Treasury and Finance Minister Berat Albayrak Issues Breaking Announcements
Treasury and Finance Minister Berat Albayrak announced via his Twitter account that a General Communiqué under the Economic Stability Shield has been prepared. The communiqué covers measures taken to address the economic damage caused by the coronavirus outbreak and specifies taxpayers who can benefit from force majeure provisions in tax procedures.
Along with these breaking statements from Minister Albayrak, new measures taken in response to the coronavirus have been announced. Minister Albayrak outlined the new deferral decisions that have been implemented. Value Added Tax (VAT) and withholding (Muhtasar) tax returns for April, May and June 2020 have been deferred for six months. He stated that the specified VAT and withholding declarations have been postponed until July 27, 2020. Another deferral decision applies to taxpayers aged 65 and over and those with chronic illnesses who were unable to leave their homes due to the curfew: their declarations and payments have been postponed until the end of the curfew.
VAT and Withholding Taxes Deferred by Six Months
The Minister explained the deferral of VAT and withholding taxes in detail. Under the communiqué, sectors and sub-sectors considered within the scope of force majeure have been identified. In addition to those specific sectors, all income taxpayers—those earning commercial, agricultural or professional income—are also included within the force majeure scope. Accordingly, withholding and VAT returns for April, May and June 2020 are deferred by six months.
Minister Albayrak emphasized that VAT and withholding returns that would normally be due in those months will not need to be filed during the original deadlines and that payments for the specified returns are postponed until July 27, 2020. Following the Interior Ministry’s circular, declarations and payments owed by taxpayers aged 65 and over and those with chronic conditions—who were restricted from leaving home under the curfew—have been deferred until the end of the curfew period.
These temporary measures form part of the wider Economic Stability Shield package intended to mitigate the financial impact of the pandemic. By extending filing and payment deadlines for affected taxpayers and recognizing force majeure conditions across identified sectors and individual taxpayers, the government aims to provide short-term relief and help sustain economic continuity during the crisis.