Special tax advantages for companies

Special tax advantages for companies

In our tax laws, there are many advantages for companies.

The British have a proverb: "Everything is difficult before it is learnt". As in this proverb, the managers of some companies are not aware of the advantages granted to them, so they do not benefit from them and pay more tax.

REAL ESTATE AND SUBSIDIARY SHARES

1. Corporate Tax Exemption:

Joint stock and limited liability companies are exempt from corporate tax at 75 per cent of the gains arising from the sale of real estate and participation shares that have been in their assets for at least two full years.

In order to benefit from this advantage, the exempt portion of the sales gain should be kept in a "special fund" account in the liabilities until the end of the fifth year following the year of sale. In addition, the sales price must be collected until the end of the second calendar year following the year of sale (KVK Article 5 (I)-e).

2. VAT Exemption :

The sale of real estate and participation shares that have been in the assets of the corporations for at least two full years is exempt from VAT (VAT.K Article 17/4-r).

If the participation share is a share of a joint stock company and "share certificates" or "share certificates" are issued, the delivery of share certificates or share certificates is exempt from VAT, regardless of the two-year period (VAT Art.17/4-g).

FOREIGN EARNINGS

Earnings derived by joint stock companies and limited liability companies through their foreign offices or permanent representatives

1. These earnings are subject to income and corporate tax at the rate of at least 15 per cent in accordance with the tax laws of the country where they arise.