The Finance Minister, Naci Ağbal, has stated that a draft law, number 3065, revised the value-added tax (VAT) law and then it has been sent to parliament. The objective of the new draft bill is to support investments, production activities and exports, to facilitate the tax adoptions of small- and medium-sized enterprises (SMEs), to encourage the formal economy and to strengthen taxpayers’ rights. Article 25 of the new draft law will offer VAT exemption to people who construct schools, hospitals, and mosques for charitable purposes, as well as to foreigners receiving health services in Turkey.
The most important part in this bill will be the payment of the transferred VAT returns to taxpayers without any major delay. It also concerns about group VAT liability, Duty-free deliveries deemed as exports, a refund for deferred VAT, VAT deduction limit, permission of interest on late VAT refunds, and two-year limitations period for VAT refund claims.
