VAT Discount Period on Meals Has Been Extended

The VAT rate was reduced from 8% to 1% with the discount introduced last summer. This discount will continue to apply.

The reduced VAT application in food expenditures, which is expected to end on July 31, was extended again with the Presidential Decision No. 4312 published in the Official Gazette on July 31, 2021. With the 2-month extension, the VAT amount calculated from the food expenses will be reflected on the invoices as 1% of the expenditure. If the re-extension decision is not published, the discount application will end as of September 30, 2021.

2021 Meal Card Income Tax Exemption Amount

The meal money of 25 TL per day  is exempted from the income tax base with the meal card. Meals paid below this amount are exempted from the income tax base, while payments exceeding this amount are subject to income tax. If this amount is calculated as VAT included, the exemption amount is:

  • 25.25 TL with 1% VAT rate
  • 27 TL with 8% VAT rate (After October 1st)

Click for the original President’s Decision

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