With the new regulation; the rate regarding non-deductible financial expenses restriction were determined as %10, which effective from 2021.
Income taxpayers and corporate income taxpayers whose liabilites more than equity are unable to deduct 10% of the financial expenses such as interest, commission, exchange rate differences, maturity differences. In situation mentioned above, the 10% of the financial expenses will be considered as a non-deductible expense.
Here is the example of a situation;
| Assets Accounts | Amount | Liability Accounts | Amount |
| Liquid Assets | 1.000.000 | Short -Term Liabilities | 2.000.000 |
| Fixed Assets | 7.000.000 | Long-Term Liabilities | 3.000.000 |
| Equity | 3.000.000 | ||
| TOTAL | 8.000.000 | TOTAL | 8.000.000 |
| Expenses | Amount |
| Foreign Exchange Losses | 200.000 |
| Interest Expenses | 300.000 |
| TOPLAM | 500.000 |
Here is the example of calculation;
| Accounts | Amount |
| Liabilities | 5.000.000 |
| Equity | 3.000.000 |
| Difference | 2.000.000 |
The rate of exceeding part: 2.000.000 / 5.000.000 = %40
Financial Expenses Amount: 500.000 TL
The exceed amount: 300.000 TL * 0,40 = 200.000 TL
The non deductible expenses amount: 200.000 TL * 0,10 = 20.000 TL will be considered as non deductible expenses in the determination of the taxable income base.
On the other hand, the description of equity and liabilities regarding the practice are not clear, the date of the comparison between equity and liabilities is not determined. An announcement for clarification from the Revenue Administration is expected.