Eren un yem a.Ş Ankara yolu, km ballica mevki 18100, Çankiri, turkey tel: 0090-376 218 11 44, Fax : +90 376 218 14 61

Bank account notification form

Annex V : Legal entity file

Annex V

1. 
   In the case of works, supply, service and grant contracts, natural or legal persons eligible to participate in tendering procedures shall be entitled to temporary installation and residence where the needs of the contract so require. This right shall be acquired only after the invitation to tender has been issued and shall be enjoyed by the technical staff needed to carry out studies preparatory to the drawing up of tenders; it shall elapse one month after the contractor is designed.
   
2. 
   The Government of Turkey shall permit personnel taking part in works, supplies, services and/or grant contracts financed by the Community, and members of their immediate family, to enter Turkey, to establish themselves in the State, to work there and to leave the said State, as the nature of the contract so justifies.
   

1. 
   The Government of Turkey shall grant the permits necessary for the importation of professional equipment including motor vehicles required to execute the Project, subject to existing laws, rules and regulations of Turkey.
   
2. 
   The Government of Turkey shall further grant natural and legal persons who have executed works, supplies, services and/or grant contracts the permits required to re-export the said equipment.
   

1. 
   For the execution of Project, the Government of Turkey undertakes to grant import authorizations and authorizations for the acquisition of the foreign exchange without discrimination between:
   
   • 
     for Project approved under the MEDA Regulation, the countries of the European Union, and the MEDA partner territories and countries eligible under the MEDA Regulation.
     
   • 
     for Project approved under the Pre-accession Regulation, the countries of the European Union, the MEDA partner territories and countries eligible under the MEDA Regulation, the countries of Central and Eastern Europe eligible under the PHARE Regulation¹¹ and the countries eligible under the CARDS Regulation¹².
     
2. 
   The Government of Turkey shall grant the permits necessary to repatriate funds received in respect of The Project in accordance with the foreign exchange control regulations in force in Turkey.
   
3. 
   The Government of Turkey shall exempt EC financed projects from procedures requiring the transfer of the price of goods and/or services to EC contractors abroad through banks or financial institutions operating in Turkey.
   

1. 
   Taxes, customs and import duties and levies and/or taxes of equivalent effect shall be charged neither to the grant nor to the co-financing contribution provided by Turkey.
   
2. 
   All imports by EC contractors shall be allowed to enter Turkey without being subject to customs or import duties, charges, VAT and the Special Consumption Tax or to any other similar tax, duties or charges. Such exemption shall only be applied to the imports in connection with the goods supplied and/or services rendered and/or works executed by the EC contractor under the EC contract. Turkey shall ensure that the imports concerned will be released from the point of entry for delivery to the EC contractors as required by the provisions of the contract and for immediate use as required for the normal implementation of the contract, without regard to any delays or disputes over the settlement of the above-mentioned duties, taxes or charges.
   
3. 
   EC contractors shall be exempted from VAT for any service rendered or goods supplied or works executed under the EC contract. Goods supplied or services rendered or works executed by a contractor to the EC contractor shall also be exempted from VAT. Such exemption shall only be applied to the goods supplied or services rendered or works executed which are connected with the goods supplied or services rendered or works executed by the EC contractor under the EC contract.
   

Exemption from VAT shall also apply to any similar tax which may be instituted after the date of signature of this Agreement in addition to, or in replacement of, existing VAT.

The relevant tax authority shall provide EC contractors who are entitled to the exemption within this Agreement with a certificate confirming such exemption upon submission by the relevant EC contractor of a written request; the request should include documentation to confirm the identity and status of the requesting EC contractor. The tax authority shall deliver the certificate or refuse it upon justification within 30 calendar days maximum.

4. 
   EC contracts shall not be subject in Turkey to stamp or registration duties, or to any other charge having an equivalent effect thereto, whether such charges exist or are to be instituted.
   
5. 
   Expenditures of EC contractors shall be relieved from the Special Consumption Tax. This relief shall only be applied to the expenditure in connection with the goods supplied and/or services rendered and/or works executed by that EC contractor under the EC contract.
   
6. 
   Natural persons not nationals and not residents of Turkey carrying out service and/or works and/or grant and/or twinning contracts financed by the Community and the eventual co-financing contribution provided by Turkey shall not be subject to income tax in Turkey for the income generated by this type of contract.
   

Profit and/or income arising from EC contracts shall be taxable in Turkey in accordance with its tax system if the natural and/or legal persons making such profit and/or income have their permanent establishment or fixed base in Turkey according to the provisions of the applicable double taxation agreements as ratified by Turkey.

7. 
   Personal and household effects imported for personal use by natural persons (and members of their immediate families) other than those recruited locally, carrying out tasks defined in service and/or works and/or grant contracts and/or twinning contracts or covenants shall be exempted from customs duties, import duties, taxes and other fiscal charges having equivalent effect, the said personal and household effects being either re-exported or disposed of in the state in accordance with the regulations in force in Turkey after termination of the contract.
   
8. 
   Natural and legal persons importing professional equipment shall, if they so request, benefit from the system of temporary importation as defined by the national legislation of Turkey in respect of the said equipment.
   
9. 
   Those benefiting from the Project shall be exempted from “Inheritance and Transfer Tax” resulting from goods transferred to them without consideration in any way under the Project.
   
10. 
    In the implementation of these exemptions, Article 9 about the origin of materials and supplies will be applied.
    
11. 
    Turkey shall issue the necessary secondary legislation to make the tax provisions established in this Agreement effectively applicable soon after this Agreement comes into force. Tax exemptions to be provided under this Agreement shall be on an ex-ante basis.
    
12. 
    For the purposes of this Agreement, the term “EC contractors” shall be construed as natural and legal persons, supplying goods and/or rendering service and/or executing works and/or executing a grand contract under EC contract. The term “EC contractor” also covers pre-accession advisors, also known as resident twinning advisers, and experts included in a twinning covenant or contract.
    

Part C. Further information

Further information consists of :

• 
  ADMINISTRATIVE COMPLIANCE GRID
  
• 
  EVALUATION GRID
  
• 
  GLOSSARY