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Valide Humanitarian Aid Association
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Public Benefit Status

Public Benefit Tax Exemption

The Valide Humanitarian Aid Association, established on 16/07/2010 and operating with the principle "Service to the public is service to God," applied on 25/07/2012 for recognition as a Public Benefit Association under Article 27 of the Associations Law No. 5253. Based on our request with reference number 24844, the Ministry of Interior, Directorate General of Associations, replied that the Council of Ministers, with its decision dated 16/07/2014 and numbered 2014/6647, granted Valide Humanitarian Aid Association the status of an Association Working for the Public Benefit.

Privileges Granted by Law to Associations and Foundations with Tax Deductions:

  1. According to Article 89, paragraph 1, clause 4 of the Income Tax Law, donations and aids made to public benefit associations and foundations, up to 5% of the declared annual income (10% in priority development areas) and documented by receipts, are deductible from the income to be declared. Furthermore, under clause 6 of the same article, the entire cost of food, cleaning, clothing, and fuel items donated to associations and foundations engaged in food banking activities for the poor is deductible from the income to be declared in the income tax return.

    Associations granted tax exemption by the Council of Ministers are exempt from the obligation to withhold taxes on payments listed in Article 94, paragraph 1, clauses 7, 8, 9, and 14 of the Income Tax Law.

  2. According to sub-clause 1/c of Article 10 of the Corporate Tax Law, donations and aids made to associations and foundations deemed beneficial to the public, up to 5% of the annual corporate income, are deductible. Additionally, according to Article 8/1 of the Corporate Tax Law, donations of food, cleaning, clothing, and fuel items made to foundations engaged in food banking activities for the poor can be deducted from the corporate income calculated as commercial profit.

  3. Goods deliveries and services under paragraphs 1 and 2 of Article 17 of the Value Added Tax Law No. 3065 are not subject to VAT. Furthermore, goods deliveries and services provided free of charge by public benefit associations and foundations operating hospitals, convalescent homes, clinics, dispensaries, and similar institutions such as elderly and disabled care homes, free public kitchens, orphanages, and similar institutions are not subject to VAT. Under sub-clause (c) of paragraph 2 of Article 17, goods deliveries and services provided free of charge by public benefit associations and foundations are exempt from VAT.

  4. According to sub-clauses (a) and (b) of Article 3 of the Inheritance and Gift Tax Law No. 7338, public benefit associations and foundations are exempt from inheritance and gift tax. No inheritance and gift tax will be paid for donations and aids made to foundations. According to sub-clause (k) of Article 4 of the same law, properties allocated for establishment or after establishment to foundations granted tax exemption by the Council of Ministers are also exempt from tax.

  5. According to sub-clause (b) of Article 59 of the Fees Law No. 492, fees exemption is applied to the registration and annotation transactions requiring the registration and annotation of immovable properties and other real rights to be acquired by public benefit associations and foundations, and the registration and annotation of immovable properties and other real rights to be subsequently acquired by these associations and their facilities.

  6. According to paragraph 19 of section V of the 2nd table attached to the Stamp Duty Law No. 488, documents prepared in the establishment procedures of foundations granted tax exemption by the Council of Ministers are exempt from stamp duty.

  7. According to sub-clause (m) of Article 4 of the Property Tax Law No. 1319, buildings belonging to foundations granted tax exemption by the Council of Ministers are exempt from property tax, provided they are allocated to the purpose stated in the foundation's official charter. Even if foundations are tax-exempt, they are required to submit a property tax declaration to the municipal tax office of the location of the immovable property within the specified periods for the buildings, land, and properties they own.

  8. Public benefit associations and foundations are allowed to receive donations without permission under the Law on Collection of Aid No. 2860.

  9. Under Article 1 of the Law No. 748 on the Sale of Land and Plots to Certain Institutions and Municipalities from National Property or Abandoned or Seized Foundations, lands and plots deemed suitable by the General Directorate of National Property or foundations can be sold to public benefit associations with the Council of Ministers' decision.

  10. According to paragraph 7 of Article 167 of the Customs Law No. 4458, goods imported by public benefit associations and foundations for non-commercial purposes and to be used in line with their establishment purposes, such as goods for educational, scientific, and cultural purposes, scientific instruments and devices, animals for scientific research purposes, biological or chemical substances, human-derived therapeutic substances, markers for blood group and tissue typing, and substances for quality control of products with medicinal properties, are exempt from customs duty.

  11. Under sub-clause (d) of Article 1 of the Vehicle Law No. 237, official (black) license plates are given to vehicles deemed necessary by the Prime Ministry for use by public benefit associations and foundations.

  12. Associations and foundations that are granted public benefit status are included in the state protocol.

  13. According to Article 72 of the State Tender Law No. 2886, real estate properties registered under the private ownership of the Treasury and not allocated to public services can be sold to associations and foundations working for the public benefit, provided they are used according to their establishment purposes, by determining the value based on the purchase-sale price on the sale date. Properties acquired in this way cannot be used or sold for purposes other than the given purpose. If they are not used for the purpose of establishment within five years, the property will be reclaimed by the Treasury at the sale price.

  14. According to Article 7 of the Regulation on the Allocation of Foundation Charitable Real Estate published in the Official Gazette dated 04.06.1998 and numbered 23362, associations and foundations are one of the institutions to which foundation charitable real estates can be allocated.

  15. According to Article 14 of the Law on Protection of Cultural and Natural Assets No. 2863, the usufruct rights of immovable cultural and natural assets that require preservation can be left to national associations benefiting the public, with the permission of the Ministry of Culture and Tourism, to be used for public services for specific periods.

  16. According to Article 483 of the Turkish Penal Code No. 765, those who commit acts of assault and insult against these associations and foundations shall be punished with the penalties prescribed in Articles 480 or 482, depending on the nature of their actions.

Donations in-kind and cash made to our association are tax-exempt.