One Year Prison Sentence for VAT Evasion in Alexandria

A court in Alexandria has handed down a one-year prison sentence, coupled with labor, to a business owner found guilty of evading value-added tax (VAT). The ruling also includes a fine of 10,000 Egyptian pounds and a three-year probationary period during which the prison sentence is suspended.

The case, registered under case number 30643 of 2023 at the Bab Sharqi police station, involved accusations that the defendant, identified as 'B.K.S.', failed to declare and pay the required VAT on his commercial activities. Investigations revealed that the owner, responsible for a business dealing in home goods, electrical appliances, and furnishings, deliberately evaded VAT obligations.

This evasion occurred over a period spanning from January 2017 to December 2020. During this time, the business owner neglected to submit tax declarations and pay the due VAT and table tax. The total amount owed, according to the prosecution, reached a significant sum of 4,273,900.43 Egyptian pounds.

Following the investigation and the establishment of a tax committee, the defendant eventually settled his outstanding dues before the court. The Alexandria Criminal Court, presided over by Counselor Hassan Moawad El-Bahi, issued the final verdict, also obligating the defendant to cover the legal costs.