Sign up for tax alert emails    GTNU homepage    Tax newsroom    Email document    Print document    Download document

April 26, 2021
2021-5473

Turkey increases corporation tax rate for 2021 and 2022 tax years

The Turkish Government submitted a Draft Law on Amendment of The Law on Collection Procedures of Public Receivables and Other Certain Laws (the Draft Law) to the Turkish Parliament on 2 April 2021. The Draft Law proposes increasing the corporation tax rate to be applied at the rate of 25% for the 2021 tax year and 23% for the 2022 tax year. See EY Global Tax Alert, Turkey proposes increase in corporation tax rate, dated 5 April 2021.

The aforementioned Draft Law was published in the Official Gazette dated 22 April 2021 and has entered into force. Under the Law, the provisional article has been added to the Corporation Tax Law No. 5520 and the corporation rate tax has been increased from 20% to 25% and 23% for the 2021 tax year and the 2022 tax year respectively.

Such rates will be applicable to the corporate income of the tax year starting from 1 January 2021 and the corporation tax declarations that must be submitted as of 1 July 2021. For companies with a special accounting period, increased rates shall be applicable for the corporate income of the accounting period starting in the related tax year.

The new provisional article entered into force on its publication date.

_____________________________________________

 For additional information with respect to this alert, please contact the following:

Kuzey Yeminli Mali Müsavirlik A.S., Istanbul

 
 

The information contained herein is general in nature and is not intended, and should not be construed, as legal, accounting or tax advice or opinion provided by Ernst & Young LLP to the reader. The reader also is cautioned that this material may not be applicable to, or suitable for, the reader's specific circumstances or needs, and may require consideration of non-tax and other tax factors if any action is to be contemplated. The reader should contact his or her Ernst & Young LLP or other tax professional prior to taking any action based upon this information. Ernst & Young LLP assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

 

Copyright © 2024, Ernst & Young LLP.

 

All rights reserved. No part of this document may be reproduced, retransmitted or otherwise redistributed in any form or by any means, electronic or mechanical, including by photocopying, facsimile transmission, recording, rekeying, or using any information storage and retrieval system, without written permission from Ernst & Young LLP.

 

Any U.S. tax advice contained herein was not intended or written to be used, and cannot be used, by the recipient for the purpose of avoiding penalties that may be imposed under the Internal Revenue Code or applicable state or local tax law provisions.

 

"EY" refers to the global organisation, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients.

 

Privacy  |  Cookies  |  BCR  |  Legal  |  Global Code of Conduct Opt out of all email from EY Global Limited.

 


Cookie Settings

This site uses cookies to provide you with a personalized browsing experience and allows us to understand more about you. More information on the cookies we use can be found here. By clicking 'Yes, I accept' you agree and consent to our use of cookies. More information on what these cookies are and how we use them, including how you can manage them, is outlined in our Privacy Notice. Please note that your decision to decline the use of cookies is limited to this site only, and not in relation to other EY sites or ey.com. Please refer to the privacy notice/policy on these sites for more information.


Yes, I accept         Find out more