Real Estate

Real estate projects in Egypt run for years, and so does their tax exposure. Units are sold off-plan, paid in instalments over five to ten years, and delivered long after the cash is collected. If revenue, costs and tax are not matched correctly from day one, the problem surfaces at the tax examination, often years later and with interest.

OAF advises developers, funds and investors on how to structure, account for and report real estate projects so the numbers hold up with the Tax Authority, banks and investors.

WHERE DEVELOPERS USUALLY LOSE MONEY

• Revenue recognition. Recognising revenue on contracts, collections and delivery in a way the tax return can't support creates disputes.
• Project costing. Land, infrastructure and shared costs that are not allocated properly between phases distort profit per project.
• Structure. Holding land and running development in the wrong entity can cost more tax at sale or exit than it saves upfront.
• Investor reporting. Funds and foreign partners expect reporting the local accounts often can't produce without rework.

HOW WE HELP

• Feasibility studies for new projects, with transparent assumptions banks and investors accept.
• Tax planning for project structure, phasing and exit.
• External audit of developer and project-company financial statements.
• Tax advisory on revenue recognition, withholding tax and examinations.
• Transaction advisory and due diligence when buying land, a project or a development company.

WHY OAF

OAF is led by Dr. Mansour Etman, with more than 35 years of practice and over 200 clients. Our tax team includes former Directors-General of the Egyptian Tax Authority, so we review your project the way an examiner will, before the examiner does.

FREQUENTLY ASKED QUESTIONS

Can you prepare a feasibility study for a bank or investor?
Yes. Our studies set out every assumption clearly so a lender or investor can test them.

Do you work with foreign investors buying into Egyptian projects?
Yes. We run financial and tax due diligence before you sign, so exposures become price adjustments, not your liability.

When should a developer involve a tax advisor?
Before the project company is set up. Structure and accounting choices made at the start are hard and expensive to change later.

Book a consultation to review your project's tax and accounting position.