The support amounts to be received as a grant must be taken into a special fund account in the accounting records on the date of receipt in Turkiye

Friday, March 18, 2022

If the grant amounts, which will not be taken into account in determining the amount of R&D and design expenditures made by companies in the Technology Development Zones in Turkey, cannot be determined exactly in the relevant accounting period, how will the amount of R&D and design discount be determined in the corporate tax calculation?

The support amounts to be received as a grant must be taken into a special fund account in the accounting records on the date of receipt. The amounts in this account should not be included in the corporate income and the R&D and design expenditures made from this amount should not be subject to R&D and design deduction.

– If the amount of support to be received as a grant is determined before the deadline for filing the corporate tax return of the relevant year, R&D and design expenditures exceeding the grant amount can be subject to R&D and design deduction.

– If the amount of support to be received as a grant is determined after the deadline for filing the corporate tax return of the relevant year, provided that the R&D and design expenditures exceeding the grant amount have not been subject to the R&D and design deduction in the relevant period, a correction statement is submitted and the subject of R&D and design deduction. may be possible.

However, the expenditures to be subject to the R&D and design discount must be R&D and design expenditures and related to the supported R&D and design project.

For information on government supports and incentives provided to companies in technology development zones in Turkey, you can get information from info@karenaudit.com

Disclaimer: The information in this article is provided for general information purposes only. It is not intended for a professional informational purpose specific to a person or institution. Although it is similar to the subject, each business may have different situations due to its own special conditions. For this reason, it is in your best interest to consult an expert before taking any decision that will affect your business based on the information provided in this article. Karen Audit or any of the persons or institutions it is associated with is not responsible for any loss or damage that may arise as a result of the use of the information contained in this document by private or official, real or legal persons, institutions and organizations.