Digital Service Tax

INTRODUCTION

Digital Service Tax (DST) has been introduced to the Turkish tax legislation with Law No. 7194 (Law No. 7194) published in the Official Gazette dated 07.12.2019 and numbered 30971.

Accordingly, proceeds from all advertisement services, content sales (game, music, video and in-app sales etc.), paid-services on social media, brokerage services offered on the web sites that intermediate in the sale of goods and services in Turkey will be subject to 7,5% Digital Services Tax.

SCOPE OF DIGITAL SERVICE TAX

Subject to this Law No. 7194, revenue generated from the following services provided in Turkey are subject to the Digital Service Tax:

a) All types of advertisement services provided through digital platforms (including advertisement control and performance measurement services, data transmission and management services concerning users, and technical services such as presenting advertisements);