Commercial and Industrial Profits Tax

In accordance with the provisions of articles (9, ‎‎8) of the CIT Law No. 17 of 2010, resident and non-resident natural ‎and legal persons shall be subject to tax as well ‎as commercial and industrial profits tax shall be applied annually.

• All income generated for the person from ‎commercial, industrial and service activities ‎during the tax year is meant that tax shall be ‎levied on activities categorized under ‎commercial works in nature or ‎dependency/subsidiary including harmonious ‎business with commercial works and ‎transactions as well as any other activities ‎conducted by the person to realize profit ‎though he is not a trader.‎
  
• All income and profits realized for the ‎taxpayer during the tax year is meant taxable ‎income and profits under explicit texts in law ‎as per the provisions stated from paragraph ‎‎(a) to paragraph (v) of article (9) of law, ‎regardless of the nature of the activities ‎generated those revenues and income ‎whether they are commercial or field works ‎and whether realized for the taxpayer either ‎in the form of received amounts, interest, ‎commission, due compensations or other ‎proceeds or obtained by the taxpayer in ‎return of implementing any contracts or part ‎of them or engaging in any activities or ‎transactions covered by subjection in ‎accordance with paragraphs and provisions ‎referred to.‎
  
• What is set forth in paragraph (w) of article ‎‎(9) of law and according to it‎‏ ‏tax shall be ‎levied on taxable income and profit that are ‎not subject to another tax income generated ‎for the taxpayer from any other source ‎during tax year and not covered in paragraph ‎‎(a)to (v) of this article (9) of the law is meant ‎all other income regardless of their sources ‎shall be subject to tax generally without any ‎frequent or double taxation as well as not ‎exceeding the specific scope of tax levy ‎specified under the provisions of article(18) ‎of the law such as:‎
  

• ‎Profits of stocks or shares that have not ‎been subject to tax before distribution and ‎which the legal persons obtain in return of ‎investigating it by other legal persons ‎exempt of commercial and industrial ‎profits tax under the provisions of ‎paragraph (d) of article (21) of the law.‎
• Taxable tax bases and non-exempt ‎revenues realized during the tax year for ‎exempt entities or projects as per the ‎previous Investment Law no. (22) of ‎‎2002. Those taxable revenues shall be ‎determined through determining the ‎scope of an exempt activity so that any ‎income or revenue realized for the ‎taxpayer other than the exempt activity ‎shall be subject to tax.‎
• The qualitative, subsidiary, extraordinary ‎or urgent profits or income including ‎capital gains arising from the sale of any ‎assets or property belonging to the ‎company such as store goodwill prepared ‎for sale whether sold or disposed of with ‎compensation or without.‎
• Income or revenues generated from ‎electronic trade.‎