Attention! A new era in fuel begins at the start of the year

The inclusion of numerous fuel companies in the list of tax debtors announced by the Ministry of Treasury and Finance has highlighted the importance of the ongoing efforts to prevent informality in this sector.

Accordingly, the first regulation regarding the connection of cash registers to pumps at fuel stations was introduced in 2003. As abuses of this measure emerged over time, new precautions were implemented.

The Administration first increased the security level of cash registers at fuel stations. These devices were replaced with new-generation pump cash registers that cannot be tampered with from the outside and can share information in real-time.

Thus, external tampering with the devices was prevented. Information regarding all sales made at fuel stations also began to be transmitted to the Administration instantly.

During this process, significant legal regulations were also made regarding the fuel market. Accordingly, it was ensured that invoices are issued at the moment the goods are delivered or the service is performed.

COLLATERAL REQUIREMENT INTRODUCED

Collateral began to be collected from distributors and dealers operating in the fuel market who are obtaining a license for the first time, as well as those continuing their operations, and a regulation was introduced to suspend operations in cases where collateral is not provided.

This practice contributed to making the sector more financially sufficient. With this step, the number of distributor license holders, which was around 120 in 2018, fell to 35.

Preventing the recording of sales through external intervention, altering or deleting data, preventing information from being sent to relevant institutions, or sending incorrect information were classified as tax evasion crimes.

Interventions made to systems for the purpose of keeping sales off the books were defined as smuggling acts, and a prison sentence of 3 to 8 years was introduced for these acts.

In this case, regulations were made to revoke the license, issue a temporary suspension decision, and not grant a license for the facility subject to the license unless the administrative fine imposed in this context is paid.

FIELD INSPECTIONS CONDUCTED

A condition was introduced requiring no overdue premium and administrative fine debts to the Social Security Institution and no overdue debts to tax offices for the fulfillment of license application, amendment, or extension requests. Thus, it was ensured that the applications and requests of those with premium, administrative fine, or tax debts are only fulfilled if their debts are paid.

It was also stipulated that distributors cannot sell the fuel they purchase to another distributor.

In addition, the obligation to issue an invoice at the moment the goods are delivered was introduced to the sector.

The Energy Market Regulatory Authority (EPDK) also took significant measures regarding the fuel market. A precaution was taken regarding the authorization by the Authority of legal entities applying for the establishment, implementation, maintenance, and repair of the dealer inspection system.

The sector is also closely monitored through field inspections. In the first 10 months of this year, 293 thousand 966 nozzles on 53 thousand 396 pumps belonging to 4 thousand 475 taxpayers were inspected at fuel and LPG stations.

TRANSITION TO NATIONAL VEHICLE IDENTIFICATION SYSTEM

The Revenue Administration has finally made a regulation regarding the National Vehicle Identification System (UTTS), which will ensure that vehicle license plate information is automatically transmitted to new-generation pump cash registers during fuel purchases.

With the system, the license plates of vehicles that will purchase fuel will be automatically reflected on the cash registers via the components within the system without being typed manually, and the issuance of receipts for a license plate other than the vehicle receiving fuel will be prevented.

The system will be mandatory for fuel and LPG purchases made for vehicles used by taxpayers for business purposes starting from January 1, 2025.

Furthermore, new vehicles acquired for the first time starting from July 1, 2025, will be included in the scope of UTTS within one month following their registration, and vehicles using a private vehicle identification system will also be included in the scope of UTTS by June 30, 2025.

IT WILL BE AN IMPORTANT STEP TO PREVENT TAX LOSS

Minister of Treasury and Finance Mehmet Şimşek also recalled that they have implemented many regulations and studies to ensure competitive equality in the fuel market and to effectively combat the informal economy, stating, "As a result of all these efforts, abuses and illegal acts in the fuel market have been largely prevented. Finally, with the commissioning of the National Vehicle Identification System in a short time, manual license plate entry and thus the issuance of irregular fuel receipts will be prevented, and an important step will have been taken to prevent tax loss at fuel stations."

Reminding all segments that will fall under the scope of the application, Şimşek said, "Taxpayers operating fuel stations need to make at least one pump unit compatible with the system by the end of the year.

It is important that fuel stations provide all kinds of support during the process of establishing and operating this system. The responsibility for maintaining the connections made within the scope of the system and ensuring that the system is constantly online will belong to the taxpayer operating the fuel station."