June 20, 2022
Many investors in Turkey face problems and difficulties in establishing companies, due to their insufficient knowledge of legal and financial matters. Here emerges the important role of the chartered accountant in establishing the company and following up on its affairs. In this article, we will talk about the role that the chartered accountant plays in Turkey.
It is indispensable for any company duly registered in Turkey to appoint a financial accountant, who serves as an official representative of the company before the various government institutions.
Where the need to appoint a financial accountant for the company in Turkey begins from the moment of its establishment, to follow up the procedures for registering the company in the Ministry of Finance and the Chamber of Commerce, in addition to changing the trade name, dissolving and liquidating the company, and other procedures.
Who is the chartered accountant?
He is the person who has an official permit approved by the Turkish state to practice this activity and who is approved by the company to be its representative before the Turkish state in all its legal procedures and financial transactions. At the state departments, submitting official periodic financial statements and statements to the state, following up on the company’s tax entitlement, following up on work permits and other matters.
The presence of a chartered accountant in Turkey is a prerequisite for financial transactions between the company and the Turkish government departments.
What is the work of a sworn accountant and what does it benefit?
The nature of the work of a sworn accountant is to organize accounts, invoices, pay taxes, prepare approved registration books, and audit all of these papers in accordance with the government approved accounting system.
His works are defined in:
Organizing business records
These are the procedures related to the organization of import and export foreign trade records.
Procedures of health insurance institutions
Which consists in arranging and preparing the following matters:
Preparing payroll and wages tables.
Compensation calculation.
Create health insurance files.
And calculate retirement times for employees.
Insurance procedures and trademark registration.
Providing legal advice.
Send monthly reports and data
The financial advisor in Turkey is also required to prepare and send each of the following reports:
Prepare a statement of the working hours of the employees and send it to the İş Kur Labor Office.
Financial report on social security premiums.
Sending financial reports and the company’s financial statement regarding taxes owed to the Ministry of Finance, in addition to stamp tax, temporary tax, annual import tax, corporate tax, and value added tax.
And send any other exceptional reports required by the nature of the company's work and commercial activity
Preparing monthly and annual financial schedules
This includes: Preparing and organizing monthly and annual budget reports in a timely manner, including the company's revenues, expenses and profits.
Follow up on paying taxes and health insurance premiums
In addition to the work of the financial advisor in Turkey, the task of:
Calculate the taxes owed by the company.
Calculating health insurance premiums for taxpayers who are registered there.
Compile payments and then make them to the company's or organization's cashier's office.
Follow-up work and correspondence with official government institutions
This includes:
Registration of the company or institution in the Turkish Chamber of Commerce.
everything related to changing the name and logo, buying and selling shares in the company, or liquidating it.
Performing all transactions related to official government agencies such as: the labor office, health insurance, chamber of commerce, old-age benefit fund, notary/notary, municipality, etc…
Costs of hiring a chartered accountant in Turkey
The costs of hiring a chartered accountant in Turkey usually range from 300 to 500 Turkish liras per month.
Determining the cost of the certified accountant, whether it increases or decreases, depends on the agreement concluded between the accountant and the management of the company.
This is also determined depending on the type of business activity of the company, its size, and the amount of business it needs, as some large companies see the need to contract with a full-time financial advisor to meet their growing needs for his services, and thus its cost varies dramatically.
In conclusion, we must note the importance of the chartered accountant primarily in providing accurate advisory information to the company for which the accountant is an agent, in order to avoid making mistakes and legal loopholes with regard to dealings with government systems, and his presence contributes to good behavior with regard to company taxes.
