Customs Duties in Turkey – International Trade and Investment

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Introduction

Overall, this article gives a brief analysis of customs duties in Turkey. Undoubtedly, Turkey has several advantages for exporters or importers. Indeed, Turkey benefits from a conducive business environment and low production costs at the crossroads of Asia and Europe. In the meantime, entrepreneurs must adopt certain legal customs.

What types of customs formalities are subject to taxation in Turkey?

According to the Turkish legal system, customs duties in Turkey consist of all export and import duties applied to goods subject to the relevant legislation in force. Generally speaking, the Turkish Customs Code (No: 4458) is the fundamental text stipulating customs duties.

Under Article 8, “customs duties” means all export or import duties applied to goods subject to the relevant legislation in force. Customs obligations refer to the debtor’s obligation to pay customs duties.

In addition, according to Articles 9 and 10 of the Turkish Customs Code, export or import duties contain:

firstly, “customs duties” due on the export or import of goods and other duties and taxes having equivalent effect,

on the other hand, the “duties and other charges” due on export or import which are established under the agricultural policy or the specific regime applicable to certain products resulting from the processing of agricultural products.

What types of criteria are effective for customs taxation?

It is essential to keep in mind that only export and import customs procedures, among others, are subject to taxation in Turkey. The main basis of customs taxation is article 15. This article provides that “the customs duties legally due are based on the customs tariff in force on the date on which the customs debt arose”. Thus, the “customs tariff” in force governs all the basic conditions of customs taxation.

Who is the customs debtor?

In general, “debtor” means any person responsible for the execution of a customs debt. Within this framework, customs debtors must genuinely perform all tax actions and duties on time. Otherwise, they expose themselves to severe tax penalties from the competent national authorities.

Conclusion

In summary, the amount of customs duties and taxes imposed on the import and export of goods varies from country to country. This short guide has shown that customs debtors must learn and assimilate all their obligations arising from customs procedures. However, the Turkish legal framework is quite harsh and the provisions are very diverse. It’s hard enough not to be wrong about the amount, time, and type of taxation without a full legal consultation. In the absence of legal guidelines, exporters and importers can face very heavy fines or penalties. It may also result in unforeseen additional costs due to delivery delays.

The content of this article is intended to provide a general guide on the subject. Specialist advice should be sought regarding your particular situation.

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