Within the scope of the measures taken due to the COVID-19 outbreak, according to the General Communiqué of the Tax Procedure Law (“Communiqué“) published in the Official Gazette no. 31078 and dated March 24, 2020, certain taxpayers are considered experiencing a force majeure event for the period between April 1, 2020 and June 30, 2020, and these taxpayers’ social security insurance premium payments for March, April and May of 2020 were deferred.
Accordingly, the Social Security Institution of the Republic of Turkey published an announcement on April 2, 2020, to provide clarity about the deferral of social security insurance premium payments.
Which Sectors and Taxpayers Benefit From the Deferral?
(i) Private sector employers who employ insured employees in workplaces in the sectors that the Ministry of Interior issued orders to temporarily cease their activities; and private sector employers who employ insured employees and who are directly affected by the COVID-19 outbreak and operate in certain sectors, such as retail including shopping malls, health services, furniture manufacturing, and in the iron, steel, and metal industries; and
(ii) Those considered as experiencing a force majeure event, such as the shareholders of joint stock companies who have seats in the companies’ board of directors; the unlimited partners of commandite companies (limited partnerships) in which capital is divided into shares; partners of other companies; and the association of ship-owners who are insured by Bağ-Kur (the Social Security Organization for Artisans and the Self-Employed).
What Are the Deferred Payment Dates?
For the taxpayers exemplarily listed above,
(i) The last payment date of the social security insurance premiums for March 2020 was deferred to November 2, 2020;
(ii) The last payment date of the social security insurance premiums for April 2020, was deferred to November 30, 2020; and
(iii) The last payment date of the social security insurance premiums for May 2020, was deferred to December 31, 2020.
A penalty for delay and default interest will not apply due to deferral.
Within the scope of the measures taken in response to COVID-19, this announcement determined and clarifies the details regarding the deferment of the social security insurance premiums for certain taxpayers.
Please refer to https://www.esin.av.tr/coronavirus-desk/ for our client alerts regarding the legal consequences of COVID-19 on other areas.