On September 29, 2017 the Government of the Isle of man issued a press release announcing that the Agreement between the Government of the Isle of Man and the Government of the Republic of turkey for the Exchange of Information relating to Tax Matters, as signed on September 21, 2012 (Hereafter: the TIEA) will enter into force on October 7, 2017.
Based on Article 3, Paragraph 1 of the TIEA (“ TAXES COVERED“ ) the taxes which are the subject of the TIE are:
a) in the Isle of Man, taxes on income or profit; and
b) in Turkey
(i) the income tax;
(ii) the corporation tax.
Article 3, Paragraph 2 subsequently arranges that the TIEA shall apply also to any identical or substantially similar taxes imposed after September 21, 2012 in addition to, or in place of, th existing taxes. Furthermore, the taxes covered may be expanded or modified by mutual agreement of the Parties in the form of an exchange of letters.
Based on Article 12, Paragraph 2 of the TIEA (“ENTRY INTO FORCE”) the fact that the TIEA will enter into force on October 7, 2017 means that the provisions of the TIEA shall have effect:
a) for criminal tax matters, on October 7, 2017;
b) for all other matters covered in Article 1 of the TIEA on October 7, 2017, but only in respect of taxable periods beginning on or after September 21, 2012, or where there is no taxable period, all charges to tax arising on or after September 21, 2012.
The TIEA arranges a.o. for the exchange of information upon request (Article 5) and the possibility to conduct tax examinations abroad (Article 6).
Click here to be forwarded to the text of the TIEA as available on the website of the Government of the Isle of Man, which will open in a new window.
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