As you may recall;
Law No. 7194 published in the Official Gazette dated December 7, 2019, obliges to file a declaration for wage income exceeding a certain amount, irregardless of whether it is received from a single employer or from multiple employers. Prior to the amendment, wages received from a single employer were not subject to declaration, regardless of the amount.
According to the new implementation that came into effect as of 2020, taxpayers whose total wage income for 2020 exceeds 600.000 Turkish Liras will declare this income with the annual income tax return they will submit as of March/2021. The inclusion of other incomes other than wages (rental income, dividend income, Eurobond interest, foreign interest, etc.) in the tax declaration depends on its own conditions and terms of declaration.
The regulation has essentially no effect on increasing the tax burden. In fact, the declaration can reduce the tax burden in favor of the taxpayer in some cases. In this context; Due to the fact that personal insurance premiums, education and health expenditures, donations and aids and sponsorship expenditures can be deducted in the declaration, the tax amount to be refunded arises.
However; Since there are some conditions and limitations regarding the expenses to be deducted in the declaration, it is beneficial to have the declarations prepared by experts.
On the other hand, it is necessary to consider the "international information exchange application" called CRS for tax declaration. Because, according to tax legislation; Persons residing in Turkey are in full taxpayer status and are taxed in Turkey over all of their income (interest, dividend, share/bond sales gains abroad) they obtain both in Turkey and abroad.
As Arkan&Ergin YMM A.Ş.; We would like to remind you that we are ready to assist you with the accurate and valid preparation of your declarations and the collection of the refund tax that may arise from the Tax Offices in cash as soon as possible.
Do not hesitate to contact the relevant people below about the issue by mail or phone.
Arkan&Ergin YMM A.Ş
Mustafa Tılmaç: [email protected] Tel: 0 (212) 370 07 00
Serhat Serter: [email protected] Tel: 0 (212) 370 07 00
Nihat Yıldırım: [email protected] Tel: 0 (212) 370 07 00
Sibel Öztürk: [email protected] Tel: 0 (212) 370 07 00