VAT rate on the sale of newspapers, magazines, electronic books and similar publications in electronic environment increases to 18% in the new year.

The list no (l) attached to the VAT Law contains goods and services subject to a VAT rate of 1 % and the list no (ll) contains goods and services subject to a VAT rate of 8 %. Other goods and services that do not exist within these lists are subject to a standard VAT rate of 18 %.

Pursuant to the regulation within the 8^th line of list no (l), electronic sale of newspapers and magazines are subject to a VAT rate of 1 %.

The 14^th line within the list (ll) titled as “B) Other goods and services” contains a provision indicating that the sale of electronic books (e-book) and similar publications in electronic environment are subject to a VAT rate of 8 %.

Through the Presidential Decision no.475 published in the Official Gazette dated 19 December 2018, the VAT rate for transactions indicated above has been identified as 18 %. The Decision will be effective as of 1 January 2019.

Accordingly, as of 1 January 2019, a VAT rate of 18 % will be calculated on the sale of newspapers, magazines, electronic books and similar publications in electronic environment.