The Last Round Of VAT Applied To Exchange Difference

INTRODUCTION

At the point reached in the case filed with the request of the annulment of regulation of Communiqué of General Implementation on Value Added Tax ("Communique") on the application value added tax to exchange differences, the 4th Chamber of the Council of State is expected to annul the related regulation in accordance with the decision of the Plenary Session of the Tax Law Chambers. Unless a new regulation is made at the level of the law, the annulment of VAT on the exchange differences arising between the date of the invoice and the date of the collection shall be expired.

APPROACH OF THE TAX ADMINISTRATION

The approach of the Tax Administration regarding the exchange differences in terms of VAT can be summarized as follows: