08.07.2022/51
Exemption Amounts for Meals and Transportation Provided to Employees Have Been Increased
According to paragraph (8) of Article 23/1 of the Income Tax Law No. 193, benefits provided to employees in the form of meals at the workplace are exempt from income tax. Additionally, when meals cannot be provided at the workplace or its premises, daily payments not exceeding 34.00-TL for the days worked are considered exempt and are not included in the wage base.
With Presidential Decree No. 5799, published in the Official Gazette No. 31890 on 08.07.2022, the 34.00-TL amount has been increased by 50%, raising it to 51.00-TL.
Furthermore, according to paragraph (10) of the same article, expenses incurred to ensure that employees can travel to and from work are also exempt. When such transportation services cannot be provided, payments not exceeding 17.00-TL per day worked are considered exempt and are not included in the wage base.
With the same Presidential Decree, this amount has also been increased by 50%, raising it to 25.50-TL.
For these exemptions to apply, meal payments must be made to the organizations providing the meal service, and for transportation, a transportation card, ticket, or the provision of vehicles used for this purpose is required.
Additionally, if the payments exceed the specified amounts or if payments are made in cash, the excess amounts and the cash payments will be taxed as wages.
The regulation came into force on the date of publication, with effect from 01.07.2022.
You can access the related Presidential Decree here.
Best regards,
BİLGENER
