Plain-language explanations of the most frequently encountered terms in customs and tax disputes. You can filter for the concept you are looking for using the search box below.
A decision issued by the customs authority to recalculate and collect the shortfall where, after import or export transactions have been completed, it is determined that customs duties were underpaid or not paid at all. Settlement or objection may be pursued within 15 days of notification.
A decision by which the customs authority notifies the obligor of an administrative fine imposed due to non-compliance with customs legislation, most often linked to underpaid duties. It may be issued together with or separately from an additional assessment.
Under Article 244 of the Customs Law No. 4458, the resolution of a dispute between the obligor and the administration regarding notified customs duties and penalties through negotiation, prior to resorting to the courts. The application must be made within 15 days of notification.
The official schedule showing the tax rates applicable to goods in import and export. Taxation and trade-policy measures are administered through this schedule.
The 12-digit code identifying goods in the Turkish Customs Tariff Schedule. The first 6 digits represent the World Customs Organisation's Harmonised System (HS) code, digits 7-8 represent the EU Combined Nomenclature (CN), digits 9-10 are positions opened for national tax applications, and digits 11-12 are statistical codes. Incorrect GTİP declarations are among the most frequent causes of additional assessments and penalties.
An official decision, binding on the administration, issued by the Ministry or authorised regional directorates upon the request of a person regarding the tariff classification of goods. It is the safest way to eliminate tariff risk before importation.
A document that certifies the free-circulation status of industrial goods under the customs union between Turkey and the European Union and provides a customs-duty advantage.
An official document that certifies the preferential origin of exported goods and provides a customs-duty reduction or exemption in trade with the EU, EFTA and countries with which free-trade agreements (FTAs) are in place.
A declaration indicating the preferential origin of goods, similar to a EUR.1, in which the exporter states on the invoice, delivery note or another commercial document that the goods originate in accordance with the rules of the relevant agreement.
Origin is the economic nationality of goods. A certificate of origin is a document used to prove the non-preferential origin status of goods. If origin cannot be proven during a post-clearance verification, additional duties and penalties may arise.
An official transport document used in international maritime transport that evidences receipt of the goods, the terms of carriage and ownership of the goods.
The process of bringing goods and services produced in foreign countries into the country upon payment, in compliance with the applicable customs and foreign-trade legislation.
The process of selling goods and services produced in one country to other countries or free zones, in compliance with the applicable customs legislation.
The short-term storage of goods arriving from abroad in secure areas under customs control until customs procedures are completed. Goods arriving by sea may be stored for a maximum of 45 days and goods arriving by other means of transport for a maximum of 20 days; liquidation proceedings commence for goods in respect of which no action is taken within the prescribed period.
A customs regime that permits foreign goods on which customs duties have not been paid to be stored without a time limit at designated locations (bonded warehouses) under customs supervision.
A person authorised by the Ministry of Trade to open and operate a customs bonded warehouse and who is directly responsible to the customs authority for the administrative, financial and physical security of the warehouse. General warehouses (Type A, B, F) are open to all importers, while private warehouses (Type C, D, E) are reserved for the operator's own goods.
A licensed professional, for whom an A licence card has been issued by the Ministry of Trade, who handles and completes the customs procedures of goods through indirect representation under the Customs Law No. 4458.
A senior professional authorised to perform certain inspection and verification functions on behalf of the state on behalf of the customs authority, who has practised as a customs broker for at least 7 years.
A storage charge paid for goods held at customs areas, ports or bonded warehouses. Ports generally grant a duty-free 'free time' period of 3-7 days; if the period is exceeded, charges increase exponentially.
Demurrage charges incurred up to the date of registration of the customs declaration must be included in the import VAT base; demurrage incurred after registration does not form part of the base. An incorrect distinction may lead to additional duties and penalties being imposed by the customs authority.
A measure operated by the Ministry of Trade for the purpose of monitoring the impact of the importation of a specific good on domestic producers and the national economy. In practice, a unit-value threshold is established; importers declaring a value below the threshold are required to obtain a surveillance certificate. Recovery of overpaid duties arising from declarations raised to the surveillance value may be the subject of litigation.
The liability of directors (legal representatives) of limited companies for the tax debts of the company is limited to the period during which they held office and to their own fault. In this context, a director may be held personally liable with their own assets.
The deletion by the tax office of the registration of a taxpayer who is found to have ceased business, cannot be located at their address or has been established by report to have set up their registration solely for the purpose of issuing fictitious invoices, pursuant to Article 160 of the Tax Procedure Law No. 213. Cancellation does not extinguish obligations for prior periods.
