Tax Regulations Regarding Technopolis and R&D Centers

% 0

Through the Law No. 7263 on the Amendment to the Law on Technology Developments Zones and the Certain Laws (“Law No. 7263”), published in the Official Gazette dated February 3, 2021 and numbered 31384, significant tax regulations have been introduced to the Law No. 4691 on Technology Developments Zones (“Law No. 4691”) and the Law No. 5746 on Supporting Research, Development and Design Activities (“Law No. 5746”).

The mentioned tax regulations may be summarized as follows.

Amendments to the Law No. 4691

  • As of 01.01.2022, the income and corporate taxpayers in the Technology Development Zone, whose exempted profit based on tax return is TRY 1,000,000.00 and more shall transfer 2% of the exempted profit to a temporary account in liabilities to acquire the venture capital investment fund shares that are established to invest in entrepreneurs residing in Turkey, or to be capitalized in venture capital investments partnerships or entrepreneurs operating in business incubators under the Technopolis Law. The mentioned amount shall be utilized to invest in entrepreneurs until 31.12.2023.
  • The opportunity to make reduction of the capital support provided by income and corporate taxpayers to companies operating in the Technopolis, to be rendered in the financing of projects within the scope of the Technopolis Law, has been extended to 31.12.2028.

Amendments to the Law No. 5746

  • The capital support provided by income and corporate taxpayers to companies benefiting from the venture capital funds to which the resources within the scope of Venture Capital Support are transferred or the investments of the funds invested by these funds may be subject to a reduction in the determination of the business profits provided that certain conditions are met.
  • As of 01.01.2022, corporate taxpayers whose R&D reduction amount, subject to reduction over the annual tax return, is TRY 1,000,000.00 or more shall transfer 2% of the amount subject to reduction to a temporary account in liabilities to acquire the venture capital investment fund shares that are established to invest in entrepreneurs residing in Turkey, or to be capitalized in venture capital investments partnerships or entrepreneurs operating in business incubators under the Technopolis Law No. 4691.

The Law No. 7263 enters into force on the publication date. You may find the full text of the Law here.

All rights of this article are reserved. This article may not be used, reproduced, copied, published, distributed, or otherwise disseminated without quotation or Erdem & Erdem Law Firm's written consent. Any content created without citing the resource or Erdem & Erdem Law Firm’s written consent is regularly tracked, and legal action will be taken in case of violation.

Other Contents

Legal Developments
Time Limitation is Envisaged for the Application of Interest Rate Deduction Resulting from Cash Capital Increase

Through Law No. 7417 on the Amendment to the Civil Servants Law, Certain Laws and Decree No. 375 ("Law No. 7417") published in the Official Gazette dated 5th July 2022 and No. 31887, a significant amendment is introduced for the application of interest rate deduction resulting from cash capital increase...

Tax Law 08.07.2022
Legal Developments
Significant Amendments on Some Tax Laws Entered into Force Through the Promulgation of the Law No. 7417

Through the Law No. 7417 on the Amendment to the Civil Servants Law, Certain Laws and Decree No. 375 ("Law No. 7417") which is published in the Official Gazette dated 5th July 2022 and No. 31887, significant amendments within Law No. 6183 on the Procedure for the Collection of Public Receivables...

Tax Law 07.07.2022
Legal Developments
New Wealth Amnesty entered into force through the Promulgation of the Law No. 7417

Through the promulgation of the Law No. 7417 on the Amendment to the Civil Servants Law, Certain Laws and Decree No. 375 ("Law No. 7417") which is published in the Official Gazette dated 5th July 2022 and no. 31887, new Wealth Amnesty has been introduced.

Tax Law 05.07.2022
Legal Developments
Amendments to Regulation on the Procedures and Principles to be Applied in Tax Inspections

Through the promulgation of the Regulation on Amendment to Regulation on the Procedures and Principles to be Applied in Tax Inspections published in the Official Gazette dated 28th June 2022 and no. 31880, significant amendments were made to the rules applied in tax inspections...

Tax Law 28.06.2022
Legal Developments
The Period of the Application of Low Withholding Rates on Deposit Interest and Dividends Paid by Participation Banks are Re-Extended

Through the promulgation of the President Decision No. 5752 published in the Official Gazette dated 28th June 2022 and no. 31880 (“Decision”), the period of the application of the low withholding rates on the interest obtained from Turkish Lira...

