Based on the provisions of Paragraph (4) of Article (Sixty-One) of Income Tax Law No. 113 of 1982 We issued the following instructions:-
No. (1) of 2007
directions
Tax deduction using the direct deduction method
Chapter one
Taxation
Article 1-
First: The tax is imposed by direct deduction on the income generated by the affiliate during the fiscal year and stipulated in these instructions. For the purposes of these instructions, the affiliate means anyone who works for a wage or a salary in state departments or the public, mixed or private sector, noting the following: –
A – The tax is imposed on the member’s income in his name and deducted from it after granting him the legal permission and deductions stipulated in these instructions.
B – The tax is imposed on the married woman’s taxable income in her name and deducted from it after granting her the legal permission and reductions stipulated in these instructions.
C- The tax is imposed on the income of an Iraqi resident that he receives in Iraq or outside it, regardless of the place of receipt.
D- The tax is imposed on the income of a non-resident generated in Iraq, even if he does not receive it there.
E- Tax is not imposed on income generated outside Iraq for non-Iraqi persons residing in Iraq.
* Published in Iraqi Gazette, Issue No. 4038 on 3/26/2007
Secondly – A – An affiliate means an employee or worker who performs work in exchange for a salary or wage.
B- The fiscal year means the year in which the income is generated, which begins on 1/1 of each year and ends on 12/31 of the same year.
Third: The tax is imposed on the income of an unmarried child who has not reached the age of eighteen according to the following: –
A – In the event that the parents are not present as well as their deaths, the unmarried child who has not reached the age of eighteen is considered an independent taxpayer, and the tax is estimated in the name of the guardian or trustee.
B- The income of an unmarried child who has not yet reached the age of eighteen is added to his father’s income, and the tax is estimated in the father’s name.
C- In the event of the death of the father, the unmarried child who has not yet reached the age of eighteen is considered an independent taxpayer, and the tax on him is estimated in the name of the mother, guardian, or trustee.
Fourth: A married child who has not yet reached the age of eighteen is treated as an independent taxpayer, and the tax is assessed in his name.
Chapter II
Taxable income
Article 2: The following incomes are subject to tax
First: Salary and wages.
Second: Housing and residence allowances, taking into account the provisions of Article (6) of these instructions, as follows:
A – The housing or subsistence allowances paid to the member in cash shall be subject to their full payment.
B – If the employer has provided free housing for its employees, the following will be added to the employee’s income: –
(1) A percentage of (15%) fifteen percent of the monthly salary or monthly wage for unfurnished housing.
(2) A percentage of (20%) twenty percent of the monthly salary or monthly wage for furnished housing.
C – If the employee occupies part of the building or house used as a center or residence for the employer, a rate of (10%), ten percent of the monthly salary or wage, will be added to his income for free housing.
D- In the event that the employer houses his employees in a hotel and does not provide them with housing allowances, a percentage (20%) of twenty percent of the monthly salary or monthly wage for free housing shall be added to their income in exchange for free housing.
E – In the event that the employer houses his employees in caravans or mobile homes at the work site or in any other place that serves as a center for their housing in those caravans or mobile homes, a percentage of (5%), five percent of the monthly salary or wages, will be added to their income for free housing. monthly.
F – In all cases, the amounts added to the affiliate’s income must not exceed the actual or estimated monthly rent.
G – If the employee is entitled to specific housing allowances under the employment contract and the employer accommodates him for free and does not pay the allowances stipulated in his employment contract, it must be taken into account when applying what is stipulated in Paragraph (B) of this Article that the added housing allowances do not exceed the stipulated amount. It is in the employment contract.
Third: Food allocations, as follows:
A – Food allowances paid to the member in cash are fully taxable.
B – If the employer prepares a free meal or meals for his employees or contributes to preparing them, then a percentage of (10%) ten percent of the monthly salary or monthly wage will be added to their income in exchange for food allowances, provided that it does not exceed the amount of the cost determined or paid for the monthly meals. Or the amount of contribution to its preparation, whichever is less.
Fourth – Incomes of workers in state departments, the public sector, and the mixed sector, which include:
A – The monthly salary to which the associate is entitled pursuant to Order No. (30) of 9/8/2003 or any legislation that replaces it.
