• The Turkish Revenue Administration issued a Letter on 21 May 2020 confirming that non-physical gold sales will be considered foreign exchange (FX) transactions and gold sales without physical delivery will be subject to a 1% Banking and Insurance Transaction Tax (BITT) over the sales amount as of 24 May 2020.
• In accordance with Presidential Decision No. 2604, published in the Official Gazette dated 3 June 2020, the withholding tax rate which is applied on the portfolio income of the specific FX hedge funds (Serbest Döviz Fonlari) has been increased from 0% to 15%. Presidential Decision No. 2604 entered into force on the date of publication.

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For additional information with respect to this Alert, please contact the following:

Kuzey Yeminli Mali Müsavirlik A.S., Istanbul

• Ates Konca | ates.konca@tr.ey.com
• Gamze Durgun | gamze.durgun@tr.ey.com

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