A research into global trade of oil and oil products, customs clearance process and taxation of oil and oil products in Turkey

The purpose of this thesis is to evaluate, foreign trade of oil and its products, the role in the energy sector and future predictions. Moreover, to give information about customs clearance process, taxation of oil and oil products and to evaluate tax disputes related with oil and oil products and submit proposals to minimize disputes. In addition, to evaluate legislation law related to fighting against smuggling of oil products. Today, oil has the highest share among global total primary energy consumption. Transportation and petrochemistry will have highest share in oil demand. Total world proved oil reserves enough to meet 52 years of production. In 2017, total 2,184 million ton crude oil and 1,135 million ton oil product were traded all around the world. In Turkey, primary energy consumption has been increasing gradually. In 2017, oil has 32% share in primary energy consumption in Turkey. It is determined that in 2016, Turkey's foreign energy dependency was 74%; oil import dependency was 90%. In 2018, 21 million ton crude oil was imported by Turkey. In 2017, 16.9 million ton oil product were imported; 10.1 million ton oil product exported. Customs duties disputes, arise between the customs administrations and taxpayers, related with oil products are mostly result from designation of HS Code. In order to minimize these disputes, it is suggested that Customs Administration and Revenue Administration and Energy Market Regulatory Authority should work coordinately and accordantly, by creating clear, simple and comprehensible regulations which are oriented to solve these disputes.