Tax Law 28.06.2022
Legal Developments
Corporate Tax Exemption is Envisaged for The Gains Derived from the Conversion into Turkish Lira as per to the Balance Sheet Dated 31th March 2022

Through the promulgation of Law No. 7407 Amending the Banking Law, Some Laws and the Decree Law No. 655 (“Law No. 7407”), published in the Official Gazette dated 28th May 2022 and No. 31849, corporate tax exemption envisaged for incomes gained through currency protected TRY deposit accounts...

Tax Law 31.05.2022
Legal Developments
Law No. 7394 Including Significant Amendments in Some Tax Laws is Published

Through the promulgation of Law No. 7394 on the Amendments of Treasury-Owned Immovable Property Valuation and the Value Added Tax Law and on the Amendments of Certain Other Laws and Decrees (“Law No. 7394”), published in the Official Gazette...

Tax Law 21.04.2022
Legal Developments
Law No. 7352 on the Postponement of Inflation Adjustment and Corporate Tax Exemption Regarding Income Gained Through Currency Protected TRY Deposit Accounts is Published

Through the promulgation of Law No. 7352 Amending Tax Procedure Law and the Corporate Tax Law (“Law No. 7352”), published in the Official Gazette dated 29th January 2022...

Tax Law 03.02.2022
Legal Developments
The Deadline for the Submission of Some Tax Returns Has Been Extended

Through the announcement of Circular No. VUK-138/2022-1 and dated 25 January 2022 (“Circular”) made by the Turkish Revenue Administration, it has been announced that the deadline for the submission of tax returns regarding...

Tax Law 25.01.2022
Legal Developments
Special Consumption Tax Rates and Base for Some Passenger Cars are Amended

Special Consumption Tax Rates and Base for Some Passenger Cars are Amended

Tax Law 31.08.2020
Legal Developments
VAT Rate Applicable to Education Services Provided in Private Schools and Universities is Reduced to 1%

VAT Rate Applicable to Education Services Provided in Private Schools and Universities is Reduced to 1%

Tax Law 31.08.2020
Legal Developments
Procedures and Principles Regarding the Tax Registration Cancellation of Taxpayers with High Risk to Forge Documents is Published

Procedures and Principles Regarding the Tax Registration Cancellation of Taxpayers with High Risk to Forge Documents is Published

Tax Law 7.10.2020
Legal Developments
The New Wealth Amnesty entered into force through the Promulgation of the Law No. 7256

The New Wealth Amnesty entered into force through the Promulgation of the Law No. 7256

Tax Law 17.11.2020
Legal Developments
Provisions on Restructuring of Public Receivables of the Law No. 7256 entered into force

Provisions on Restructuring of Public Receivables of the Law No. 7256 entered into force

Tax Law 17.11.2020
Legal Developments
New Taxation Rules were introduced for Share Buybacks

New Taxation Rules were introduced for Share Buybacks

Tax Law 17.11.2020
Legal Developments
Procedures and Principles regarding the Restructuring of Some Public Receivables were determined through the General Communiqué Serial No.1

Procedures and Principles regarding the Restructuring of Some Public Receivables were determined through the General Communiqué Serial No.1

Tax Law 27.11.2020
Legal Developments
Procedures and Principles regarding the Wealth Amnesty were determined

Procedures and Principles regarding the Wealth Amnesty were determined

Tax Law 30.11.2020
Legal Developments
The Revaluation Rate was determined as 9,11 % for 2020

The Revaluation Rate was determined as 9,11 % for 2020

Tax Law 30.11.2020
Legal Developments
The Liability for Valuable House Tax will be effective as of 2021a

The Liability for Valuable House Tax will be effective as of 2021

Tax Law 11.12.2020
Legal Developments
Extension of the Period Designated for Submission of the First Country by Country Report

Extension of the Period Designated for Submission of the First Country by Country Report

Tax Law 22.12.2020
Legal Developments
The Duration of VAT Rate Discounts on Certain Goods and Services is Extended

The Duration of VAT Rate Discounts on Certain Goods and Services is Extended

Tax Law 23.12.2020
Legal Developments
The Upper Limit of Stamp Tax to be Applied in 2021 was determined

The Upper Limit of Stamp Tax to be Applied in 2021 was determined

Tax Law 29.12.2020
Legal Developments
Income Tax Tariffs Applicable on Remunerations and Income Other than Remunerations Acquired in 2021 were determined

