Turkey raises taxes to reduce budget deficit
The parliament of Turkey approved a new tax bill that includes tax increases and a higher minimum monthly pension. The bill is part of the government's efforts to improve the country's fiscal discipline and create a more equitable tax system.
The new law raises the minimum monthly pension from 10,000 Turkish lira ($303) to 12,500 Turkish lira, benefiting over 3.7 million retirees.
The bill also includes a 15% minimum corporate tax for multinational companies operating in the country. The law aims to increase tax revenue, improve tax compliance, and combat the informal economy.
The departure tax for Turkish citizens traveling abroad has also increased from 150 Turkish lira to 500 Turkish lira.
The government has stated that the new tax regulations are designed to "tax the lesser-earning less and the higher-earning more." The Treasury and Finance Ministry said the changes will strengthen tax efficiency and justice "with increased penalties for tax evasion and removal of exemptions and discounts" as well as intensified efforts "to combat the informal economy."
The new law is expected to increase income tax revenue and provide funds for productive areas to enhance the welfare of citizens and the stability of the country.
