The Law No. 7524 on Amendments to Tax Laws and Certain Laws

The Law No. 7524 was published in the Official Gazette on August 2, 2024 following the approval of the President and has come into force.

The changes introduced in the omnibus law, which were brought to the agenda and accepted by being published in the Official Gazette, are as follows:

• Introduction of a minimum corporate tax application within the country
• Implementation of a local and global minimum supplementary corporate tax
• Application of a corporate tax exemption on the condition that at least 50% of the real estate gains of investment funds and partnerships are distributed as profit
• Imposition of a 30% corporate tax on income obtained within the framework of the Build-Operate-Transfer model
• Determination of the actual revenues of taxpayers engaged in commercial or freelance activities
• Introduction of a wage exemption in cases where employers, who qualify as technology start-ups, provide employees with shares
• Granting authority to the President to include certain payments within the scope of income and corporate tax withholding
• Introduction of a notification obligation for service providers and intermediaries on the internet and other digital platforms, including electronic commerce
• Increase in special irregularity penalties
• Exclusion of the principal amount of tax from the scope of reconciliation
• Elimination of the differences in VAT and SCT application favoring imports over domestic deliveries in the importation of certain goods
• Allowing the transfer of VAT carried forward and refund rights in merger, transfer, and division transactions to the new company via tax inspection without being subject to the statute of limitations
• Removal of VAT that cannot be deducted for five years from the deduction account and taking it into a special account, where it will be accepted as an expense
• Establishment of tax inspection as the principal procedure for VAT refunds
• Limitation of the profit exemption granted to businesses operating in free zones to export revenues
• Setting the departure fee at 500 TL
• Making changes in the appeal and cassation processes in tax cases

You can access the relevant Official Gazette here (In Turkish).

Should you have any queries or need further details, please contact your customer representative.