A budget of 6.2 billion lira to combat the informal economy
The state has allocated a budget of 6.2 billion lira for the "Fight Against the Informal Economy" for the next 3 years.
According to the information compiled by the AA correspondent from the 2021 Central Government Budget Law Proposal, a budget proposal of 1 billion 897 million 24 thousand liras was made for the next year in the Fight Against the Informal Economy. This figure is estimated to be 2 billion 75 million 664 thousand TL in 2022 and 2 billion 229 million 877 thousand 800 TL in 2023.
It is planned to allocate 6 billion 202 million lira in 3 years in order to realize the objectives of the "Action Plan to Fight Informal Economy" under the program "Fighting the Informal Economy and Reducing Financial Crimes" carried out by the Ministry of Treasury and Finance.
- "The fight against informality is important for tax justice"
Turkey Union of Chambers and Commodity Exchanges of Economics and Technology University (TOBB ETU) President Professor of Business Administration Dr. Ramazan Aktaş drew attention to the importance of determination in implementation rather than the amount of the budget allocated for combating informality.
Aktaş noted the following:
"Although this figure seems to be a small amount in the total budget, the state can generate very high revenues when an informality problem of 30 percent is prevented. That is to say, the higher the budget, the higher the income can be achieved if it is tried to prevent informality, unfair competition is avoided, income distribution is created more properly, resources are prevented from being allocated to unproductive areas, and you will gain many benefits like that. "
Pointing to two factors related to informality, Aktaş stated that these are companies that work under the stairs and show some of their activities unregistered when they are registered.
Stating that the rate of informality decreases as a country develops and the "rule of law principle" is put into practice, Aktaş said that the fight against informality is important for tax justice.
Stating that states collect taxes in return for internal and external security, justice and health services, Aktaş underlined that individuals or companies that receive this service must pay their taxes in order to fulfill their obligations to the state.
Noting that the informal sector avoids paying their taxes, Aktaş made the following assessment:
"Under the counter companies operate in a tax-free manner. Unfortunately, some people justify this situation, such as 'This man works informally because he cannot work otherwise' or 'at least somehow earns his bread money'. It is not possible to defend this on a philosophical basis. If you are talking about justice in a country, if you are earning an income, you have to give whatever the tax is. "
Aktaş, stating that informality is an issue that needs to be addressed,