B- Overtime wages to which the employee is entitled.
C- The allowances to which the member is entitled according to what the owner decides, which are:
(1) Geographical location allocations.
(2) Risk allowances and exceptional allowances.
(3) University service allocations.
(4) Foreign service allocations.
(5) Regulatory allocations.
(6) Any allowances decided by the employer.
(7) Amounts paid by the employer to the employee that are not related to the expenses of carrying out the work.
(8) The value of any benefits not stipulated in Paragraphs (1-7) of this clause that the employee receives from the employer and which are not related to the implementation of the work.
Chapter III
Downloads
Article 3: The amounts paid and confirmed for payment during the year the income was generated shall be deducted from the member’s taxable income with acceptable documents as follows:
First: Life insurance premiums under the following conditions:
A- The insurance company must be Iraqi.
B- That the total installments do not exceed what is stated in the income tax law.
C- The insurance premium must be paid during the fiscal year to which it belongs and with the support of the Iraqi Insurance Company.
Second: Insurance premiums are reduced for the wife who is a housewife and has no income subject to tax
Send feedbackAs well as minor children who do not have taxable income, provided that the amount of insurance premiums does not exceed what is stated in the income tax law.
Third: The insurance premiums paid for the wife who has taxable income, as well as the minor children who have income, will be deducted in the event that the income of the wife or minors is combined with the husband’s income, provided that the amount of the insurance premium does not exceed what is stated in the income tax law.
Fourth – Other insurance premiums paid by the taxpayer that are not related to sources of income and paid during the fiscal year will be deducted, provided that the insurance is with an Iraqi insurance company, with a note that the amount of the insurance premium does not exceed the amount stated in the income tax law.
Fifth: Legal alimony awarded by a final court ruling and paid in cash by the taxpayer to those who are not entitled to legal allowance in accordance with the provisions of these instructions.
Sixth – Donations disbursed in Iraq to state departments, the public sector, and scientific, cultural, charitable, and spiritual bodies recognized by law, provided that a statement is issued by the Minister of Finance naming those bodies.
Seventh: Donations pursuant to subscriptions approved by an official body.
Eighth: Taxes and fees actually paid, except for income and property taxes, such as subscription fees for non-governmental organizations such as professional unions, associations, clubs, stamp duty, health insurance fees, and others.
Ninth – The amounts deducted to the account of the Palestinian National Fund from the salaries and wages of Palestinian employees, associates and workers, even if they have previously been naturalized to another nationality and who work in Iraq.
Tenth: Pension contributions and contributions stipulated in the laws of retirement and social security for workers.
Eleventh – In the event that non-Iraqi members working in Iraq are subject to the retirement and social security laws in their country and they pay the contributions amounts for their wages that they receive in Iraq to their country, they will be deducted from their incomes provided that they do not exceed the percentage prescribed by the Iraqi retirement and social security laws that is deducted from the Iraqi members. If it increases, this must be confirmed by an official body with jurisdiction.
Article 4: The employee is not granted discounts for his secondary work, with the exception of retirement contributions or social security contributions.
the fourth chapter
Legal permissions
Article 5-
First – Legal allowances are granted to resident individuals only and before the tax is imposed, based on Section (2) of the (dissolved) Coalition Authority Order No. (49) of 2004, as follows: –
A – (2,500,000) two million five hundred thousand dinars annually (208,333 dinars per month) for a single person, a widower, a divorced person, or a married person whose wife’s income is subject to them independently.
B – (4,500,000) four million five hundred thousand dinars (375,000 dinars per month) for a married man whose wife is a housewife or whose incomes are combined with his income.
C- (5,000,000) five million dinars (416,667 dinars per month) for a married woman who has a taxable income and whose husband is completely unable to work and has no income after she confirms this to the financial authority.
D- (3,200,000) three million two hundred thousand dinars (266,667 dinars per month) for an independent widow or divorced woman.
E- The affiliate is granted an additional allowance of (300,000) three hundred thousand dinars (25,000 dinars per month) if he reaches the age of sixty-three years.
