ANKARA – The Ministry of Treasury and Finance has uncovered that 1,725 individuals failed to declare TL 3.6 billion in dividend income earned from publicly traded companies—despite surpassing the annual declaration threshold.
According to information obtained from the Ministry, the Turkish Revenue Administration (GİB) conducted an extensive audit targeting dividend payments made by publicly listed companies for the years 2022, 2023, and 2024.
As part of this audit, GİB cross-referenced corporate reports and tax declarations to identify shareholders and calculate gross dividend amounts. In doing so, the administration considered prior income tax withholdings applied to these dividends.
Under the Turkish Income Tax Law, 50% of dividend income earned by individuals is exempt from taxation. The remaining amount, however, is subject to annual declaration if it exceeds a legally defined threshold.
Following a comprehensive analysis, GİB determined that 1,725 individuals failed to submit annual income tax returns for their dividend earnings, despite their post-exemption income surpassing the declaration threshold. As a result, approximately TL 200 million in taxes went unpaid.
The taxpayers in question, who received dividend income above the threshold from publicly listed firms but failed to declare it, have been reported to their respective tax offices for further action.
Minister Şimşek: “The Goal Is a Fairer Tax System”
Commenting on the findings, Minister of Treasury and Finance Mehmet Şimşek emphasized the government’s commitment to using technology to ensure tax compliance.
“Through initiatives like this, we aim to both improve voluntary compliance and make the tax system more fair, transparent, and sustainable,” said Şimşek.
The investigation underscores the government’s ongoing efforts to ensure that individuals fulfill their tax obligations in full and on time.
Source: Bloomberght/ Prepared by: İlayda Gök