No plan to tax gains from crypto, stocks: Şimşek

ISTANBUL

Imposing a tax on proceeds from crypto assets and stocks is not on the government’s agenda, Treasury and Finance Minister Mehmet Şimşek has said.

Speaking at an event organized by the International Investors’ Association (YASED) in Ankara, Şimşek, however, told reporters that “a very limited” transaction fee or tax may be levied on those assets.

The minister did not provide other details, saying that parliament will have the final word on how much this tax would be.

“Our agenda is more about fairness and efficiency in taxation. Within this context, we have a goal of leaving no area untaxed…Therefore, here we are more concerned about crypto assets and the stock market,” Şimşek said.

Şimşek raised the issue of imposing transaction tax on stocks with lawmakers from the ruling Justice and Development Party (AKP) during the party’s “consultation camp” in the Kızılcahamam district of Ankara held last month.

At a presentation to lawmakers, the minister said that this would be a very limited transaction.

A tax somewhere between 0.0001 percent and 0.0003 percent, according to daily Hürriyet.

Meanwhile, the new tax package will introduce a minimum corporate tax for multinational companies.

In comments he made last month, Şimşek said that 140 countries agreed in 2021 with the OECD to implement a minimum corporate tax on multinational companies.

“It is inevitable that an arrangement should be made to collect minimum corporate tax from multinational companies operating in Türkiye,” he said at the time.

Meanwhile in a post on X on June 5, Şimşek reiterated that the government’s economic program is working.

The budget deficit is high, but the ratio of the deficit to national income, excluding earthquake expenses, was 1.6 percent in 2023, he said.

“We will continue with a fiscal policy focused on spending discipline, savings, tax justice and efficiency,” the minister added.

Macroeconomic imbalances caused by strong domestic demand are being eliminated, and the annualized current account deficit declined by $26 billion, Şimşek said.

He also noted that the Central Bank’s gross reserves increased by $42 billion to exceed $142 billion, while the bank’s net international reserves, excluding swaps, moved into positive territory.

Although reducing inflation to single digits is difficult, we will achieve it by implementing our program with determination. We are determined to achieve all our goals,” Şimşek said.