Comparison of valuation principles and practices of Turkey in terms of accounting standards, Tax Law

As is known, real persons and corporate entities subject to Art. 64 and 88 of Turkish Commercial Code, have to satisfy and implement the "Turkish Financial Reporting Standards", the accounting principles stated in "Conceptual Framework" and the comments that are integral part of those when keeping commercial books and preparing solo and consolidated financial statements. In this context, all the tradesmen have to keep commercial books and show truly the commercial transactions and the assets in the commercial books in accordance with "Turkish Accounting Standards" and the provisions of Art. 88 of Turkish Commercial Code. All the books have to be kept in a way that they must give an idea about the operating activities and financial position to third party specialists who make examinations in limited time periods. Occurrence and development of the operating activities should be able to be followed via commercial books. In this study, valuation approaches of both Turkish Accounting Standards and Turkish Tax Procedural Law are discussed. Provisions regarding valuation in Tax Procedural Law have a systematic approach that subjects all the balance sheet items including assets and liabilities to valuation. General principles and measures of valuation in Tax Procedural Law and Turkish Accounting Standards are discussed and explained in this context. In the following sections of this study, valuation and accounting procedures of tangible and intangible fixed assets, inventories, securities, participations, receivables and payables, cash accounts and leasing is explained with the help of practices and accounting entries.