, electricity, gas, and landline consumption.
The development law was issued in 1984, and amendments were made to it in years 1986, 1989, 1991, 1994, and 1997.
The revenues of next year are estimated at EGP 843bn, including expected tax revenues of EGP 6.4bn.
The government plans to increase the rate of the value-added tax next fiscal year to 14%, compared to 13% last fiscal year.