What are the Conditions for Benefiting from the Remorse and Reclamation Provisions?
In order for the remorse provisions to be applied, tax loss must have occurred and the following conditions must also be met.
In addition, the following are required:
-The unlawful behavior must be reported by the taxpayer on its own before being reported to an official authority by a third party (informant) (The petition or report must be recorded in official records.),
-The notification petition must be submitted and recorded in official records before the authorized officers initiate a tax audit on the type of tax to which the incident is reported to the taxpayer or before the incident and the type of tax to which it is related are referred to the assessment commission (before the determination of acts constituting the crime of smuggling),
-The tax returns that have never been submitted must be submitted within 15 (fifteen) days starting from the date the taxpayer submitted the notification petition,
-The incomplete or incorrect tax return must be completed or corrected within 15 (fifteen) days starting from the date the taxpayer notified of this situation,
-For each month and fraction of the delayed payment of taxes reported by the taxpayer and whose payment period has passed, It should be paid within 15 (fifteen) days starting from the date of notification, together with an increase in the rate of the late payment interest (repentance interest) to be applied in the ratio specified in Article 51 of Law No. 6183,
If one of the specified conditions is not met, the repentance provisions cannot be used.
Example 1: If the VAT return for the April/2024 period is not submitted on 28/5/2024 and the return is submitted with a repentance request on 15/10/2024 after the legal period has passed, the 15-day payment period for this ends on 30/10/2024.
In this way, if the accrued tax is paid together with the repentance interest until this date and the other conditions regarding repentance are also complied with, the taxpayer will not be subject to tax loss penalty and provisions regarding evasion.
However, due to the failure to submit the said return on time, a special irregularity penalty will be imposed on this taxpayer in accordance with Article 355 of the Tax Procedure Law.
Source: Revenue Administration
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