BDO Denet Monthly Report

You can access the presentation of our webinar on 'Global and Local Minimum Corporate Income Tax' that we held on 06/08/2024 from the link below:

Please click here for the presentation.

You can review our Announcement for the details.

With the Decree Annexed to the Presidential Decree numbered 8956 published in the Official Gazette dated 14/09/2024 and numbered 32662; some amendments have been made to the Decree on Disguised Profit Distribution through Transfer Pricing, which was put into effect with the Council of Ministers Decree dated 27/11/2007 and numbered 2007/12888. The amendments are summarised as follows:

• The phrases 'to the Large Taxpayer Tax Office Directorate' have been changed as 'to the Istanbul Tax Office Directorate of Large Taxpayers'.
• In the current regulation, the members of the multinational enterprise group covered by the Notification Regarding the Country-by-Country Report are obliged to submit to the Administration until the end of June of each year whether they are the ultimate parent enterprise or the proxy enterprise, which enterprise will report on behalf of the group and information about the accounting period. With the amendment made by the Decree, the phrase 'June of each year' has been changed to 'the sixth month following the end of the accounting period to be reported'.

You can review our Bulletin for the details.

General Communiqué No. 569 on Tax Procedure and Tax Procedure Law No. 569, which was introduced by the first paragraph of Article 7 of the Istanbul Finance Centre Law No. 7412, determining the procedures and principles regarding the books that the participants are obliged to keep and the documents to be issued can be kept and issued in foreign currency, has been published.

Click here to reach the General Communiqué in question.

Click here for the explanatory information note.

You can review our Announcement for the details.

As it is known, with the repeated Article 20/B added to the Income Tax Law (Income Tax Law) No. 193 with Article 2 of the Law No. 7338, no books will be kept, invoices will not be issued and declarations will not be submitted for the earnings obtained from social content production and application development for mobile devices and the amount does not exceed 3.000.000 Turkish Liras for the year 2024.

With Communiqué No. 325;

• As of 01/01/2022, the earnings of real persons who are social content producers who share content such as text, image, audio, video via social network providers such as Instagram, facebook and real persons who develop applications for mobile devices such as smartphones or tablets,
• The earnings of real persons who are social content producers who share content such as text, image, audio, video over the internet and similar electronic media from 01/01/2024,
• As of 01/01/2024, the earnings of real persons who earn from services such as individual courses, training, data processing and development, product promotion provided over the Internet and similar electronic media are exempt from income tax.

In order to benefit from this exemption, an account must be opened in banks established in Turkey and all revenues related to these activities must be collected exclusively through this account.

Click here for Income Tax Communiqué No. 318.

Click here for Income Tax Law Communiqué No. 325.

You can review our Bulletin for the details.

One of the amendments made by Law No. 7524 published in the Official Gazette dated 02/08/2024 and numbered 32620 is the wage exemption granted to the benefits provided to the service personnel by issuing share certificates. The Ministry of Treasury and Finance is authorised to determine the procedures and principles regarding the implementation of the related amendment. The Ministry has used this authorisation with the Income Tax General Communiqué numbered 326 serial numbered (R.G. 27.09.2024 - 32675).

In our Bulletin, the explanations made in the Communiqué regarding the exemption application in question are included.

You can review our Bulletin for the details

With the Communiqué; persons using the Digital Tax Office application, whose procedures and principles are regulated by the General Communiqué on Tax Procedure Law No. 552, can define their employees registered with the Social Security Institution as sub-users and enable them to use certain functions of the application on their behalf.

With the General Communiqué prepared in order to increase the use of the Digital Tax Office application, taxpayers can also authorise the professional members with whom they have signed an electronic declaration intermediation and responsibility agreement or a full certification agreement as sub-users in order to enable them to use certain functions of the application securely.

With this regulation, the users of the Digital Tax Office will be able to define and authorise the professional members with whom they have a valid Electronic Declaration Intermediation and Responsibility Agreement or an agreement regarding the certification of income or corporate tax returns and their annexes as sub-users to use certain functions of the System.

