The Sakarya Tax Office Directorate, in response to your inquiry, has provided an opinion regarding whether the cost of match tickets given as gifts to employees and business partners can be deducted as an expense and if the VAT on these tickets can be deducted.
Corporate Tax Perspective:
- According to the Corporate Tax Law, match tickets given to employees can be treated as salary expenses, provided they are included in the payroll and subject to income tax withholding.
- Tickets given to business partners or their purchasing staff as gifts can be treated as marketing and sales expenses, provided they are reflected on the invoices issued by these companies as turnover premiums.
VAT Perspective:
- Match tickets given to employees are not subject to VAT as they are considered part of employee compensation.
- Match tickets given to business partners are treated as promotional items aimed at increasing demand for the goods being sold. Therefore, no VAT is calculated when these tickets are given as gifts, and the VAT paid on purchasing these tickets can be deducted.
In summary, match tickets given to employees and business partners can be treated as deductible expenses, and the VAT paid on them may be deducted under specific conditions.
Source: Revenue Administration
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