Financially examining and interpreting of build-operate-transfer (BOT) implementations in civil aviation sector

Human needs, as known, are unlimited and they are increasing continuously. Particularly developments in technology are increasing variety of goods and services. Increasing variety of goods and services is also increasing human needs. Some newly existing goods and services are produced by public sector (governments) and some are produced by private sector. But the goods and services that have some special characteristics and require lots of capital must be produced by governments. Governments have some methods to produce these kind of goods and services and Build, Operate and Transfer (BOT) method is one of these methods. In addition BOT method is used as a privatization method as well.In Turkey, General Directorate of State Airports Authority (DHMİ) used and is still using BOT method frequently to build new passanger terminals. This is a result of speedy developments in civil aviation. In this study after inspecting the tax legislations about BOT in Turkey, the fundamental and financial points written in the contracts of BOT applications implemented by DHMİ, were inspected. In addition, ?estimated operating period? concept was developed and a model was suggested to calculate the estimated operating period.