Turkey's Cars Initiative Group (TOGG) details of the car that launched production of Turkey has been announced. According to the decision published in the Official Journal of the President of Turkey, Recep Tayyip Erdogan signed, Turkey will be established in Bursa production facility and the car will be given to projects based on state aid.
Turkey's Automobile Industry and Trade Enterprise Group Inc. The total fixed investment amount of the facility will be 22 billion. The duration of the investment is determined as 30 years starting from 2019 October 13, which is the starting date.
4 thousand in Turkey's automobile production plant will employ 323 people, and these people will be 300 qualified personnel.
5 MODEL PRODUCTION IN 175 MODELS
The production of the electric car will be 5 thousand units per year in 175 models. Customs duty exemption, VAT exemption, 100 percent tax deduction for investment to be provided with project-based state support, azam10-year insurance premium employer's share support, 10-year Income Tax withholding support, without the amount limit,zami 360 million TL of qualified personnel support, interest and dividend support, investment site allocation and purchase guarantee will be provided. From the date of use of each loan, provided that the interest and dividend support does not exceed 13 percent of the fixed investment amount and 80 percent of the interest or dividend paid,zami will be 10 years.
TAX REDUCTION APPLICATION
The amount of contribution to the investment is up to 31 December 2032.zami will not exceed 960 percent of the investment contribution amount deserved under the Corporate Tax Law No. 5520 to be used for 56,5 thousand vehicles. The investment contribution amount can be used by paying the excise tax paid for the first acquisition of the vehicles produced within the scope of this investment to these taxpayers as of the quarterly periods of the calendar year in full, in cash or on account of tax debts.
QUALIFIED STAFF SUPPORT
Qualified personnel support will be applied for 20 years, not exceeding 5 times the monthly gross amount of the minimum wage for each qualified personnel.
INTEREST SUPPORT APPLICATION
31 percent of the interest or profit share paid by one or more brokerage firms until 2027 December 80 will be covered by the Ministry of Industry and Technology, provided that it does not exceed 13 percent of the fixed investment amount.
Interest or dividend support will be applied for loan repayments from the date the payment plan is sent to the ministry.
Interest or dividend support will be provided within the framework of at least one-year investment loans to be used from intermediary institutions established abroad or a certified public accountant report for investment financing or the notifications of the domestic bank that intermediates the loan.
In order to be able to make interest or profit share support payments, a sworn financial advisor report showing the fixed investment amount realized before each payment will have to be released to the ministry. The amount of interest or dividend supported loan to be used within the scope of the investment will not exceed 50 percent of the fixed investment amount realized as of the date of interest or dividend support.
The refinancing loan to be used as the remaining portion of the existing loan will not be considered as an additional loan and will be eligible for interest or dividend support provided that it does not exceed the period specified in this decision from the date of use of the loan to be closed.
30 THOUSAND AUTOMOTIVE PURCHASE GUARANTEE
The purchase guarantee will be applied by the State Material Office (DMO) for 31 electric cars by December 2035, 30, in accordance with the procedures and principles to be determined.
Following the completion of the investment, the company will apply to the ministry for a completion visa. As a result of the appraisal process to be performed at the investment site, the completion visa will be made by the ministry.
The investor will be responsible if the investment cannot be realized within the specified period (including additional time), except for the reasons arising from the public.
In case the investor does not fulfill the obligations stipulated in the support decision, due to the reduced corporate tax or the incentive for income tax withholding with the application of exemptions zamTaxes not accrued immediately will be withdrawn with delay interest without tax loss penalty, and other supports will be withdrawn in accordance with the provisions of the relevant law.
In case the investment amount is realized below the projected fixed investment amount; Within the scope of this decision, if interest or dividend support, energy support, qualified personnel support and grant support are used, the azami amounts will be reduced in proportion to the ratio of the realized investment amount to the projected fixed investment amount and the extra supports will be taken back, if any.
To realize the projected total fixed investment amount until December 31, 2023 at least 3 billion 500 million pounds of cash capital paid to the company will be reported to the ministry by a certified public accountant.
The information contained in the support decision or investment incentive document may be revised based on the evaluation to be made by the ministry following the firm's request.