Postponement of the Activity Code (NACE) – VAT Rate Consistency Check in Electronic Documents

An important update has been made regarding the regulation aimed at verifying the
consistency between VAT rates applied in electronic documents and the activity codes
(NACE) registered with the Turkish Revenue Administration (TRA).

With the announcement dated March 16, 2026, it was planned that the VAT rates indicated
in electronic documents such as e-Invoices, e-Archive Invoices and similar documents
would be systematically compared with the activity codes registered in the TRA systems,
and that in case of any inconsistency, the issuance of such documents would be prevented. The implementation was expected to enter into force as of April 1, 2026.

However, with the latest announcement published by the Turkish Revenue
Administration on March 27, 2026, the implementation of this control mechanism has
been postponed to a later date.

According to the announcement, the postponement is based on the need to further develop
the control mechanism to cover all transactions and to allow the technical infrastructures
used by taxpayers to be properly prepared, in line with the feedback received from
taxpayers and system providers.

At present, there is no mandatory system-based control between VAT rates and activity
codes in electronic document processes, and the current practice continues as is.

Nevertheless, it should be noted that the regulation has not been cancelled, but only its
effective date has been postponed. Once the implementation becomes effective, the system
will check whether the VAT rates indicated in electronic documents are consistent with the
taxpayers’ activity codes, and in case of inconsistency, the relevant documents may be
rejected.

In this context, it is important for taxpayers, especially those with multiple lines of business
or those carrying out transactions subject to different VAT rates, to review their activity
codes and the VAT rates they apply, and to prepare their system infrastructures accordingly.

In conclusion, although the implementation has been postponed for the time being, it is
expected to be put into force in the future, and taxpayers are advised to be prepared for this
process.