| The Tax Barometer is composed of four trip elements:
lodging, car rental, meals, and airport arrival and departure. Each element of the
trip is priced according to a standard purchase by a hypothetical "WTTC
Traveler" in each destination.
This trip includes
the purchase of four nights' lodging, four days'
car rental, twelve meals, and one set of international arrival and departure
airport charges. Taxes imposed on these purchases are then
identified, recorded, and developed into a sector index. Next, these elements are
aggregated into a composite index for the destination, based on the average cost of each
element included in the standardized trip. If you would like more information on the
development of the Tax Barometer, please refer to our research methodology. |
 |
Rank |
|
Total tax $ for 5-day/4-night trip: |
$135.64 |
19 |
|
Percentage of total item cost: |
12.50% |
17 |
|
Overall tax index: |
134 |
43 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Cairo. The second
item (percentage of total
item cost)
indicates what percentage of the total bill
is devoted to taxes.
The last item (overall tax index)
reflects the cumulative change in the amount
of tax paid in U.S. dollars between June 1994 and
June 2002.
The rankings show
how Cairo compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary: Cairo currently has an
overall Tax Barometer index of 134, indicating a
34% increase in
travel-related taxes since June 15, 1994.
This increase can be attributed to
tax increases on lodging, restaurant meals, and air
passengers; tax rates on car rentals have remained at their 1994
levels. For a five-day, four-night trip to
Cairo, travelers can expect to pay
approximately $136.00 in tourism-related
taxes, a total that ranks as the 34th highest among all
52 surveyed destinations.
|
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$290.72 |
- |
|
Value added tax/consumption tax/sales tax: |
17.00% |
- |
|
Total charges for 4-day rental with taxes: |
$340.14 |
- |
|
Total tax $ for 4-day rental: |
$49.42 |
29 |
|
Percentage of total car rental cost: |
14.53% |
21 |
|
Car rental tax index: |
100 |
1 |
|
Summary:
Cairo is one of fourteen destinations that have not increased car
rental taxes since 1994. The only tax currently charged on car
rentals is the national consumption tax, levied at a rate of 17.0%.
This amounts to approximately $49.00 for a four-day, mid-sized car rental, a total
that ranks as the 24th highest overall, and the sixth highest for
cities located outside of Europe. |
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$415.62 |
- |
| Value
added tax/consumption tax/sales tax: |
5.00% |
- |
|
Local sales tax: |
2.00% |
- |
|
Local bed/lodging tax (levied per person/per night): |
EGP 0.20 |
- |
|
Stamp tax: |
EGP 0.40 |
- |
| Total
charges for 4-nights lodging with taxes: |
$445.27 |
- |
|
Total tax $ for four-nights: |
$29.65 |
10 |
|
Percentage of total hotel room cost: |
6.66% |
15 |
|
Hotel
tax index: |
101 |
28 |
Summary: Cairo currently collects
approximately $30.00 in taxes for a five-day, four-night hotel stay,
an amount that ranks as the 10th lowest among the 52 surveyed
destinations. The index rating of 101 indicates a 1% increase in
hotel taxes since 1994, the result of a new EGP 0.40 stamp tax. |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$252.06 |
- |
| Value
added tax/consumption tax: |
19.00% |
- |
|
Total charges for 12 meals with taxes: |
$299.95 |
- |
|
Total tax $ for 12 meals: |
$47.89 |
38 |
|
Percentage of total restaurant meals cost: |
15.97% |
45 |
|
Restaurant tax index: |
271 |
50 |
Summary: In 1994, taxes on restaurant meals in Cairo
consisted of a 7.0% consumption tax. Since that time, taxes have risen
171% as restaurant meals were moved to a higher tax classification, an
increase that ranks as the third highest among all surveyed
destinations. Total tax collections for 12 meals are
approximately $48.00, 15th highest among all surveyed destinations. |
 |
Rank |
|
International embarkation tax: |
EGP 29.00 |
- |
|
International stamp tax: |
EGP 11.00 |
- |
|
Total tax $ for international arrival and departure: |
$8.68 |
4 |
|
Percentage of total trip cost: |
0.80% |
7 |
|
Air passenger tax index: |
190 |
30 |
Summary:
Taxes on air passengers arriving in or departing from Cairo have risen
90% since 1994, the 23rd highest increase among all surveyed
destinations. The international stamp (passport) tax was
introduced in 1996, while the international embarkation tax was
increased from EGP 21.00 to EGP 29.00 in 2000. While the $8.68
in taxes Cairo collects from international airline passengers ranks as
the fourth lowest overall, this total is somewhat misleading.
Egypt also charges an additional 30% on all international
transportation originating in Egypt irrespective of place of sale or
ticket issuance. This charge includes a ticket issuance fee (25%) and
a transportation tax (5%). The total charge is limited to a EGP
200.00 total. Because this tax is levied as a percentage of the
ticket price, it is not included in the Barometer. However, if
one uses the EGP 200.00 maximum price as the applicable tax, air
passenger taxes in Cairo would grow to $52.06, seventh highest overall. |
 |
|
Barometer No. 1:
A service tax on
restaurant meals was implemented.
Barometer No. 2: An
international (passport) stamp tax of EPG 11.00 was introduced,
affecting airline passengers.
Barometer No. 8:
A fiscal stamp of
EGP 1.80 was eliminated in the car rental sector. Also, a correction
was made for the restaurant meal tax.
Barometer No. 9:
The international embarkation tax on air travelers was increased from
EGP 21.00 to EGP 29.00, effective October 1, 2000.
|
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