A new omnibus law has been published in the Official Journal numbered 31810 and dated 15.04.2022.

With this new law, some changes have been made to the law on income tax, the law on corporation tax and VAT.

You can see the details of these changes below:

1) Advertising costs for advertisements given to businesses under the advertising ban could not be used as a cost deduction on income and corporate taxpayers’ tax base calculations.

2) Income from physicians who practice independently and do not have a personal clinic or organization would be considered self-employment income and would be taxed as self-employment income.

3) The documents to be drawn up and signed by the tax authorities (exact receipts, notices, deduction receipts, payment orders, accounting transaction receipts) can be signed electronically by the tax authorities. And accordingly, these documents would be deemed approved, signed and stamped.

4) Effective repentance clauses would be applied for the crimes referred to in Article 359 of the Tax Procedure Law No. 213 (in Turkish).

5) In the course of an investigation or prosecution for the crimes referred to in section 359, if it is found that these crimes are committed by another person or committed with another person together, the process of preparing the report would not be required to take legal action against that person. the person.

6) The related regulations set forth above for the crimes referred to in Article 359 may also be applied for cases under execution by the court.

seven) Half of the rate of revaluation of the recurring article 298 of the law on tax procedure would be taken into account for the calculation of the annual dues of the Association of Travel Agencies.

8) With respect to Mukhtar allowances, if the net amount of this allowance is less than the net minimum wage, the difference amount would be paid separately without any tax or other deduction.

9) The retention period of issuance of residence or place of work for Turkish citizens living abroad for more than six months with a work or residence permit, foreigners who do not reside in Turkey and institutions that do not have a legal and business center in Turkey and do not earn income in Turkey through a place of work or permanent establishment, has been increased from one year to three years.

ten) The VAT refund rules under the Investment Incentive Certificate under Temporary Article 37 have been extended until 31.12.2025. In addition, taxpayers who have this investment incentive certificate would also have an incentive with respect to construction activities.

11) Activities related to the production of electric motor vehicles would be exempt from VAT until 31.12.2023.

12) Real estate leased for use in commercial activities may be subject to sale, subject to the provisions of State Tender Law No. 2886. Lessees who use the buildings on a contractual basis for at least three years from the date of the tender have the right to purchase with priority.

13) It has been clarified by the conclusion that REITs, whose main field of activity is not real estate portfolio management, do not fall within the scope of the exemption provided for by the law no.: 5520 article 5

14) With an additional declaration in article 6 of Law No. 5520, it has been decided that the amounts transferred to cover the unshared part due to the loss by the shareholders of the company, will not be taken into account in determining of the social result.

15) According to the additional article 4 of the Law on Regulation of Internet Programs and Combating Crimes Committed through Internet Programs, the expenses of taxpayer companies that continue to advertise to those who have been advertising bans would not be considered an expense in the calculation of the corporation tax base.

16) The corporate tax rate of banks, companies within the scope of Law No. 6361 (in Turkish), electronic and monetary payment institutions, licensed foreign exchange institutions, asset management companies , capital market institutions, insurance and reinsurance companies and pension companies was determined as 25%.

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The content of this article is intended to provide a general guide on the subject. Specialist advice should be sought regarding your particular situation.

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