13 Sep, 2023 By Boyut
TAX RESPONSIBLE, RESPONSIBILITY

     ENTRANCE

The tax relationship involves a debt-credit situation between the state and individuals and institutions. The state is in this case the active tax subject or tax creditor; Individuals and institutions are passive tax subjects or tax debtors. This legal relationship, authority and responsibilities are determined by the Constitution and tax laws.

The taxation authority of the state defines individuals and institutions with the capacity to pay as “taxpayer” or “principal tax debtor”. However, in order to simplify tax collection, ensure the proper fulfillment of tax obligations and guarantee tax receivables, the state has made some third parties obliged to pay the tax debt together with or instead of the taxpayer. In this context, the concept of tax officer and the institution of tax liability were developed.

In Turkish tax law, the term “tax officer” is defined in a general sense and the relevant laws specify the responsibilities of various persons in this context. However, existing studies in this field have generally been limited to just explaining liability situations. When the tax officer and tax responsibility are examined, it is seen that there are significant differences and varieties between the legal qualifications and responsibilities of the people in this position. Therefore, commenting in the light of general regulations may lead to misleading results.

In this study, the characteristics and powers of the people described as tax responsible, their liability situations determined in Turkish tax law, and the responsibilities of these people with the taxpayer, each other and the tax administration will be examined.

TAX RESPONSIBLE, RESPONSIBILITY
1.1 Definition;

If we examine the concepts of tax responsibility and tax responsible in terms of terminology: “Responsibility can be defined as the state of being held accountable for the action that violates the rule. As a legal term, it is the ability of a person to be held responsible for his wrongful actions. Responsibility is essentially the investment of the debt relationship. In this respect, it also includes compensation for the losses suffered by the parties to the debt relationship based on this relationship. (Tunç Zinnur, p. 93)

Liability finds its own unique responses in different branches of law.

“Liability is expressed with the German term “Haftung”, and in German Tax Law, tax liability is “Steuerhaftung” and tax responsible is “Haftungshuldner”. In Swiss tax law, instead of the term tax liability, the institution has been tried to be explained with concepts such as tax succession, “Steuersukzession, tax substitution”. In French tax law, the tax liability is expressed with the terms “le contribuable” and the tax debtor with the terms “le redevable”. Tax debtor is a broad concept. In English law, the term “tax responsible” is not used and other concepts provide the function of the institution (Saban Nihal, p. 2).

In Turkish Tax Law; Not being satisfied with the concepts brought by public finance regarding liability, a concept specific to this branch was created called “responsibility”.

In our Tax Law, Tax Liability; The person responsible for the tax is the person who addresses the creditor tax office in terms of payment of the tax. As can be seen, a general definition has been made here.

1.2.General Scope;

The main purpose of developing the concept of taxpayer in the field of tax law is to collect taxes to meet the financing needs of the state. The concept of taxpayer and tax liability is one of the basic concepts that presuppose the existence and independence of tax law.

“When the concept of tax liability and the issue of tax liability are examined, it becomes clear that there are significant differences and varieties between the legal qualifications and responsibilities of people who are described as tax liability in positive law. (Real, Adnan, p. 158)

Before moving on to general explanations, it is useful to look at the concepts of tax liability in German Tax Law and Turkish Tax Law.

1.2.1.Tax Liability in German Tax Law;

Since our figurative law is German Tax Law, briefly, tax liability is handled as follows in the relevant tax law.

“In German tax law, the liability institution was introduced to guarantee the payment of the tax debt, it guarantees the tax debt that carries out the liability act, and the tax creditor is given the opportunity to own the assets of the responsible person or the liability debtor. The main debtor and the liability debtor (the person for whom the debt is held responsible) are joint and several debtors.

Legal representatives, authorized managers (association members and partners if necessary), and those who appear as beneficiaries of the disposition are responsible for their demands arising from the tax debt relationship and for the intentional and grossly faulty failure to fulfill their obligations and to the extent that they have not been accrued and paid on time.

