Examining of government grants in tourism companies in terms of TAS-20 standard and legislative regulations

Tourism is a dynamic process which is based on human factor and has financial, socio-cultural and environmental effects. Although the purpose and types of it could show difference in time, today it is a very important sector. Since the beginning of tourism concept, it has been developed so much and it has also affected many sector in different ways. In this regard, it is possible to state that economic effect of tourism is much more than the other effects of tourism. Tourism is a sector which depends on investment and after 1980s in Turkey, with the support of government grants for the sector, there were important developments and with foreign exchange inflow to the country in financial difficulty times, it has an important share for the improvement of balance of payments, decrease in balance of payments deficit and unemployment rates. In this study, the issue on the recognition of government grants to tourism sector will be examined in the context of "TAS-20 Accounting of Goverment Grants and Explanation of Grant-in-aid Standards" and also within the context of "Legal Regulations (Uniform Accounting Policies and Tax Procedure Law)", to demonstrate the differences between applications research and studies made in order to resolve these differences and aims to help the work. This study which is prepared with the above mentioned purpose, has four chapters. In the first part, definition of tourism, historical development, types, effects and the role of tourism in the economy of Turkey have been stated and also some general definitions and explanations are given. In the second part, in general the government grants aims and features are explained, historical development of government grants and the classification of those grants are explained in detail. In the third part; under the conceptual framework, Accounting Standards, TAS-20 (Turkish Accounting Standard) standard, Uniform Accounting System and Tax Law are given place in terms of the general definition and description for tourism industry and also there are general information on how to recognize those government grants to tourism sector in line with the TAS-20 (Turkish Accounting Standard) and Legal Regulations. The fourth and last section TAS-20 Standard and Legal Regulations (Law Uniform Accounting System and Tax Procedures) of government grants provided to the tourism sector has been given a place to a comprehensive framework of practices related to the recognition. There has been theoretical example given in section operation and only include the main grants are the limitations of the study.