Income Tax Tariffs Applicable on Remunerations and Income Other than Remunerations Acquired in 2021 were determined

Tax Law 30.12.2020
Legal Developments
The Communiqué on the Procedures and Principles Regarding Valuable House Tax was published

The Communiqué on the Procedures and Principles Regarding Valuable House Tax was published

Tax Law 18.01.2021
Legal Developments
Special Communication Tax Rate was increased to 10%

Special Communication Tax Rate was increased to 10%

Tax Law 1.02.2021
Legal Developments
VAT in Urban Transformation was reduced to 1%

VAT in Urban Transformation was reduced to 1%

Tax Law 1.02.2021
Legal Developments
SCT Rates on Electric Cars were increased

SCT Rates on Electric Cars were increased

Tax Law 2.02.2021
Legal Developments
Withholding Rate of Long-term Construction and Repair Business was increased

Withholding Rate of Long-term Construction and Repair Business was increased

Tax Law 4.02.2021
Legal Developments
Limitation on Financing Expense Deduction is Back

Limitation on Financing Expense Deduction is Back

Tax Law 5.02.2021
Legal Developments
Special Communication Tax as Deductible Expense

Special Communication Tax as Deductible Expense

Tax Law 5.03.2021
Legal Developments
Declaration of Wage Incomes for FY2020

Declaration of Wage Incomes for FY2020

Tax Law 25.03.2021
Legal Developments
Amendments to Regulation on the Conciliation Before Assessment

Amendments to Regulation on the Conciliation Before Assessment

Tax Law 8.04.2021
Legal Developments
Corporate Tax Rate has been increased

Corporate Tax Rate has been increased

Tax Law 22.04.2021
Legal Developments
The Period of VAT Reduction on Overnight Services in Accommodation Facilities Has Been Extended for 1 Month

The Period of VAT Reduction on Overnight Services in Accommodation Facilities Has Been Extended for 1 Month

Tax Law 30.04.2021
Legal Developments
SCT Amounts Imposed on Some Fuel Products Have Been Increased

SCT Amounts Imposed on Some Fuel Products Have Been Increased

Tax Law 20.05.2021
Legal Developments
The Corporate Tax General Communiqué No. 18 is Published

The Corporate Tax General Communiqué No. 18 is Published

Tax Law 25.05.2021
Legal Developments
The Duration of VAT Rate Discounts on Certain Goods and Services is Extended Until July 31st

The Duration of VAT Rate Discounts on Certain Goods and Services is Extended Until July 31st

Tax Law 2.06.2021
Legal Developments
The Period of VAT Reduction on Accommodation Services has been re-extended

The Period of VAT Reduction on Accommodation Services has been re-extended

Tax Law 22.06.2021
Legal Developments
Time Extension for Wealth Amnesty

Time Extension for Wealth Amnesty

Tax Law 30.06.2021
Legal Developments
Obligation of Ultimate Beneficial Owner Declaration for Corporate Taxpayers and Certain Persons

Obligation of Ultimate Beneficial Owner Declaration for Corporate Taxpayers and Certain Persons

Tax Law 13.07.2021
Legal Developments
The Duration of VAT Rate Discounts on Certain Goods and Services is Extended Until 30 September 2021

The Duration of VAT Rate Discounts on Certain Goods and Services is Extended Until 30 September 2021

Tax Law 30.07.2021
Legal Developments
The Period of Withholding Rate Reductions on Real Estate Rentals is Extended to September 30th

The Period of Withholding Rate Reductions on Real Estate Rentals is Extended to September 30th

Tax Law 30.07.2021
Legal Developments
The Rate Regarding the Working Time Spent Outside the Region and Centers by Personnel Working in Technology Development Zones and R&D or Design Centers Has Been Amended

The Rate Regarding the Working Time Spent Outside the Region and Centers by Personnel Working in Technology Development Zones and R&D or Design Centers Has Been Amended

Tax Law 19.10.2021
Legal Developments
The Law No. 7338 on the Amendment of Tax Procedural Law and Certain Other Laws Has Entered Into Force

The Law No. 7338 on the Amendment of Tax Procedural Law and Certain Other Laws Has Entered Into Force

Tax Law 26.10.2021
Legal Developments
Tax Amendments Introduced Through the Law No. 7341

Tax Amendments Introduced Through the Law No. 7341

Tax Law 9.11.2021

For creative legal solutions, please contact us.