(1) An amendment has been added to the Income Tax Law No. 193 by Article 2 of Law No. 7338.
“Exemption for Income from Social Content Creation and Mobile App Development:
Repealed Article 20/B – The income earned by social content creators who share content such as text, images, sound, and videos through social network providers on the internet, and by those who develop applications for mobile devices like smartphones or tablets, from electronic application sharing and sales platforms, is exempt from income tax.
To benefit from this exemption, it is required to open an account with banks established in Turkey and collect all revenues related to these activities exclusively through this account.
Banks are responsible for withholding 15% income tax on the revenue transferred to these accounts as of the transfer date and declaring and paying this amount in accordance with Articles 98 and 119 of the Law. No additional withholding is required under Article 94 for this amount.
The existence of income or revenue from other activities outside the scope of the first paragraph does not prevent benefiting from this exemption.
Those whose total income from activities covered under the first paragraph exceeds the amount specified in the fourth income bracket of Article 103 (3 million TL for 2024) and those who do not collect all their revenues in accordance with the conditions specified in the second paragraph cannot benefit from this exemption. Those in this situation are not obligated to withhold tax under Article 94, paragraph 1.
If it is determined that the conditions for the exemption are not met, the tax that has not been fully assessed will be collected together with late interest and a tax loss penalty.
The President is authorized to reduce the withholding rates mentioned in this article for each type of activity separately to zero or increase them up to one time; the Ministry of Treasury and Finance is authorized to determine the procedures and principles regarding the implementation of this article.
(*) (Previous version before the change by Article 7 of Law No. 7491) The income earned by social content creators who share content such as text, images, sound, and videos through social network providers on the internet, and by those who develop applications for mobile devices like smartphones or tablets, from electronic application sharing and sales platforms, was exempt from income tax.
Source: Income Tax Law
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