The Draft Law on the Amendment of the Law on the Establishment of the Disaster Reconstruction Fund and the Regulation of Public Finance and Debt Management was submitted to the Presidency of the Turkish Grand National Assembly.
The Bill of Law on the Establishment of the Disaster Reconstruction Fund and the Amendment to the Law on the Regulation of Public Finance and Debt Management, signed by the AK Party deputies, was submitted to the Presidency of the Grand National Assembly of Turkey.
According to the proposal, in areas declared as disaster zones effective for general life due to natural disasters; The Disaster Reconstruction Fund will be established in order to provide, manage and transfer the necessary resources for zoning, infrastructure and superstructure works to the relevant public institutions and organizations.
The Fund’s Board of Directors is chaired by the Minister of Treasury and Finance; It will consist of the Minister of Environment, Urbanization and Climate Change, the Minister of Energy and Natural Resources, the Minister of Agriculture and Forestry, the Minister of Interior, the Minister of Transport and Infrastructure, and the Head of Strategy and Budget.
The Board of Directors will determine the projects to be transferred from the fund, the amount of resources to be transferred and the expenditure programs. The principles and procedures regarding the structure and functioning of the Fund will be determined by a regulation to be issued by the Fund.
Resources of the Fund; domestic and international cash donations, aids, grants and loans; the appropriation to be placed in the budget for this purpose; It will consist of financing and resources provided by domestic and foreign capital and money markets, exempt from all restrictions in the legislation of institutions and organizations by the Fund.
For the projects decided by the Board of Directors in accordance with the purpose of the law, resources will be transferred from the Fund to the relevant institutions and organizations with the approval of the Board of Directors, to be paid within the scope of the expenditure program and depending on the realizations. The amounts transferred in this way will be recorded in the general budget for the administrations within the scope of the general budget, and in the budget of the relevant public institutions and organizations for the other administrations.
The fund will be audited in accordance with independent auditing standards. Financial data on fund sources and transfers will be shared with the public on a quarterly basis at the latest. In this framework, the administrations to which resources are transferred will be obliged to provide all necessary information and documents.
The fund will be exempt from corporate tax. An economic enterprise shall not be deemed to have been formed due to the revenues of the Fund from its activities related to its duties.
Transactions and papers issued due to the activities of the Fund are subject to stamp duty and fees; donations and aids made to him from inheritance and gift tax; Transactions related to the activities of the Fund are taxed on banking and insurance transactions; will be exempt from deductions to the resource utilization support fund.
All of the cash donations and aids made to the fund can be deducted from the declared income or corporate income, provided that it is separately shown on the income or corporate tax return, in determining the income or corporate tax base.
The Minister will be authorized to allocate the external financing provided on behalf of the Republic of Turkey for the development, infrastructure and superstructure works in areas declared as disaster areas effective for general life due to natural disasters, to the Disaster Reconstruction Fund.
The Minister will also be authorized to allocate the external financing to the relevant institutions and organizations, which will be used exclusively by any external financing source, for the same purpose, to institutions and organizations other than the public administrations within the scope of the general budget and within the scope of this law.
