Mehmet Şimşek announces: The tax system is changing

Treasury and Finance Minister Mehmet Şimşek stated that they will implement a series of measures to reduce reporting obligations and bureaucratic processes, saying, "In this context, we are moving the expense voucher to an electronic environment, expanding the e-Ledger application, abolishing Ba-Bs notifications, and broadening the scope of electronic notifications."

Şimşek made an assessment to an AA reporter regarding the new practices being prepared by the Revenue Administration.

Stating that they are working on a series of draft communiqués that will provide convenience to taxpayers, Şimşek said that they will open the drafts in question for consultation in a short time.

Şimşek stated that they always stand by compliant taxpayers and that they will take every step to reduce their obligations and costs, continuing as follows:

"We are implementing a series of measures aimed at reducing notification obligations, increasing voluntary tax compliance, combating the informal economy, and streamlining bureaucratic processes. In this context, we are moving the expense voucher to an electronic environment, expanding the e-Ledger application, abolishing Ba-Bs notifications, and broadening the scope of electronic notifications."

Ba-Bs notifications affecting 6 million taxpayers to be abolished - Providing details on the new practices, Şimşek announced that they will abolish the Ba-Bs notifications, which have been collected on a monthly basis since 2008 for the purpose of reporting the purchases and sales of taxpayers who keep books on a balance sheet basis.

Pointing out that the need for these forms, which concern approximately 1.6 million taxpayers keeping books on a balance sheet basis, has decreased due to the increase in electronic document applications and the activation of inter-institutional data sharing, Şimşek said, "Taking this situation into account, we will soon terminate the practice regarding the collection of the aforementioned notification forms."

All taxpayers keeping books on a balance sheet basis will be required to use e-Ledger - Emphasizing that they will expand the scope of the e-Ledger application, which is currently used by approximately 720 thousand taxpayers keeping books on a balance sheet basis, Şimşek stated that with the draft they have prepared, it is envisioned that all taxpayers keeping books on a balance sheet basis will be included in the e-Ledger application.

Pointing out that approximately 1 million taxpayers will be included in the application, Şimşek announced that they will also make changes to the submission deadlines for e-Ledger (e-Defter) certificate files.

Electronic document applications will be expanded - Stating that 9 documents, including invoices, waybills, and self-employment receipts that must be issued by taxpayers, can be issued electronically, Şimşek continued as follows:

"Since these documents, which are prepared in an electronic environment, are transmitted to their recipients electronically, significant savings are achieved in terms of both time and costs such as paper, toner, and postage. We are working on adding the expense voucher to these documents as well. We are focusing on enabling this document, which must be signed by both the buyer and the seller, to be approved in an electronic environment or by using communication tools. A similar method is also planned to be used for the 'e-Producer Receipt,' for which a paper printout is currently given to the recipient. Furthermore, it is aimed to streamline accounting and declaration processes by ensuring that invoices issued by taxpayers that fall below the invoice issuance limit, which is 6,900 Turkish Lira for this year, are also issued in an electronic environment."

9 billion lira in savings on postal costs with e-Notification - Reminding that the electronic notification (e-Notification) application, which was launched by the Revenue Administration in 2016 and is used by 9.2 million people, makes it possible to access notifications free of charge from anywhere with internet access at any time, Şimşek also stated that individuals who are sent an e-Notification are informed instantly via SMS and email.

Şimşek pointed out that the Presidency's e-Notification System is used by 8 public institutions, primarily the Ministries of Trade, Culture and Tourism, and the General Directorate of Security, and stated that integration efforts with 6 other institutions are ongoing.

Stating that 166.5 million documents have been served electronically to date through the e-Notification application, resulting in savings of approximately 9 billion liras in postage costs alone, Şimşek said, "We are working on including those who purchase vehicles in the e-Notification application so that they can be informed about notifications quickly, effectively, and free of charge. In the first phase, it is planned to include those who purchase new vehicles in the application."

Easier authorization for financial advisors - Minister Şimşek pointed out that a significant portion of taxpayers' tax obligations, primarily the filing of tax returns and declarations, is fulfilled by financial advisors, and stated the following:

"With the planned change, taxpayers will be able to authorize the professionals with whom they have an intermediary and liability agreement to perform transactions on their behalf using the services available in the Digital Tax Office, based on their own selection. Thus, financial advisors will be able to log in to the Digital Tax Office using their own credentials, without needing the taxpayers' information, and perform the transactions for which they are authorized on behalf of their clients."