Google will add 14 percent value-added tax (VAT) to its services in Egypt starting from 1 July, the announcement was made in an email sent by the tech giant to its customers on Friday.
The multinational technology company takes this decision to comply with changes to Egyptian law: Google announced it will charge VAT on “its e-services unless we have your Egyptian Tax ID number.”
Google has required the users of its services to submit their tax identification number (TIN) to track their tax obligations.
In March, the Egyptian Ministry of Finance amended the law to require foreign service providers to pay value-added tax.
It is worth mentioning that the Egyptian Ministry of Finance has started levying taxes on online services and platforms over the past two years.
It seems likely that streaming platforms like Netflix, Disney Plus, OSN+, and Amazon Prime, as well as music streaming services such as Spotify, Apple Plus, and Anghami, will have to follow Google’s path.