Discounted VAT rates applicable to some goods and services and discounted withholding rate of rent payments have expired as of 30.09.2021.

The previous rates will be applicable as of 01.10.2021.

18% VAT rate will be applicable as of 01.10.2021 for the following goods and services;

Within the scope of "By-law Regarding Sale of Renewed Products"; secondhand mobile phones, which have data, voice, and short message traffic for at least 1 year, VAT will be calculated as 1% with the precondition of being renewed and certificated by renovation centers and authorized dealers.

Taxes incurred by the taxpayers due to the goods delivered within the scope of this order are not included in the return account of the transactions subject to the discounted rate.

Annual income tax returns for 2021 income will be submitted to the relevant tax offices in March 2022. (The deadline is March 31, 2022.)

All incomes subject to annual income tax return should be declared for the following income elements listed in Article 2 of the Income Tax Law. You can find the details for the annual income tax return obligation for wages below:

Components of Income:

1. Commercial earnings,
2. Agricultural earnings,
3. Wages,
4. Self-employment earnings,
5. Revenue from real estate, immovable assets
6. Revenue from securities, movable assets
7. Other earnings and revenue.

State Council Tax Cases Court has published a decision (E: 2020/17, K: 2021/2) regarding the taxation of the notice payments.

Per the published decision, the notice payments paid under mutual agreements before March 27, 2018 would be deemed as wage per Article 61 of Income Tax Law No. 193. Accordingly, the notice payments would be subject to taxation.