Under the balance sheet basis it is the difference between opening and closing equity; under the business account basis it is revenue less expenses. Individuals pay income tax on it and companies corporate tax.
Source: 193 sayılı GVK m. 37-56
Related terms
Personal income taxThe tax levied on the business, agricultural, professional, employment, real estate and investment income and other earnings of individuals in a calendar year.Corporate income taxThe tax levied on the earnings of capital companies, cooperatives and other corporate entities.Non-deductible expensesExpenses recorded in calculating commercial profit that cannot be deducted in determining taxable corporate income under tax legislation.Advance taxTax paid in advance during the year by income and corporate taxpayers, in quarterly periods, on current-period earnings.Advance tax rulingA written explanation issued by the tax administration upon a taxpayer's written request about its own tax position or matters it considers unclear.Arm's length principleThe principle that transactions between related persons should be carried out at the prices and on the terms that would apply between independent parties with no such relationship.
Last updated: October 31, 2026 · This definition is for general information only.