Value added tax refund and financial control mechanism in Türkiye

Value added tax (VAT) is a type of tax levied on the purchase of goods or the consumption of services. In Turkey, VAT is calculated on the basis of the goods sold or services provided and is paid by the final consumer. The rates of value added tax and the procedures for implementation vary according to the tax laws of countries. The purpose of VAT is to increase state revenue and collect taxes on expenditures for the consumption of goods and services. Value Added Tax refund and refund control mechanism vary according to different refund types. For this reason, the financial control mechanism regarding refunds is important. Financial control system is a system used to track the income and expenses of an institution or state and to audit tax collection and expenditures. VAT also has strategic importance in this system. Since VAT is a type of tax used to ensure the income-expense balance of both commercial enterprises and the state, the financial control system is used to ensure that VAT is collected, recorded and reported correctly. During the collection and reporting process, as I stated in my thesis, data on how financial control is provided through KDVIRA and MAR data is presented in order to issue the VAT refund objectively and subject to audit. Considering the data, this system plays an important role in preventing tax evasion, increasing tax revenues and maintaining economic stability.