In this trade, the company in the country where we buy the goods must invoice us, and we must invoice our customers in the country where we sell the goods. The invoice to be issued to our customer must be issued in English and without VAT. In order to tax our earnings in our country, it is essential that the Turkish invoice to be issued is prepared without VAT. Since we do not pay VAT when buying and we export when selling, VAT will not be included in these invoices.
Transit trade is a form of trade and is not subject to export and import regimes. Therefore, no customs declaration is issued in any way. This form of trade is subject to tax duty exemption. All forms of payment applied in import and export can also be applied in transit trade. In other words, payment methods such as cash payment, letter of credit, LC payment, document equivalent can be used. All real and legal persons residing in our country, working taxable and registered with chambers of tradesmen can do transit trade and are called transit traders. The payment made by the transit merchant to the seller from whom he bought the goods will be the purchase price, and the price collected from the buyer will be the sales price. These costs must be paid through one of the payment methods in export and import, submission of purchase and sale invoices and a written instruction through the bank. Transit trade cannot be carried out with goods whose trade is prohibited by international agreements and with countries whose import and export are prohibited. In transit trade, goods bought from another country are sold to other countries without being nationalized. In this trade, which takes place when the goods are purchased from the seller and reach the buyer, it does not matter from which place the goods are shipped. Only the shipping documents should be arranged according to the regulations of the country where the goods enter and leave. In our country, many real and legal persons do business via transit trade route. Although it may seem easy, it is actually the product of a work that needs attention.
Due to the global events that took place in the world in 2022, transit trade was needed more than usual. Vizyon Financial Advisory team has full command of all phases of Transit Trade transactions to be made by companies that have their headquarters or branches in Turkey.
What is a Public Limited Company (PLC)? A Public Limited Company (PLC) is a type of trading company that raises its capital through the issuance of shares, limiting the liability of shareholders to the amount invested. It is recognized as an independent legal entity, and the liability of shareholders is typically limited to the capital they contribute.
Budget planning is a crucial element for companies aiming at successful financial management and sustainable growth. This process plays a vital role in strengthening a company's financial health and preparing it for future uncertainties. Here are key points explaining the significance of budget planning for companies:
It's important to note that while you can draft a partnership agreement on your own, it is advisable to seek legal advice to ensure that the document complies with local laws and adequately protects the interests of all parties involved.
