- Under Turkish VAT Law No. 3065, commercial, agricultural, and professional activities in Turkey are generally subject to VAT.
- Article 16/1-c exempts certain transactions, including transit trade, customs warehouse regime, temporary storage, and free zones.
- Goods transferred within bonded warehouses under customs warehouse and transit trade regimes without entering free circulation are fully exempt from VAT, so no VAT liability arises.
- Even though exempt, these transactions must be properly recorded in accounting books.
- Taxpayers using balance sheet accounting must report them monthly via Form Ba (purchases) and Form Bs (sales) when threshold limits are exceeded.
Source: ozbekcpa.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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