13 Sep, 2023 By Boyut
TAXATION AND FREEDOM


Conceptual Approach;
Paying taxes is not a “Duty”, it is a “demand”. Paying taxes is a demand for our personal rights and freedoms.

If the concept of tax had a color, the color of Freedom would undoubtedly be “Blue”.

In the 21st century postmodern era we live in, we have to think over and analyze the concepts of state, society, individual, law, rights and freedom.

It is important to explore tax from a philosophical perspective. To fully understand the relationship between taxes and freedom, we need to fully understand the answers to some of the fundamental questions surrounding taxes; What is tax? Why should we pay taxes? How much tax should we pay? Who should tax be collected from? What should taxes be used for? How do the ideas of Justice and Property relate to the tax system? Should the concepts of Tax and Freedom be related? Can the concepts of Tax and Freedom explain each other? What is the relationship between the concepts of justice, property and wealth in the tax system? Considering all these questions is crucial for a full understanding of the tax system and its future. In this context, the concepts of tax duty, duty and tax liability, which are concepts that should be considered as a start, are examined below;

Tax Duties, Duty and Tax Obligation Concepts
What is Homework?
Homework in the Turkish Language Association Turkish Dictionary; It is an act or behavior, duty, obligation that is necessary in terms of the sense of humanity, customs and law.
Homework is defined as follows in philosophy dictionaries: It is an order that we undertake to do and fulfill at our own will and for which we take responsibility. This imperative is not a conditional imperative (hypothetical imperative) that conditions people from outside. This imperative is an unconditional imperative (categorical imperative) in the sense of an imperative that we impose on ourselves.
In legal doctrines, duty has generally been used in the context of tax duty, “legal obligation”, and the relations between the concepts of right and obligation are highly controversial even today. What concerns us is that when duty is mentioned, it is conceptualized as a legal obligation. We see that tax duty is used in the sense of tax liability in our 1961 Constitution and subsequently in our 1982 Constitution. In contemporary Constitutional regulations, there are no regulations regarding taxation or tax liability in the nature of duty or legal obligation. In this context, the use of tax duty in the sense of legal obligation as well as in the sense of responsibility and duty is an understanding that has been abandoned in legal philosophy and doctrine.
What is Tax Due?
Tax Dues are defined in Tax Procedure Law. Although it is not defined separately in tax law theory, it is generally accepted as a “Legal Obligation”. Accordingly, we can see that the main definition is made under the “Tax Duties” side heading of our Constitution.

Tax Dues Are Regulated in Which Part of the 1982 Constitution?

Under the title of Social and Economic Rights and Duties of the Constitution, “VI. The marginal heading “Tax duty” is regulated in the first paragraph of Article 73. This side heading came to our legislation with the 1961 Constitution.

“Tax Duty Article 73 – Everyone is obliged to pay taxes according to their financial ability to cover public expenses. Fair and balanced distribution of the tax burden is the social aim of fiscal policy. “Taxes, duties, fees and similar financial obligations are imposed, changed or abolished by law.”

Tax and Freedom;
Article 17 of the Universal Declaration of Human Rights, adopted by the decision of the United Nations General Assembly on December 10, 1948, states that everyone has the right to own property, either alone or jointly with others, and that no one can be arbitrarily deprived of their property. On the one hand, it is emphasized that the right to property is a fundamental right with Article 17 of the Universal Declaration of Human Rights.

The concept of tax duty or tax liability is directly related to the concepts of “Freedom” and “Property”. Free individuals are subjects of tax liability. Property or ownership is specific to the free individual. In the historical process, from a legal perspective, the freedom of the individual, the immunity of property and tax obligations are concepts that are almost intertwined, complement and explain each other. In modern democracies, individual freedom and property rights are guaranteed. This guarantee is legal and is primarily a guarantee against the legislative and executive powers. Well, in the context of our subject of command authority, the taxation authority and its scope are related to the state’s law-making authority and executive authority, that is, the elected government. The state must use its taxation authority within the limits recognized by the rules of law, and in particular, it is guaranteed by the Constitution that this authority should not be used arbitrarily by the legislative or executive body. For this reason, in the context of the legal order in modern states and democracies today, tax law is one of the branches of law with the most comprehensive legal regulations.

