Will a company providing software services from Türkiye to a company located abroad make a special calculation regarding inflation adjustment while benefiting from the 80% Corporate Tax Law 10/1-ğ discount?
The institution to which the said discount will be given will be shown in the provisional tax return.
No special transaction will be made in the company’s income statement regarding the income provided abroad and included in the scope of the discount. The company’s commercial profit or loss will be included in the income statement. No valuation and adjustment will be made regarding these incomes regarding inflation adjustment.
The mentioned regulation is not a tax exemption but a profit discount. The discount rate is 80% and the income will be declared in the provisional tax return with the line in the 122nd code in the DISCOUNTS field.
Source: Istanbul Chamber of Certified Public Accountants
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