Tax Law Tax Criminal Law

Tax Law Tax Criminal Law

Tax Law Tax Criminal Law refers to the money collected by the state and local governments from citizens, either directly according to laws or indirectly by adding to the prices of certain goods and services, to be spent on public services. According to Article 73 of the Constitution, every individual is obliged to pay taxes. Sometimes disputes may arise between the state, which is the tax creditor, and the taxpayer, who is the tax debtor, due to the processes of assessment, notification, accrual, penalty imposition, and collection of taxes. Tax law provides the solution point for these disputes.

As Gürbüz Law + Partners attorneys, we provide representation and consultancy services in many areas such as evaluating national and international agreements, restructuring companies in terms of taxation, following tax cases, providing legal consultancy during tax audits, and taking necessary steps to prevent possible tax audits.

With its experienced staff, it carries out procedures in correcting Account errors and Taxation errors by the Tax Office, filing cancellation lawsuits against Tax Penalty Notices and Payment Orders, filing cancellation lawsuits against taxpayer classification procedures made by Tax Offices that are contrary to Constitutional principles, and following these lawsuit processes.

What is Value Added Tax?

Value Added Tax, abbreviated as VAT, is the tax paid by the recipient of goods and services to the supplier in the delivery of goods and services. VAT, which is applied according to Law No. 3065 adopted in 1984, is also defined as a consumption tax.

The Turkish tax system is subject to “declaration”. Individuals or institutions declare how much income they have earned in certain periods and how much tax they should pay from this income.

What are the commonly encountered types of taxes?

• Value Added Tax (VAT)
• Income Tax
• Corporate Tax
• Special Consumption Tax (SCT)
• Withholding Tax
• Provisional Tax
• Stamp Duty
• Motor Vehicle Tax (MVT)
• Property Tax

What is Income Tax?

Individuals subject to income tax are real persons. These are taxpayers who can legally acquire rights and use authority, and are not institutionalized. According to the Income Tax Law, the definition of this type of tax is: “Income is the net amount of earnings and revenues obtained by a real person within a calendar year.”

Elements of income:

1. Commercial earnings,
2. Agricultural earnings,
3. Wages,
4. Self-employment earnings,
5. Real estate capital income,
6. Movable property capital income,
7. Other earnings and revenues.

Who are Income Tax Payers?

Full taxpayers:

• Those residing in Turkey,
• Turkish citizens residing in foreign countries due to their work for official departments and institutions or organizations and enterprises headquartered in Turkey,
• Those who reside in Turkey for more than 6 months continuously within a calendar year.

Taxpayers with these characteristics are taxed on all their earnings obtained in Turkey or outside Turkey.

Limited taxpayers:

Real persons who do not reside in “Turkey are considered limited taxpayers. These individuals are only taxed on the earnings and revenues they obtain in Turkey”.

What is Corporate Tax?

Corporate tax is a type of tax levied on corporate earnings. It is calculated on the net corporate earnings obtained within a calendar year and paid to the state.

Corporations subject to this type of tax are:

• Capital companies,
• Cooperatives,
• Economic public institutions,
• Economic enterprises belonging to associations or foundations,
• Joint ventures.

Corporate tax is paid to the state at a rate of 20% of the corporate earnings.

What Happens if the Tax Debt is not Paid on Time?

The assessment slip received after submitting the tax return states the deadline for paying this tax. The tax can be paid without penalty until this date. For taxes not paid by this date, a tax late payment penalty is charged.

What are Tax Incentives, Exemptions, Immunities? To whom are They Applied?

The state collects taxes under various names from all types of earnings it considers as income. One of the purposes of tax collection is to control income distribution. The state may collect less tax or no tax at all for certain types of income or taxpayers.

• Incentive: It is making certain areas, activities, or regions attractive by reducing tax rates or not collecting taxes at all, in line with state policies to develop them.
• Exception: It is excluding certain incomes from tax calculation.
• Exemption: It is excluding the taxpayer from tax calculation.

Tax Law Cases

1. Cancellation lawsuits for Tax Principal, Tax Loss, and Special Irregularity Penalties,
2. Special Principles (Code) Lawsuit
3. VUK 153/a Lawsuit
4. Cautionary Annotation Lawsuits
5. Full remedy actions in tax law,
6. Correction of all disputes arising from taxes,
7. Conducting pre-assessment and post-assessment reconciliation procedures,
8. Correction of account errors and taxation errors
9. Preparation of Inheritance and Transfer Tax Declaration,
10. Following lawsuits filed for using fake invoices,
11. Objection to payment orders for taxes,
12. Objection to seizure procedures,
13. Providing consultancy services to real and legal persons regarding incentives, exceptions, and exemptions,

Which Court is Competent and Authorized in Tax Disputes?

In tax disputes related to taxes, duties, fees, and similar financial obligations that have reached the assessment and accrual stage, the competent court is the Tax Court, and the authorized court is the tax court in the place where the office that assesses and accrues the public receivable in dispute and imposes surcharges and penalties is located.

Gürbüz Law + Partners provides legal support within the scope of tax law for all kinds of dispute problems experienced by clients. We have a lawyer staff specialized in this field. If you want to establish a solution partnership with our experienced staff, you can contact us.

Istanbul Tax Litigation Lawyer

Operating in Istanbul, Gürbüz Law + Partners, as an Istanbul Tax Litigation Lawyer, is responsible for all matters related to Tax Law; regulating relations between the State and taxpayers; Cancellation lawsuits for Tax Principal, Tax Loss, and Special Irregularity Penalties, Special Principles (Code) Lawsuit, VUK 153/a Lawsuit, Cautionary Annotation Lawsuits, Following lawsuits filed for using fake invoices and provides consultancy services for resolving legal issues related to similar disputes and stands by you in lawsuit follow-up processes in emerging disputes.

For information about our Legal Consultancy and Attorney Services regarding Tax Law Tax Disputes, you can contact our Expert Lawyer Staff at (0216) 208 45 47 or via info@gurbuzlaw.com.