From September 1, 2021, Turkey introduces a requirement for the annual declaration of information on the ultimate beneficial owner and the transfer of data to the Turkish tax authority.
As a reminder, on July 13, the Turkish Tax Administration published the Law on Tax Procedures, which regulates the determination of the ultimate beneficiaries of corporate taxpayers.
The requirement to notify the ultimate beneficiary applies to
- corporate taxpayers
- persons authorized to represent the company or partner in groups of companies
- one of the limited partners in an anonymous limited partnership
- the person with the highest stake in a simple partnership
- the director or trustee of a trust or similar foreign organization headquartered in Turkey
For legal entities, the ultimate real beneficiaries are
- individuals owning more than 25% of a legal entity
- an individual or persons who are the controlling persons of an organization
- physical persons holding managerial positions in companies, in cases where the real beneficiary cannot be determined in accordance with the above two points
For trusts and similar organizations, the ultimate beneficiaries will be: founders, trustees, managers, auditors, main beneficiaries, and other controlling persons.
