Tax Procedure Law General Communiqué No. 569, published in Official Gazette No. 32673 of 25 September 2024, determines which participants operating in the Istanbul Finance Centre may keep their books and records in a foreign currency.
Tax Procedure Law General Communiqué No. 569, published in Official Gazette No. 32673 of 25 September 2024, determines which participants operating in the Istanbul Finance Centre may keep their books and records in a foreign currency.
Companies operating in the Istanbul Finance Centre that benefit from certain tax reductions and income exemptions will be able, from the 2025 accounting period (for those with a special accounting period, the period beginning in 2025), to keep their book records in any foreign currency using the daily rates determined by the Central Bank of the Republic of Türkiye. Companies that have not yet obtained a participant certificate but obtain it and commence activity by 31 December 2024 will also be able to use this option.
Companies that carry on other business in addition to their activities in this zone must apply through the tax offices if they wish to keep their books in a foreign currency only for their branches in the zone.
Companies applying to keep books in a foreign currency must, as at the application date, have 30% of their capital held by persons outside Türkiye and derive 30% of their income from the specified activities. The income condition will not apply to those commencing business for the first time. Applications must be made at least two months before the period in which the books will be used.