The efficiency of penal sanctions under Turkish taxation system

Taxation is always subjected to a conflict between the state as a collector and the taxpayers. While the state tries to maximize its tax revenue, on the other hand taxpayers will try to minimize tax duties and also to avoid them. While taxpayers are searching solutions for this conflict in the legal area, sometimes they may refer illegal ways. All citizens of the state always seek the maximum service whether they pay or do not pay their tax duties.In any system that has no efficiency of penal sanctions, taxpayers who have voluntary compliance with taxation could leave this compliance with the thought of their being suffered from the unfairness. Efficiency of current system is also important for Turkey as an explorer of new sources for meeting continuously increasing demands like other countries. Therefore, the study focuses on the efficiency of penal sanctions under Turkish Taxation System.In the first chapter of the study, theoretical backgrounds of penal sanctions which are placed in Turkish Taxations System are analyzed. The second chapter contains the evaluations of the penal sanction applications and its effects and also brief information and data of penalties which are placed in United States? fiscal penalty system as a sample country. In the third chapter, this impact is assessed and further clarified by means of a field research. And finally we offer additional actions/measures and applications for effectively and fairly operating the fiscal penalty system.