The Ministry of Finance shared the measures taken by the earthquake

The Ministry of Finance shared that the obligations to be fulfilled between February 6, 2023 and July 31, 2023 by 669,562 active taxpayers in the earthquake zone were postponed.

It was noted that the deadline for submitting the statements and notifications to be submitted is extended until August 15, 2023, and the term for payment of the taxes accrued for said statements and notifications until August 31, 2023.

DELAYED DECLARATIONS

In the post where it was indicated that the temporary tax declarations of the first temporary fiscal period of 2023 in the region were postponed, the following information was included:

“In addition, a total of 2,166,685 motor vehicle taxpayers in these provinces will also benefit from the deferral regime. We are postponing the payment of taxes of 37.1 billion lira, which must be paid in 11 provinces where force majeure was declared, for 6 months. We postponed the payment term of the installments to be paid in March, May and July 2023 until August, October and December 2023, after the end of the force majeure. In addition, the debts of the debtors in these places with the Treasury offices will be paid in installments for a maximum of 24 months without any type of interest, provided that the necessary conditions are met.

DONATIONS WILL BE TAX DEDUCTIBLE

It is indicated in the publication that all donations in kind or in cash made to the relief campaigns initiated by President Recep Tayyip Erdoğan can be considered as a discount in the determination of the tax bases of the corresponding year. subject to deductions.

In the distribution it was indicated that if the necessary materials available in the companies of these taxpayers or obtained from abroad are donated in kind to AFAD or to public institutions and organizations run by AFAD, all these donations may be deducted free of charge. It was pointed out that VAT will not be calculated on donations and aid made, and companies can also deduct VAT on the goods that are the object of the donation.

TAX DISCOUNT ON HOUSING SERVICES

Under the coordination of the provincial offices of AFAD, it is established that VAT and lodging tax will not be required from businesses that provide free hosting services and that these businesses may credit their free expenses as expenses in determining the tax base of income and companies, the following statements were used:

“Measures have been taken to facilitate the documentary order in fuel sales in our provinces affected by the earthquake and announced on the website of the Tax Administration. We have reduced the value-added tax rate to 1 percent until the end of 2023 on prefabricated structures and containers, including installation and assembly work, built for earthquake victims to be used in 10 provinces where a state of emergency was declared with Presidential Decree No. .6790. (AA)