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May 27, 2012
 
 
 
 
 
 

Digitürk faces heavy fine over accusations of tax evasion

Mehmet Emin Karamehmet
10 February 2010 / TODAY’S ZAMAN, İSTANBUL
Digital satellite platform Digitürk, which recently won the live broadcasting rights for the Turkish Soccer Federation’s (TFF) Super League matches for the next four years, is now facing a hefty fine for alleged misconduct that caused a loss of hundreds of millions of lira in state tax revenue.

The Information Technologies and Communications Board (BTK) found in recent investigations that Digitürk applied a private communications tax (ÖİV) of TL 2.75 for its basic subscription tariff of TL 40, instead of TL 6 as stipulated under the current rate of 15 percent. According to a news report in the Yeni Şafak daily on Tuesday, Digitürk also retained its subscriber portfolio despite having transferred its broadcasting license to a subsidiary, Digital Platform Teknoloji A.Ş., which was viewed by the BTK inspectors as a method to avoid taxes.

Digitürk, operating under the umbrella of Mehmet Emin Karamehmet’s Çukurova Group, was first inspected by auditors from the Revenues Administration (GİB) in 2006, which ended in a difference of TL 329 million between declared and actual taxes.

After transferring its license, Digitürk started conducting its broadcasting operations through Digital Platform Teknoloji. But the GİB auditors soon saw a sharp drop in tax statements from the company, falling from an average amount of TL 27 million per month before the transfer in 2005 to TL 2 million per month following the transfer of the license in 2006.

Yeni Şafak cited a BTK statement that asked the Finance Ministry to calculate the amount lost from unpaid taxes and collect it from Digitürk.

 
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