Key Points of The Law No.7338, concerning amendments in various tax laws (Corporate Income Tax, Income Tax, Tax Procedural Laws and other tax laws) was published in the Official Gazette on 26th October, 2021.
The 4th advance corporate income tax (CIT) return is abolished. It will be effective with the 2022 tax year.
Revaluation of assets subject to depreciation becomes permanent
5% discount for compliant taxpayers
There is new rule which will apply to annual income and corporate tax returns to be submitted after 1 January 2022.
The law increases the NID rate for cash capital contributions made from abroad to 75% which was previously 50%.
Deduction for doubtful receivables
3000 TRY has been determined as the threshold to write off a doubtful receivable on the grounds that the amount is too small for litigation and enforcement proceedings
Government contribution for qualifying investments
With the law no.7338, the taxpayers will be able to deduct 10% of the government’s investment contribution from other tax debts, excluding special consumption tax and value added tax.The new provision will apply to investment expenditures made after 1 January 2022.
A tax exemption is granted for earnings from social media (upto TRY 650,000 for 2021).
Implementation of accommodation tax is postponed from 1 January 2022 to 1 January 2023.
Tax inspections and Voluntary correction of tax returns
Depreciation and Fixed asset replacement fund
Irregularities and Repetition of tax penalty