Institutional development of tax audit in Turkey: Turkish Tax İnspection Board

There are two methods: ordinary (declarative method) and extraordinary (replenishment, re-inspection and administrative tax procedure) in the process of determining the tax bases. The basis of the Turkish tax system is based on the principle of declaration as in modern tax systems. Tax audit is crucial to ensure modern tax regulation in tax systems based on principle of declaration. In this situation, taxpayers are subject to taxation based on the tax base they declare to the tax office. People are able to go out of legal boundaries by struggling to reduce the minimum level of their tax base because of so many reasons. İf the taxpayers use illegal methods, it causes to a decrease in the public revenues that the state has to collect because it causes an increase in the amount of tax losses and evasion, There are dıfferent ways that tax auditing tools are used such as surveys, tax audit, search and prospecting, the taxpayers' behaviors which are out of the frame drawn by the state with related laws are detected and the necessary penal sanctions are applied. In this study, audit, tax audit, taxpayer auditing methods of tax administration, tax audit aim, the history of tax audit and finally the presidency of tax inspection board passed tax audit institutions under a single roof, by being made actual through the law No. 646 statutory decree On July 10.07.2011 has been examined.