“Law No. 7161 on Introduction of Amendments to Tax Laws and Certain Laws and Decree Laws” (the “Law”) was published in the Official Gazette no 30659, dated 18.01.2019. The Omnibus Law made some crucial amendments such as addition of the currency difference to VAT base, having the “difference ratio according to 12 months average of consumer price index” as a basis for determining the leasing increase price, 70% tax exemption in salary payment of private aviation personnel.

Some amendments introduced by the Law are as below:

“The Treaty of Avoidance for Double Taxation in Taxes Collected from Incomes and Tax Evasion between the Republic of Türkiye and State of Qatar” (the “Treaty”) has signed on December 18th, 2016 at the II. Türkiye – Qatar Supreme Strategic Committee meeting to revise the “Treaty of Double Taxation Avoidance in Taxes Collected from Incomes between the Republic of Türkiye and State of Qatar” with December 25th, 2001 signature date and February 11th, 2008 effective date.

Vehicle owners are obliged to pay the Motor Vehicle Tax (“MTV”) twice a year. Airplanes, helicopters and motor vessels are also subject to this taxation in addition to regular vehicles.

The first instalment payment of 2019 for Motor Vehicle Tax shall be made between the dates of 01.01.2019 and 31.01.2019. The tax calculation is accrued automatically according to your vehicle’s type.

An important modification has been made in electronical notification tools with the National Electronical Notification System (“UETS”) that will carry out by PTT (national post office) as of 01.01.2019. In recent years, some crucial technological steps have taken regarding written notifications and in this manner systems such as electronical notification and Registered E-mail System (“KEP”) have developed. There are three systems related with electronical notification to be followed as an obligation including UETS founded by PTT to conduct electronical notification transactions with 6.12.2018 dated and 30617 numbered Regulation.

These systems are as follows;

• 1. E-Notification system: a result of the provisions of the Tax Procedure Law (“TPL”)
• 2. KEP: a result of the provisions of both the Turkish Commercial Code (“TCC”) & Notification Law
• 3. National Electronical Notification System: a result of the provisions of the regulation on Electronical Notification.