Certain Tax Limits to be Applied during 2023 are Determined
Through the promulgation of relevant general communiqués published in the Official Gazette dated 30 December 2022 and No. 32059 (2nd Repeated), certain tax limits to be applied during 2023 were determined.
Accordingly, above-mentioned communiqués are summarized as follows:
i. The environmental cleaning tax amounts to be paid in 2023 for residences, workplaces and other buildings used in other ways were determined through the General Communiqué on Municipal Revenues Law Serial No. 56. Accordingly, the environmental cleaning tax for residences is calculated as TRY 1.50 for metropolitan municipalities and TRY 1.10 for other municipalities per cubic meter based on the amount of water consumption. The environmental cleaning tax amounts for workplaces and buildings used in other ways are published as lists under Articles 4 and 5 of the relevant communiqué. You can access the full text of the relevant communiqué here (Turkish).
ii. As per the General Communiqué on Real Estate Tax Law Serial No. 82, the lower and upper limits of the values of the houses to be used in the calculation of the valuable house tax in 2023 were determined as follows:
- Between TRY 9.967.000 and TRY 14.951.000 (including this amount) for the portion exceeding TRY 9.967.000 (3 per thousand)
- Up to TRY 19.936.000 (including this amount) TRY 14.952 for TRY 14.951.000 and (6 per thousand) for higher amounts
- Those higher than TRY 19.936.000, TRY 44.862 TL for TRY 19.936.000 and (10 per thousand) for higher than TRY 19.936.000
You can access the full text of the relevant communiqué is available here (Turkish).
iii. As per the Communiqué on the Amendment to the VAT General Application Communiqué on VAT Serial No. 44, the limit for the non-refundable portion of the VAT amount which is subject to VAT due to the transactions subject to the reduced rate and which cannot be eliminated through deduction has been determined as TRY 57.300 for the year 2023. The full text of the relevant communiqué is available here (Turkish).
iv. As per the General Communiqué on Stamp Tax Law Serial No. 67, the maximum stamp tax amount and the stamp tax amounts to be applied to the papers listed in the Table No. (1) annexed to the said law were determined. Accordingly, the maximum stamp tax amount to be calculated for each paper in 2023 was determined as TRY 10,732,371.80. Furthermore, the lump-sum taxes determined by the relevant communiqué are listed in the table numbered (1) attached to the communiqué. The full text of the relevant communiqué is available here (Turkish).
v. As per General Communiqué No. 544 on Tax Procedure Law No. 213 (TPL), the irregularity and special irregularity penalties and certain monetary limits have been determined. Accordingly, in 2023, the first-degree irregularity penalty for capital companies shall be TRY 700 and the second-degree irregularity penalty shall be TRY 370. The special irregularity fine to be imposed in case of not issuing an invoice shall be 10% of the amount to be written in the document, not less than TRY 2.200, the special irregularity fine to be imposed in case of not issuing a delivery note shall be TRY 2.200, and the special irregularity fine to be imposed in case of not submitting electronic declarations and notifications by first class merchants shall be TRY 7.500. The full text of the communiqué is available here (Turkish).
vi. As per the Income Tax General Communiqué Serial No. 323, the income tax tariffs to be applied to income other than wages and wages in 2023 were determined as follows:
- 15% up to TRY 70.000
- TRY 10,500 for TRY 70,000 of TRY 150,000, 20% in excess
- TRY 26.500 for TRY 150.000 of TRY 370.000 (TRY 26.500 for TRY 150.000 of TRY 550.000 for wage income), 27% in excess
- TRY 85.900 for TRY 370.000 of TRY 1.900.000, (TRY 134.500 for TRY 550.000 of TRY 1.900.000 for wage income), 35% in excess
- TRY 621.400 for TRY 1.900.000 of the amount in excess of TRY 1.900.000, (607.000 TRY for TRY 1.900.000 of the amount in excess of TRY 1.900.000 for wage income), 40% in excess.
The full text of the communiqué is available here (Turkish).
vii. As per the General Communiqué on the Law on Fees Serial No. 91, the fee amounts to be applied in 2023 were announced. Accordingly, you can access the table attached to the relevant communiqué, which includes the lump sum and proportional fee amounts here (Turkish).
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