Amendments to the Technology Development Zones Law Under Law No. 7346

AMENDMENTS TO THE TECHNOLOGY DEVELOPMENT ZONES LAW NO. 4691 UNDER LAW NO. 7346

The amendments and additions to Provisional Article 2 of Law No. 7346 "on Amendments to Certain Laws", published in the Official Gazette No. 31700 dated 25 December 2021, are set out below.

"ARTICLE 20 – In Paragraph 3 of Provisional Article 2 of the Technology Development Zones Law No. 4691 dated 26/6/2001, the phrase "exemption" was replaced by "incentive", "may not benefit from this exemption" was replaced by "this incentive may not be utilised", and "exemption" in the seventh sentence was replaced by "withholding incentive"; the ninth and tenth sentences of the paragraph were amended as follows.

"In addition, time spent outside the Zone by personnel working in the Zone within the scope of the income tax withholding incentive – not exceeding 20% of either the total number of personnel or the total working hours subject to the incentive, and excluding the situations specified in this paragraph – will also be considered within the scope of the income tax withholding incentive. The President has authority to increase this 20% ratio up to 75% or reduce it back to the statutory rate for regional and/or sectoral areas to be determined."