ANNOUNCEMENT AND ADVERTISEMENT TAX & ENVIRONMENTAL TAX FOR SECOND TERM IN 2024
We refer to our Newsletter dated 24 January 2024 informing you regarding the below mentioned announcement and advertisement tax. The payment of the Environmental Tax, if had not been paid until the end of the month May in full and only the first instalment being paid, the second instalment will be due to be paid until the end of November. For your reference, we provide hereinbelow the detailed information related to the announcement and advertisement law and environmental tax.
- ANNOUNCEMENT AND ADVERTISEMENT TAX
As per the Article 12 of the Municipal Revenues Code numbered 2464 (in Turkish, “Belediye Gelirleri Kanunu”), all kinds of advertisements and announcements made within the municipal boundaries and the areas under the control and responsibility of municipalities, are subject to the Announcement and Advertisement Tax (in Turkish, “İlân ve Reklâm Vergisi”).
- The Scope of the Announcement and Advertisement Tax
The Announcement and Advertisement Tax is applicable to all kinds of advertising materials including but not limited to; signboards (in Turkish, “tabela”), billboards (in Turkish, “ilan panosu”), posters (in Turkish, “afiş”), leaflets (in Turkish, “el ilanı”), brochures (in Turkish, “broşür”), banners (in Turkish, “pankart”) and similar means published with commercial purposes, the advertisements and announcements on inner or outer side of the motor vehicles.
In accordance with the Article 23 of the Metropolitan Municipality Code numbered 5216 (in Turkish, “Büyükşehir Belediyesi Kanunu”), the announcement and advertisement taxes to be accrued for all kinds of announcements and advertisements on the squares, avenues, streets and main roads and on the buildings with façades to these areas within the boundaries of the municipality shall be collected by the relevant municipality.
- The Taxpayer
As per article 13 of the Code numbered 2464, the taxpayers of the announcement and advertising tax are the real or legal persons who directly advertise on their behalf or who use third parties whilst advertising.
Those who carry out announcements and advertisements as a regular profession are responsible for the payment of announcement and advertising tax to the relevant municipalities on behalf of taxpayers.
- Announcement and Advertising Tax Declaration and Accrual
The announcement and advertising tax shall be accrued upon declaration to be submitted to the competent municipality:
- before making the announcement and advertising by the taxpayer, if the taxpayer directly advertises on its behalf, or
- until the end of 20th day of the following month that the announcement and/or the advertising is made, if the announcement and/or the advertising is made by those who carry out announcement and advertisement activities as a regular profession.
As for (i) all fixed announcements and advertisements, e.g. signboards, billboards, hung on the façades of stores, industrial and commercial establishments and freelancers, (ii) the announcements and advertisings placed inside or outside the motor vehicles, and (iii) illuminated or projection announcements and advertisings, the announcement and advertising tax declaration shall be submitted to the competent Municipality until the end of January each year, and the accrued tax shall be paid until this date. The tax related to the fixed announcements and advertisements shall accrue upon the declaration comprising the type, dimension, illumination and location of the fixed advertisements.
- Failure to Fulfill the Obligation of Announcement and Advertising Tax Declaration
In case taxpayer fails to submit the Announcement and Advertising Tax Declaration in due time, or if the submitted declaration includes inaccurate or missing information, loss of tax penalty and interest of default shall be applied according to the relevant articles of Tax Procedure Law numbered 213.
- ENVIRONMENTAL TAX
As per the Repeating Article 44 of the Municipal Revenues Code numbered 2464, residential, workplace and other buildings located within the municipal boundaries and the areas under the control and responsibility of municipalities, benefiting from the environmental cleaning services of the municipalities are subject to Environmental Tax (in Turkish, “Çevre ve Temizlik Vergisi”).
The Environmental Tax shall be calculated as per the tariff set forth in the Repeating Article 44 Code numbered 2464 and shall be accrued in January each year, without submitting a declaration in this regard.
In case the taxpayer fails to pay the accrued Environmental Taxin due time, a delay penalty at the rate of delay determined in accordance with Law on the Procedure for the Collection of Public Receivables numbered 6183, shall be imposed for each month of delay.
Our Law Firm remains at your disposal for any further clarifications you may need.
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