Number:   12
Date:   23.10.2019

TAX CIRCULAR NO: 2019/12

SUBJECT MATTER: The General Communique Under the Code of Tax Procedure No. 509 on Electronic Document Practices was promulgated on 19.10.2019.

 

 

The General Communique Under the Code of Tax Procedure No. 509, which contains the mandatory transition dates and the code of  practice regarding the practices of electronic documents, which are compulsory to be issued pursuant to the Code of Tax Procedure, was promulgated within the issue No. 30923, dated October 19, 2019, of the Official Gazette, whereby all other Communiques regarding the issue electronically of such documents that have previously been promulgated (communiques no. 397, 415, 421, 433, 454, 462, 463, 487) have been consolidated into one single Communique.

The details about such Communique are summarized within the following table.

 

 

 

TAXPAYERS, WHO ARE REQUIRED TO SWITCH TO E-INVOICE REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any taxpayer, whose gross sales proceeds for the accounting year of 2018 or subsequent accounting years    (or sales turnover and gross business proceeds) is equal to or in excess of TRY 5 Million. 1/07/2020

(Any taxpayer, whose gross sales proceeds for the accounting year of 2020 or subsequent accounting years is equal to or in excess of TRY 5 Million, is required to switch to e-invoice as of the beginning of the 7th month of the year that follows the relevant accounting year).

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Any taxpayer, whose gross sales proceeds for the accounting year of 2018 (or sales turnover and gross business proceeds) is equal to or in excess of TRY 10 Million.1 As of 1/01/2020

1 The Communique provides that the Communique No. 454 shall be abrogated on 1/1/2020.

 

 

 

Any taxpayer, who obtains a license from the EMRA (Energy Market Regulatory Authority) on account of the goods that fall into the scope of the list No. (I) that is enclosed to the Special Consumption Tax Code, or who manufactures, constructs or imports any of the goods that fall into the scope of the list No. (III) that is enclosed to the said Code     within the year of 2019.

 

As of 1/07/2020

 

(Any taxpayer, who manufactures, constructs or imports any such goods within 2020 or subsequent years, is required to switch to e-invoicing as of the beginning of the fourth month that follows the month, in which such manufacture, construction or importation takes place.)

Any provider of intermediary services, the providers of intermediary services in the field of online (Internet) advertising and those, who publish advertisement online (on the Internet) (As defined within the Act No. 6563 on the Regulation of Electronic Commerce, enacted on 23/10/2014). Not later than 1/07/2020

(Any taxpayer, who intends to commence its operations for the purpose of carrying out the activities that are mentioned in this paragraph in the accounting year of 2020 or any subsequent accounting year, is required to switch to e-invoicing within a period of 3 months following the date of commencement of its operations.)

Any taxpayer, who is engaged in the trading of vegetables and fruits as brokers or merchants under the provisions of the Act No. 5957 on the Regulation of the Trade of Vegetables and Fruits as well as Other Merchandises with Adequate Depth of Supply and Demand. Not later than 10/1/2020

(Any taxpayer, who intends to commence its operations for the purpose of carrying out the activities that are mentioned in this paragraph in the accounting year of 2020 or any subsequent accounting year, is required to switch to e-invoicing within a period of 3 months following the date of commencement of its operations.)

Any taxpayer, who is registered to the e-Invoice application, and who issues invoices in respect of exportation of goods under the provisions of Article 11 of the Value Added Tax Code No. 3065, dated 25/10/1984, (including sales performed through suitcase trading to those, who do not reside in Turkey, on the basis and by way of the issue of special invoices) and in respect of exportation of goods in the accompaniment of passengers (sales of goods to those, who do not reside in Turkey, performed by way of the calculation of VAT), in respect of the invoices so issued thereby As of 1/07/2017

(as of 1/07/2020 in respect of the sales performed through  suitcase trading to those, who do not reside in Turkey, on the basis and by way of the issue of special invoices.)

