Special Economic Zone (SEZ) Flat 5% Tax in Egypt (2026)
Employees and investors operating within Egypt's designated Special Economic Zones (SEZs) — including the East Port Said SEZ and the Suez Canal Economic Zone (SCZone) — pay a flat 5% income tax on all SEZ-sourced income instead of the standard progressive rates reaching 27.5%.
Egypt · Special Tax Regime · 2026
Last reviewed:
Flat Rate
5%
How it works
Employees and investors operating within Egypt's designated Special Economic Zones (SEZs) — including the East Port Said SEZ and the Suez Canal Economic Zone (SCZone) — pay a flat 5% income tax on all SEZ-sourced income instead of the standard progressive rates reaching 27.5%. The SCZone covers over 460 km² across four major development zones. The 5% flat rate also applies to corporate income tax for SEZ-registered companies. Foreign workers in SEZs benefit directly. The Egyptian government expanded SEZ incentives in the 2024 Investment Law amendments to attract FDI and manufacturing.
Who qualifies?
Individuals employed by or investing in entities registered and operating within Egyptian Special Economic Zones or the Suez Canal Economic Zone.
Regime vs. Standard Rate
| Scenario | Rate / Tax |
|---|---|
| Standard Egypt top rate | 27.50% |
| Special Economic Zone (SEZ) Flat 5% Tax rate | 5% |
| Potential saving vs. standard (at $100k) | Up to 22% lower |
Calculate your take-home under Special Economic Zone (SEZ) Flat 5% Tax
Enter your salary and select Egypt + the sez-flat-rate regime in our calculator.
Planning overview — not tax advice. Regime rules change; verify with a licensed Maltese advisor and official sources. See our methodology for data sources.