Question: Should VAT be calculated in the invoices issued to reflect the stamp tax paid regarding lease contracts?

 

Answer: The opinion of the Exchequer related to the issue is as follows;

 

·       Value added tax shall be calculated over the rate the expenses are subject to in the invoices issued for transferring the expenses made for others and whose main part is subject to value added tax.

 

·      Value added tax shall not be calculated in transferring the expenses exempt from tax or not included in the subject of the prime value added tax. However, if an amount exceeding the expense amount is collected during this transfer, value added tax shall be calculated over this exceeding amount according to the general tax rate.

 

According to this, the procedure of reflecting the stamp tax with the main part not subject to prime tax pertaining to the contracts signed with customers is not subject to value added tax. However, if an amount exceeding the expense amount is collected during this transfer, a VAT (18%) should be calculated over this exceeding amount over the general rate.