And – (200,000) two hundred thousand dinars (16,667 dinars per month) in addition to the allowance of the following persons for each of his children, regardless of their number: –
(1) The widowed man.
(2) A divorced man who has obtained a certificate of guardianship over the children from a competent court.
(3) A married man whose wife’s income is subject to tax separately, or whose wife’s income is combined with his income, or whose wife is a housewife.
(4) A married woman who has taxable income and whose husband is completely unable to work.
(5) The widow.
(6) Divorcee.
Second: Legal permissions are not granted to a non-resident associate.
Third: The taxpayer is not granted an allowance for children who have completed eighteen years of age and have an independent income exceeding (200,000) two hundred thousand dinars annually, even if they are continuing their studies.
Fourth – If a widow or divorced woman gets married and her income is combined with her husband’s income, the legal allowance is withheld from her only in proportion to the number of full months remaining of the year of income generation in which the marriage took place. Fractions of the month are neglected, and the prescribed allowance is granted to her children within the limits or conditions stipulated in this article.
Fifth – If the member gets married or has a child during the income generation year, the allowance he is entitled to on behalf of his wife or child will be added to his allowance in the ratio of the number of full months remaining of the income generation year in which the marriage or birth occurred to the number of months of the full year, and fractions of the month are neglected.
Sixth – In the event of separation of the husband from his wife due to death, divorce, separation, or the death of one of his children for whom he granted an allowance, his allowance for them shall be reduced in proportion to the number of full months remaining of the year to the number of months of the full year, and fractions of the month shall be neglected.
Seventh – If the resident is non-Iraqi, he will be granted the allowance to which he is entitled for the year of income generation in the ratio of the number of full months he resided in Iraq to the number of months of the full year.
Eighth – If the resident is non-Iraqi and contracts with the government or is employed to teach in Iraq, in this case he will be granted full legal permission.
Ninth – No employee who is subject to income tax from several sources of income has more than one legal allowance.
Tenth – The Iraqi resident affiliate is granted full legal permission within the year of income generation, in accordance with the cases stipulated in these instructions, regardless of the date of the start of his work during the fiscal year or his death.
Eleventh – When the employer is not the main employer, the employee is not granted legal permissions.
Chapter V
Exemptions and exceptions
Article 6: The following incomes are exempt from tax:
First: Pension salaries and various types of rewards granted at the end of service to Iraqis.
Second: The affiliate’s treatment expenses paid by the ownerIf he is injured while performing his job duties or because of them.
Third – Any lump sum paid as a reward or compensation to the family of the deceased, or any compensation paid to the member in exchange for injury or death. Fourth – Free travel tickets granted to Iraqi members for the work assigned to them.
Fifth: Allocations for scholarships and fellowships granted to students.
Sixth: Allocations granted to delegates for work-related study and training purposes.
Seventh – Free travel tickets or actual expenses paid to foreigners affiliated with contracts when they are recruited for the first time, renew their contracts, or leave Iraq permanently due to the end of their work or travel on vacation.
Eighth: Delegation allocations, or geographical allocations that foreign employees receive from their employers abroad due to their work in Iraq, or from the company’s branch in Iraq, not exceeding (25%) twenty-five percent of the monthly salary, provided that it is proven that they received these allocations separately. About the monthly salary.
Ninth: Salaries and allocations paid by the United Nations from its budget to its non-Iraqi employees and affiliates.
Tenth – The salaries and allowances that Arab and foreign representations pay to their diplomatic employees (non-Iraqis). As for what they pay to their non-diplomatic employees and foreign consular employees (non-Iraqis), they may be exempted by a decision of the Council of Ministers on the condition of reciprocity.
Eleventh – Salaries and allowances of employees of international agencies and organizations (non-Iraqis) that have a relationship with the United Nations and the organizations working in it.
Twelve- Health insurance allowances.
Thirteenth: Housing, accommodation, transportation, food, clothing, and hazard allowances granted to workers in the private sector, the total of which does not exceed (30%) thirty percent of the monthly salary or wage.
As for workers in the state, public and mixed sectors, the exception, which does not exceed (30%) thirty percent of the monthly salary, includes all allocations granted to them.
