A new bill to make amendments to 'the Unemployment Insurance Law and Some Laws' was passed by the Grand National Assembly of Turkey on November 12.
The new legislation provides easy terms of tax payment and includes a variety of regulations that will help Turkey sustain economic activities by eliminating possible COVID-19 impacts.
Accordingly, the new legislation includes amendments in following fields:
Repatriation of capital will come into effect again
The companies whose shares are offered to the public for the first time at a rate of at least 10 percent on the Borsa Istanbul will be able to benefit from corporate tax rate at a reduced rate, and the President will carry the authority to reduce corporate tax rate down to 5 points for all institutions.
The tax applications of full taxpayer capital companies, in case they withdraw their shares, are being re-regulated.
A new incentive will be introduced to encourage exports.
Some temporary regulations in the tax laws, whose implementation period will expire by the end of 2020, are being extended.
In cases where it is not clearly stated that the exception or exemption regulation included in other laws includes income / corporate tax withholding, it is recommended to withhold tax within the scope of the temporary article 67 of the Income Tax Law.
Part-time employees are exempted from income tax and stamp tax.