The transfer-pricing concept, which replaced the outdated disguised earnings provisions, was first introduced to Turkish legislation together with the new Corporate Income Tax (CIT) Law in July 2006. A popular discussion among tax professionals last year was the last-minute amendment to the CIT Law that led to no-transfer-pricing or disguised-earnings provisions, and remained in effect for the fiscal year 2006. According to the transfer-pricing provisions of the CIT Law, transfer-pricing rules were to be in effect from January 1 2007. In order to determine the implementation principles, the Law bestowed authority upon the Council of Ministers.
April 30 2008