The tax system should be single-rate: Ankara Chamber of Commerce

The tax system should be single-rate: Ankara Chamber of Commerce
Date: 14.12.2023 10:00

Gürsel Baran, Chairman of the Board of Ankara Chamber of Commerce, requested that the tax system be made single-rate and stated that this model would increase collection rates.

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Gürsel Baran, Chairman of the Board of Directors of Ankara Chamber of Commerce (ATO), said in his written statement that the tax system applied in Turkey is not compatible with the development of the country and that the complexity of the legislation restricts the mobility of the real sector.
 
Baran emphasized that the need for tax reform arose due to reasons such as the outdated legislation and the share of indirect taxes and made the following evaluation:
 
"Simplifying the tax and making it single-rate through a comprehensive tax reform to be carried out in our country will not only ensure justice in taxation, but also pave the way for entrepreneurship by reducing tax procedures and increase collection rates. Steps need to be taken to make the tax system single-rate and simplify it, as is implemented in many countries of the world. In the current tax system, different rates of value added tax, and even different rates applied to purchases and sales, wholesale and retail within the same sector, complicate the system. This difficulty is also reflected in tax collection rates."
 

REGULATION PROPOSAL IN INCOME TAX

 
Pointing out that tax amnesties are often issued due to unrealized collections, Baran stated that taxpayers' payment reflexes also decline with tax amnesties.
 
Baran emphasized that there is a need to update the income tax brackets and SSI upper limits that affect all wage groups.
 
"Our employees' salaries decrease after 1-2 months due to tax brackets. This situation causes them to receive approximately 20 percent less wages towards the end of the year. Tax brackets need to be updated in order not to affect employment and to prevent the welfare level of employees from decreasing."

YEREL HABERLER

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