It concerns millions of vehicle owners: It starts on January 1… Here is the new regulation – Last Minute Economy News

The countdown continues for the National Vehicle Identification System (UTTS) to be implemented by the Revenue Administration, which aims to prevent irregular invoicing practices and tax losses in the fuel sector. The General Directorate of Mint and Stamp Printing House will be responsible for the installation and operation of UTTS, which will prevent the manual entry of license plate information at fuel stations and ensure that the license plates are automatically transferred to the system.

According to the statement, approximately 8 million of the 29 million vehicles registered to traffic in Turkey currently serve taxpayers who obtain tax deductions by deducting their fuel expenses by renting, registering them for business or using them at work. With the UTTS Communiqué dated October 5, 2023, these vehicle groups were made obliged to be included in UTTS. Otherwise, according to the Communiqué, as of January 1, 2025, fuel sales documents that are not issued within the scope of UTTS for fuel purchases of the vehicles in question will be deemed not to have been issued at all in terms of tax laws and will not be shown as an expense in tax declarations.

General Directorate of Mint and Stamp Printing House holds regular information meetings with relevant stakeholders in the fuel sector during the commissioning process of the UTTS project. Last week, Mint held an information meeting with representatives of companies that can apply to become a UTTS Authorized Vehicle Assembly Company. At the meeting attended by representatives of automotive main industry companies, sector associations, authorized and private services, Mint officials gave information about the operation of the system, the duties and responsibilities of the Vehicle Assembly Companies to be authorized within the scope of the system, the pre-registration conditions of the companies and their sub-dealers to the system, and the authorization process and schedule.

TTB DEVICES MUST BE INSTALLED BY THE END OF 2024

The UTTS Communiqué was published in the Official Gazette dated October 5, 2023. According to the ‘General Communiqué on National Vehicle Identification System Implementation’ published by the Revenue Administration, it is mandatory to install a Vehicle Identification Unit (TTB) on vehicles acquired through leasing or included in the business and used at work until December 31, 2024. It has become mandatory for taxpayers operating fuel stations to have a Vehicle Identification Reader (TTO) device installed on the gun apparatus of at least one pump unit in the fuel stations until December 31, 2024.

The installation and operating principles of the system, authorized company transactions and the documentation order for fuel sales to be made using UTTS were also determined by the communiqué published on October 5, 2023.

STOP IRREGULAR INVOICE PRACTICE

The license plate information, which is stored digitally in the ‘Vehicle Identification Unit’ (TTB) (electronic tag) device to be installed at the fuel tank entrance of the vehicles, is automatically read by the ‘Vehicle Identification Reader’ device attached to the fuel pump gun during fuel purchase, and is communicated via secure communication. New Generation Pump Payment Recorder It will be transmitted to the device. Thus, license plate information will be automatically recorded on the receipts and invoices used to declare fuel expenses. With UTTS, irregular invoicing practices resulting from manual processing of vehicle license plates into the system will also be prevented.

IT WILL BE UNUSABLE WHEN IT IS REMOVED FROM THE VEHICLE.

TTBs will not be usable once removed from the vehicle and will need to be reinstalled. In addition, if the ownership and/or license plate information of the vehicles changes, a new TTB will be installed on the vehicles.

INSTALLATION WILL BE DONE ONLY BY AUTHORIZED COMPANIES

Installation of the ‘Vehicle Identification Unit’ device on vehicles can only be carried out by Vehicle Assembly Companies authorized by the Mint. Motor Vehicle Authorized Services, Motor Vehicle Special Services and Vehicle recognition and/or vehicle tracking systems installation service companies will be able to apply to become a UTTS Authorized Vehicle Assembly Company.

TAX LEAKAGE OF 15 BILLION LIRAS WILL BE PREVENTED

Vehicles of real and legal persons who have taxpayer status and show fuel expenses as expenses are obliged to switch to UTTS. Vehicles that are not included in this scope can voluntarily register with UTTS. The new system aims to prevent tax losses estimated to amount to approximately 15 billion Turkish Liras annually.