Click here to access the VUK Communiqué No. 567.

You can review our Bulletin for the details.

In the Official Gazette dated 25/09/2024, the Tax Procedure Law General Communiqué numbered 568 amending the Tax Procedure Law General Communiqué numbered 456 was published.

With the establishment of the Electronic Notification system, it has been ensured that the notification procedures are carried out faster, more effectively and economically by using the opportunities offered by technology.

Corporate taxpayers and income taxpayers in terms of commercial, agricultural and professional earnings (except for farmers whose earnings are determined in simple procedure and farmers who are not subject to tax in real procedure) are obliged to use the electronic notification system.

With the regulations in the published Communiqué, with the General Communiqué prepared in order to benefit more from the opportunities provided by the electronic notification system, it has been made compulsory for real and legal person buyers to obtain an electronic notification address for the first acquisition of the goods included in the list (II) attached to the Special Consumption Tax Law No. 4760, which are subject to registration and registration.

You can review our Bulletin for the details.

In the Official Gazette dated 25/09/2024, the Tax Procedure Law General Communiqué numbered 566 amending the Tax Procedure Law General Communiqué numbered 483 was published.

With the aforementioned communiqué;

• For those who are exempt from the use of payment recorder devices, to redetermine the sales revenue, asset size, equity and equity capital amounts by taking into account the current conditions and to increase them by the revaluation rate in the following years, and if these conditions cannot be met, to start using payment recorder devices after a certain period of time,
• To send the notifications of the sales made from the payment recorder devices to the Revenue Administration,

related regulations have been made.

The procedures and principles regarding the implementation will be determined by technical guidelines to be published on www.ynokc.gib.gov.tr.

You can review our Bulletin for the details.

As it is known, pursuant to Article 39 of the Law No. 4054 on the Protection of Competition, among the revenues of the Competition Authority are the payments to be made at the rate of four thirteen thousandths of the capital of all newly established joint stock and limited liability companies and of the increased portion in case of capital increase.

In order to determine the details of the payments to be made to the Competition Authority, the 'Communiqué on the Payments to be made by Joint Stock and Limited Liability Companies in accordance with Law No. 4054' (Communiqué No: 2017/4) (Communiqué) dated 31/03/2017 was issued. The Communiqué regulates the payments to be made during incorporation and capital increase, payments in partnerships subject to the registered capital system, renunciation or incorrect deposit of four per ten thousand, notification obligation and their principles.

Some amendments were made to the Communiqué No: 2017/4 with the Communiqué (Communiqué No: 2024/2) Amending the Communiqué on the Payments to be made by Joint Stock and Limited Liability Companies Pursuant to Law No: 4054 (Communiqué No: 2017/4) (Amendment Communiqué), which was published in the Official Gazette dated 01/10/2024 and numbered 32679 and entered into force on the same day.

You can review our Bulletin for the details.

In the Official Gazette dated 28.09.2024 and numbered 32676, the 'Communiqué (Serial No: 23) Amending the General Communiqué on Corporate Tax (Serial No: 1)' was published and in this Circular, the amendments made in the section titled 'Services Provided from Turkey to Persons and Institutions Residing Abroad' with the Law No: 7491 are discussed.

In 2023, with the amendment made with the Law No. 7491, the exemption rate applied to the earnings obtained from the above-mentioned activities was increased from 50% to 80%, and the condition that all of the earnings must be transferred to Turkey until the date when the declaration for the year / accounting period in which the earnings are obtained must be submitted.

All of the earnings within the scope of the discount must be transferred to Turkey until the date of submission of the annual corporate tax return for the accounting period in which it is obtained. (There is no such requirement if the payment is received in Turkey).

In case a part of the income is transferred to Turkey, the exemption will not be utilised.

If the gain is transferred after the end of the accounting period, the exemption will not be utilised for the related gain in the following periods.

Exchange rate and maturity differences related to receivables arising from the activities within the scope of the discount will also be taken into consideration in determining the discount amount.

You can review our Bulletin for the details.