E-Invoicing guideline in Turkey in 2020 & 2021

What do companies in Turkey expect in terms of e-invoicing in 2020?

Many may have heard of e-invoicing, but many companies are not yet taking advantage of its many benefits. By digitising your invoices you not only simplify the process for yourself but also make a positive contribution to environmental protection, always remain legally secure and can save between €1.53 and €4.19 per invoice. In Turkey, e-invoicing will therefore become the standard from 2020 and is considered mandatory for many companies. But what exactly does this mean and who is affected?

The Turkish Tax Authority has now announced new tax regulations. These affect the use of e-invoicing with public and private companies.
In Turkey, B2B electronic invoicing has already been mandatory since 2014. This obligation was based on the turnover of the companies. The mandatory use of e-invoicing has since been extended to the public sector.

B2G

Since March 2021, all public institutions have been required to be able to receive electronic invoices. Suppliers with a turnover of more than 5 million Turkish liras can now mark their electronic invoices by indicating a KAMU, provided they are already registered with the Turkish Tax Authority (TRA). Thus, with the help of the indication of KAMU in the invoice, invoices can be issued to public companies.
Additionally, as of July 2021, all those public and private entities that have an agreement with the SGK healthcare system must report e-Fatura and e-Arsiv invoices to the TRA.

B2B

In the B2B sector, all companies with an invoice volume of more than TL 5 million must currently use e-Invoicing.

As of July 2021, the following now applies:

All companies that are not required to register with TRA must declare all invoices with a value above TL 5,000 in e-Arsiv format. This also applies if the daily invoice volume exceeds 30,000 TL.
The obligation to declare electronic tickets in e-Adisyon format is added. Companies in the service sector (tourism – restaurants) that issue paper tickets must declare them in e-Adisyon electronic format from now on. During the first three months after the announcement, the TRA is expected to publish a list of affected companies.
In addition, it is expected that the declaration of the electronic expense report e-Gider Pusulu could also become mandatory in the near future, as it has been only on a voluntary basis so far.

The system for electronic invoices in Turkey, therefore, distinguishes between two different types of invoices. The e-Fatura are those invoices that are intended for B2B transactions between companies that are registered with the TRA. E-Arsiv, on the other hand, is used for B2B and B2C transactions with companies that are not registered with the TRA. Depending on the invoice recipient’s invoice status, all Turkish companies with an annual invoice volume of TL 5. million and above are currently required to use e-Fatura and e-Arsiv.