Fourteenth – Incomes of affiliates (non-Iraqis) working for foreign (non-Iraqi) contractors and subcontractors contained in Orders No. (17) amended on June 27, 2003 and (49) on February 19, 2004 issued by the (dissolved) Coalition Provisional Authority. .
Fifteenth – Amounts exempted under any special law, or any international agreement to which Iraq is a party.
Chapter six
Integration of inputs
Article 7: It is permissible to combine the spouses’ incomes and deduct the tax from the husband’s income according to the following principles:
First – A married woman is considered responsible herself, so her incomes are not added to her husband’s income as a general rule, and it is permissible to combine their incomes when one of the following cases is achieved: –
A – If the husband does not have taxable income.
B- If the husband’s income is below the legal allowance.
C- If the wife’s income is below the legal allowance stipulated for her, she is considered an independent taxpayer.
Second – The husband’s legal permission stipulated in Paragraph (B) of Clause (First) of this Article means his permission for himself and his children, and with regard to the wife’s permission in Paragraph (1/C), her permission for herself only when applying the conditions of merger.
Third – When one of the cases mentioned in Clause (First) of this Article is fulfilled, the husband is granted the legal permission prescribed for him, his wife, and his children.
Fourth – For the purposes of applying the provisions of these instructions, a merger application signed by both spouses shall be submitted to the husband’s main employer within a period ending on the thirty-first day of January of the same fiscal year.
Fifth – The husband’s main employer, after ensuring that the conditions for the merger are met, must merge the spouses’ income and inform the wife’s employer of the merger, clarifying her income for the purpose of adding it to the husband’s income and deducting the tax from his salary. The wife’s employer is obligated to inform the husband’s employer of every change that occurs in his income. Wife during the year.
Sixth – If the reasons for the merger disappear during the fiscal year, the income of the spouses will be separated again at the request of either of them, and the tax will be calculated on the income of each of them independently in accordance with the general rules. The main employer who carried out the merger must inform the wife’s employer about every change that occurs in the method of calculating the tax.
Seventh – If the marriage takes place during the fiscal year and the spouses submit a request to merge their incomes, the wife’s income will be added to the husband’s income starting from the date of the marriage contract.
Eighth – With regard to the unaffiliated spouse: –
A – If the (affiliated) wife provides confirmation from the General Tax Authority that the husband is not registered in one of its branches and does not have taxable income, then the merger application shall be submitted to the wife’s employer.
B – If the (affiliated) wife provides confirmation from the General Tax Authority that the husband is registered and has no taxable income, the merger application shall be submitted to the wife’s employer and a copy to the tax branch in which the husband is registered. C- In the two cases stipulated in (a) and (b) of this clause, the tax is imposed in the name of the husband and is collected from the wife’s salary after deducting the legal allowance to which the husband, wife and children are entitled.
Ninth – If the husband is an affiliate and his earnings are below the legal allowance prescribed for him and he submits a request to combine the earnings, the husband’s employer shall, based on his request, inform the wife’s employer of the husband’s earnings for the purpose of adding them to the wife’s income and deducting the tax from her salary after deducting the legal allowance to which the husband, wife and children are entitled. The husband’s employer is obligated to inform the wife’s employer of every change that occurs in the husband’s income during the year.
Chapter VII
Tax scale
Article 8 – Tax is imposed on the member’s income after granting the deductions, legal allowances, exemptions and exceptions stipulated in Articles (5), (6) and (7) of these instructions according to the following calculation bases: –
First – on the basis of the annual tax calculation
A – A percentage of (3%), three percent up to (250,000) two hundred and fifty thousand dinars.
B- A percentage of (5%), five percent What exceeds (250,000) two hundred and fifty thousand dinars and up to (500,000) five hundred thousand dinars.
C- A percentage of (10%) ten percent of what exceeds (500,000) five hundred thousand dinars and up to (1,000,000) million dinars.
D- A percentage of (15%) fifteen percent of what exceeds (1,000,000) million dinars.
Secondly – on the basis of the monthly tax calculation after dividing the annual tax scale by 12 months
A – A percentage of (3%), three percent, up to 20,833 dinars.