The Relationship between Taxation and Fundamental Rights and Freedoms
Universal Declaration of Human Rights

12 Sep, 2023 By Boyut
TAX EXCEPTIONS, EXEMPTIONS AND DEDUCTIONS IN TAXATION

       GENERAL SCOPE

Tax exemptions, exemptions and deductions play an important role in achieving the objectives of tax policies, such as promoting various sectors, ensuring social equality and increasing general welfare. Exemptions and exemptions allow certain organizations or activities to be fully or partially exempt from the tax burden. For example, certain institutions or organizations operating in fields such as education, healthcare, social services, science and technology often receive tax exemptions. Deductions, on the other hand, allow certain expenses or investments to be deducted from taxable income, thus reducing the tax burden. Investments such as R&D expenses, education and health expenses are generally subject to tax deduction.

EXEMPTION, EXCEPTION AND DISCOUNT AS A CONCEPT
1.1. Exemption

While the term exemption means exclusion and non-application, in the context of tax exemption; It refers to the situation where a real or legal person who meets certain conditions is not taxed or excluded from tax in a situation where he/she should be taxed according to tax laws. In tax exemptions, individuals or certain groups are excluded from tax liability and are not accepted as taxpayers (Işık, 2014: 162).

Exemption appears as a limitation on the taxpayer. For economic, social, political and technical reasons, some taxpayers are not taxed, that is, they are excluded from tax, even though they are related to the taxable event. This is a privilege that is brought for certain taxpayers and narrows the liability, and this privilege is called “exemption” (Şenyüz, Yüce and Gerçek, 2019: 91). Exemptions are seen as regulations applied to the taxpayer and eliminating the tax receivable (Bulutoğlu, 1982, p. 20).

1.2. Exceptional

While exception means keeping a situation or issue separate from similar ones, in the tax context, unlike exemption, it means that a certain issue or situation is not taxed by tax laws (Şenyüz, Yüce and Gerçek, Tax Law, 2019: 87).

An exception is a limitation on the tax subject, and a tax exemption is the non-taxation of an element, income or gain within the scope of taxation, according to the tax laws. Taxation of a subject is not carried out for a certain period of time or continuously due to economic, political or social reasons (Ersöz Kuru, 2019: 58). In summary, regulations that limit the subject of tax are called “exception”.

When the terms exemption and exception are examined from objective and subjective perspectives, it is seen that exemption is a subjective concept, that is, it is based on the taxpayer or tax subject. On the other hand, exemption is an objective concept based on the subject of the tax. Exemptions and exceptions; These are practices regulated by law to prevent certain people or subjects from being taxed for social, cultural, financial, economic and administrative reasons. In order for exemptions and exceptions to be applied, there must be a tax-paying ability to be taxed. This means that a taxable subject or person must exist. This subject or person must be excluded from tax by law (Akdoğan, 2019: 148-149). Simply put, when there is no taxable person or subject matter, there is no tax, and likewise, there are no exceptions or exemptions.

Exemption and exception practices are determined by law, and the underlying idea is that the benefit to be obtained as a result of not being taxed is greater than the benefit to be obtained as a result of the tax liability imposed on the person or subject (Capital, 2023: 8).

1.3. Discount

Tax deduction is defined as a tax advantage that helps reduce or limit the tax base. As an example of this situation, we can show wage earners to whom disability discount is applied. Tax deduction is a tax expenditure that makes it possible to deduct certain amounts from the gross income of taxpayers who meet certain qualifications by law. When calculating their taxable net income, taxpayers can deduct some items specified by law from their gross amounts as deductions (Dil, 2014: 6).

Tax deduction can generally be applied to people who meet certain conditions, for a certain period or continuously. These deductions serve a variety of policy goals, such as reducing the tax burden and encouraging certain economic activities or social conditions. For example, tax deductions given to companies investing in environmentally friendly technologies aim to encourage investment in such technologies (Ersöz Kuru, 2019: 58).

