Turkey's Revenue Administration has announced the publication of a communiqué on measures for taxpayers impacted by COVID-19. The communiqué includes that the COVID-19 pandemic qualifies as a case of force majeure. As such, taxpayers who are deemed to be in force majeure are granted certain extensions.

This includes that the deadlines for withholding (wages, rent, self-employment earnings) and VAT returns normally due in April, May, and June 2020 are extended to 27 July 2020. Further, deadlines for payment are extended six months to 27 October 2020 for April, 27 November 2020 for May, and 28 December 2020 for June.

Taxpayers deemed to be in force majeure include those whose main activity is specified in the communiqué, which includes logistics, retail, health, different types of manufacturing, construction services, transportation, cinema and theater, accommodation, food and beverage services, and several others.

The Revenue Administration also separately announced that the deadline for returns/payments due in March is extended to 24 April 2020. Further, the deadline for annual income tax returns due 31 March 2020 for the 2019 calendar year is extended to 30 April 2020, as well as the related tax payment.

Lastly, it has been announced that the VAT rate on airline passenger services is temporarily reduced to 1% between 1 April and 30 June 2020.