Taxpayers will not be required to make inflation adjustments at the end of the first, second, and third provisional tax periods of the current accounting period.

General Communiqué on Tax Procedure Law numbered 582 prepared by the Revenue Administration Presidency of the Ministry of Treasury and Finance was published in the Official Gazette and entered into force. The Communiqué includes a regulation regarding taxpayers’ inflation adjustment process. According to the relevant law, income and corporate taxpayers who determine their profits on a balance sheet basis in periods where the specified conditions are met, including provisional tax periods, are required to make inflation adjustments. The Ministry has the authority to make regulations on this matter. With the new communiqué, the Ministry, using this authority, ensured that inflation adjustments will not be made by taxpayers within the scope at the end of the first, second, and third provisional tax periods of the 2025 accounting period in case the conditions are met. Balance sheets will not be attached to the provisional income/corporate tax returns for periods where no inflation adjustment is made.

EXCEPTION FOR GOLD AND SILVER SELLERS

On the other hand, taxpayers engaged in the continuous trade, purchase, and manufacture of processed gold and silver are required to make inflation adjustments regardless of the conditions (at the end of each provisional tax period). Therefore, these taxpayers will continue to make inflation adjustments during the first, second, and third provisional tax periods of the 2025 accounting period. The regulation does not include the inflation adjustment of balance sheets for the end of the 2024 accounting period. All taxpayers within the scope are required to make inflation adjustments for the balance sheets at the end of the 2024 accounting period.