The Turkish government has stated its intention to cut a series of taxes next year in a bid to boost foreign investment.
In an announcement made on Tuesday, Prime Minister Recep Tayyip Erdogan revealed that the corporate tax rate will be cut to 30% from 33%, whilst indirect taxes on food, health products and education will be slashed to 8% from 18%.
The programme of tax reform, designed to simplify the tax system and increase compliance, will also see the top rate of personal income tax fall to 35% from 40%.
These changes will go into effect from January 1, 2005.
In addition, further reforms will see a much simplified system for the taxation of financial instruments put into place from 2006. At present, taxes on bank deposits, shares and investment funds are levied at various rates from 7% to 24%.
"Our purpose is to establish a tax system to reduce the unregistered economy and to collect taxes more efficiently," declared Erdogan.
"Our government is confident it would not lose any tax revenue as a result of the cuts because lower rates would push down tax evasion," he added.
.
Network Tweets Archive
| Resources | Partners
| Site Map | Links
| Newsletter
Archive | Contact
| RSS Feeds
About | Syndication |
Advertising & Marketing |
Recruitment |
Terms & Conditions |
Privacy
Copyright © 2012 - All Rights Reserved - Tax-News.com
All content provided by BSI Media
IMPORTANT NOTICE: Tax-News.com has taken reasonable care in sourcing and presenting the information contained on this site, but accepts no responsibility for any financial or other loss or damage that may result from its use. In particular, users of the site are advised to take appropriate professional advice before committing themselves to involvement in offshore jurisdictions, offshore trusts or offshore investments.
Write a comment