Issues of the enacted tax package that concern the technology sector

Bill on Amendments to Tax Laws and Some Laws, was accepted in the General Assembly of the Turkish Grand National Assembly and became law. Accordingly, we see that some items concerning the technology sector are also on the agenda.

Technopreneurship companies can give shares to their employees free of charge or at a discount.

Accordingly, with the amendment made to the Income Tax Law, the portion of the market value of the share certificates given free of charge or at a discount to service personnel by employers that qualify as technopreneurship companies in accordance with the criteria determined by the Ministry of Industry and Technology and considered as wages, not exceeding the one-year gross wage amount in that year. from income tax will be excluded.

In other words, employers who qualify as technopreneurship companies according to the criteria determined by the Ministry of Industry and Technology will be able to give shares to their employees free of charge or at a discount. These shares will be considered part of the employee’s salary. However, the fair value of these shares on the date of issue will be exempt from income tax as long as it does not exceed the employee’s one-year gross wage.

Service providers in e-commerce marketplaces must withhold tax on payments they make to companies offering products or services.

Payments made by intermediary service providers and electronic commerce intermediary service providers, which enable contracts to be made or orders for the supply of goods or services of electronic commerce service providers in electronic commerce marketplaces, to service providers and electronic commerce service providers operating in accordance with the relevant provisions, due to their activities, are included in the scope of tax deduction. .

In other words, intermediary service providers operating in electronic commerce marketplaces, They have to apply tax deductions on the payments they make to companies that provide products or services.

Platforms are required to report the commercial transactions carried out by their users and the data related to these transactions.

Ministry of Treasury and Finance, including electronic commerce and the internet. In cases where all kinds of digital media are used for economic and commercial purposes such as advertising, announcement, sale and rental. It is aimed to provide tax security. Accordingly, electronic commerce service providers, real and legal person intermediary service providers and electronic commerce intermediary service providers who provide an environment for the economic and commercial activities of others, as well as access, content, location and social network providers, are obliged to provide notification regarding their economic and commercial activities. is being brought. The regulation requires that the information subject to notification regarding the economic and commercial activities of others and the information produced or provided by content providers be received by intermediary service, electronic commerce intermediary service, access, location or social network providers.

According to the regulation, digital platforms such as electronic commerce service providers (such as e-commerce sites), natural or legal person intermediary service providers (such as online marketplaces) that enable the economic and commercial activities of others, and access, content, location and social network providers, There is an obligation to report information regarding these activities. This requires platforms to report the commercial transactions carried out by their users and the data related to these transactions.

In addition, this regulation obliges platforms to make notifications about the economic and commercial activities of others and to collect information produced or provided by content providers by intermediary service, electronic commerce intermediary service, access, hosting or social network providers. It is aimed to ensure that all commercial activities carried out in the digital environment are more transparent and traceable.

The transferred VAT and refund right can be transferred to the new company through tax audit, regardless of the 5 calendar year criterion or statute of limitations.

In merger, transfer and division transactions, the transferred VAT and refund right will be allowed to be transferred to the new company through tax audit, regardless of the 5 calendar year criterion or statute of limitations. If the VAT amounts to be deducted in taxpayers’ VAT returns cannot be eliminated through deduction for 5 calendar years, they will be removed from the records at the end of this period and will be taken into account as an expense in the determination of income or corporate tax through a tax audit.

In summary, the transferred VAT and refund right can be transferred to the new company through tax audit, regardless of the 5 calendar year criterion or statute of limitations. This means that the new company can take over the old company’s VAT receivables and refund rights. In addition, if the amounts declared as VAT to be deducted in the taxpayers’ VAT returns cannot be used through deduction within 5 calendar years, they will be removed from the records at the end of this period.

International companies will be charged 15 percent tax on the profits they make from Turkey.

From now on, what international companies operating in Turkey will achieve here must pay 15 percent tax on profits. This also includes companies in the technology sector. Since technology companies, in particular, generally have a large global customer base, this tax policy will require them to pay a portion of their profits in Turkey as taxes. This may cause companies to review their cost structures and business strategies in Turkey.