Derivative products such as swap, forward, futures, options and evaluation and analysis of taxation in Türkiye

Firstly, Swap, Forward, futures and options contracts named as derivative products are used for agricultural products to protect them from price fluctuations. By the ending of Bretton Woods System in 1972, these products became very important for the protection of possible market risks and fluctuations of interest and exchange rates.For our country, by 24 january decisions liberalisation started and very important developments occured in Money markets and capital markets. In parallel with these developments using of derivative products also increased. Turkish Derivatives Exchange was established in İzmir in 2005 and it is stil growing up by its large transaction volume. By the using of financial innovations, it became an obligation to overview the legislations and to explain the regulations about the derivative products.Especially in our tax laws there is no direct regulations about qualities of derivative products and the classifications of incomes of them. There has been radical changes in taxation for the incomes of financial products by the law numbered as 5281. But these regulations are not sufficient because it covers only a specific part of them. Therefore, description of derivative products and classification of their incomes can help to understand the complex structure of derivative products. For this reason, there should be special regulations in tax laws related with derivative products.