My taxpayer who does textile outsourcing is getting flower prints for dresses. He provides all the materials for flowers. The company who will embroider the flowers applied 18% VAT when making out an invoice. There is no deduction. Is the VAT rate correct? Did they made out the invoice correctly?
(20.12.201)
VAT rate for textile outsourcing is 8%. For intermediary services on outsourcing works including textile outsourcing, apparel, bag and shoe outsourcing between taxpayers and specific buyers, 5/10 VAT deduction is applied by the buyers.
Source: İSMMMO
Legal Notice: The information in this article is intended for information purposes only. It is not intended for professional information purposes specific to a person or an institution. Every institution has different requirements because of its own circumstances even though they bear a resemblance to each other. Consequently, it is your interest to consult on an expert before taking a decision based on information stated in this article and putting into practice. Neither Karen Audit nor related person or institutions are not responsible for any damages or losses that might occur in consequence of the use of the information in this article by private or formal, real or legal person and institutions.
