The Revenue Administration of Turkey has issued a draft General Communiqué No. 11 on 6th September 2016 regarding Corporate Tax Law (Law No. 5520) on its website. The draft was published in Official Gazette No. 29796 on 9th August 2016. It results from amendments of the Corporate Tax Law contained within Law No. 6728 on Improving Investment Climate, which was published in Official Gazette No. 29796 on 9th August 2016. The draft clarifies the following issues:
- Impact on the tax exemption for regional headquarters
- determination of the 2-year period for the capital gains exemption in accordance with article 5(1)(e) of the CIT Law
- effect of the tax exemption for 50% of profits attributable to a patent according to article 5/B of CIT Law
- implication of the tax exemption for sell & leaseback transactions under article 5(1)(j) of the CIT Law
- Consequences of the R&D deduction on the basis of article 10 of the CIT Law.