Tax deductions can be objective or subjective, such as exemptions and exemptions. Exemptions and deductions are generally based on the subject matter of the tax and are therefore considered objective. On the other hand, exemptions are generally based on the taxpayer and are therefore considered subjective. This shows that the application of tax deductions, exemptions and exemptions depends on both the subject of the tax and the taxpayer (Köse, 2009: 11).

USE OF EXEMPTIONS, EXCLUSIONS AND DISCOUNTS
According to tax laws, some types of income or certain groups may be excluded from the taxation process in order to support certain economic and social goals. Exemptions, exceptions and deductions applied in accordance with the Income and Corporate Tax Laws in Turkey have led to the waiver of a significant amount of tax revenues that the state can receive (Association of Finance Accountants, 2019: 77). For example, the total amount of taxes given up by the state in 2017 was 68,851 million TL. This amount represents 37% of the corporate tax and 43.8% of the income tax that should be collected. While the expected tax expenditures in 2018 were 81,514 million TL, this figure increased to 96,298 million TL in 2019 (Ministry of Treasury and Finance, 2018: 284).

According to the data of the Ministry of Treasury and Finance, there is a constant increase in the tax revenues given up by the state due to tax exemptions, exemptions and discounts. This situation causes a significant decrease in the state’s total tax revenues and therefore a serious loss of income. This loss of revenue could limit the state’s ability to fund its services and strain its financial stability. Therefore, the social and economic benefits of tax reductions and exemptions must be carefully balanced with these potential revenue losses.

The returns on tax expenditures obtained through the application of exemptions, exclusions and discounts can be realized faster than the returns on general public expenditures. These tax expenditures are quickly rewarded and can have a rapid impact on various sectors of the economy. Particularly important incentives are provided to the activities of the private sector with tax advantages provided through exemptions, exclusions and discounts. These tax regulations increase the capacity of the private sector to invest and expand business activities and support economic growth. In addition, exemptions, exclusions and discounts can be used as a direct intervention tool in social and economic life. Through these tax regulations, goals such as promoting social justice, reducing poverty, or supporting certain industries or economic activities are attempted to be achieved (Küçük, 2013: 17).

In this way, exemptions, exclusions and discounts are both a tax policy tool capable of creating a rapid impact and provide the opportunity to create strategic effects on the economy and society towards specific targets. However, it is important that these regulations are carefully managed and effectively monitored and evaluated to achieve their intended effects.

The proliferation of exemptions, exceptions and deductions increases the complexity of tax laws and makes legal interpretations difficult. These tax regulations, which are implemented for social policy goals, are implemented for the purposes of ensuring tax justice and smoothing income distribution, but this process also causes the complexity of the tax legislation (Karabacak, 2013: 18-19).

This situation, which creates structural disorders and reduces the required tax efficiency, negatively affects the understandability and applicability of the tax system and creates uncertainty and complexity for taxpayers. This situation becomes more evident, especially if the number of exemptions and exemptions increases, and it directs taxpayers to change their income and activities, or even resort to tax avoidance, in order to benefit from tax advantages (Küçük, 2013: 22).

Exemptions, exceptions and discounts, also known as tax privileges, cover only certain subjects or taxpayers, affect consumption, investment and savings decisions and disrupt the effective and fair distribution of public resources. While these practices provide privileges to certain groups, they cause the state to give up the potential income it can obtain from taxable resources. This situation brings with it certain difficulties and limitations in terms of general tax policies and economic management (Küçük, 2013: 22).

The wide coverage of exemptions and exceptions in the laws and their excessive scope cause the state to suffer a great loss of income. The large number of these applications causes imbalance among taxpayers. While some taxpayers pay their taxes in full, others can partially or completely reduce their tax burden thanks to the privileges brought by these applications. This situation disrupts equality among all taxpayers, causing reactions and increasing tax resistance. In addition, too many exemptions and exclusions harm fair taxation, cause unfair competition and informal economy, and increase the state’s revenue loss (Uyanık, 2013: 22-23).

