Communiqué No. 48 regarding the Decree No. 32 on the Protection of the Value of the Turkish Currency is published in the Official Gazette on September 4th, 2018 and entered into force on the same date. The changes will be in effect for a period of 6 months as from the date of its entry into force.
As per Article 8 of the Decree, the exporters are free to use the proceeds received from their export activities, however the Ministry is given the authority to make legislative changes regarding imposing measures for bringing the export proceeds into Turkey.
With the announcement of Communiqué No.48, the Ministry has used its authority and imposed new rules on the exporters to bring their export proceeds into Turkey. Accordingly, the proceeds derived from the export transactions realized by the residents in Turkey, are required to be brought directly and without any delay into Turkey following the payment of such amounts by the importer, i.e. the export proceeds can be either transferred to the intermediary bank or brought into Turkey. The export proceeds are required to be brought into Turkey within a maximum of 180 days as from the date of physical export. Additionally, minimum of 80% of such proceeds are required to be sold to a bank.
The exports proceeds are primarily required to be brought into Turkey based on the TRY or foreign currencies as declared, but it is possible that they are brought in foreign currency even the export has been realized in TRY. If the export proceeds are effectively (physically) brought into Turkey, a declaration is required to be made by the passenger to the Customs Office.
The requirement on bringing the export proceeds into Turkey can be realized via several different payment methods such as credits against documents, cash against goods etc.
The export has to be realized within 24 months in return of foreign currencies received in advance.
The proceeds stemming from the export activities of the contracting companies is required to be brought into Turkey and sold to a Turkish bank within 365 days.
The proceeds stemming from the export of consignment stocks is required to be brough into Turkey and sold to a Turkish bank within 180 days as from the date of the actual sale.
If the goods are exported for an international fair, exhibition etc with the aim to sell such goods, the sales proceeds will be brought into Turkey and sold to a Turkish bank within 180 days as from the closing date of such fair, exhibition.
If the goods that have been temporarily exported out of Turkey are not brought back into Turkey within the specified periods or if they are sold within the specified periods, the sales proceeds are required to be brought into Turkey and sold to a Turkish bank within 90 days as from the end of the specified time period or from the date of the actual sales.
If the export is realized on credit or via financial leasing, the export proceeds are required to be brought into Turkey and sold to a bank within 90 days following the due dates mentioned on the relevant agreements.
The exporters are held responsible for bringing their export proceeds into Turkey within the specified time periods, selling the foreign currencies to the banks and the closing of the export accounts in time. On the other hand, the intermediary banks are held liable to monitor that the export proceeds are brought into Turkey and are sold to the banks.
In case the export of goods are realized with commercial purposes, the banks will close the accounts regarding the exports whose proceeds are brought into Turkey within the specified periods. In case the relevant accounts are not closed within the specified periods, the banks are required to notify the Tax Authority within 5 business days. Within 10 business days following the notification of the banks made to the tax authority, the tax authority sends a notice to the exporter for closing the export accounts in 90 days. Within 90 days, it is required that the accounts are closed or the force majeure of the exporter is documented.
Certain deductions are allowed from the export amount, such as freight, insurance premiums, commissions, storage, warehouse, discounts etc. which will be analyzed and concluded by the banks.
The export proceeds that are brought into Turkey within the specified period of time, can be offset against the import amouts of the exporters, their payments in relation to the capital movements, the expenditures relating to the invisible transactions and the purchase price of the transit trade by the banks.
In relation to the export and import of goods that are realized in accordance with the Foreign Trade regulations, the export and import amounts can be offset against each other by the banks provided that the parties are the same and it is realized during the period when the export proceeds are required to be brought into Turkey. Under the conditions where the offsetting against the export proceeds is allowed, the export proceeds are deemed to be brought into Turkey in time. For the amount that is offset, the purchase and sales document of the foreign currency is issued based on the buying rate that is in effect on the date the offset is realized.