Computer programmers/software developers are freelancers.
These people must open a freelance taxpayer.
They will issue e-SMM for the services they provide to customers in Turkey or abroad.
Freelancers do not issue e-Archive Invoices or e-Invoices.
Regardless of the turnover of the freelance taxpayer, these people do not keep books subject to the balance sheet principle.
VAT and withholding tax are calculated for the services provided by software developers to taxpayer customers in Turkey. Withholding tax is not calculated for the services provided to end consumers, only VAT is calculated.
If the customer abroad benefits from the services provided by software developers to customers abroad, VAT and withholding tax are not calculated. They also benefit from the 80% profit discount.
Source: Istanbul Chamber of Certified Public Accountants
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