TAXPAYERS, WHO ARE REQUIRED TO SWITCH TO E-ARCHIVE REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any taxpayer, who has switched to e-invoicing as of the date of promulgation of the Communique (excluding those, who issue other documents that are invoice substitutes due to the nature of their operations), and who has switched e-invoicing optionally. Not later than 1/01/2020

 

 

 

Any provider of intermediary services, the providers of intermediary services in the field of online (Internet) advertising and those, who publish advertisement online (on the Internet)

 

Not later than 1/01/2020

(Any taxpayer, who intends to commence its operations for the purpose of carrying out the activities that are mentioned in this paragraph in the accounting year of 2020 or any subsequent accounting year, is required to switch to e-invoicing within a period of 3 months following the date of commencement of its operations.)

It has become mandatory for the taxpayers, who are not registered to the e-Archive Invoice application, to issue their invoices through the invoice issue portal made available to taxpayers free of charge by GIB (Revenue Administration) in the event the total amount of such invoices, including taxes, exceed TRY 30 Thousand (the sum of TRY 5,000, including taxes, in respect of such invoices that are issued by taxpayers). As of 1/01/2020
Other Taxpayers, Who May Be Imposed A Mandatory Requirement by the Administration By way of granting a period of transition that is not shorter than 3 months
TAXPAYERS, WHO ARE REQUIRED TO SWITCH TO E-DELIVERY NOTE REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any taxpayer, who obtains a license from the EMRA (Energy Market Regulatory Authority) on account of such activities as the manufacture, importation, delivery etc. of the goods that fall into the scope of the list No. (I) that is enclosed to the Special Consumption Tax Code. As of 1/07/2020
Any taxpayer, who obtains a license from the EMRA (Energy Market Regulatory Authority) on account of the manufacture, construction, importation and marketing as the main dealer/distributor of the goods that fall into the scope of the list No. (III) that is enclosed to the Special Consumption Tax Code. As of 1/07/2020
Any taxpayer, who is registered to the e-Invoice application and whose gross sales proceeds for the accounting year of 2018 or subsequent accounting years (or sales turnover and gross business proceeds) is equal to or in excess of TRY 25 Million. As of 1/07/2020
Any holder of operating license/certificate issued under the Mining Act No. 3213, and any natural person and legal entity taxpayer, who is engaged in mining production activities on the basis of a contract executed thereby with any holder of such operating license/certificate. As of 1/07/2020
Any taxpayer, who manufactures sugar (white sugar) as defined within sub-paragraph (e) of Article 2 of the Sugar Act No. 4634. As of 1/07/2020

 

 

