Digital services tax in Turkey

On March 1, 2020, Law No. 7194 entered into force in Turkey. This law requires companies that provide certain types of digital services to pay tax. The law spells out the procedure and conditions for paying this tax.
The tax is now mandatory for companies that receive income of at least 750 million euros, of which 20 million lire (2.7 million euros) in Turkey.

The law established which digital services are taxable:

• advertising services in the digital environment. We are talking about advertising management services, statistical products, user personal data management, etc;
• technical services;
• distribution of audio and video content in Turkey, as well as various applications.

Income from online platforms (trading floors, business services, etc.) is also taxable. The tax rate for all organizations is 7.5%.

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