Türkiye proposes new bill that clarifies the tax treatment of capital reduction

The Turkish Parliament is considering a new tax package (the Bill) that addresses exemptions, incentives and support for individual and corporate investors.

The Bill under consideration proposes a new article to be incorporated in the Corporation Tax Code No.5520 to clarify and legalize the tax treatment on the capital reduction on the share capital that includes capital elements other than in-kind or cash capital. This Alert summarizes the proposal.

The Bill will be enacted after it is discussed …