Any taxpayer, who is registered to the e-Invoice application, and is engaged in the manufacture, importation or exportation of iron and steel (HS Code: 72) or products made of iron or steel (HS Code: 73). As of 1/07/2020
Any user, who is registered to the Fertilizer Tracking System that has been established by the Ministry of Agriculture and Forestry for the purpose of keeping records of fertilizer production and consumption. As of 1/07/2020
Any taxpayer, who is engaged in the trading of vegetables and fruits as brokers or merchants under the provisions of the Act No. 5957 on the Regulation of the Trade of Vegetables and Fruits as well as Other Merchandises with Adequate Depth of Supply and Demand. As of 1/01/2020
TAXPAYERS, WHO ARE REQUIRED TO SWITCH TO E-SELF-EMPLOYMENT REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any self-employed individuals, who is not exempt from tax and actively performs the professional activities thereof as of 1/2/2020. Not later than 1/06/2020
Any self-employed individuals, who is not exempt from tax and intends to commence the professional activities thereof as of 1/2/2020 (inclusive). Not later than the end of the 3rd month following the month of commencement of the professional activities
E-PRODUCER RECEIPT REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any taxpayer, who is required to switch to e-invoicing and is also required to issue producer receipts due to the nature of its activities. Not later than 1/07/2020
Any taxpayer, who is engaged in the trading of vegetables and fruits as brokers or merchants under the provisions of the Act No. 5957 on the Regulation of the Trade of Vegetables and Fruits as well as Other Merchandises with Adequate Depth of Supply and Demand, enacted on 11/3/2010. Not later than 1/01/2020
Any taxpayer, who is required to switch to the e-Producer Receipt application by the Administration Each taxpayer, to whom a written notification on the matter is served, is required to register to the e-Producer Receipt application within the period specified within such written notification.
E-EXPENSE NOTE REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any taxpayer, who is considered to be appropriate by the Administration By way of granting a period of transition that is not shorter than 3 months
Any taxpayer, who so wishes, subject to the condition of being registered to the e-invoice application As of the date of establishment of the relevant infrastructure following the filing of the relevant application
E-TICKET REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Any business with Railway Operator license, which is engaged in long-distance (interurban) passenger transport activities as stated within the Road Transport Regulation Not later than 1/01/2021 (Any taxpayer, who commences its activities in 2021 or the subsequent years, is required to switch to e-ticket application as of the beginning of the fourth month that follows the month, in which it commences its activities)
The move theater businesses, where Turkish and foreign films are screened Not later than 1/07/2020 (Any taxpayer, who commences its activities after 1/7/2020, is required to switch to e-ticket application not later than the beginning of the fourth month that follows the month, in which it commences its activities)
E-INSURANCE COMMISSION EXPENSE NOTE REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Switching to e-Insurance Policy and issuing e-Insurance Policies is currently optional; and the Revenue Administration is authorized to impose the requirement to switch and register to e-Insurance Policy application on insurance, pension and reinsurance companies or insurance and pension intermediary service providers (brokers), granting them a period that is not shorter than 3 months, and to establish such matter through the announcements published on cbclge.gib.gov.tr. Within the period to be specified by the Revenue Administration
The insurance, pension and reinsurance companies, which switch and register to the application The concerned companies are required to deliver any insurance commission expense note issued thereby as of the date of their registration to the application in the form of e-Insurance Commission Expense Note electronically or as hard copy.
E-INSURANCE POLICY REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Switching to e-Insurance Policy and issuing e-Insurance Policies is currently optional; and the Revenue Administration is authorized to impose the requirement to switch and register to e-Insurance Policy application on insurance, pension and reinsurance companies or insurance and pension intermediary service providers (brokers), granting them a period that is not shorter than 3 months, and to establish such matter through the announcements published on cbclge.gib.gov.tr. Within the period to be specified by the Revenue Administration
The insurance, pension and reinsurance companies or insurance and pension intermediary service providers (brokers), which switch and register to the application The concerned companies and parties are required to issue their insurance policies as e-Insurance Policies as of the date of their registration to the application.
E-FOREIGN EXCHANGE TRADING RECEIPT REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
The e-Foreign Exchange Trading Receipt regulated herein is not a novel type of document, and has the same legal characteristics as a “Foreign Exchange Selling” receipt and a “Foreign Exchange Buying” receipt in printed form. Optional.
E-ACCOUNT STATEMENT REQUIRED DATE OF COMMENCEMENT OF THE APPLICATION
Switching to e-Account Statement and issuing e-Account Statements is currently optional; and the Revenue Administration is authorized to impose the requirement to switch and register to e-Account Statement application on banks, granting them a period that is not shorter than 3 months, and to establish such matter through the announcements published on cbclge.gib.gov.tr. The banks are required to deliver any statement issued thereby as of the date of their mandatory registration to the application in the form of e-Account Statement in compliance with the principles and procedures set forth within the Communique, and to deliver the same to the respective recipients electronically or as hard copy.

 

 

 

The foregoing matters are kindly submitted for your information.

Note: This circular is intended to summarize details of the latest amendments to the relevant acts and codes.