B – A percentage of (5%), five percent of what exceeds 20,833 dinars and up to 41,667 dinars.
C- A percentage of (10%), ten percent, for more than 41,667 dinars and up to 83,333 dinars.
D- A percentage of (15%) fifteen percent, which exceeds 83,333 dinars.
Chapter Eight
Tax collection
Article 9-
First – Every employer must deduct the amount of tax due in accordance with these instructions and pay it to the General Authority for Taxes according to the dates set forth in Article (11) of these instructions. As for centrally funded departments, the tax is deducted and the amount is reported to the General Authority for Taxes on a monthly basis.
Second: The manager of the legal entity or one of its employees who manages it is considered an employer for the purposes of providing information and documents related to its employees.
Third – Anyone who provides false information or fails to carry out his duties in accordance with the law and the instructions issued pursuant to it is subject to the penalties stipulated in Articles (56, 57, 58, and 59) of the Income Tax Law No. 113 of 1982.
Fourth – Ministries and entities not affiliated with a ministry that have dealings with foreign companies must not stipulate in the contracts concluded with them that the Iraqi side bears the income tax generated on the incomes of employees of companies operating in Iraq.
Fifth – When contracting with a contractor for the purpose of providing goods and services, ministries and entities not affiliated with a ministry and public, mixed and private sector companies must ask the contractor to submit a release of direct deduction.
Chapter Nine
How to deduct the tax and when to pay it
Article 10: Employers must follow the following for the purpose of securing tax deductions and payment dates:
First – A – Maintaining a special register in which the salaries, allowances and wages of each person affiliated with them are recorded. The employer shall be responsible and guarantor for paying the tax generated as a result of not recording these incomes in the aforementioned register.
B- The record is subject to audit by audit and inspection bodies provided by the competent authorities.
Second – The tax is deducted from the income of the members in each month of the fiscal year in the manner stipulated in these instructions. The withheld tax is transferred to the direct deduction department at the General Tax Authority or to the direct deduction unit in one of the authority’s branches, either in cash or by certified checks or Through the banking system.
Third – Tax deductions are sent monthly to the General Tax Authority or one of its branches, or to the entity specified by the Accounting Department in the Ministry of Finance within fifteen days of the month following the month of deduction.
Fourth – During the period stipulated in Clause (Third) of this Article, the employer must fill out the monthly declaration for the direct withholding tax prepared by the General Authority for Taxes in two copies, and the employer must submit an amended monthly declaration for the direct withholding tax in two copies for the purpose of amending the original declaration previously submitted. The employer remains subject to the fines and interest stipulated in Clauses (Sixth) and (Eighth) of this Article.
Fifth – The employer makes a settlement in the last month of the fiscal year by adjusting the increase or decrease in the amount of tax that will be incurred on his income at the end of the year using the second page of the form (ZD/4A).
Sixth – If the tax is not paid as stipulated in Clause (Third) of this Article above by the dates specified for it, an addition of (5%) will be imposed on the employer, five percent of the tax amount, after 21 days have passed from the date specified for payment, and the percentage will be doubled. 21 days after the end of the first period.
Seventh – The employer is obligated to pay the tax in accordance with Clause (Third) of this Article, as well as the additional amounts stipulated in Clause (Sixth) of this Article. The General Tax Authority may exempt the employer from all or part of the supplement, or return it after paying it if it is convinced that the delay in payment was for an acceptable reason.
Eighth – If the tax stipulated in Clause (Third) of this Article is not paid on the specified dates, interest equal to the current bank interest imposed by Rafidain Bank on overdraft facilities will be imposed on the amount of the tax due until the date of payment in accordance with Resolution No. 307 of the year 1984. The following equation is used to calculate the interest charged for each day of delay:
Late total x days of delay/360b x interest rate/100
Ninth – The employer is considered responsible for paying the amount of tax withheld from him in accordance with the provisions of these instructions to the direct deduction department in the General Tax Authority or to the direct deduction unit in the authority’s branches or to the entity specified by the financial authority, even if he does not deduct it from the salaries and allowances paid to His affiliates, and he may recover the tax paid from him from the affiliate’s future entitlements.
Chapter Ten
Forms and tables
Article 11: The procedures stipulated in this Article shall be followed regarding the preparation and organization of Form (D/4A) and the schedule of tax deductions and the dates for submitting them to the Direct Deduction Department at the General Authority for Taxes center or its branches.
First – The employer requests the sufficient number of Form D/4A at the beginning of the year from the direct deduction department at the General Authority for Taxes or its branches, and the employee and the employer are instructed to fill it out in two copies as follows: –
(A) The first page of the form (D/4A):
1- Upon receiving the form, the employer distributes it to the employees He asked them to fill out the first page, sign it, and return it to him within a period not exceeding seven days from the date of submission.
2- After retrieving the form, the competent employee (the financial director or the specialist accountant or his representative) checks the accuracy of the information (such as marriage, birth, death certificates, etc.) and documents proving this, and determines the allowance he is entitled to for the fiscal year according to these instructions, and then he numbers the forms sequentially, starting From number (1).
3- If the affiliate does not submit Form (D/4A) for any financial year, only the single person will be granted permission until the form is submitted.
(B) The second page of the form (D/4A):
1- At the end of the calendar year, the employer’s accounting officer records the total income received by the employee, indicating their details, according to the paragraphs indicated in Form D/4A, and then calculates the tax on them after deducting the non-taxable amounts and other deductions mentioned in Article Eight of the Law. Income tax and legal allowance that he deserves.
2- The accuracy of the information recorded in the form (ZD/4A) is certified by the head of the department and the accountant or their representative.
Second: The table of tax deductions is prepared by the employer as follows:
(A) The tax deductions table prepared by the General Authority for Taxes/Direct Deduction Department is prepared in two copies by the competent accounting employee at the end of each fiscal year, including all incomes, deductions, and legal allowances, copied from the second page of the form (ZD/4A), then the columns are filled in. schedule.
(B) It is not permissible to use a schedule of deductions that differs from the schedule stipulated in Clause (Second) of this Article.
(c) The accuracy of the details of income in the tables shall be certified by the head of the department and the accountant or their representative.
Third: Two copies of the forms and tables referred to in this article shall be submitted to the Direct Withholding Department at the General Authority for Taxes, or to the relevant branches according to geographical location, and the last date for submitting them shall be 3/31 of the following fiscal year.
Fourth – The Financial Authority may extend the period for submitting the schedules and forms stipulated in Clause (Third) of this Article to an appropriate period if it is convinced that there are acceptable reasons and on the condition that the employer pays the tax on behalf of its employees for the relevant fiscal year.
Fifth – The employer is obligated to submit schedules and forms on the specified dates, and the violator is subject to legal accountability stipulated in the Income Tax Law and related decisions. The Minister of Finance or whomever he authorizes may exempt the employer from legal accountability if he is convinced that the delay or violation was for an acceptable reason.
Sixth – If the employer does not submit the schedules and forms within the specified period, the General Tax Authority will calculate the tax collected on its employees and demand that the employer pay it. Then the General Tax Authority may refrain from conducting any transaction for the employer unless the tax is paid in full and the schedules and forms are submitted.
Seventh: Incoming forms, schedules, and correspondence are submitted to the General Authority for Taxes and its branches in Arabic or Kurdish.
Chapter Eleven
Dividend
Article 12-
First – If an associate is a shareholder in a limited company that is not exempt under the Industrial Investment Law for the Private and Mixed Sectors No. (20) of 1998, he must submit to his main employer a written statement in two copies that includes the following: –
(a) His full name.
(b) His address and place of work.
(c) The name of the company in which it is a shareholder.
(d) The amount of his share of the profit paid to him or credited to his account supported by the company.
Second: A copy of the statement shall be attached to Form (D/4A) and the second copy shall be kept in his department or place of work.
Third – The amount of the profit share mentioned in the statement is taken into consideration for the purpose of tax escalation only when calculating the income tax on his other income in application of the provisions of Paragraph (Six) of Article (Second) of Income Tax Law No. 113 of 1982. However, if he does not have other sources of income, then Calculating the escalation in the direct deduction department or the direct deduction unit in the relevant branch.