This situation, which creates structural disorders and reduces the required tax efficiency, negatively affects the understandability and applicability of the tax system and creates uncertainty and complexity for taxpayers. This situation becomes more evident, especially if the number of exemptions and exemptions increases, and it directs taxpayers to change their income and activities, or even resort to tax avoidance, in order to benefit from tax advantages (Küçük, 2013: 22).

Exemptions, exceptions and discounts, also known as tax privileges, cover only certain subjects or taxpayers, affect consumption, investment and savings decisions and disrupt the effective and fair distribution of public resources. While these practices provide privileges to certain groups, they cause the state to give up the potential income it can obtain from taxable resources. This situation brings with it certain difficulties and limitations in terms of general tax policies and economic management (Küçük, 2013: 22).

The wide coverage of exemptions and exceptions in the laws and their excessive scope cause the state to suffer a great loss of income. The large number of these applications causes imbalance among taxpayers. While some taxpayers pay their taxes in full, others can partially or completely reduce their tax burden thanks to the privileges brought by these applications. This situation disrupts equality among all taxpayers, causing reactions and increasing tax resistance. In addition, too many exemptions and exclusions harm fair taxation, cause unfair competition and informal economy, and increase the state’s revenue loss (Uyanık, 2013: 22-23).

EXEMPTIONS AND EXCEPTIONS IN THE INCOME TAX LAW
The Income Tax Law is a legislation that taxes earnings and income at certain rates. However, in this taxation process, there may be exemptions and exclusions for some earnings.

There are applications such as tradesman exemption, young entrepreneur exemption, exhibition and fair exemption for commercial earnings. In addition, there are tax exemptions for software, design and R&D activities, profits from industrial property rights and income from free zones (Köse, 2009: 11).

In terms of agricultural earnings, young farmer exemption and incentive bonus practices stand out. There are regulations such as exemptions for diplomats, servants working in embassies and consulates, meal fee and lodging exemptions in wage income. Applications for the self-employed include exhibition and fair exemption, young entrepreneur exemption, and certain exemptions for professions such as midwives and petitioners. In addition, tax exemption is provided for copyright and copyright earnings (Şenyüz, Yüce and Gerçek, 2019: 99-100).

There are regulations such as housing exemption for real estate capital income, dividend exemption for movable capital income, exemption for payments made from single-premium annual income insurance, and exemption for income paid to income sharing bonds (Şenyüz, Yüce and Gerçek, 2019: 99).

Finally, there is a transfer exemption for other earnings and revenues. All these exemptions and exemptions are used in certain cases to ease the tax burden and promote certain policies.

EXEMPTIONS AND EXCEPTIONS IN THE CORPORATE TAX LAW
The Corporate Tax Law contains various exemptions and exemptions. These exemptions cover some public administrations and organizations, local government enterprises, cooperatives, sports clubs, social security institutions established by law, institutions that provide credit guarantees, scientific research and development institutions and some businesses in special situations. For example, educational, cultural, artistic, health and social organizations, nurseries, guesthouses, military canteens and organizations that open exhibitions, fairs and fairs can benefit from these exemptions (Kavak, 2017: 401).

In addition, a number of exceptions are determined in the Corporate Tax Law. These include exemptions for participation gains, gains from the sale of subsidiary shares, real estate sales gains, investment fund and investment partnership gains, emission premiums and profits from overseas workplaces. In addition, earnings from overseas construction, repair, installation and technical services, earnings from schools and rehabilitation centers, and earnings from transfers or sales against bank debts are also exempt from tax (Şenyüz, Yüce and Gerçek, 2019: 210).

The law also includes regulations for special situations such as the risturn exception, industrial property rights exception, exception in sell-lease-repurchase transactions, foreign fund earnings exception, and exception for gains arising from the sale of assets and rights for the purpose of issuing lease certificates. These exemptions and exclusions were created to ease the tax burden of corporations in certain cases and to encourage certain policies. Therefore, understanding and applying these rules correctly enables institutions to make the most of the available incentives while fulfilling their tax obligations (Şenyüz, Yüce and Gerçek, 2019: 211).

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