Dijital Hizmet Vergisi (İngilizce Versiyonu)

 Sirküler No: 2019 / 162

Tarih: 10.12.2019

• Subject of Tax 
  

  "Digital Services Tax" will be  imposed on revenues derived from the following digital services that are performed in Turkey 

• All types of advertising services provided in digital media (advertising control and services such as performance measurement services, data transmission and management of users, and technical services for advertising delivery) 
• The sale of audio, video or  any digital content in the  digital media or any services that enable such content to be listened, watched, played, recorded or used  in the electronic devices. 
• Providing and operating services that digital media where users can interact with each other. 
• Digital media for the services mentioned in the first paragraph given that the brokerage services, 

• Taxpayer 

  The taxpayers of the Digital Services Tax are those who are performing the digital services regardless of whether or not they are tax residents in Turkey or whether or not services are performed through their Turkish Permanent Establishments in case the service provider is a non-resident. 

• Conditions and Exceptions 

  Those with annual worldwide revenue of €750 million or more (TRY equivalent is considered)  during the previous fiscal year and with a total amount of taxable revenues from the digital services obtained in Turkey exceeding TRY 20 million will be subject to the tax. 
   
  In the event that the company is a member of a consolidated group in terms of financial accounting, it is also stated that the total revenue regarding the services of the group will be subject to the tax. 

• Tax Base, Rate and Accounting 

  The tax base of the digital service tax is the revenue obtained from the services during the relevant taxation period. In the case of calculating the revenue with the currency Exchange, Central Bank of The Turkish Republic buying rate of exchange on the  date revenue is obtained shall be considered.
   
  No deductions of expenses, costs or taxes will be allowed.
   
  The Digital Services will be imposed at a rate of 7,5% on the revenue. 

• Taxation Period, Tax Declaration, Assessment and Payment 

  Taxation period will be one-month periods of the calendar year.
   
  The digital service tax is levied on the taxpayer's declaration. In the absence of the taxpayer's residence in Turkey, those who parties taxable transactions and intermediaries for processing are obliged for paying the tax in order to guarantee tax claim.
   
  Taxpayers and those responsible are obliged to submit declaration  the Digital Service Tax to the relevant tax office until the end of the following month.
   
  Service providers who are obliged to Value Added Tax will submit declaration the Digital Service Tax to tax office where the Value Added Tax liability is. Those who do not have value added tax liability will submit declaration to tax office determined by Ministry of Treasury and Finance.
   
  Digital Service Taxes will be deductible from Income / Corporate Tax bases.
   
  Effective date of the regulation is 01.03.2020.
   
  https://www.resmigazete.gov.tr/eskiler/2019/12/20191207-1.htm
   

Kind Regards,