Chapter Twelve
Refund of excess deducted tax
Article 13: The General Authority for Taxes shall refund the excess tax collected from the member without the need for him to submit a request after ensuring that there are no taxes due from his other sources of income.
Chapter thirteen
Objection and appeal to the tax calculation
Article 14-
First – The objection is submitted as follows: –
(a) The employer, after being notified of the estimated income of his employees and the tax due on them, may submit a written objection to the General Authority for Taxes/Direct Deduction Department within twenty-one days from the date of his notification, stating the reasons for the objection and the amendment he requests, and providing in advance the necessary data and documents from the income to prove his objection.
(b) The employee, after being notified of the estimated income and the tax due on him, may submit a written objection to the General Authority for Taxes/Direct Deduction Department through his department, accompanied by its legal opinion, within twenty-one days from the date of his notification, stating the reasons for the objection and the amendment he requests, providing in advance the necessary data and documents of income to prove it. His objection.
(c) The General Authority for Taxes (Direct Deduction Section) may accept the objection stipulated in paragraph (a) or (b) of this clause after the period stipulated in paragraphs (a) and (b) of clause (first) of this clause has passed. This article if you are convinced that the objector was unable to submit it for an acceptable reason.
(d) The objection stipulated in paragraphs (a) or (b) of this clause shall not be considered unless the estimated tax is paid within the objection period. In the event that he is unable to pay the full estimated tax, the General Tax Authority, after being satisfied with this, may collect it in installments.
Secondly – it is used
Send feedback The decision issued as a result of the objection was negated as follows:
(a) The person whose objection to the amount of income or tax was rejected by the General Authority for Taxes may appeal its decision to the Appeals Committee with a petition submitted to it within (21) twenty-one days from the date of his notification of the rejection of his objection, and he must prove this with documents, records, and other data.
(b) The General Tax Authority may accept the appeal request after the legal period has passed if it is convinced that the appellant was late in submitting it for an acceptable reason.
(c) Objection and appeal to the income assessment shall not be considered in accordance with the provisions of Income Tax Law No. 113 of 1982 unless the appellant pays the tax within the objection and appeal period stipulated in the aforementioned law.
(d) In the event that the appellant is unable to pay the full estimated tax in cash as stipulated in Paragraph (c) of this clause, the Financial Authority, after being satisfied with this, may collect the estimated tax as follows:
1- An amount of (10%) ten percent of the estimated tax is collected from the appellant when submitting the objection or appeal, and it will not be considered unless this percentage is paid within the period specified in Paragraph (C) of this clause.
2- The remainder of the estimated tax shall be collected in equal monthly installments, provided that they do not exceed twelve monthly installments. Otherwise, the matter shall be presented to the Minister of Finance.
3- If the appellant is late in paying one of the installments within a period of fifteen days from the due date, the remaining installments will become due for payment immediately and without the need for warning, and the objection or appeal shall not proceed as the estimate is considered final and the Minister or his authorized representative may approve the appellant’s continuation of paying the installments. He is exempted from paying the additional amount if he is convinced that the appellant was late in paying for an acceptable reason.
(e) The Appeals Committee must not continue with the appeal if it appears to it that the appellant has delayed paying the installments of the estimated and installment tax owed to him unless he initiates payment. The appellant and the General Tax Authority shall be notified of the day of pleading before the Appeals Committee at least seven days in advance, and both parties must That they appear before the committee in person or by sending an agent on their behalf on the appointed day and hour, or that they state that they are satisfied with the written statements they provided. The committee has the right to cancel, support, increase, or decrease the assessment, stating in its decision the reasons for that. It also has the right to support the assessment if the two parties do not attend or Either without a legitimate excuse, or postpone consideration of the appeal for the period it deems appropriate.
(f) The decisions of the appeals committees stipulated in this clause and formed in accordance with Article Thirty-Seven of Income Tax Law No. 113 of 1982 are subject to cassation in accordance with Article Forty thereof.
Article 15-
First: Instructions regarding the direct deduction method No. (3) of 1983 shall be cancelled.
Second: These instructions are published in the Official Gazette and are effective as of 1/1/2005.
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