301 TAX LAW A Kindly Reminder: Making a Declaration with Reservation Opportunity The main issue discussed in this Newsletter article is related to the essential stamp tax regulations and the Turkish Revenue Administration’s recent tax rulings. In addition to those issues, we would like to remind taxpayers that they can apply to the institution of declaration with reservation especially regarding taxation issues which are inconsistent in practice and/or if the taxpayers do not accept the approach of the Turkish Revenue Administration. Specifically, a stamp tax amount can be paid by declaring a reservation - especially in cases where taxpayers disagree with the Turkish Revenue Administration’s approach. Subsequently, a taxpayer may file a lawsuit in the tax courts to claim a refund of the excessively and unlawfully paid stamp tax amount, with delay interest to be calculated as of the payment date. A declaration with reservation protects taxpayers from the risk of tax assessment with a tax loss penalty and delay interest. In addition, the declaration provides an opportunity for restitution in cases concluded on behalf of taxpayers. In this respect, a declaration with reservation is a safe method which does not require additional costs other than court expenses. Conclusion Stamp tax is a complex area of law that is full of potential pitfalls for unwary taxpayers. This being the case, it is essential that tax law be taken into consideration during the negotiation of commercial agreements. Agreements prepared without considering stamp tax effects may result in high costs that may exceed the value of the main transaction. In order to conduct a legally healthy stamp tax analysis, the following items should be examined: (i) Analysis and determination of the transactions subject to the agreement, (ii) determination of whether the agreement and its annexes include a specific and/or calculable amount or not, (iii) analysis of tax rulings that may result in hesitation
RkJQdWJsaXNoZXIy MjUzNjE=