Year-End Closing Checklist for Small and Medium Companies in Egypt (2026)
Year-End Closing Checklist for Small and Medium Companies in Egypt (2026)
Most small companies start thinking about the year-end close in the last week of December. Then, in January, they find that the stock count is missing, the banks are not reconciled and the e-invoices do not match the books.
This checklist spreads the close over the months, from October until the tax return is filed. It covers cash, customers and suppliers, inventory, fixed assets, payroll and tax, and it comes with a free Word checklist you can tick as you go.
Closing the year is not a set of entries on 31 December. Instead, it is proof that every number in the balance sheet has a document behind it: the bank is reconciled, the stock is counted, customer and supplier balances are confirmed, and payroll matches social insurance and tax.
| Financial year1 Jan – 31 Dec 2026 | Corporate tax returnWithin 4 months of year end | Areas6 | FileWord |
The closing plan month by month
Oct – Nov
Preparation
Set the stock-count date and the count team, start confirming customer and supplier balances, and review pending e-invoices.
Early December
Payroll and staff
Review leave balances and accrued bonuses, and reconcile payroll with social insurance and salary tax.
31 December
Count and cash
Count the stock and the cash, and get a statement for every bank account on the last day.
January
Adjustments and entries
Bank reconciliations, depreciation, accruals and prepayments, provisions and closing entries. In the same month, file the January statement with the labour office and Form 2 with social insurance.
Feb – Mar
Audit
Hand the statements to the external auditor and answer the queries.
Within 4 months
Tax return
Companies file the annual corporate income tax return within the four months after the end of the tax year.
The checklist by area
| Area | Item | Done ✓ |
|---|---|---|
| Cash and banks | Year-end cash count with a signed record | |
| Cash and banks | Reconcile every bank account with the 31 December statement | |
| Customers and suppliers | Written confirmation of the largest balances | |
| Customers and suppliers | Debt ageing and the doubtful-debt provision | |
| Inventory | Physical count, comparison with the books and settlement of differences | |
| Inventory | Slow-moving and damaged items | |
| Fixed assets | Asset register and depreciation | |
| Fixed assets | Additions and disposals during the year with documents | |
| Payroll and staff | Payroll reconciled with insurance contributions and salary tax | |
| Payroll and staff | Leave balances and accrued bonuses | |
| Tax and invoices | E-invoices matched with sales and purchases | |
| Tax and invoices | Monthly VAT returns matched with the books |
Keep in mind. Reconciling payroll with social insurance is not only an accounting task. In Egypt, the insured wage for the whole year is based on the January wage, and the changes are reported on Form 2 every January.
In practice: The biggest problem in small companies is rarely the entries; it is the documents. A missing receipt, an unregistered invoice or a stock count without a signed record. That is why the plan starts in October, and every item in the checklist has an owner and a date.
FAQ about the year-end close
When should a small company start the year-end close?
Ideally in October or November, so that the stock count, balance confirmations and invoice review are ready before 31 December.
When is the corporate tax return due in Egypt?
Companies file the annual return within four months after the end of the tax year. For a calendar year, that means by the end of April.
Which payroll items are checked at year end?
Payroll is reconciled with social insurance contributions and salary tax, and leave balances and accrued bonuses are reviewed.
What happens in January after the close?
Bank reconciliations, depreciation, accruals, provisions and closing entries, plus the January labour-office statement and Form 2 for social insurance.
Summary
In short, start early, split the close by month and by area, give every item an owner, and keep a document for every number. The Word checklist puts the whole plan on two pages.
Want help with your year-end close?
Careerians supports small and medium companies with payroll reconciliation, the January insurance and labour-office filings, and the financial closing routine.
Read also:
Year-end closing step by step (Arabic guide)
HR KPIs and a Monthly HR Dashboard in Excel (Free Template)
Egypt’s New Labor Law 14/2025: 20 Key Changes for Employers
10 HR Steps Every New Company in Egypt Must Take
More explainers on our YouTube channel: Careerians on YouTube
The 4-month return deadline follows Egyptian Income Tax Law No. 91 of 2005; the January items follow Labor Law No. 14 of 2025 (art. 36) and National Social Insurance Authority rules. The checklist is an internal tool, and the Egyptian Tax Authority instructions and your statutory auditor prevail.
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