Can we make exchange rate valuation on accounts with foreign currency at the end of the months? Can we make it with buying rate of exchange, not with effective buying rate?

The valuation of the deposit bank account with foreign currency is made with buying rate of exchange. You can make a valuation at the end of the months as well as at the end of the advance tax period.

Source: İSMMMO
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither MuhasebeNews nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.

Regarding the construction works carried out abroad, in the relationship between head office in Turkey and workplace abroad, the activities of goods and services considered as costs or expenses in the workplace and made to workplace abroad by means of issuing invoice from Turkey, and movements of money between workplace abroad and head office in Turkey must be followed up in different accounts and valuation must be carried out accordingly.

Receivables and debts depending on foreign currency arising from services made for exported commodity by means of issuing invoice to workplace abroad by head office,  and issuing invoice to abroad shall be subjected to valuation, just like the receivables and debts arising from the export of goods or services, and valuation differences shall be regarded in the determination of tax base.

It is clear that receivables and debts arising from other movements of money performed between the head office in Turkey and workplace abroad, are not real receivables and debts. Therefore, the valuation of the balance of current account based on aforementioned movements of money, is not required.

Source: GİB
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither MuhasebeNews nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.

The WCO is noted for its work in areas covering the development of international conventions, instruments, and tools on topics such as commodity classification, valuation, rules of origin, collection of customs revenue, supply chain security, international trade facilitation, customs enforcement activities, combating counterfeiting in support of Intellectual Property Rights (IPR), integrity promotion, and delivering sustainable capacity building to assist with customs reforms and modernization. The WCO maintains the international Harmonized System (HS) goods nomenclature, and administers the technical aspects of the World Trade Organization (WTO) Agreements on Customs Valuation and Rules of Origin.

In 1947, thirteen European countries established a Study Group to examine customs issues identified by the General Agreement on Tariffs and Trade (GATT). This work led to the adoption in 1948 of the Convention establishing the Customs Co-operation Council (CCC), which was signed in Brussels. On January 26, 1953 the CCC’s inaugural session took place with the participation of 17 founding members. Turkey is the founder member of the Customs Co-operation Council.

WCO membership subsequently expanded to cover all regions of the globe. In 1994, the organization adopted its current name, the World Customs Organization. Today, WCO members are responsible for customs controls in 180 countries representing more than 98 per cent of all international trade. Palestine has been latest member country since she joined as of 24 March 2015.

The WCO is internationally acknowledged as the global center of customs expertise and plays a leading role in the discussion, development, promotion and implementation of modern customs systems and procedures. It is responsive to the needs of its members and its strategic environment, and its instruments and best-practice approaches are recognized as the basis for sound customs administration throughout the world.

The WCO’s primary objective is to enhance the efficiency and effectiveness of member customs administrations, thereby assisting them to contribute successfully to national development goals, particularly revenue collection, national security, trade facilitation, community protection, and collection of trade statistics.

The WCO Secretariat is headed by a Secretary General, who is elected by the WCO membership to a five-year term. The current WCO Secretary General is Kunio Mikuriya from Japan, who took office on 1 January 2009. The WCO is governed by the Council, which brings together all Members of the Organization once a year, in a meeting chaired by an elected Chairperson. Additional strategic and management guidance is provided by the Policy Commission and the Finance Committee. Several WCO committees, such as the Harmonized System Committee, the Permanent Technical Committee, the Technical Committee on Customs Valuation, Technical Committee on Rules of Origin, the Capacity Building Committee, and the SAFE Working Group, provide a platform for developing instruments and best practices on customs competencies.

In order to achieve its objectives, the WCO has adopted a number of customs instruments, including but not limited to the following:

1) The International Convention on the Harmonized Commodity Description and Coding System
2) The International Convention on the Simplification and Harmonization of Customs procedures
3) ATA Convention and the Convention on Temporary Admission (Istanbul Convention)
4) The Arusha Declaration on Customs Integrity
5) The SAFE Framework of Standards to Secure and Facilitate Global Trade

Source: Ministry of Customs and Trade

Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither MuhasebeNews nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.